Quality score · VZ · Communication Services

Is Verizon Communications Inc. a quality business?

Verizon Communications Inc. (VZ) scored on five pillars from its reported financial statements, and ranked against 80 Communication Services companies.

5.0/ 10
Mixed quality
as of October 19, 2026
Profitability
5.5 Average
Solvency
4.6 Average
Growth
2.4 Weak
Efficiency
5.9 Average
Predictability
7.0 Strong
Strongest pillar: Predictability · Weakest: Growth

Verizon Communications Inc. (VZ) scores 5.0 out of 10 as of , computed from its reported financial statements. That reads as mixed quality. The reading rests on predictability, and growth is what holds it back.

Data provided by Twelve Data. Scores are computed by Lemma Analysis from reported financials.

Does Verizon Communications Inc. have an economic moat?

Not enough data

We cannot judge Verizon Communications Inc. yet, because fewer than five years had both a return on capital and a cost of capital we could measure. This is not a “no”.

Quantitative signs of a moat, read from the filed statements. This is not a judgement of where it comes from (brand, network effects, switching costs). How Lemma measures a moat →

How Verizon Communications Inc. scores

On the filings behind it, Verizon Communications Inc. earns 5.0 out of 10 for business quality as of October 19, 2026. That is mixed quality on our scale. A mixed reading means the strengths and weaknesses roughly cancel out, and the case for the business depends on which pillars you care about most. The figure is a weighted average of five pillars, each scored from 0 to 10 against sector-aware benchmarks from reported statements.

Ranked with the 80 Communication Services companies Lemma publishes, the score sits at the 58th percentile, in the upper half of the group, short of the top quarter. The median across the group is 4.6, and the top quarter begins at 6.0, so Verizon Communications Inc. is in line with the typical company here.

Pillar by pillar

Profitability

Profitability scores 5.5 out of 10, which reads as average. The median across 77 Communication Services companies is 3.7, so Verizon Communications Inc. is well above its peers on this pillar and ranks at the 68th percentile. An average profitability reading usually means the company earns a fair return without obvious pricing power, so the other pillars decide more of the story.

Solvency

Verizon Communications Inc.’s solvency score is 4.6 out of 10 (average). Against a median of 4.8 among 62 Communication Services companies, that is in line with the group and the 48th percentile. An average solvency reading suggests debt is present but manageable, the normal state for a company that borrows to fund its operations.

Growth

On growth, Verizon Communications Inc. scores 2.4, a weak reading. Its peers have a median of 4.7 across 64 Communication Services companies, which places it well below them, at the 21st percentile. Weak growth means revenue and earnings have been flat or shrinking against peers, which can be cyclical or a sign of a market that is maturing.

Efficiency

Verizon Communications Inc.’s efficiency score is 5.9 out of 10 (average). Against a median of 6.1 among 76 Communication Services companies, that is in line with the group and the 45th percentile. Middling efficiency is unremarkable on its own, though improvements here tend to show up in free cash flow first.

Predictability

Predictability scores 7.0 out of 10, which reads as strong. The median across 80 Communication Services companies is 4.5, so Verizon Communications Inc. is well above its peers on this pillar and ranks at the 94th percentile. A strong predictability score rewards consistency: revenue and earnings that rarely surprise in either direction.

Strongest and weakest pillar

This is a lopsided profile. Predictability scores 7.0 but growth only 2.4, a gap of 4.6 points, so the overall hides a business that is excellent in one respect and weak in another. A predictability lead means consistency is the business’s strongest trait, which makes its other readings easier to trust. A growth shortfall often comes with size or a maturing market, and is less of a concern if the other pillars are strong.

What would move the score

Of everything that could lift Verizon Communications Inc.’s score, growth matters most. Bringing it up to the 4.7 median of Communication Services companies would take the overall from 5.0 to roughly 5.5. All five pillars could be scored, so the overall uses the full set of weights out of 100: profitability 25, solvency 20, growth 20, efficiency 15, predictability 20.

Verizon Communications Inc. and similar companies

These are the Communication Services companies closest to Verizon Communications Inc. in market value. Each has its own page scored on the same five pillars, so the comparison is like for like.

What each pillar measures

Profitability

5.5 / 10

How much profit the company generates from its capital and sales.

Solvency

4.6 / 10

The company’s ability to service debt and meet its obligations.

Growth

2.4 / 10

How fast revenue, earnings and cash flow are compounding.

Efficiency

5.9 / 10

How well assets and earnings convert into cash and output.

Predictability

7.0 / 10

How stable and consistent results have been over time.

How this score is calculated

Each metric is scored from 0 to 10 against sector-aware benchmarks, where higher is better. Metrics roll up into five pillars, and the pillars combine into the overall score using the weights shown. Sector-sensitive metrics are judged relative to peers in the same sector.

Limitations

This score is a systematic, backward-looking read of reported fundamentals. It does not judge valuation, management quality, competitive moat, or future prospects, and can be distorted by one-off items or unusual accounting. Treat it as a starting point, not a recommendation.

Educational only. Not investment advice.

FAQ

Is Verizon Communications Inc. a quality business?

On this reading Verizon Communications Inc. scores 5.0 out of 10, which reads as mixed quality. Its strongest pillar is predictability, its weakest is growth. Quality is not the same as a good investment: the score says nothing about the price you would pay.

How does Verizon Communications Inc. compare with other Communication Services companies?

Verizon Communications Inc. ranks at the 58th percentile of the 80 Communication Services companies Lemma publishes a score for. The median there is 4.6 and the top quarter starts at 6.0, against Verizon Communications Inc.’s 5.0.

What does the VZ quality score measure?

Five pillars, each scored from 0 to 10 against sector-aware benchmarks and then weighted into one overall reading: profitability, solvency, growth, efficiency and predictability. Everything comes from reported financials, and nothing comes from price, sentiment or forecasts.

How current is this score?

This page last changed on October 19, 2026. The score moves with the financial statements, so the page changes when a new filing moves the reading rather than on a schedule. Live figures for VZ are in the app.

Does a high score mean the stock is cheap?

No. Quality and valuation are separate questions, and a good business at the wrong price is still a bad purchase. Score the business here, then price it with a DCF you control.

All quality scoresCommunication Services quality rankingCommunication Services screener

Score any company, not just these.

Inside Lemma Analysis the same five pillars run on every company we cover, with the metrics behind each one, current fundamentals, a DCF you control and a watchlist that tells you when the price catches up.

Free to start · No credit card