VERISIGN INC (VRSN) Fundamental Analysis & Valuation

NASDAQ:VRSN • US92343E1029

Current stock price

268.34 USD
-3.1 (-1.14%)
At close:
268.23 USD
-0.11 (-0.04%)
After Hours:

This VRSN fundamental analysis includes valuation metrics, fair value assessment, financial health analysis, profitability trends, growth metrics and dividend sustainability analysis.

6

1. VRSN Profitability Analysis

1.1 Basic Checks

  • In the past year VRSN was profitable.
  • In the past year VRSN had a positive cash flow from operations.
  • Each year in the past 5 years VRSN has been profitable.
  • Each year in the past 5 years VRSN had a positive operating cash flow.
VRSN Yearly Net Income VS EBIT VS OCF VS FCFVRSN Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 200M 400M 600M 800M 1B

1.2 Ratios

  • The Return On Assets of VRSN (62.26%) is better than 98.86% of its industry peers.
Industry RankSector Rank
ROA 62.26%
ROE N/A
ROIC N/A
ROA(3y)54.96%
ROA(5y)48.66%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
VRSN Yearly ROA, ROE, ROICVRSN Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 -2K -4K -6K -8K -10K

1.3 Margins

  • With an excellent Profit Margin value of 49.83%, VRSN belongs to the best of the industry, outperforming 98.86% of the companies in the same industry.
  • VRSN's Profit Margin has declined in the last couple of years.
  • The Operating Margin of VRSN (67.67%) is better than 100.00% of its industry peers.
  • VRSN's Operating Margin has been stable in the last couple of years.
  • VRSN has a better Gross Margin (88.15%) than 98.86% of its industry peers.
  • In the last couple of years the Gross Margin of VRSN has remained more or less at the same level.
Industry RankSector Rank
OM 67.67%
PM (TTM) 49.83%
GM 88.15%
OM growth 3Y0.74%
OM growth 5Y0.76%
PM growth 3Y1.76%
PM growth 5Y-5%
GM growth 3Y0.86%
GM growth 5Y0.55%
VRSN Yearly Profit, Operating, Gross MarginsVRSN Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 20 40 60 80

3

2. VRSN Health Analysis

2.1 Basic Checks

  • VRSN does not have a ROIC to compare to the WACC, probably because it is not profitable.
  • Compared to 1 year ago, VRSN has less shares outstanding
  • VRSN has less shares outstanding than it did 5 years ago.
  • Compared to 1 year ago, VRSN has a worse debt to assets ratio.
VRSN Yearly Shares OutstandingVRSN Yearly Shares OutstandingYearly Shares Outstanding 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 20M 40M 60M 80M 100M
VRSN Yearly Total Debt VS Total AssetsVRSN Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 500M 1B 1.5B 2B 2.5B

2.2 Solvency

  • VRSN has an Altman-Z score of -4.72. This is a bad value and indicates that VRSN is not financially healthy and even has some risk of bankruptcy.
  • VRSN has a worse Altman-Z score (-4.72) than 85.23% of its industry peers.
  • The Debt to FCF ratio of VRSN is 1.67, which is an excellent value as it means it would take VRSN, only 1.67 years of fcf income to pay off all of its debts.
  • VRSN has a Debt to FCF ratio of 1.67. This is in the better half of the industry: VRSN outperforms 78.41% of its industry peers.
Industry RankSector Rank
Debt/Equity N/A
Debt/FCF 1.67
Altman-Z -4.72
ROIC/WACCN/A
WACC9.91%
VRSN Yearly LT Debt VS Equity VS FCFVRSN Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 1B -1B -2B

2.3 Liquidity

  • VRSN has a Current Ratio of 0.49. This is a bad value and indicates that VRSN is not financially healthy enough and could expect problems in meeting its short term obligations.
  • The Current ratio of VRSN (0.49) is worse than 88.64% of its industry peers.
  • VRSN has a Quick Ratio of 0.49. This is a bad value and indicates that VRSN is not financially healthy enough and could expect problems in meeting its short term obligations.
  • VRSN's Quick ratio of 0.49 is on the low side compared to the rest of the industry. VRSN is outperformed by 88.64% of its industry peers.
Industry RankSector Rank
Current Ratio 0.49
Quick Ratio 0.49
VRSN Yearly Current Assets VS Current LiabilitesVRSN Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 500M 1B 1.5B 2B

5

3. VRSN Growth Analysis

3.1 Past

  • The Earnings Per Share has grown by an nice 10.13% over the past year.
  • Measured over the past years, VRSN shows a quite strong growth in Earnings Per Share. The EPS has been growing by 8.80% on average per year.
  • VRSN shows a small growth in Revenue. In the last year, the Revenue has grown by 6.37%.
  • VRSN shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 5.54% yearly.
EPS 1Y (TTM)10.13%
EPS 3Y12.12%
EPS 5Y8.8%
EPS Q2Q%11.5%
Revenue 1Y (TTM)6.37%
Revenue growth 3Y5.15%
Revenue growth 5Y5.54%
Sales Q2Q%7.56%

3.2 Future

  • The Earnings Per Share is expected to grow by 10.33% on average over the next years. This is quite good.
  • Based on estimates for the next years, VRSN will show a small growth in Revenue. The Revenue will grow by 6.48% on average per year.
EPS Next Y7.7%
EPS Next 2Y8.59%
EPS Next 3Y10.17%
EPS Next 5Y10.33%
Revenue Next Year4.74%
Revenue Next 2Y5.05%
Revenue Next 3Y5.92%
Revenue Next 5Y6.48%

3.3 Evolution

  • The EPS growth rate is stable: in the next years the growth will be about the same than in the last years.
  • The Revenue growth rate is stable: in the next years the growth will be about the same than in the last years.
VRSN Yearly Revenue VS EstimatesVRSN Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 2032 500M 1B 1.5B 2B 2.5B
VRSN Yearly EPS VS EstimatesVRSN Yearly EPS VS EstimatesYearly EPS VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 2032 5 10 15 20

3

4. VRSN Valuation Analysis

4.1 Price/Earnings Ratio

  • A Price/Earnings ratio of 30.46 indicates a quite expensive valuation of VRSN.
  • The rest of the industry has a similar Price/Earnings ratio as VRSN.
  • Compared to an average S&P500 Price/Earnings ratio of 27.34, VRSN is valued at the same level.
  • A Price/Forward Earnings ratio of 28.28 indicates a quite expensive valuation of VRSN.
  • Compared to the rest of the industry, the Price/Forward Earnings ratio of VRSN is on the same level as its industry peers.
  • VRSN's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 38.18.
Industry RankSector Rank
PE 30.46
Fwd PE 28.28
VRSN Price Earnings VS Forward Price EarningsVRSN Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 10 20 30 40

4.2 Price Multiples

  • VRSN's Enterprise Value to EBITDA ratio is in line with the industry average.
  • The rest of the industry has a similar Price/Free Cash Flow ratio as VRSN.
Industry RankSector Rank
P/FCF 23.03
EV/EBITDA 22.41
VRSN Per share dataVRSN EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 0 10 -10 -20

4.3 Compensation for Growth

  • The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates VRSN does not grow enough to justify the current Price/Earnings ratio.
  • The decent profitability rating of VRSN may justify a higher PE ratio.
PEG (NY)3.96
PEG (5Y)3.46
EPS Next 2Y8.59%
EPS Next 3Y10.17%

3

5. VRSN Dividend Analysis

5.1 Amount

  • VRSN has a Yearly Dividend Yield of 1.16%. Purely for dividend investing, there may be better candidates out there.
  • Compared to an average industry Dividend Yield of 1.21, VRSN pays a better dividend. On top of this VRSN pays more dividend than 80.68% of the companies listed in the same industry.
  • Compared to the average S&P500 Dividend Yield of 1.82, VRSN is paying slightly less dividend.
Industry RankSector Rank
Dividend Yield 1.16%

5.2 History

  • VRSN does not have a reliable dividend history as it only pays dividend since a couple or years.
Dividend Growth(5Y)N/A
Div Incr Years0
Div Non Decr Years0
VRSN Yearly Dividends per shareVRSN Yearly Dividends per shareYearly Dividends per share 2025 2026 0.5 1 1.5 2

5.3 Sustainability

  • VRSN pays out 26.07% of its income as dividend. This is a sustainable payout ratio.
DP26.07%
EPS Next 2Y8.59%
EPS Next 3Y10.17%
VRSN Yearly Income VS Free CF VS DividendVRSN Yearly Income VS Free CF VS DividendYearly Income VS Free CF VS Dividend 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 200M 400M 600M 800M 1B
VRSN Dividend Payout.VRSN Dividend Payout, showing the Payout Ratio.VRSN Dividend Payout.PayoutRetained Earnings

VRSN Fundamentals: All Metrics, Ratios and Statistics

VERISIGN INC

NASDAQ:VRSN (4/14/2026, 7:41:57 PM)

After market: 268.23 -0.11 (-0.04%)

268.34

-3.1 (-1.14%)

Chartmill FA Rating
GICS IndustryGroupSoftware & Services
GICS IndustryIT Services
Earnings (Last)02-05
Earnings (Next)04-23
Inst Owners90.21%
Inst Owner Change-0.06%
Ins Owners0.53%
Ins Owner Change-0.49%
Market Cap24.61B
Revenue(TTM)1.66B
Net Income(TTM)825.50M
Analysts80
Price Target291.49 (8.63%)
Short Float %2.34%
Short Ratio2.17
Dividend
Industry RankSector Rank
Dividend Yield 1.16%
Yearly Dividend2.3
Dividend Growth(5Y)N/A
DP26.07%
Div Incr Years0
Div Non Decr Years0
Ex-Date02-19
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-2.71%
Min EPS beat(2)-4.35%
Max EPS beat(2)-1.07%
EPS beat(4)0
Avg EPS beat(4)-2.26%
Min EPS beat(4)-4.35%
Max EPS beat(4)-1.07%
EPS beat(8)3
Avg EPS beat(8)-0.88%
EPS beat(12)5
Avg EPS beat(12)-0.6%
EPS beat(16)7
Avg EPS beat(16)-0.45%
Revenue beat(2)0
Avg Revenue beat(2)-1.59%
Min Revenue beat(2)-1.75%
Max Revenue beat(2)-1.43%
Revenue beat(4)0
Avg Revenue beat(4)-1.81%
Min Revenue beat(4)-2.22%
Max Revenue beat(4)-1.43%
Revenue beat(8)0
Avg Revenue beat(8)-1.74%
Revenue beat(12)0
Avg Revenue beat(12)-1.83%
Revenue beat(16)0
Avg Revenue beat(16)-1.67%
PT rev (1m)1.78%
PT rev (3m)-3.82%
EPS NQ rev (1m)0.36%
EPS NQ rev (3m)-0.97%
EPS NY rev (1m)0.19%
EPS NY rev (3m)-1.63%
Revenue NQ rev (1m)0.33%
Revenue NQ rev (3m)0.12%
Revenue NY rev (1m)0.17%
Revenue NY rev (3m)0.86%
Valuation
Industry RankSector Rank
PE 30.46
Fwd PE 28.28
P/S 14.85
P/FCF 23.03
P/OCF 22.55
P/B N/A
P/tB N/A
EV/EBITDA 22.41
EPS(TTM)8.81
EY3.28%
EPS(NY)9.49
Fwd EY3.54%
FCF(TTM)11.65
FCFY4.34%
OCF(TTM)11.9
OCFY4.43%
SpS18.07
BVpS-23.49
TBVpS-24.06
PEG (NY)3.96
PEG (5Y)3.46
Graham NumberN/A
Profitability
Industry RankSector Rank
ROA 62.26%
ROE N/A
ROCE -15569.4%
ROIC N/A
ROICexc N/A
ROICexgc N/A
OM 67.67%
PM (TTM) 49.83%
GM 88.15%
FCFM 64.49%
ROA(3y)54.96%
ROA(5y)48.66%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)-5413.4%
ROCE(5y)-3198.37%
ROICexgc growth 3YN/A
ROICexgc growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3Y0.74%
OM growth 5Y0.76%
PM growth 3Y1.76%
PM growth 5Y-5%
GM growth 3Y0.86%
GM growth 5Y0.55%
F-Score8
Asset Turnover1.25
Health
Industry RankSector Rank
Debt/Equity N/A
Debt/FCF 1.67
Debt/EBITDA 1.55
Cap/Depr 73.08%
Cap/Sales 1.38%
Interest Coverage 250
Cash Conversion 94.7%
Profit Quality 129.41%
Current Ratio 0.49
Quick Ratio 0.49
Altman-Z -4.72
F-Score8
WACC9.91%
ROIC/WACCN/A
Cap/Depr(3y)84.36%
Cap/Depr(5y)84.43%
Cap/Sales(3y)2.08%
Cap/Sales(5y)2.43%
Profit Quality(3y)113.18%
Profit Quality(5y)110.98%
High Growth Momentum
Growth
EPS 1Y (TTM)10.13%
EPS 3Y12.12%
EPS 5Y8.8%
EPS Q2Q%11.5%
EPS Next Y7.7%
EPS Next 2Y8.59%
EPS Next 3Y10.17%
EPS Next 5Y10.33%
Revenue 1Y (TTM)6.37%
Revenue growth 3Y5.15%
Revenue growth 5Y5.54%
Sales Q2Q%7.56%
Revenue Next Year4.74%
Revenue Next 2Y5.05%
Revenue Next 3Y5.92%
Revenue Next 5Y6.48%
EBIT growth 1Y5.93%
EBIT growth 3Y5.93%
EBIT growth 5Y6.34%
EBIT Next Year10.46%
EBIT Next 3Y8.5%
EBIT Next 5Y8.74%
FCF growth 1Y22.16%
FCF growth 3Y9.95%
FCF growth 5Y9.24%
OCF growth 1Y20.88%
OCF growth 3Y9.5%
OCF growth 5Y8.36%

VERISIGN INC / VRSN Fundamental Analysis FAQ

Can you provide the ChartMill fundamental rating for VERISIGN INC?

ChartMill assigns a fundamental rating of 4 / 10 to VRSN.


What is the valuation status of VERISIGN INC (VRSN) stock?

ChartMill assigns a valuation rating of 3 / 10 to VERISIGN INC (VRSN). This can be considered as Overvalued.


Can you provide the profitability details for VERISIGN INC?

VERISIGN INC (VRSN) has a profitability rating of 6 / 10.


What are the PE and PB ratios of VERISIGN INC (VRSN) stock?

The Price/Earnings (PE) ratio for VERISIGN INC (VRSN) is 30.46 and the Price/Book (PB) ratio is -11.42.


Can you provide the dividend sustainability for VRSN stock?

The dividend rating of VERISIGN INC (VRSN) is 3 / 10 and the dividend payout ratio is 26.07%.