Skip to content

VRSN

S&P 500
Favorable · 63/100

Verisign

Information Technology
Internet Services & Infrastructure

$294.40

0.6%

Updated Aug 7, 11:30 AM ET

Report Card

VRSN at a glance — five pillars scored 0–100 from real filed financials.

Value
0
Growth
0
Profitability
0
Health
0
Dividends
0

Overall: Favorable · 63/100. A wider, greener shape means more pillars look healthy. Dividends scores 0 when a company pays none — that is a choice, not a flaw.

Price — Past Year

▼ Down 5.9% over the last 12 months

Price 50-day average 200-day averageDCF fair value ±15%Source: Yahoo Finance · refreshed daily
Key Metrics

Market Cap

$24.92B

P/E

29.07x

Forward P/E (est.)

26.33x

ROE

113.5%

Revenue Growth

6.8%

EPS Growth

10.4%

Profit Margin

50.0%

FCF Yield

2.7%

Debt / Equity

0.86x

ROIC

Interest Coverage

14.56x

Current Ratio

0.46x

Dividend Yield

1.1%

Implied Growth (rev. DCF)

4.5%

Rating Score

63/100

Business Overview
Research

Verisign (VRSN) is a large-cap company in the Internet Services & Infrastructure industry, part of the Information Technology sector of the S&P 500, with a market value around $24.92B.

In its latest reported year it generated about $1.66B in revenue.

Our model rates VRSN Favorable (63/100) on growth, profitability, financial health, and valuation. The summary below is built from its filed financials and current ratios and refreshes automatically.

Economic Moat

Evidence of durable competitive advantage in the filed financials (10 years of history).

Wide moat signalsMoat evidence score: 92/100

The filed history looks like a business competitors struggle to attack: high and steady margins, revenue that grows through cycles, and strong returns on capital.

Operating margin level100/100

67.5% average over the last 3 years

Operating margin stability68/100

±2.6 pts around 64.9% across 10 years

Revenue durability100/100

grew in 9 of the last 9 year-over-year periods

Free-cash-flow consistency100/100

positive in 10 of 10 years

A moat can't be proven by numbers alone — this scores the evidence a durable advantage leaves behind (pricing power, consistency, returns on capital), computed the same way for every stock. Pair it with the business overview before concluding anything.

Technical Analysis (Educational)
Research

Technical analysis reads price and volume to judge momentum and timing. It complements the fundamentals above — it does not replace them. Here is what VRSN's chart says today, with each tool explained.

Trend — moving averages. A moving average is the average closing price over a window, which smooths out daily noise. VRSN trades near $294.40, above its 50-day average ($279.40) and 200-day average ($257.33). Price above both averages, with the shorter one above the longer, is the textbook definition of an uptrend — momentum favours buyers.

Momentum — RSI. The Relative Strength Index runs 0–100 and measures how strong recent gains are versus losses. Above 70 is "overbought", below 30 "oversold". At 29 it is oversold — selling has been heavy and a bounce is possible.

MACD. MACD compares two moving averages to flag shifts in momentum. Its histogram is currently negative — short-term momentum is fading.

Volatility — ATR. Average True Range is the typical daily move. VRSN's is $8.25 (~2.8% of price), so swings of about that size each day are normal — handy for setting a stop that isn't too tight.

Support & resistance. Over the last month VRSN found buyers near $244.74 (support) and sellers near $300.19 (resistance); its 52-week range is $208.86–$312.48. A decisive break beyond either edge often marks the next move.

Volume. The latest session traded 0.7× the 20-day average — about normal. Rising volume on up-days suggests real buying; on down-days, real selling.

Educational information to help you read a chart — not a recommendation or a forecast. It updates daily as the price and indicators change.

Revenue Growth
Research

4Y CAGR

5.7%

3/4 checks passedRevenue growingRevenue growth beats sector midpointEPS growingEPS growing faster than revenue

Revenue moved from $1.14B in 2016 to $1.66B in 2025, a 4.2% compound annual growth rate. The most recent year grew a steady 6.8% year over year. Slower, mature growth is common for established businesses.

Profitability
Research
3/3 checks passedProfitableNet margin above sector midpointROE above 12%

Gross Margin

88.3%

Operating Margin

67.7%

Net Margin

50.0%

ROE

113.5%

Verisign keeps about 50.0% of each sales dollar as net profit, with a 88.3% gross margin and 67.7% operating margin. Return on equity is 113.5%. Margins this wide usually signal pricing power or a cost advantage.

Debt Analysis
Research
3/4 checks passedDebt under 1× equityDebt under 2× equityInterest covered 3×+Short-term bills covered

Total Debt

$0.00

Net Debt

-$476.70M

Net cash position

Net Debt / EBITDA

-0.43x

Debt / Equity

0.86x

Leverage: debt-to-equity is 0.9x, and operating profit covers interest about 14.6x, with a current ratio of 0.5x. That is a moderate, manageable debt load for most businesses. It carries roughly $0.00 of total debt against $476.70M of cash.

Cash Flow Analysis
Research
3/3 checks passedPositive free cash flowFCF yield above 2%Market expects achievable growth (<8%)

Operating CF

$1.09B

Free Cash Flow

$1.07B

FCF Margin

64.5%

In the latest year Verisign produced about $1.09B of operating cash flow and $1.07B of free cash flow after capital spending. That is a free-cash-flow yield of about 2.7% on today's price. Cash flow is what ultimately pays shareholders, so it is worth tracking over time.

Valuation Analysis
Research
3/4 checks passedPositive earnings (P/E meaningful)P/E below sector's upper bandForward P/E below trailing (earnings growing)Trading below DCF fair value

P/E

29.07x

P/S

15.04x

P/B

8.15x

EV / EBITDA

VRSN trades at 29.1x trailing earnings (about 26.3x on estimated forward earnings), 15.0x sales, and 8.2x book value. Reverse-engineering today's price implies the market expects roughly 4.5% long-term free-cash-flow growth. That is a premium multiple that needs growth to justify it.

DCF Fair Value (Educational)

A two-stage discounted cash flow on real SEC-filed free cash flow — the intrinsic-value anchor professional analysts triangulate from.

DCF fair value / share

$236.53

Current price

$294.40

-20% · Above fair-value estimate

Starting FCF (latest 10-K)

$1.07B

Growth, years 1–5

6.8%

Fade to terminal, years 6–10

2.5%

Discount rate

9.0%

PV of 10-yr free cash flow$9.34B
PV of terminal value$12.19B
Estimated equity value$21.52B
Shares outstanding91M

Cash flows grow at the stage-1 rate (trailing revenue growth, capped at 20%) for five years, fade to 2.5% by year 10, and continue at that rate forever (Gordon terminal value), all discounted at 9.0%. Small changes in assumptions move the result a lot — treat this as one reference point, not a target price. Educational only, not investment advice.

Metrics vs. Sector Range

Where VRSN sits versus its Information Technology sector peers in the S&P 500.

TTM P/E
29.1xFair
Forward P/E
26.3xFair
P/S ratio
15.0xFair
Revenue growth
6.8%Weak
EPS growth
10.4%Average
Gross margin
88.3%Strong
Net margin
50.0%Strong
ROE
113.5%Strong

Bands show the middle half (25th–75th percentile) of the 98 Information Technology companies in the S&P 500 — the peer-relative anchor professional comps analysis uses. Context only — not investment advice.

Sector Peer Comparison

How VRSN stacks up against its Information Technology peers — valuation, profitability, and growth versus the sector median.

In the Information Technology sector (230 S&P 500 companies), VRSN ranks #39 of 230 by our overall rating. It trades at a discount versus the sector on earnings (29.1x P/E vs. 38.9x median) with a higher return on equity (113.5% vs. 17.5%) and slower revenue growth (6.8% vs. 17.7%).

P/E vs sector

29.1x

median 38.9x

ROE vs sector

113.5%

median 17.5%

Growth vs sector

6.8%

median 17.7%

Sector rank

#39

of 230 by rating

CompanyP/ERev Gr.Rating
VRSNThis stock29.1x6.8%Favorable· 63
AKAM38x6.2%Neutral· 43
GDDY14.2x7.8%Favorable· 60
P107.9x21.0%Neutral· 57
FSLR16.2x27.3%Strong· 86
WIT13.8x4.0%Neutral· 54
FFIV32.5x9.7%Favorable· 62
FICO31.9x22.6%Favorable· 70
Information Technology median38.9x17.7%0/100

Valuation vs. quality map

sector medianAKAMGDDYPFSLRWITFFIVFICOVRSNP/E — cheaper ←→ pricierROE — more profitable ↑

The sweet spot is upper-left: more profitable (higher ROE) for a lower P/E. Dashed lines mark the sector median.

Compare side by side

Peers are the closest Information Technology companies by sub-industry and size. Sector median is across all 230 S&P 500 names in the sector. Educational, not a recommendation.

5-Year Projection Model

Project revenue → earnings → price. Edit the assumptions to build your own case.

2030 price target (Base Case)

$0.00 $0.00

vs. $294.40 today · expected CAGR -5%6%

Metric20262027202820292030
Revenue$1.77B$1.90B$2.03B$2.17B$2.32B
Net income$886.28M$948.32M$1.01B$1.09B$1.16B
EPS$10.47$11.20$11.99$12.83$13.72
Share price (low)$177.98$190.44$203.77$218.03$233.30
Share price (high)$303.61$324.87$347.61$371.94$397.98
CAGR (low–high)-40% / 3%-20% / 5%-12% / 6%-7% / 6%-5% / 6%

Educational model on sample fundamentals — not a forecast or investment advice. Outputs are only as good as your assumptions.

Bull Case

The case for VRSN:

  • High net margins (50.0%) point to pricing power or efficiency.
  • Strong return on equity (113.5%) shows capital is put to work well.
  • Our model's overall read is Favorable (63/100).
Bear Case

The case against VRSN:

  • Like any single stock, it is exposed to competition, the economic cycle, and shifts in its end markets.
Key Risks
Research

Market risk — sector rotation, the economic cycle, and broad sentiment move the stock regardless of fundamentals.

Investment Thesis
Research

On balance, the fundamentals screen favourably: Verisign is a large-cap information technology business growing at a mature pace, with solid profitability, and a heavier debt load to watch. It trades at 29.1x earnings, which our model scores Favorable (63/100). Weigh this against your own goals and time horizon — this is educational information, not a recommendation.

Analyst Ratings

What 12 Wall Street analysts covering VRSN recommend (August 2026). Consensus is a useful sanity check — not a substitute for your own homework.

Buy
consensus · score 4.0 / 5 across 12 analysts
Strong Buy 5Buy 3Hold 3Sell 1Strong Sell 0

Analysts have turned more positive over the last three months (+3 pts of buy ratings).

Latest SEC Filings

VRSN's most recent filings, straight from SEC EDGAR. Annual and quarterly reports are the deep dives; 8-Ks flag material events the moment they happen.

In the Idea Lab

VRSN — frequently asked questions

Is VRSN a good stock to buy?

We don't give buy or sell advice. Our model rates Verisign Favorable (63/100) based on its growth, profitability, financial health, and valuation — use that as a research starting point and make your own decision.

What is VRSN's rating on The Stocks School?

Verisign currently scores 63/100 (Favorable) on our transparent model, which weighs real fundamentals: growth, margins, returns on capital, balance-sheet strength, and valuation.

How our ratings work
Where does VRSN's data come from?

Live price data plus real fundamentals and 5-year financials pulled directly from Verisign's SEC filings — refreshed automatically, not hand-entered.

How is the 5-year projection for VRSN calculated?

It's a scenario model: it grows revenue at an assumed rate, applies a profit margin and a valuation multiple, and shows the resulting share-price range. The assumptions are yours to change — it's a tool for thinking, not a prediction.

Is this VRSN analysis financial advice?

No. Everything on this page is educational research, not financial advice or a recommendation to buy or sell VRSN. Always do your own research and consider a licensed professional.

Data notice. Fundamentals and financial statements are sourced from company filings (SEC EDGAR) and market-data providers; prices and market caps refresh on trading days and may be delayed. Ratings, projections, technical signals, and written summaries are model- or rule-generated for education and may simplify or lag the latest filings.

Not advice. Nothing on this page is investment advice or a recommendation to buy, hold, or sell any security. Do your own research and consult a licensed financial professional before investing.