📊 VRSN Key Takeaways
Is Verisign Inc./Ca (VRSN) a Good Investment?
VeriSign exhibits exceptional operational profitability with 68.5% operating margins and 61.8% free cash flow conversion, powered by its recurring domain registry toll-booth business model. However, negative stockholders' equity of -$2.2B and critically poor liquidity ratios (0.46x) create material structural risks that contradict the operational strength, warranting cautious positioning.
Verisign Inc./Ca Key Strengths (VRSN)
- Exceptional operating margins (68.5%) and net margins (50%) reflecting pricing power and capital efficiency of registry business
- Outstanding cash generation with $265.2M free cash flow and 61.8% FCF margin despite minimal capex
- Stable revenue growth (6.4% YoY) and positive net income growth (5.1% YoY) from recurring domain registration revenue streams
VRSN Stock Risks: Verisign Inc./Ca Investment Risks
- Negative stockholders' equity of -$2.2B represents fundamental balance sheet insolvency despite strong cash flows
- Critical liquidity ratios (current 0.46x, quick 0.46x) far below 1.0x threshold, indicating current liabilities exceed current assets
- EPS declining 10.9% YoY while net income grows 5.1% YoY signals severe share dilution masking underlying profitability
Key Metrics to Watch
- Stockholders equity trajectory and capital structure normalization
- Current and quick ratio improvement toward healthier liquidity thresholds
- Share count growth relative to net income growth to assess dilution sustainability
Verisign Inc./Ca (VRSN) Financial Metrics & Key Ratios
💡 AI Analyst Insight
The 61.8% free cash flow margin provides substantial flexibility for dividends, buybacks, and strategic investments. The current ratio below 1.0x warrants monitoring of short-term liquidity.
VRSN Profit Margin, ROE & Profitability Analysis
VRSN vs Technology Sector: How Verisign Inc./Ca Compares
How Verisign Inc./Ca compares to Technology sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is Verisign Inc./Ca Stock Overvalued? VRSN Valuation Analysis 2026
Based on fundamental analysis, Verisign Inc./Ca has mixed fundamental signals relative to the Technology sector in 2026.
Note: This is a fundamental analysis based on SEC filings. For P/E ratio, price targets, and market-based valuation, consult financial data providers. This is not investment advice.
Verisign Inc./Ca Balance Sheet: VRSN Debt, Cash & Liquidity
VRSN Revenue & Earnings Growth: 5-Year Financial Trend
5-Year Trend Summary: Verisign Inc./Ca's revenue has grown significantly by 25% over the 5-year period, indicating strong business expansion. The most recent EPS of $7.07 reflects profitable operations.
VRSN Revenue Growth, EPS Growth & YoY Performance
VRSN Quarterly Earnings & Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q1 2026 | $402.3M | $199.3M | $2.10 |
| Q3 2025 | $390.6M | $201.3M | $2.07 |
| Q2 2025 | $387.1M | $198.8M | $2.01 |
| Q1 2025 | $384.3M | $194.1M | $1.92 |
| Q3 2024 | $376.3M | $188.5M | $1.83 |
| Q2 2024 | $372.0M | $185.7M | $1.79 |
| Q1 2024 | $364.4M | $178.7M | $1.70 |
| Q3 2023 | $356.9M | $169.5M | $1.58 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
Verisign Inc./Ca Dividends, Buybacks & Capital Allocation
VRSN SEC Filings: Latest 10-K & 10-Q Analysis
Access official SEC EDGAR filings for Verisign Inc./Ca (CIK: 0001014473)
📋 Recent SEC Filings
❓ Frequently Asked Questions about VRSN
What is the AI rating for VRSN?
Verisign Inc./Ca (VRSN) has an AI grade of B with 75% confidence, based on fundamental analysis of SEC EDGAR filings.
What are VRSN's key strengths?
Claude: Exceptional operating margins (68.5%) and net margins (50%) reflecting pricing power and capital efficiency of registry business. Outstanding cash generation with $265.2M free cash flow and 61.8% FCF margin despite minimal capex.
What are the risks of investing in VRSN?
Claude: Negative stockholders' equity of -$2.2B represents fundamental balance sheet insolvency despite strong cash flows. Critical liquidity ratios (current 0.46x, quick 0.46x) far below 1.0x threshold, indicating current liabilities exceed current assets.
What is VRSN's revenue and growth?
Verisign Inc./Ca reported revenue of $428.9M.
Does VRSN pay dividends?
Verisign Inc./Ca pays dividends, with $74.2M distributed to shareholders in the trailing twelve months.
Where can I find VRSN SEC filings?
Official SEC filings for Verisign Inc./Ca (CIK: 0001014473) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is VRSN's EPS?
Verisign Inc./Ca has a diluted EPS of $6.24.
How is the AI analysis conducted?
Two independent AI systems — Claude (Anthropic) and ChatGPT (OpenAI) — analyze SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports. Each AI evaluates financial health, profitability ratios, balance sheet strength, and growth metrics. The combined grade reflects both perspectives for balanced insights.
What is VRSN's fundamental grade?
Based on our AI fundamental analysis in June 2026, Verisign Inc./Ca has a B grade with 75% confidence. Review the strengths and risks sections above for full context. This is not investment advice.
Is VRSN stock overvalued or undervalued?
Valuation metrics for VRSN: ROE of N/A (sector avg: 22%), net margin of 50.0% (sector avg: 18%). Compare these metrics with sector averages to assess valuation.
What is VRSN's AI grade for 2026?
Our dual AI analysis gives Verisign Inc./Ca a combined B grade for 2026. Revenue is data pending, with profitability above sector average. Always conduct your own research.
What is VRSN's free cash flow?
Verisign Inc./Ca's operating cash flow is $272.4M, with capital expenditures of $7.2M. FCF margin is 61.8%.
How does VRSN compare to other Technology stocks?
Vs Technology sector averages: Net margin 50.0% (avg: 18%), ROE N/A (avg: 22%), current ratio 0.46 (avg: 2.5).