Vodafone Group plc ADR (VOD) is overvalued and Verizon Communications Inc (VZ) is undervalued.
Against our estimates of intrinsic value, VZ trades at the wider discount: a margin of safety of +64%, against -132% for VOD.
Values as of the 22 Sept 2026 close.
Discounting its cash flows at 6.2% (average of 2 methods) values the shares at $7.15; the price of $16.62 is 132% above that value, and 86% of that value comes from beyond year five.
Leak Score 0/100 on 2 of 12 signals
Discounting its cash flows at 5.7% (average of 3 methods) values the shares at $128.11; the price of $46.45 is 64% below that value, and 88% of that value comes from beyond year five.
Leak Score 69/100 on 10 of 12 signals
| Metric | VOD | VZ |
|---|---|---|
| Verdict | Overvalued | Undervalued |
| Price | $16.62 | $46.45 |
| Intrinsic value | $7.15 | $128.11 |
| Margin of safety | -132% | +64% |
| Leak Score | 0/100 (2/12) | 69/100 (10/12) |
| Market cap | $38.5B | $193.0B |
| Revenue growth, 5 years | -1.7% | 1.5% |
| Operating margin | 9.6% | 22.7% |
| Net margin | -1.0% | 11.6% |
| Return on equity | -0.6% | 15.6% |
| Debt to equity | 1.04 | 1.81 |
| P/E | — | 12.1x |
| Forward P/E | 11.1x | 8.8x |
| P/B | 0.7x | 1.9x |
| Dividend yield | 3.4% | 6.1% |