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Compare Stocks › ADBE vs VZ

Adobe Inc. (ADBE) vs Verizon Communications Inc. (VZ)

ADBE
Adobe Inc.
$250.71
VS
VZ
Verizon Communications Inc.
$48.11

Rewards

ADBE
  • ★Adobe Inc. has maintained ROIC above 15% for 4 consecutive years, indicating a durable competitive advantage.
  • ★Gross margin of 89.4% indicates strong pricing power — typical of businesses with significant intellectual property or brand strength.
  • ★Adobe Inc. scores 100/100 on the Economic Moat Score (Wide Moat), with roic consistency as the strongest competitive dimension.
VZ
  • ★Free cash flow has grown at a 23.7% CAGR over the past 4 years, demonstrating strong earnings power growth.
  • ★Dividend yield of 5.88% with a consistent or growing payout over the past 4 years.
  • ★FCF yield of 9.8% is historically attractive — the business generates significant cash relative to its price.

Risks

ADBE
    VZ
    • ⚠PEG ratio of 2.73 indicates the stock is expensive relative to its expected growth — the market may be pricing in more growth than analysts project.
    • ⚠Altman Z-Score of 1.24 places the company in the distress zone — financial patterns resemble those of companies that experienced bankruptcy.

    Key Valuation Metrics

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    ADBE
    VZ
    Valuation
    $9.32B
    Free Cash Flow
    $19.61B
    9.20%
    FCF Yield
    9.76%
    14.62
    Trailing P/E
    11.73
    9.48
    Forward P/E
    9.12
    Quality & Moat
    41.36%
    ROIC
    9.06%
    62.36%
    ROE
    16.42%
    89.40%
    Gross Margin
    58.91%
    1.32
    PEG Ratio
    2.73
    Balance Sheet Safety
    0.58
    Debt / Equity
    1.92
    N/A
    Interest Coverage
    N/A
    -0.02
    Net Debt / EBITDA
    3.77
    N/A
    Dividend Yield
    5.88%
    ADBE: 6Ties: 2VZ: 3
    ADBEVZ

    Historical Fundamentals

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    ADBE

    Price ÷ Earnings Per Share — how many years of current earnings you're paying for at today's price. Lower P/E may indicate undervaluation.

    VZ

    Price ÷ Earnings Per Share — how many years of current earnings you're paying for at today's price. Lower P/E may indicate undervaluation.

    Price ÷ Earnings Per Share — how many years of current earnings you're paying for at today's price. Lower P/E may indicate undervaluation.

    $1 Retained Earnings Test

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    ADBE
    $-0.60
    created per $1 retained over 3 years
    Market Cap Declined
    Σ Retained
    $18.12B
    Δ Market Cap
    $-10.93B
    Buffett's "$1 Test": For every $1 of earnings retained, has management created at least $1 of market value?
    > $1 created per $1 retained = Value Creator · < $1 created = Value Destroyer
    VZ
    $0.50
    created per $1 retained over 3 years
    Mediocre Allocator
    Σ Retained
    $12.54B
    Δ Market Cap
    +$6.29B
    Buffett's "$1 Test": For every $1 of earnings retained, has management created at least $1 of market value?
    > $1 created per $1 retained = Value Creator · < $1 created = Value Destroyer

    Buffett's "$1 Test": For every $1 of earnings retained, has management created at least $1 of market value?
    > $1 created per $1 retained = Value Creator · < $1 created = Value Destroyer

    Discounted Cash Flow (DCF) Analysis

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    ADBE
    50.0% Margin of Safety
    Price is 50.0% below estimated fair value
    Current Price: $250.71
    Fair Value: $501.89
    Strongly undervalued
    Undervalued
    Fairly valued
    Overvalued
    Strongly overvalued
    VZ
    37.2% Overvalued
    Price is 37.2% above estimated fair value
    Current Price: $48.11
    Fair Value: $35.06
    Strongly undervalued
    Undervalued
    Fairly valued
    Overvalued
    Strongly overvalued

    Reverse DCF — Market-Implied Growth

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    ADBE

    What growth rate is the market pricing in at $251?

    +3.0%
    Market-Implied Owner Earnings Growth
    Standard FCF implies -0.7%

    The market implies +3.0% Owner Earnings growth, below historical trends — potential opportunity.

    Standard FCF implies a more demanding -0.7%, reflecting heavy growth investment expected to generate future returns.

    VZ

    What growth rate is the market pricing in at $48?

    +9.6%
    Market-Implied Owner Earnings Growth
    Standard FCF implies +7.8%

    The market implies +9.6% Owner Earnings growth, above historical trends.

    Standard FCF implies a demanding +7.8%, reflecting heavy growth investment.

    Economic Moat Score

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    ADBE
    100/100
    Wide Moat
    70+ Wide · 40-69 Narrow · <40 None

    Wide moat with strength across all dimensions. ROIC Consistency is the standout factor.

    Composite score measuring competitive advantage durability across four dimensions: returns above cost of capital, pricing power stability, revenue predictability, and capital efficiency. Based on 4 years of fundamental data.
    VZ
    55/100
    Narrow Moat
    70+ Wide · 40-69 Narrow · <40 None

    Narrow moat with margin stability as the key competitive advantage. Improving roic consistency would strengthen the moat.

    Composite score measuring competitive advantage durability across four dimensions: returns above cost of capital, pricing power stability, revenue predictability, and capital efficiency. Based on 4 years of fundamental data.

    Forensic Accounting

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    ADBE
    -2.85
    Unlikely Manipulator
    Above -1.78 = likely manipulator · -2.22 to -1.78 = grey zone

    M-Score Trend

    Beneish's 8-variable model estimates the probability of earnings manipulation. An M-Score above -1.78 signals elevated risk — companies in this range have historically been 3-5× more likely to be manipulating earnings. Scores between -2.22 and -1.78 fall in a grey zone warranting further investigation.
    VZ
    -2.69
    Unlikely Manipulator
    Above -1.78 = likely manipulator · -2.22 to -1.78 = grey zone

    M-Score Trend

    Beneish's 8-variable model estimates the probability of earnings manipulation. An M-Score above -1.78 signals elevated risk — companies in this range have historically been 3-5× more likely to be manipulating earnings. Scores between -2.22 and -1.78 fall in a grey zone warranting further investigation.

    Beneish's 8-variable model estimates the probability of earnings manipulation. An M-Score above -1.78 signals elevated risk — companies in this range have historically been 3-5× more likely to be manipulating earnings. Scores between -2.22 and -1.78 fall in a grey zone warranting further investigation.

    Ownership Breakdown

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    ADBE
    Insiders 0.3%Institutions 87.7%Retail & Other 12.0%
    No. of Institutional Holders3,316
    High insider ownership aligns management incentives with shareholders — a key signal in Buffett-style analysis. Institutional concentration can indicate smart-money conviction but also crowding risk.
    VZ
    Insiders 0.1%Institutions 69.4%Retail & Other 30.5%
    No. of Institutional Holders3,910
    High insider ownership aligns management incentives with shareholders — a key signal in Buffett-style analysis. Institutional concentration can indicate smart-money conviction but also crowding risk.

    High insider ownership aligns management incentives with shareholders. Institutional concentration can indicate smart-money conviction but also crowding risk.

    Insider Buying Activity

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    ADBE
    0
    Buys (3M)
    0
    Buys (12M)
    DURN DANIEL J
    Chief Financial Officer
    $507,758
    @ $390.58 · 2025-03-20
    RICKS DAVID A
    Director
    $998,946
    @ $443.98 · 2025-01-28
    Open market purchases · includes direct & indirect ownership · excludes option exercises
    VZ
    0
    Buys (3M)
    0
    Buys (12M)
    No open market insider purchases found.
    Open market purchases · includes direct & indirect ownership · excludes option exercises

    Open market purchases · includes direct & indirect ownership · excludes option exercises.

    Insider Selling Activity

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    ADBE
    1
    Sells (3M)
    3
    Sells (12M)
    Total value (12M): $867,022
    DURN DANIEL J
    Chief Financial Officer
    $331,355
    @ $248.02 · 2026-04-20
    DURN DANIEL J
    Chief Financial Officer
    $485,323
    @ $294.85 · 2026-01-27
    FORUSZ JILLIAN
    Officer
    $50,344
    @ $337.88 · 2025-10-31
    FORUSZ JILLIAN
    Officer
    $175,828
    @ $380.58 · 2025-05-02
    FORUSZ JILLIAN
    Officer
    $145,567
    @ $435.83 · 2025-01-28
    BELSKY SCOTT K
    Officer
    $2.05M
    @ $431.61 · 2025-01-27
    BANSE AMY L
    Director
    $333,300
    @ $550.00 · 2024-12-06
    FORUSZ JILLIAN
    Officer
    $327,987
    @ $485.19 · 2024-10-29
    BELSKY SCOTT K
    Officer
    $232,525
    @ $483.42 · 2024-10-25
    BELSKY SCOTT K
    Officer
    $1.14M
    @ $511.48 · 2024-10-16
    DURN DANIEL J
    Chief Financial Officer
    $3.35M
    @ $515.44 · 2024-09-17
    GARFIELD MARK S.
    Officer
    $52,089
    @ $537.00 · 2024-07-25
    BELSKY SCOTT K
    Officer
    $258,297
    @ $537.00 · 2024-07-25
    GARFIELD MARK S.
    Officer
    $85,255
    @ $564.60 · 2024-07-16
    BELSKY SCOTT K
    Officer
    $1.25M
    @ $561.60 · 2024-07-16
    Direct ownership only · excludes indirect, option exercises, planned (10b5-1) sales & derivatives
    VZ
    1
    Sells (3M)
    4
    Sells (12M)
    Total value (12M): $1.69M
    STILLWELL MARY-LEE
    Officer
    $428,450
    @ $50.00 · 2026-03-02
    RUSSO JOSEPH J.
    Officer
    $429,906
    @ $44.88 · 2026-02-02
    MALADY KYLE
    Officer
    $438,101
    @ $43.81 · 2025-05-08
    MALADY KYLE
    Officer
    $396,900
    @ $44.10 · 2025-05-07
    MALADY KYLE
    Officer
    $329,062
    @ $43.87 · 2025-04-30
    MALADY KYLE
    Officer
    $430,240
    @ $43.02 · 2025-04-24
    MALADY KYLE
    Officer
    $212,425
    @ $42.48 · 2025-04-23
    VENKATESH VANDANA
    Officer
    $437,939
    @ $43.79 · 2025-02-25
    MALADY KYLE
    Officer
    $261,623
    @ $39.70 · 2025-02-04
    MALADY KYLE
    Officer
    $319,080
    @ $39.88 · 2025-02-03
    MALADY KYLE
    Chief Executive Officer
    $453,155
    @ $40.88 · 2025-01-29
    MALADY KYLE
    Officer
    $809,800
    @ $40.49 · 2025-01-28
    MALADY KYLE
    Officer
    $810,800
    @ $40.54 · 2025-01-27
    Direct ownership only · excludes indirect, option exercises, planned (10b5-1) sales & derivatives

    Direct ownership only · excludes indirect, option exercises, planned (10b5-1) sales & derivatives.

    🎭 Mr. Market's Mood

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    ADBE
    FearGreed
    😨Fear(37/100)

    "Market is pessimistic — investigate whether fears are temporary or structural"

    Composite sentiment score based on 6 market signals. Inspired by Buffett's "Mr. Market" allegory — fear = potential opportunity, greed = potential risk. Must be used alongside fundamental analysis, not in isolation.
    VZ
    FearGreed
    😏Greed(64/100)

    "Market is optimistic — be cautious and ensure you have a margin of safety"

    Composite sentiment score based on 6 market signals. Inspired by Buffett's "Mr. Market" allegory — fear = potential opportunity, greed = potential risk. Must be used alongside fundamental analysis, not in isolation.

    Composite sentiment score based on market signals. Inspired by Buffett’s "Mr. Market" allegory — fear = potential opportunity, greed = potential risk. Must be used alongside fundamental analysis, not in isolation.

    ⚖️ Buffett Signal

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    ADBE
    ⚪Awaiting DCF Data

    The Buffett Signal cross-references market sentiment with DCF valuation. Configure the DCF Analysis above to generate a signal.

    DCF Margin of Safety: N/AMr. Market's Mood: Fear (37)
    VZ
    ⚪Awaiting DCF Data

    The Buffett Signal cross-references market sentiment with DCF valuation. Configure the DCF Analysis above to generate a signal.

    DCF Margin of Safety: N/AMr. Market's Mood: Greed (64)
    View ADBE Full AnalysisView VZ Full Analysis
    ADBE vs VZ: Which Is the Better Buy? | SafetyMargin.io