LUMN vs. VZ: A Head-to-Head Stock Comparison
Updated onHere’s a clear look at LUMN and VZ, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.
Company Profile
| Symbol | LUMN | VZ |
|---|---|---|
| Company Name | Lumen Technologies, Inc. | Verizon Communications Inc. |
| Country | United States | United States |
| GICS Sector | Communication Services | Communication Services |
| GICS Industry | Diversified Telecommunication Services | Diversified Telecommunication Services |
| Market Capitalization | 4.81 billion USD | 186.49 billion USD |
| Exchange | NYSE | NYSE |
| Listing Date | March 17, 1980 | November 21, 1983 |
| Security Type | Common Stock | Common Stock |
Historical Performance
This chart compares the performance of LUMN and VZ by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period. Data is adjusted for dividends and splits.
Historical Performance at a Glance
| Symbol | LUMN | VZ |
|---|---|---|
| 5-Day Price Return | 2.18% | -1.58% |
| 13-Week Price Return | 22.14% | 2.55% |
| 26-Week Price Return | -3.89% | 5.28% |
| 52-Week Price Return | -22.35% | 8.22% |
| Month-to-Date Return | 5.39% | 3.44% |
| Year-to-Date Return | -11.68% | 10.60% |
| 10-Day Avg. Volume | 11.74M | 15.73M |
| 3-Month Avg. Volume | 11.26M | 17.71M |
| 3-Month Volatility | 61.40% | 16.48% |
| Beta | 1.41 | 0.37 |
Profitability
Return on Equity (TTM)
LUMN
-80.20%
Diversified Telecommunication Services Industry
- Max
- 35.96%
- Q3
- 14.90%
- Median
- 8.29%
- Q1
- -0.99%
- Min
- -18.19%
LUMN has a negative Return on Equity of -80.20%. This indicates the company is generating a loss for its shareholders, which can be a result of unprofitability or negative shareholder equity and is often a sign of financial distress.
VZ
18.22%
Diversified Telecommunication Services Industry
- Max
- 35.96%
- Q3
- 14.90%
- Median
- 8.29%
- Q1
- -0.99%
- Min
- -18.19%
In the upper quartile for the Diversified Telecommunication Services industry, VZ’s Return on Equity of 18.22% signals a highly effective use of shareholder capital to drive profitability compared to most of its peers.
Net Profit Margin (TTM)
LUMN
-9.19%
Diversified Telecommunication Services Industry
- Max
- 28.40%
- Q3
- 13.05%
- Median
- 6.85%
- Q1
- -0.81%
- Min
- -18.76%
LUMN has a negative Net Profit Margin of -9.19%, indicating the company is operating at a net loss as its expenses exceeded its revenues.
VZ
13.28%
Diversified Telecommunication Services Industry
- Max
- 28.40%
- Q3
- 13.05%
- Median
- 6.85%
- Q1
- -0.81%
- Min
- -18.76%
A Net Profit Margin of 13.28% places VZ in the upper quartile for the Diversified Telecommunication Services industry, signifying strong profitability and more effective cost management than most of its peers.
Operating Profit Margin (TTM)
LUMN
-1.97%
Diversified Telecommunication Services Industry
- Max
- 37.46%
- Q3
- 22.24%
- Median
- 15.73%
- Q1
- 9.79%
- Min
- 2.06%
LUMN has a negative Operating Profit Margin of -1.97%. This signifies the company is unprofitable at the operational level, as its core business expenses exceed its revenue.
VZ
22.22%
Diversified Telecommunication Services Industry
- Max
- 37.46%
- Q3
- 22.24%
- Median
- 15.73%
- Q1
- 9.79%
- Min
- 2.06%
VZ’s Operating Profit Margin of 22.22% is around the midpoint for the Diversified Telecommunication Services industry, indicating that its efficiency in managing core business operations is typical for the sector.
Profitability at a Glance
| Symbol | LUMN | VZ |
|---|---|---|
| Return on Equity (TTM) | -80.20% | 18.22% |
| Return on Assets (TTM) | -3.52% | 4.76% |
| Net Profit Margin (TTM) | -9.19% | 13.28% |
| Operating Profit Margin (TTM) | -1.97% | 22.22% |
| Gross Profit Margin (TTM) | 47.68% | 59.48% |
Financial Strength
Current Ratio (MRQ)
LUMN
2.13
Diversified Telecommunication Services Industry
- Max
- 1.63
- Q3
- 1.14
- Median
- 0.92
- Q1
- 0.68
- Min
- 0.16
LUMN’s Current Ratio of 2.13 is exceptionally high, placing it well outside the typical range for the Diversified Telecommunication Services industry. This indicates a very strong liquidity position, though such a high ratio may also suggest that the company is not using its assets efficiently to generate profits.
VZ
0.64
Diversified Telecommunication Services Industry
- Max
- 1.63
- Q3
- 1.14
- Median
- 0.92
- Q1
- 0.68
- Min
- 0.16
VZ’s Current Ratio of 0.64 falls into the lower quartile for the Diversified Telecommunication Services industry. This indicates a tighter liquidity situation and a more constrained capacity to handle short-term debt than many of its competitors.
Debt-to-Equity Ratio (MRQ)
LUMN
61.12
Diversified Telecommunication Services Industry
- Max
- 3.82
- Q3
- 2.06
- Median
- 1.32
- Q1
- 0.74
- Min
- 0.11
With a Debt-to-Equity Ratio of 61.12, LUMN operates with exceptionally high leverage compared to the Diversified Telecommunication Services industry norm. This suggests an aggressive reliance on debt financing, which can magnify returns but also significantly elevates financial risk.
VZ
1.42
Diversified Telecommunication Services Industry
- Max
- 3.82
- Q3
- 2.06
- Median
- 1.32
- Q1
- 0.74
- Min
- 0.11
VZ’s Debt-to-Equity Ratio of 1.42 is typical for the Diversified Telecommunication Services industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.
Interest Coverage Ratio (TTM)
LUMN
0.79
Diversified Telecommunication Services Industry
- Max
- 14.66
- Q3
- 8.25
- Median
- 3.53
- Q1
- 1.47
- Min
- -2.60
LUMN’s Interest Coverage Ratio of 0.79 is a critical concern. A value below 1.0 means operating earnings are insufficient to cover interest expenses, indicating severe financial strain and high default risk.
VZ
4.61
Diversified Telecommunication Services Industry
- Max
- 14.66
- Q3
- 8.25
- Median
- 3.53
- Q1
- 1.47
- Min
- -2.60
VZ’s Interest Coverage Ratio of 4.61 is positioned comfortably within the norm for the Diversified Telecommunication Services industry, indicating a standard and healthy capacity to cover its interest payments.
Financial Strength at a Glance
| Symbol | LUMN | VZ |
|---|---|---|
| Current Ratio (MRQ) | 2.13 | 0.64 |
| Quick Ratio (MRQ) | 1.98 | 0.49 |
| Debt-to-Equity Ratio (MRQ) | 61.12 | 1.42 |
| Interest Coverage Ratio (TTM) | 0.79 | 4.61 |
Growth
Revenue Growth
EPS Growth
Dividend
Dividend Yield (TTM)
LUMN
0.02%
Diversified Telecommunication Services Industry
- Max
- 10.34%
- Q3
- 5.44%
- Median
- 3.89%
- Q1
- 1.73%
- Min
- 0.00%
LUMN’s Dividend Yield of 0.02% is in the lower quartile for the Diversified Telecommunication Services industry. This suggests the company’s strategy likely favors retaining earnings for growth over providing a high dividend income.
VZ
5.95%
Diversified Telecommunication Services Industry
- Max
- 10.34%
- Q3
- 5.44%
- Median
- 3.89%
- Q1
- 1.73%
- Min
- 0.00%
With a Dividend Yield of 5.95%, VZ offers a more attractive income stream than most of its peers in the Diversified Telecommunication Services industry, signaling a strong commitment to shareholder returns.
Dividend Payout Ratio (TTM)
LUMN
5.26%
Diversified Telecommunication Services Industry
- Max
- 270.06%
- Q3
- 135.21%
- Median
- 76.62%
- Q1
- 35.06%
- Min
- 0.00%
LUMN’s Dividend Payout Ratio of 5.26% is in the lower quartile for the Diversified Telecommunication Services industry. This suggests a conservative dividend policy, with a strategic focus on reinvesting profits for future growth.
VZ
62.46%
Diversified Telecommunication Services Industry
- Max
- 270.06%
- Q3
- 135.21%
- Median
- 76.62%
- Q1
- 35.06%
- Min
- 0.00%
VZ’s Dividend Payout Ratio of 62.46% is within the typical range for the Diversified Telecommunication Services industry, suggesting a balanced approach between shareholder payouts and company reinvestment.
Dividend at a Glance
| Symbol | LUMN | VZ |
|---|---|---|
| Dividend Yield (TTM) | 0.02% | 5.95% |
| Dividend Payout Ratio (TTM) | 5.26% | 62.46% |
Valuation
Price-to-Earnings Ratio (TTM)
LUMN
--
Diversified Telecommunication Services Industry
- Max
- 33.39
- Q3
- 23.91
- Median
- 16.72
- Q1
- 13.00
- Min
- 4.13
P/E Ratio data for LUMN is currently unavailable.
VZ
10.50
Diversified Telecommunication Services Industry
- Max
- 33.39
- Q3
- 23.91
- Median
- 16.72
- Q1
- 13.00
- Min
- 4.13
In the lower quartile for the Diversified Telecommunication Services industry, VZ’s P/E Ratio of 10.50 suggests the stock may be undervalued compared to its peers, potentially presenting an attractive entry point for investors.
Price-to-Sales Ratio (TTM)
LUMN
0.36
Diversified Telecommunication Services Industry
- Max
- 4.75
- Q3
- 2.60
- Median
- 1.62
- Q1
- 0.94
- Min
- 0.35
In the lower quartile for the Diversified Telecommunication Services industry, LUMN’s P/S Ratio of 0.36 indicates its revenue is valued more conservatively than most of its peers. This could present a compelling opportunity if the market has overlooked its sales-generating capabilities.
VZ
1.39
Diversified Telecommunication Services Industry
- Max
- 4.75
- Q3
- 2.60
- Median
- 1.62
- Q1
- 0.94
- Min
- 0.35
VZ’s P/S Ratio of 1.39 aligns with the market consensus for the Diversified Telecommunication Services industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.
Price-to-Book Ratio (MRQ)
LUMN
13.90
Diversified Telecommunication Services Industry
- Max
- 5.77
- Q3
- 3.45
- Median
- 2.10
- Q1
- 1.19
- Min
- 0.32
At 13.90, LUMN’s P/B Ratio is at an extreme premium to the Diversified Telecommunication Services industry. This signifies that the market’s valuation is heavily reliant on future potential rather than its current net asset value, which can be a high-risk proposition.
VZ
1.77
Diversified Telecommunication Services Industry
- Max
- 5.77
- Q3
- 3.45
- Median
- 2.10
- Q1
- 1.19
- Min
- 0.32
VZ’s P/B Ratio of 1.77 is within the conventional range for the Diversified Telecommunication Services industry. This shows a balanced market view, where the stock’s price is neither at a significant premium nor a discount to the book value of its peers.
Valuation at a Glance
| Symbol | LUMN | VZ |
|---|---|---|
| Price-to-Earnings Ratio (TTM) | -- | 10.50 |
| Price-to-Sales Ratio (TTM) | 0.36 | 1.39 |
| Price-to-Book Ratio (MRQ) | 13.90 | 1.77 |
| Price-to-Free Cash Flow Ratio (TTM) | 3.08 | 9.74 |