Verizon CommunicationsVZA.PFD 64 Pretax Margin % is 19.70% as of Mar. 2026, which is 17% above its 10-year median of 16.86. GuruFocus rates VZA.PFD with a GF Score™ of 64/100. The stock has 6 warning signs investors should review. Among 368 Telecommunication Services companies, Verizon Communications ranks better than 72.83% on this metric.
The historical rank and industry rank for Verizon Communications's Pretax Margin % or its related term are showing as below:
VZA.PFD'
s Pretax Margin % Range Over the Past 10 Years
Min: 12.68 Med: 16.86 Max: 22.02
Current: 16.52
VZA.PFD's Pretax Margin % is ranked better than 72.83% of 368
companies
in the Telecommunication Services industry
Industry Median: 7.64
vs VZA.PFD: 16.52
The pretax margin, as know as pretax profit margin, is widely used to measure the operating efficiency of a company before deducting taxes.
The pretax margin is sometimes preferred over the net margin as tax expenditures can make profitability comparisons between companies misleading.
It is a useful tool to compare companies operating in the same sector and less effective when comparing companies from other sectors as each industry generally has different operating expenses and sales patterns.
The long term trend of the pretax margin is a good indicator of the competitiveness and health of the business.
Verizon Communications Pretax Margin % Related Terms
Verizon Communications Pretax Margin % Historical Data
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The historical data trend for Verizon Communications's Pretax Margin % 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.
VZA.PFD vs TMUS, T, CMCSA: Pretax Margin % Comparison
For the Telecom Services subindustry, Verizon Communications's Pretax Margin %, along with its competitors' market caps and Pretax Margin % 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 Pretax Margin % vs Telecommunication Services Industry
For the Telecommunication Services industry and Communication Services sector, Verizon Communications's Pretax Margin % distribution charts can be found below:
* The bar in red indicates where Verizon Communications's Pretax Margin % falls into.
* 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 (VZA.PFD) has a Pretax Margin % of 19.70% as of Mar. 2026. Pre-Tax margin is the ratio of total pre-tax income to net sales. View historical data on Verizon Communications and its competitors. This is 17% above median its historical median of 16.86. Over the past decade, Verizon Communications' Pretax Margin % has ranged from 12.68 to 22.02. According to the industry distribution chart, Verizon Communications ranks #100 out of 368 companies in the Telecommunication Services industry, placing it in the top 27.2%.
Is Verizon Communications' Pretax Margin % too high?
Verizon Communications' current Pretax Margin % of 19.70% is 17% above median its 10-year median of 16.86. Over the past 10 years, this metric has ranged from a low of 12.68 to a high of 22.02. The Telecommunication Services industry median Pretax Margin % is 7.64. Verizon Communications' value of 19.70% is 157.9% above this industry median. Based on the distribution chart, Verizon Communications ranks #100 out of 368 companies in the Telecommunication Services industry, which is above the industry midpoint. Overall, Verizon Communications has a GF Score™ of 64/100, reflecting its overall financial health beyond just this single metric.
How does Verizon Communications' Pretax Margin % compare to TMUS and T?
According to the Telecommunication Services industry distribution chart, Verizon Communications ranks #100 out of 368 companies for Pretax Margin %. This puts Verizon Communications in the upper half of its industry. The industry median Pretax Margin % is 7.64. Verizon Communications' value of 19.70% is 157.9% above this benchmark. Historically, Verizon Communications' own Pretax Margin % has ranged from 12.68 to 22.02 over the past decade. While the company's 10-year median is 16.86 vs. the industry median of 7.64, Verizon Communications has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Pretax Margin % for a Telecommunication Services company?
The median Pretax Margin % among Telecommunication Services companies is 7.64, based on 368 companies in the industry. Companies in the top quartile (top 25%) have a Pretax Margin % significantly above this median, while those in the bottom quartile fall well below. However, Pretax Margin % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Verizon Communications's current Pretax Margin % of 19.70% is 157.9% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Pretax Margin % mean?
A high Pretax Margin % can signal that a stock is expensive relative to its fundamentals. Pre-Tax margin is the ratio of total pre-tax income to net sales. View historical data on Verizon Communications and its competitors. For the Telecommunication Services industry, the median Pretax Margin % is 7.64 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Verizon Communications's current Pretax Margin % is 19.70%, which is 17% above median its own 10-year median of 16.86. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Verizon Communications stock overvalued right now?
Verizon Communications (VZA.PFD) has a current Pretax Margin % of 19.70%. The current Pretax Margin % is 19.70%, which is 17% above median its 10-year median of 16.86 and 157.9% above the Telecommunication Services industry median of 7.64. Verizon Communications' overall GF Score™ is 64/100 with 6 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Pretax Margin % calculated?
Pretax Margin % is calculated from a company's financial statements. For Verizon Communications (VZA.PFD), the current Pretax Margin % is 19.70% as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Wireless services account for 75% of Verizon Communications' total service revenue and nearly all of its operating income. The firm serves about 94 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 that reach about 30 million homes and businesses, including about 20 million served by the Fios fiber-optic network. Verizon closed its acquisition of Frontier Communications in January, adding networks that reach another 15 million locations, including 9 million with fiber. These networks serve about 11 million broadband customers. Verizon also provides telecom services nationwide to enterprise customers, using a mix of its own and other networks.
64GF Score
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