VeriSign (NASDAQ:VRSN) Reaches New 1-Year High – Still a Buy?
by Teresa Graham · The Cerbat GemVeriSign, Inc. (NASDAQ:VRSN – Get Free Report) reached a new 52-week high during trading on Friday . The company traded as high as $312.48 and last traded at $310.0870, with a volume of 176771 shares traded. The stock had previously closed at $305.93.
Wall Street Analysts Forecast Growth
VRSN has been the topic of a number of research reports. Zacks Research upgraded shares of VeriSign from a “strong sell” rating to a “hold” rating in a report on Monday, February 9th. Citigroup boosted their target price on shares of VeriSign from $295.00 to $320.00 and gave the stock a “buy” rating in a report on Friday, April 24th. Weiss Ratings raised shares of VeriSign from a “hold (c+)” rating to a “buy (b-)” rating in a research report on Friday, March 27th. JPMorgan Chase & Co. lifted their target price on shares of VeriSign from $273.00 to $278.00 and gave the stock a “neutral” rating in a research report on Friday, April 24th. Finally, Robert W. Baird lifted their target price on shares of VeriSign from $305.00 to $355.00 and gave the stock an “outperform” rating in a research report on Friday, April 24th. Three investment analysts have rated the stock with a Buy rating and two have assigned a Hold rating to the company’s stock. Based on data from MarketBeat.com, VeriSign presently has an average rating of “Moderate Buy” and a consensus price target of $317.67.
Check Out Our Latest Analysis on VRSN
VeriSign Price Performance
The company has a market capitalization of $28.21 billion, a P/E ratio of 34.32 and a beta of 0.68. The company’s 50-day moving average price is $267.20 and its two-hundred day moving average price is $250.49.
VeriSign (NASDAQ:VRSN – Get Free Report) last issued its quarterly earnings data on Thursday, April 23rd. The information services provider reported $2.34 earnings per share for the quarter, beating the consensus estimate of $2.30 by $0.04. VeriSign had a net margin of 49.95% and a negative return on equity of 39.98%. The company had revenue of $428.90 million for the quarter, compared to analyst estimates of $424.50 million. During the same period in the prior year, the firm earned $2.10 earnings per share. The company’s revenue was up 6.6% on a year-over-year basis. On average, analysts anticipate that VeriSign, Inc. will post 9.46 earnings per share for the current fiscal year.
VeriSign Announces Dividend
The firm also recently declared a quarterly dividend, which will be paid on Wednesday, May 27th. Investors of record on Tuesday, May 19th will be given a dividend of $0.81 per share. This represents a $3.24 dividend on an annualized basis and a yield of 1.0%. The ex-dividend date of this dividend is Tuesday, May 19th. VeriSign’s dividend payout ratio (DPR) is currently 35.80%.
Insider Transactions at VeriSign
In other VeriSign news, EVP Danny R. Mcpherson sold 5,000 shares of the stock in a transaction dated Tuesday, April 28th. The shares were sold at an average price of $271.02, for a total transaction of $1,355,100.00. Following the sale, the executive vice president directly owned 35,195 shares in the company, valued at $9,538,548.90. This represents a 12.44% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available at the SEC website. Also, EVP Thomas C. Indelicarto sold 498 shares of the stock in a transaction dated Tuesday, March 3rd. The stock was sold at an average price of $231.78, for a total transaction of $115,426.44. Following the sale, the executive vice president owned 40,028 shares in the company, valued at $9,277,689.84. The trade was a 1.23% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Over the last ninety days, insiders have sold 6,826 shares of company stock worth $1,821,354. 0.56% of the stock is owned by insiders.
Institutional Investors Weigh In On VeriSign
A number of large investors have recently bought and sold shares of the company. Strategy Asset Managers LLC acquired a new stake in shares of VeriSign in the 3rd quarter valued at approximately $654,000. Allianz Asset Management GmbH boosted its stake in shares of VeriSign by 11.5% in the 3rd quarter. Allianz Asset Management GmbH now owns 357,611 shares of the information services provider’s stock valued at $99,977,000 after purchasing an additional 36,829 shares in the last quarter. Perpetual Ltd boosted its stake in shares of VeriSign by 159.6% in the 4th quarter. Perpetual Ltd now owns 9,150 shares of the information services provider’s stock valued at $2,223,000 after purchasing an additional 5,626 shares in the last quarter. Mirae Asset Global Investments Co. Ltd. boosted its stake in shares of VeriSign by 9.6% in the 3rd quarter. Mirae Asset Global Investments Co. Ltd. now owns 27,719 shares of the information services provider’s stock valued at $7,749,000 after purchasing an additional 2,435 shares in the last quarter. Finally, CIBC Bancorp USA Inc. acquired a new stake in shares of VeriSign in the 3rd quarter valued at approximately $26,647,000. 92.90% of the stock is currently owned by institutional investors and hedge funds.
About VeriSign
VeriSign, Inc (NASDAQ: VRSN) is an internet infrastructure company that operates critical components of the global Domain Name System (DNS) and provides cybersecurity-related services. The company is best known as the authoritative registry operator for the .com and .net top-level domains, maintaining the central databases and zone files that enable domain name resolution for millions of websites. VeriSign’s registry role is performed under contractual agreements with Internet Corporation for Assigned Names and Numbers (ICANN) and involves high-availability, highly secure operations to support continuous internet connectivity.
In addition to its registry business, VeriSign offers a suite of services designed to protect and accelerate DNS and internet traffic for enterprises and service providers.