VeriSign (NASDAQ:VRSN) Shares Up 6.1% on Better-Than-Expected Earnings

VeriSign, Inc. (NASDAQ:VRSN)’s stock price rose 6.1% during trading on Friday following a better than expected earnings announcement. The company traded as high as $277.83 and last traded at $277.5030. 302,613 shares changed hands during trading, a decline of 63% from the average daily volume of 816,010 shares. The stock had previously closed at $261.58.

The information services provider reported $2.38 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $2.36 by $0.02. VeriSign had a net margin of 49.76% and a negative return on equity of 39.73%. The company had revenue of $434.60 million for the quarter, compared to analyst estimates of $433.19 million. During the same period in the prior year, the business earned $2.21 earnings per share. VeriSign’s quarterly revenue was up 6.0% on a year-over-year basis.

VeriSign Announces Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Thursday, August 27th. Investors of record on Wednesday, August 19th will be given a $0.81 dividend. This represents a $3.24 annualized dividend and a yield of 1.2%. The ex-dividend date is Wednesday, August 19th. VeriSign’s payout ratio is 35.14%.

More VeriSign News

Here are the key news stories impacting VeriSign this week:

• Positive Sentiment: VeriSign reported second-quarter results that topped estimates, with EPS of $2.38 versus $2.36 expected and revenue of $434.6 million, up 6% year over year. The stronger-than-expected quarter suggests steady demand for domain registrations. Article Title
• Positive Sentiment: The company lifted its FY2026 outlook, calling for revenue of $1.7 billion to $1.8 billion, reinforcing confidence that growth can continue after the latest quarter. Article Title
• Positive Sentiment: VeriSign announced that .web has been delegated into the DNS root zone, with the company as registry operator. That adds a potential long-term growth opportunity for domain registrations and registry revenue. Article Title
• Positive Sentiment: Wedbush raised its price target on VeriSign to $324 from $318 and kept an outperform rating, implying additional upside relative to the current trading level. Article Title
• Positive Sentiment: JPMorgan also raised its price target to $316 from $308, even while maintaining a neutral rating, signaling improved expectations for the stock’s value. Article Title
• Neutral Sentiment: VeriSign declared a quarterly dividend of $0.81 per share, which supports the stock’s income profile but is not a major growth driver by itself.

Analyst Ratings Changes

A number of research analysts have commented on VRSN shares. JPMorgan Chase & Co. increased their price objective on VeriSign from $308.00 to $316.00 and gave the company a “neutral” rating in a research report on Friday. Citigroup upped their price target on VeriSign from $295.00 to $320.00 and gave the company a “buy” rating in a research note on Friday, April 24th. Wedbush raised their price target on VeriSign from $318.00 to $324.00 and gave the company an “outperform” rating in a report on Friday. Robert W. Baird raised their price target on VeriSign from $305.00 to $355.00 and gave the company an “outperform” rating in a report on Friday, April 24th. Finally, Weiss Ratings reiterated a “buy (b-)” rating on shares of VeriSign in a research report on Wednesday, June 24th. Four analysts have rated the stock with a Buy rating and two have issued a Hold rating to the stock. Based on data from MarketBeat.com, the company has a consensus rating of “Moderate Buy” and an average price target of $328.75.

Insider Buying and Selling

In related news, EVP Thomas C. Indelicarto sold 500 shares of the business’s stock in a transaction that occurred on Tuesday, June 9th. The shares were sold at an average price of $283.54, for a total transaction of $141,770.00. Following the completion of the transaction, the executive vice president owned 36,551 shares in the company, valued at approximately $10,363,670.54. The trade was a 1.35% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, EVP Danny R. Mcpherson sold 5,000 shares of the company’s stock in a transaction that occurred on 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 completion of the sale, the executive vice president directly owned 35,195 shares of the company’s stock, valued at $9,538,548.90. The trade was a 12.44% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold 26,300 shares of company stock valued at $7,125,942 in the last 90 days. 0.56% of the stock is owned by insiders.

Institutional Trading of VeriSign

A number of large investors have recently made changes to their positions in the company. Advisors Asset Management Inc. raised its stake in VeriSign by 25.3% during the 1st quarter. Advisors Asset Management Inc. now owns 198 shares of the information services provider’s stock worth $50,000 after buying an additional 40 shares during the period. Integrated Wealth Concepts LLC lifted its holdings in VeriSign by 12.3% during the first quarter. Integrated Wealth Concepts LLC now owns 1,232 shares of the information services provider’s stock worth $313,000 after acquiring an additional 135 shares in the last quarter. NewEdge Advisors LLC grew its stake in VeriSign by 104.5% in the first quarter. NewEdge Advisors LLC now owns 4,125 shares of the information services provider’s stock valued at $1,047,000 after acquiring an additional 2,108 shares during the period. Jones Financial Companies Lllp grew its stake in VeriSign by 122.1% in the first quarter. Jones Financial Companies Lllp now owns 3,358 shares of the information services provider’s stock valued at $852,000 after acquiring an additional 1,846 shares during the period. Finally, Empowered Funds LLC grew its stake in VeriSign by 2.0% in the first quarter. Empowered Funds LLC now owns 9,346 shares of the information services provider’s stock valued at $2,373,000 after acquiring an additional 186 shares during the period. Institutional investors own 92.90% of the company’s stock.

VeriSign Stock Up 7.0%

The firm has a fifty day simple moving average of $276.54 and a 200-day simple moving average of $259.26. The company has a market capitalization of $25.48 billion, a P/E ratio of 30.37 and a beta of 0.71.

VeriSign Company Profile

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.