VERISIGN INC (VRSN) Stock Fundamental Analysis

NASDAQ:VRSN • US92343E1029

211.49 USD
-4.42 (-2.05%)
At close: Feb 23, 2026
211.25 USD
-0.24 (-0.11%)
After Hours: 2/23/2026, 8:20:58 PM
Fundamental Rating

4

Overall VRSN gets a fundamental rating of 4 out of 10. We evaluated VRSN against 87 industry peers in the IT Services industry. There are concerns on the financial health of VRSN while its profitability can be described as average. VRSN is quite expensive at the moment. It does show a decent growth rate.


Dividend Valuation Growth Profitability Health

6

1. Profitability

1.1 Basic Checks

  • In the past year VRSN was profitable.
  • VRSN had a positive operating cash flow in the past year.
  • VRSN had positive earnings in each of the past 5 years.
  • 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

  • VRSN has a Return On Assets of 62.26%. This is amongst the best in the industry. VRSN outperforms 100.00% 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

  • VRSN's Profit Margin of 49.83% is amongst the best of the industry. VRSN outperforms 97.70% of its industry peers.
  • In the last couple of years the Profit Margin of VRSN has declined.
  • Looking at the Operating Margin, with a value of 67.67%, VRSN belongs to the top of the industry, outperforming 100.00% of the companies in the same industry.
  • VRSN's Operating Margin has been stable in the last couple of years.
  • Looking at the Gross Margin, with a value of 88.15%, VRSN belongs to the top of the industry, outperforming 98.85% of the companies in the same industry.
  • 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. Health

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
  • Compared to 5 years ago, VRSN has less shares outstanding
  • VRSN has a worse debt/assets ratio than last year.
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

  • Based on the Altman-Z score of -5.67, we must say that VRSN is in the distress zone and has some risk of bankruptcy.
  • The Altman-Z score of VRSN (-5.67) is worse than 83.91% of its industry peers.
  • VRSN has a debt to FCF ratio of 1.67. This is a very positive value and a sign of high solvency as it would only need 1.67 years to pay back of all of its debts.
  • With a decent Debt to FCF ratio value of 1.67, VRSN is doing good in the industry, outperforming 73.56% of the companies in the same industry.
Industry RankSector Rank
Debt/Equity N/A
Debt/FCF 1.67
Altman-Z -5.67
ROIC/WACCN/A
WACC9.28%
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.
  • VRSN's Current ratio of 0.49 is on the low side compared to the rest of the industry. VRSN is outperformed by 89.66% 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.
  • With a Quick ratio value of 0.49, VRSN is not doing good in the industry: 89.66% of the companies in the same industry are doing better.
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. Growth

3.1 Past

  • The Earnings Per Share has grown by an nice 10.13% over the past year.
  • The Earnings Per Share has been growing by 8.80% on average over the past years. This is quite good.
  • Looking at the last year, VRSN shows a small growth in Revenue. The Revenue has grown by 6.37% in the last year.
  • 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

  • VRSN is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 10.33% yearly.
  • The Revenue is expected to grow by 6.48% on average over the next years.
EPS Next Y9.84%
EPS Next 2Y9.17%
EPS Next 3Y9.14%
EPS Next 5Y10.33%
Revenue Next Year4.56%
Revenue Next 2Y5.39%
Revenue Next 3Y5.76%
Revenue Next 5Y6.48%

3.3 Evolution

  • When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
  • When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
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. Valuation

4.1 Price/Earnings Ratio

  • A Price/Earnings ratio of 24.01 indicates a rather expensive valuation of VRSN.
  • VRSN's Price/Earnings is on the same level as the industry average.
  • VRSN is valuated at similar levels of the S&P average when we compare the Price/Earnings ratio to 26.64, which is the current average of the S&P500 Index.
  • A Price/Forward Earnings ratio of 21.86 indicates a rather expensive valuation of VRSN.
  • VRSN's Price/Forward Earnings is on the same level as the industry average.
  • The average S&P500 Price/Forward Earnings ratio is at 27.75. VRSN is valued slightly cheaper when compared to this.
Industry RankSector Rank
PE 24.01
Fwd PE 21.86
VRSN Price Earnings VS Forward Price EarningsVRSN Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 10 20 30

4.2 Price Multiples

  • Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of VRSN is on the same level as its industry peers.
  • VRSN's Price/Free Cash Flow is on the same level as the industry average.
Industry RankSector Rank
P/FCF 18.15
EV/EBITDA 17.64
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 an expensive valuation of the company.
  • VRSN has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)2.44
PEG (5Y)2.73
EPS Next 2Y9.17%
EPS Next 3Y9.14%

3

5. Dividend

5.1 Amount

  • With a Yearly Dividend Yield of 1.26%, VRSN has a reasonable but not impressive dividend return.
  • Compared to an average industry Dividend Yield of 0.54, VRSN pays a better dividend. On top of this VRSN pays more dividend than 81.61% of the companies listed in the same industry.
  • VRSN's Dividend Yield is slightly below the S&P500 average, which is at 1.80.
Industry RankSector Rank
Dividend Yield 1.26%

5.2 History

  • VRSN is new to the dividend game and has less than 3 years of track record.
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 2Y9.17%
EPS Next 3Y9.14%
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

VERISIGN INC

NASDAQ:VRSN (2/23/2026, 8:20:58 PM)

After market: 211.25 -0.24 (-0.11%)

211.49

-4.42 (-2.05%)

Chartmill FA Rating
GICS IndustryGroupSoftware & Services
GICS IndustryIT Services
Earnings (Last)02-05
Earnings (Next)04-22
Inst Owners88.01%
Inst Owner Change2.01%
Ins Owners0.48%
Ins Owner Change-2.12%
Market Cap19.39B
Revenue(TTM)1.66B
Net Income(TTM)825.50M
Analysts80
Price Target305.5 (44.45%)
Short Float %2.8%
Short Ratio2.99
Dividend
Industry RankSector Rank
Dividend Yield 1.26%
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)-2.18%
PT rev (3m)0.8%
EPS NQ rev (1m)-1.32%
EPS NQ rev (3m)-1.32%
EPS NY rev (1m)0%
EPS NY rev (3m)-1.04%
Revenue NQ rev (1m)0.49%
Revenue NQ rev (3m)-0.29%
Revenue NY rev (1m)0.63%
Revenue NY rev (3m)-0.06%
Valuation
Industry RankSector Rank
PE 24.01
Fwd PE 21.86
P/S 11.71
P/FCF 18.15
P/OCF 17.77
P/B N/A
P/tB N/A
EV/EBITDA 17.64
EPS(TTM)8.81
EY4.17%
EPS(NY)9.68
Fwd EY4.58%
FCF(TTM)11.65
FCFY5.51%
OCF(TTM)11.9
OCFY5.63%
SpS18.07
BVpS-23.49
TBVpS-24.06
PEG (NY)2.44
PEG (5Y)2.73
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 -5.67
F-Score8
WACC9.28%
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 Y9.84%
EPS Next 2Y9.17%
EPS Next 3Y9.14%
EPS Next 5Y10.33%
Revenue 1Y (TTM)6.37%
Revenue growth 3Y5.15%
Revenue growth 5Y5.54%
Sales Q2Q%7.56%
Revenue Next Year4.56%
Revenue Next 2Y5.39%
Revenue Next 3Y5.76%
Revenue Next 5Y6.48%
EBIT growth 1Y5.93%
EBIT growth 3Y5.93%
EBIT growth 5Y6.34%
EBIT Next Year12.03%
EBIT Next 3Y9.01%
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 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.


How profitable is VERISIGN INC (VRSN) stock?

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


Can you provide the financial health for VRSN stock?

The financial health rating of VERISIGN INC (VRSN) is 3 / 10.


Can you provide the expected EPS growth for VRSN stock?

The Earnings per Share (EPS) of VERISIGN INC (VRSN) is expected to grow by 9.84% in the next year.