Pricing Log in Create free account

AT&T Inc. (T) vs Verizon Communications Inc. (VZ)

AT&T Inc. and Verizon Communications Inc. are both Telecom Services companies. Verizon Communications Inc. is the larger, with a market value of $184.5B against $161.0B — 1.1× the size. AT&T Inc. trades at the lower P/E: 7.8× against 11.6×. AT&T Inc. grew revenue faster over the last twelve months: 2.63% against 1.38%. AT&T Inc. has the higher net margin (16.8% vs 11.6%) and the lower return on invested capital (6.33% vs 6.64%). Both pay a dividend; Verizon Communications Inc. yields more (6.30% vs 4.74%). Across the 23 metrics below, AT&T Inc. leads on 18 and Verizon Communications Inc. on 5.

Valuation

Metric T VZ Telecom Services median
P/E 7.76 11.63 13.80
P/S 1.28 1.34 0.83
P/B 1.29 1.77 1.35
Price to free cash flow 9.23 9.23 8.86
EV/EBITDA 6.29 7.35 6.37
EV/Sales 2.27 2.52 1.82
Earnings yield 12.88% 8.60% 2.02%
Free cash flow yield 10.84% 10.83% 5.99%

Profitability

Metric T VZ Telecom Services median
Gross margin 59.72% 59.26% 51.26%
Operating margin 20.12% 20.54% 7.62%
Net margin 16.83% 11.64% 4.22%
Free cash flow margin 13.85% 14.51% 4.98%
Return on equity 17.28% 15.43% 5.80%
Return on assets 5.14% 4.08% 0.00%
Return on invested capital 6.33% 6.64% 3.41%

Growth

Metric T VZ Telecom Services median
Revenue growth (TTM) 2.63% 1.38% 3.31%
EPS growth (last fiscal year) 104.03% (1.93%) 0.62%
Revenue growth, 5-year CAGR (2.56%) 1.50% 2.53%
Net income growth, 5-year CAGR 0.00% (0.71%) 0.00%

Health

Metric T VZ Telecom Services median
Debt to equity 1.14 1.57 0.63
Current ratio 0.97 0.60 1.13
Net debt to EBITDA 2.62 2.92 1.86

Dividend

Metric T VZ Telecom Services median
Dividend yield 4.74% 6.30% 2.72%
Payout ratio 0.37 0.73 0.43

Size

Metric T VZ Telecom Services median
Market cap 161.03b 184.47b 2.77b

Compare with another peer

Any metric, up to five companies and an Excel export Powerpack