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Verizon Communications (NEOE:VZ) Cyclically Adjusted Price-to-FCF : 16.09 (As of Jun. 04, 2025)


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What is Verizon Communications Cyclically Adjusted Price-to-FCF?

As of today (2025-06-04), Verizon Communications's current share price is C$18.99. Verizon Communications's Cyclically Adjusted FCF per Share for the quarter that ended in Mar. 2025 was C$1.18. Verizon Communications's Cyclically Adjusted Price-to-FCF for today is 16.09.

The historical rank and industry rank for Verizon Communications's Cyclically Adjusted Price-to-FCF or its related term are showing as below:

NEOE:VZ' s Cyclically Adjusted Price-to-FCF Range Over the Past 10 Years
Min: 9.5   Med: 13.33   Max: 18.7
Current: 16.25

During the past years, Verizon Communications's highest Cyclically Adjusted Price-to-FCF was 18.70. The lowest was 9.50. And the median was 13.33.

NEOE:VZ's Cyclically Adjusted Price-to-FCF is ranked worse than
56.45% of 186 companies
in the Telecommunication Services industry
Industry Median: 13.545 vs NEOE:VZ: 16.25

The Shiller PE Ratio was first used by professor Robert Shiller. He uses E10 for his Shiller PE Ratio calculation. E10 is the average of the inflation adjusted earnings per share of a company over the past 10 years. The similar calculation is applied by GuruFocus to calculate the Cyclically Adjusted Price-to-FCF. The Cyclically Adjusted FCF per Share is the average of the inflation adjusted free cash flow per share of a company over the past 10 years.

Verizon Communications's adjusted free cash flow per share data for the three months ended in Mar. 2025 was C$0.382. Add all the adjusted free cash flow per share for the past 10 years together and divide 10 will get our Cyclically Adjusted FCF per Share, which is C$1.18 for the trailing ten years ended in Mar. 2025.

Shiller PE for Stocks: The True Measure of Stock Valuation


Verizon Communications Cyclically Adjusted Price-to-FCF Historical Data

The historical data trend for Verizon Communications's Cyclically Adjusted Price-to-FCF can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Verizon Communications Cyclically Adjusted Price-to-FCF Chart

Verizon Communications Annual Data
Trend Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24
Cyclically Adjusted Price-to-FCF
Get a 7-Day Free Trial Premium Member Only Premium Member Only 14.47 17.11 13.21 15.71 16.12

Verizon Communications Quarterly Data
Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25
Cyclically Adjusted Price-to-FCF Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 17.55 16.94 18.34 16.12 16.82

Competitive Comparison of Verizon Communications's Cyclically Adjusted Price-to-FCF

For the Telecom Services subindustry, Verizon Communications's Cyclically Adjusted Price-to-FCF, along with its competitors' market caps and Cyclically Adjusted Price-to-FCF data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Verizon Communications's Cyclically Adjusted Price-to-FCF Distribution in the Telecommunication Services Industry

For the Telecommunication Services industry and Communication Services sector, Verizon Communications's Cyclically Adjusted Price-to-FCF distribution charts can be found below:

* The bar in red indicates where Verizon Communications's Cyclically Adjusted Price-to-FCF falls into.


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Verizon Communications Cyclically Adjusted Price-to-FCF Calculation

Like the Shiller PE Ratio, the Cyclically Adjusted Price-to-FCF takes the Free Cash Flow per Share from the past 10 years, adjusts it for inflation, and then calculates the average. This average is then used for the P/FCF calculation. Because it considers this 10-year average, it's often referred to as the CAPFCF Ratio.

The Shiller PE Ratio was first used by professor Robert Shiller to measure the valuation of the overall market. The similar calculation is applied by GuruFocus to calculate the Cyclically Adjusted Price-to-FCF.

Verizon Communications's Cyclically Adjusted Price-to-FCF for today is calculated as

Cyclically Adjusted Price-to-FCF=Share Price/ Cyclically Adjusted FCF per Share
=18.99/1.18
=16.09

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Verizon Communications's Cyclically Adjusted FCF per Share for the quarter that ended in Mar. 2025 is calculated as:

For example, Verizon Communications's adjusted Free Cash Flow per Share data for the three months ended in Mar. 2025 was:

Adj_FreeCashFlowPerShare=Free Cash Flow per Share/CPI of Mar. 2025 (Change)*Current CPI (Mar. 2025)
=0.382/134.9266*134.9266
=0.382

Current CPI (Mar. 2025) = 134.9266.

Verizon Communications Quarterly Data

Free Cash Flow per Share CPI Adj_FreeCashFlowPerShare
201506 0.399 100.684 0.535
201509 0.520 100.392 0.699
201512 0.562 99.792 0.760
201603 0.412 100.470 0.553
201606 0.139 101.688 0.184
201609 0.058 101.861 0.077
201612 -0.190 101.863 -0.252
201703 -0.198 102.862 -0.260
201706 0.402 103.349 0.525
201709 0.264 104.136 0.342
201712 0.176 104.011 0.228
201803 0.113 105.290 0.145
201806 0.640 106.317 0.812
201809 0.551 106.507 0.698
201812 0.347 105.998 0.442
201903 0.280 107.251 0.352
201906 0.509 108.070 0.635
201909 0.659 108.329 0.821
201912 0.284 108.420 0.353
202003 0.336 108.902 0.416
202006 0.919 108.767 1.140
202009 0.270 109.815 0.332
202012 0.507 109.897 0.622
202103 -3.841 111.754 -4.637
202106 0.569 114.631 0.670
202109 0.375 115.734 0.437
202112 0.136 117.630 0.156
202203 -0.081 121.301 -0.090
202206 0.559 125.017 0.603
202209 0.467 125.227 0.503
202212 0.093 125.222 0.100
202303 0.180 127.348 0.191
202306 0.518 128.729 0.543
202309 0.607 129.860 0.631
202312 0.014 129.419 0.015
202403 0.232 131.776 0.238
202406 0.584 132.554 0.594
202409 0.596 133.029 0.605
202412 0.563 133.157 0.570
202503 0.382 134.927 0.382

Add all the adjusted free cash flow per share together and divide 10 will get our Cyclically Adjusted FCF per Share.

Please note that we use the CPI data of the country/region where the company is headquartered. If the CPI data for that country/region is not available, then we will use the CPI data of the United States as default.


Verizon Communications  (NEOE:VZ) Cyclically Adjusted Price-to-FCF Explanation

Compared with the regular Price-to-Free-Cash-Flow, which works poorly for cyclical businesses, the Cyclically Adjusted Price-to-FCF smoothed out the fluctuations of free cash flow during business cycles. Therefore it is more accurate in reflecting the valuation of the company.

If a company has consistent business performance, the Cyclically Adjusted Price-to-FCF should give similar results to regular Price-to-Free-Cash-Flow.


Verizon Communications Cyclically Adjusted Price-to-FCF Related Terms

Thank you for viewing the detailed overview of Verizon Communications's Cyclically Adjusted Price-to-FCF provided by GuruFocus.com. Please click on the following links to see related term pages.


Verizon Communications Business Description

Address
1095 Avenue of the Americas, New York, NY, USA, 10036
Wireless services account for nearly 75% of Verizon Communications' total service revenue and nearly all of its operating income. The firm serves about 93 million postpaid and 20 million prepaid phone customers via its nationwide network, making it the largest US wireless carrier. Fixed-line telecom operations include local networks in the Northeast, which reach about 30 million homes and businesses, including about 20 million with the Fios fiber optic network. These networks serve about 8 million broadband customers. Verizon also provides telecom services nationwide to enterprise customers, often using a mixture of its own and other carriers' networks. Verizon agreed to acquire Frontier Communications in September 2024.