VeriSign (NASDAQ:VRSN) Hits New 52-Week Low After Earnings Miss

VeriSign, Inc. (NASDAQ:VRSN)’s stock price hit a new 52-week low on Friday following a dissappointing earnings announcement. The stock traded as low as $208.86 and last traded at $213.06, with a volume of 669377 shares changing hands. The stock had previously closed at $242.62.

The information services provider reported $2.23 EPS for the quarter, missing the consensus estimate of $2.29 by ($0.06). VeriSign had a negative return on equity of 41.14% and a net margin of 49.84%.The business had revenue of $425.30 million for the quarter, compared to the consensus estimate of $424.04 million. During the same period in the previous year, the firm earned $2.00 earnings per share. The company’s revenue was up 7.6% on a year-over-year basis.

VeriSign Increases Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Friday, February 27th. Stockholders of record on Thursday, February 19th will be paid a $0.81 dividend. This represents a $3.24 annualized dividend and a dividend yield of 1.4%. This is a boost from VeriSign’s previous quarterly dividend of $0.77. The ex-dividend date of this dividend is Thursday, February 19th. VeriSign’s dividend payout ratio (DPR) is currently 35.90%.

Key Stories Impacting VeriSign

Here are the key news stories impacting VeriSign this week:

• Positive Sentiment: Board raised the quarterly dividend 5.2% to $0.81 per share (annualized yield ~1.5%); dividend payable Feb. 27 with an ex-dividend date of Feb. 19 — supports income-oriented holders. Dividend Increase Article
• Positive Sentiment: Underlying market demand remains intact: DNIB reports 386.9M domain name registrations at end of Q4 2025, up 2.2% quarter‑over‑quarter — a demand tailwind for VeriSign’s .com/.net registry business. DNIB Domain Report
• Neutral Sentiment: Revenue showed modest strength: Q4 revenue of $425.3M beat consensus by ~$1.3M and rose 7.6% year‑over‑year — a sign of stable top‑line momentum. Q4 Slide Deck / Press Release
• Neutral Sentiment: Company updated FY‑2026 revenue guidance roughly in line with Street expectations (~$1.7B), which keeps growth expectations steady but offers limited upside surprise. Guidance / Slide Deck
• Negative Sentiment: EPS missed: Q4 GAAP EPS was $2.23 vs. consensus $2.29 (miss of $0.06). Despite healthy margins, management reported a negative return on equity metric that may reflect capital structure/buyback accounting and raised investor concern. Earnings Summary / Transcript
• Negative Sentiment: Insider activity: an EVP sold 498 shares (~$249 avg) disclosed Feb. 3 — small in size but sometimes interpreted negatively in the short term. Insider Sale Filing

Wall Street Analysts Forecast Growth

VRSN has been the subject of several recent research reports. Zacks Research downgraded VeriSign from a “hold” rating to a “strong sell” rating in a report on Tuesday, December 30th. JPMorgan Chase & Co. raised their price target on shares of VeriSign from $270.00 to $271.00 and gave the company a “neutral” rating in a research report on Tuesday, January 6th. Weiss Ratings restated a “hold (c+)” rating on shares of VeriSign in a report on Monday, December 29th. Citigroup reiterated a “buy” rating on shares of VeriSign in a research note on Friday, October 24th. Finally, Robert W. Baird set a $325.00 target price on shares of VeriSign in a research report on Friday, October 24th. Two analysts have rated the stock with a Buy rating, two have assigned a Hold rating and one has given a Sell rating to the company’s stock. According to MarketBeat.com, VeriSign currently has a consensus rating of “Hold” and a consensus price target of $298.00.

Insider Activity

In other VeriSign news, CEO D James Bidzos sold 2,000 shares of the business’s stock in a transaction dated Wednesday, January 14th. The shares were sold at an average price of $248.28, for a total value of $496,560.00. Following the transaction, the chief executive officer directly owned 414,099 shares in the company, valued at $102,812,499.72. The trade was a 0.48% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. Also, EVP Thomas C. Indelicarto sold 498 shares of the firm’s stock in a transaction that occurred on Tuesday, February 3rd. The stock was sold at an average price of $249.08, for a total transaction of $124,041.84. Following the sale, the executive vice president owned 30,115 shares of the company’s stock, valued at approximately $7,501,044.20. The trade was a 1.63% decrease in their position. The disclosure for this sale is available in the SEC filing. In the last ninety days, insiders sold 37,496 shares of company stock worth $9,248,893. Insiders own 0.84% of the company’s stock.

Institutional Trading of VeriSign

Several hedge funds have recently made changes to their positions in VRSN. Strategy Asset Managers LLC purchased a new position in VeriSign in the 3rd quarter worth $654,000. Allianz Asset Management GmbH grew its stake in shares of VeriSign by 11.5% during the third quarter. Allianz Asset Management GmbH now owns 357,611 shares of the information services provider’s stock valued at $99,977,000 after buying an additional 36,829 shares during the last quarter. Mirae Asset Global Investments Co. Ltd. increased its holdings in shares of VeriSign by 9.6% in the third quarter. Mirae Asset Global Investments Co. Ltd. now owns 27,719 shares of the information services provider’s stock worth $7,749,000 after buying an additional 2,435 shares during the period. Abacus FCF Advisors LLC lifted its stake in shares of VeriSign by 25.2% in the 3rd quarter. Abacus FCF Advisors LLC now owns 68,706 shares of the information services provider’s stock valued at $19,208,000 after acquiring an additional 13,837 shares during the last quarter. Finally, Compass Wealth Management LLC purchased a new stake in VeriSign during the 3rd quarter valued at about $17,800,000. 92.90% of the stock is currently owned by institutional investors.

VeriSign Stock Performance

The firm has a 50-day moving average of $246.06 and a 200-day moving average of $259.51. The firm has a market capitalization of $20.78 billion, a P/E ratio of 25.44 and a beta of 0.75.

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.