VeriSign, Inc. (VRSN) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

Comparison

Company

Score

Quality

Valuation

Financial

Technical

XP, Inc.

Spotify Technology SA

Alphabet, Inc.

Check Point Software Technologies Ltd.

TKO Group Holdings, Inc.

Meta Platforms, Inc.

Pinterest, Inc.

CoStar Group, Inc.

Gartner, Inc.

Match Group, Inc.

VeriSign, Inc.

Why is VeriSign, Inc. ?

With a Negative Book Value, the company has a Weak Long Term Fundamental Strength

Poor long term growth as Net Sales has grown by an annual rate of 5.54% and Operating profit at 6.34% over the last 5 years

Risky -

The stock is trading risky as compared to its average historical valuations
Over the past year, while the stock has generated a return of 1.22%, its profits have risen by 5.1% ; the PEG ratio of the company is 3

Underperformed the market in the last 1 year

The stock has generated a return of 1.22% in the last 1 year, much lower than market (S&P 500) returns of 18.81%

Real-Time Research Report

Verdict Report

How much should you sell?

All quantity irrespective of whether you are making profits or losses

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Computers - Software & Consulting)

When to re-enter? - We will constantly monitor the company and review our call based on new data

Is VeriSign, Inc. for you?

Low Risk, High Return

Absolute

Risk Adjusted

Volatility

VeriSign, Inc.

1.22%

1.24

27.27%

S&P 500

18.81%

0.98

19.26%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

5.54%

EBIT Growth (5y)

6.34%

EBIT to Interest (avg)

12.09

Debt to EBITDA (avg)

0.79

Net Debt to Equity (avg)

-0.58

Sales to Capital Employed (avg)

-10.65

Tax Ratio

22.94%

Dividend Payout Ratio

26.24%

Pledged Shares

Institutional Holding

100.00%

ROCE (avg)

ROE (avg)

Valuation

Valuation Scorecard

Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors

Factor

Value

P/E Ratio

Industry P/E

Price to Book Value

-10.27

EV to EBIT

20.82

EV to EBITDA

20.25

EV to Capital Employed

-24.81

EV to Sales

14.09

PEG Ratio

3.00

Dividend Yield

1.45%

ROCE (Latest)

Negative Capital Employed

ROE (Latest)

Negative BV

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bullish

Mildly Bearish

RSI

No Signal

Bollinger Bands

Sideways

Bullish

Moving Averages

Mildly Bearish (Daily)

KST

Mildly Bullish

Mildly Bearish

Dow Theory

No Trend

OBV

No Trend

Mildly Bearish

Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned

Technical Movement

Analyse All Technical Factors

Financial Trend

Financial Trend Scorecard

Financial Trend scale:

Very Negative, Negative, Flat, Positive, Very Positive, Outstanding

9What is working for the Company

OPERATING CASH FLOW(Y)

Highest at USD 1,091.1 MM

NET SALES(Q)

Highest at USD 425.3 MM

DIVIDEND PAYOUT RATIO(Y)

Highest at 34.58%

RAW MATERIAL COST(Y)

Fallen by -0.83% (YoY

DEBTORS TURNOVER RATIO(HY)

Highest at 145.96 times

DIVIDEND PER SHARE(HY)

Highest at USD 145.96

-4What is not working for the Company

CASH AND EQV(HY)

Lowest at USD 1,198.2 MM

OPERATING PROFIT MARGIN(Q)

Lowest at 68.54 %

Here's what is working for VeriSign, Inc.

Operating Cash Flow

Highest at USD 1,091.1 MM and Grown

In each year in the last three years

MOJO Watch

The company has generated higher cash revenues from business operations

Operating Cash Flows (USD MM)

Net Sales

Highest at USD 425.3 MM and Grown

In each period in the last five periods

MOJO Watch

Near term sales trend is very positive

Net Sales (USD MM)

Debtors Turnover Ratio

Highest at 145.96 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its Debtors faster

Debtors Turnover Ratio

Dividend per share

Highest at USD 145.96

in the last five years

MOJO Watch

Company is distributing higher dividend from profits generated

DPS (USD)

Dividend Payout Ratio

Highest at 34.58%

in the last five years

MOJO Watch

Company is distributing higher proportion of profits generated as dividend

DPR (%)

Raw Material Cost

Fallen by -0.83% (YoY)

MOJO Watch

The company's ability to pass on the cost of raw materials to customers has improved; this may lead to a rise in profit margin

Raw Material Cost as a percentage of Sales

Here's what is not working for VeriSign, Inc.

Operating Profit Margin

Lowest at 68.54 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Cash and Eqv

Lowest at USD 1,198.2 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is deteriorating

Cash and Cash Equivalents