Verizon Communications (VZ) Could Be 6% Undervalued As 5G And 6G Plans Expand
Verizon Communications (VZ) has been busy on the product front in September, with initiatives ranging from a new 5G push-to-talk handset with Siyata to expanded 6G research partnerships and fresh iPhone 18 lineup promotions.
Recent trading has been choppy, with Verizon Communications’ share price slipping 7.04% over the past week and 3.58% over the past month. At the same time, the 90 day share price return is 2.03% and the year to date share price return is 17.67%, alongside a 1 year total shareholder return of 18.02% and a 3 year total shareholder return of roughly seven times that 1 year figure. This indicates that longer term holders have experienced stronger momentum than the latest pullback implies.
Scan how Verizon’s 5G, 6G and broadband moves compare with peers by zeroing in on 86 AI infrastructure stocks that are shaping the networks behind next-gen connectivity and data traffic.
After a sharp pullback against solid longer term returns and ongoing 5G, 6G and broadband spending, Verizon Communications now asks a simple question of investors: Does the current setup still lean in favor of new buyers on valuation grounds?
Most Popular Narrative: 5.6% Undervalued
On the valuation side, the most followed narrative pegs Verizon Communications at a fair value of $50.50 against the recent close of $47.68. This implies a modest discount that some investors frame as a potential entry point rather than a stretched price.
Verizon, for instance, had been on my wish list for a very long time, but I kept putting it off due to conflicting reports about the company. At the time (2023), I was able to buy it for approximately $31. Eventually, I did purchase it this week (May 5, 2026) at $47.50 because the company is showing strong figures, including for the coming years. I bought a very small batch, 5 shares. And yes, the psychology of the stock market: if I buy, it drops! I’ll wait and see for now, and if it drops further later, I’ll just buy another small amount to maintain the average purchase price. This purchasing method has already saved me a lot of money over the past few years! My goal is to invest a maximum of $5,000 within one to two years. That brings me to 50 companies in which I have invested, with a current portfolio value of $200,000, which has yielded a return of over 15% per year over the past 5 years, partly due to reinvesting all dividends.
See why 33 investors see Verizon Communications as 6% undervalued.
Result: Fair Value of $50.50 (UNDERVALUED)
Still, Verizon Communications carries risks if 5G and broadband spending slow, or if higher capital needs pressure cash flows and limit future dividend flexibility.
