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VRSN Verisign

S&P 500
Favorable · 63/100
Information Technology
Internet Services & Infrastructure

$298.91

▼ 1.7%

Updated Oct 16, 2:25 PM ET

Report Card

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

How the 0–100 rating is calculated
Value
44
Growth
45
Profitability
100
Health
53
Dividends
33

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% in the year to Jul 6, 2026

Price 50-day average 200-day averageDCF fair value ±15%Source: Yahoo Finance · chart data as of Jul 6, 2026

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

0.59x

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).

Profit margins and economic moats, explained
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 $298.91, 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. In the month to Jul 6, 2026, VRSN found buyers near $244.74 (support) and sellers near $300.19 (resistance); its 52-week range then was $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. The indicators were last computed on Jul 6, 2026; the price is current.

Revenue Growth

Research
How to read an income statement

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
What profit margins tell you
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

-$840.90M

Net cash position

Net Debt / EBITDA

-0.75x

Debt / Equity

0.86x

Leverage: debt-to-equity is 0.9x, and operating profit covers interest about 14.6x, with a current ratio of 0.6x. That is a moderate, manageable debt load for most businesses. It carries roughly $0.00 of total debt against $840.90M 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
What is a reasonable P/E ratio?
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.

How this DCF estimate is calculated

DCF fair value / share

$238.37

Current price

$298.91

-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 outstanding90M

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 the Information Technology companies we cover.

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 our coverage that have fundamentals data — 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.

Among the 98 rated Information Technology companies we cover, VRSN ranks #39 by our overall rating. It trades at a discount versus the sector on earnings (29.1x P/E vs. 36.2x 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 36.2x

ROE vs sector

113.5%

median 17.5%

Growth vs sector

6.8%

median 17.7%

Sector rank

#39

of 98 rated

CompanyP/ERev Gr.Rating
VRSNThis stock29.1x6.8%Favorable· 63
AKAM29.4x6.2%Neutral· 43
GDDY16.1x7.8%Favorable· 60
P107.9x21.0%Neutral· 57
FSLR11.4x27.3%Strong· 86
WIT13.8x4.0%Neutral· 54
FFIV35.2x9.7%Favorable· 62
FICO23.1x22.6%Strong· 76
Information Technology median36.2x17.7%58/100

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, preferring ones with full data. Sector medians and rank use the 98 rated companies among the 230 Information Technology stocks we cover. Educational, not a recommendation.

5-Year Projection Model

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

What drives this projection, and its limits

2030 scenario price range (Base Case)

$236.87 – $404.07

vs. $298.91 today · implied 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$10.63$11.37$12.17$13.02$13.93
Share price (low)$180.71$193.36$206.89$221.37$236.87
Share price (high)$308.26$329.84$352.93$377.64$404.07
CAGR (low–high)-40% / 3%-20% / 5%-12% / 6%-7% / 6%-5% / 6%

Educational scenario model, not a forecast or investment advice. It starts from the latest annual revenue in SEC filings. By default, growth is trailing revenue growth (held between 3% and 45% a year), the net margin is the latest one (held between 3% and 50%, so a loss-making company is modeled with a small profit), and the Base case P/E runs from 60% to 100% of today's. Carrying recent growth forward five years can miss badly in either direction. Outputs are only as good as the 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 (September 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. How to read a 10-K

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 starts from the latest annual revenue and net margin in SEC filings, grows revenue at an assumed rate (trailing revenue growth by default), and applies a P/E range built around today's multiple to show the resulting share-price range. When a stock has no growth or P/E data, the starting values are placeholders. 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.