WallStSmart

Telephone and Data Systems Inc (TDS)vsVerizon Communications Inc (VZ)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Verizon Communications Inc generates 11151% more annual revenue ($138.19B vs $1.23B). VZ leads profitability with a 12.4% profit margin vs -0.5%. VZ appears more attractively valued with a PEG of 1.23. VZ earns a higher WallStSmart Score of 62/100 (C+).

TDS

Hold

40

out of 100

Grade: D

Growth: 3.3Profit: 3.0Value: 2.0Quality: 4.8
Piotroski: 4/9Altman Z: 0.83

VZ

Buy

62

out of 100

Grade: C+

Growth: 5.3Profit: 7.0Value: 7.3Quality: 3.8
Piotroski: 2/9Altman Z: 1.11
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

TDSSignificantly Overvalued (-1638.9%)

Margin of Safety

-1638.9%

Fair Value

$2.65

Current Price

$43.11

$40.46 premium

UndervaluedFair: $2.65Overvalued
VZSignificantly Overvalued (-82.4%)

Margin of Safety

-82.4%

Fair Value

$27.61

Current Price

$50.37

$22.76 premium

UndervaluedFair: $27.61Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

TDS1 strengths · Avg: 10.0/10
Price/BookValuation
1.3x10/10

Reasonable price relative to book value

VZ5 strengths · Avg: 8.4/10
Market CapQuality
$214.72B10/10

Mega-cap, among the largest globally

P/E RatioValuation
12.5x8/10

Attractively priced relative to earnings

Price/BookValuation
2.0x8/10

Reasonable price relative to book value

Operating MarginProfitability
21.0%8/10

Strong operational efficiency at 21.0%

Free Cash FlowQuality
$4.37B8/10

Generating 4.4B in free cash flow

Areas to Watch

TDS4 concerns · Avg: 2.5/10
Return on EquityProfitability
2.7%3/10

ROE of 2.7% — below average capital efficiency

Operating MarginProfitability
2.5%3/10

Operating margin of 2.5%

PEG RatioValuation
7.792/10

Expensive relative to growth rate

P/E RatioValuation
110.4x2/10

Premium valuation, high expectations priced in

VZ4 concerns · Avg: 2.8/10
Revenue GrowthGrowth
2.0%4/10

2.0% revenue growth

Piotroski F-ScoreQuality
2/93/10

Weak financial health signals

EPS GrowthGrowth
-53.3%2/10

Earnings declined 53.3%

Altman Z-ScoreHealth
1.112/10

Distress zone — elevated risk

Comparative Analysis Report

WallStSmart Research

Bull Case : TDS

The strongest argument for TDS centers on Price/Book. Revenue growth of 12.0% demonstrates continued momentum.

Bull Case : VZ

The strongest argument for VZ centers on Market Cap, P/E Ratio, Price/Book. PEG of 1.23 suggests the stock is reasonably priced for its growth.

Bear Case : TDS

The primary concerns for TDS are Return on Equity, Operating Margin, PEG Ratio. A P/E of 110.4x leaves little room for execution misses.

Bear Case : VZ

The primary concerns for VZ are Revenue Growth, Piotroski F-Score, EPS Growth.

Key Dynamics to Monitor

TDS profiles as a turnaround stock while VZ is a value play — different risk/reward profiles.

VZ carries more volatility with a beta of 0.28 — expect wider price swings.

TDS is growing revenue faster at 12.0% — sustainability is the question.

VZ generates stronger free cash flow (4.4B), providing more financial flexibility.

Bottom Line

VZ scores higher overall (62/100 vs 40/100). Both earn "Buy" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Telephone and Data Systems Inc

COMMUNICATION SERVICES · TELECOM SERVICES · USA

Telephone and Data Systems, Inc., a telecommunications company, provides communications services in the United States. The company is headquartered in Chicago, Illinois.

Verizon Communications Inc

COMMUNICATION SERVICES · TELECOM SERVICES · USA

Verizon Communications Inc. is an American multinational telecommunications conglomerate and a corporate component of the Dow Jones Industrial Average. The company is headquartered at 1095 Avenue of the Americas in Midtown Manhattan, New York City, but is incorporated in Delaware.

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