VeriSign (VRSN) Stock

The Q3 report indicates that revenue has increased, with high profit margins and earnings per share at $2.07. However, there has been a drop in domain name registrations, creating a mixed outlook. Even with this decline, the company maintains about 47% of the market share and is in a strong position, while management is also boosting shareholder returns through share buybacks.

VeriSign, Inc. (NASDAQ:VRSN ) Q2 2024 Earnings Conference Call July 25, 2024 4:30 PM ET Company Participants David Atchley - Vice President of Investor Relations & Corporate Treasurer Jim Bidzos - Executive Chairman, President & Chief Executive Officer George Kilguss - Executive Vice President & Chief Financial Officer Conference Call Participants Rob Oliver - Baird Ygal Arounian - Citigroup Operator Good day, everyone. Welcome to VeriSign's Second Quarter 2024 Earnings Call.

RESTON, Va.--(BUSINESS WIRE)--VeriSign, Inc. (NASDAQ: VRSN), a global provider of critical internet infrastructure and domain name registry services, today announced that, according to the latest Domain Name Industry Brief Quarterly Report from DNIB.com, the second quarter of 2024 closed with 362.4 million domain name registrations across all top-level domains (TLDs), unchanged compared to the first quarter of 2024. Domain name registrations increased by 5.8 million, or 1.6%, year over year. Th.

VeriSign stocks are undervalued by 20.1% and underfollowed by Wall Street analysts, indicating a potential mispricing. VeriSign boosts a monopolistic mature business model, with high operating margins and high free cash flow generation, compensating for modest growth. Despite recent stock price decline, VeriSign's risk-reward profile suggests a positive excess return of around 9.8%, with a catalyst expected after Q3 earnings report.

VeriSign stock (NASDAQ: VRSN), a domain name provider, currently trades at $175 per share, around 30% below its peak level of $255 seen in December 2021. In comparison, its industry peer – F5 Networks stock (NASDAQ: FFIV), an application security and cloud networking company, also saw its stock decline by around 30% over the same period.

VeriSign, a domain name registry services provider, has consistently high free cash flow margins and growing revenues for 16 years. Investor interest in VeriSign is low due to the focus on tech companies investing in AI and the perception of VeriSign's steady but not exciting revenue growth. VeriSign's competitive advantage lies in its management of globally recognized domains like .com, which grants trust and allows companies to operate in multiple markets.

VeriSign's (VRSN) strong first-quarter results are driven by high demand for its Internet infrastructure services.

VeriSign, an internet services company, announced a 5.5% increase in revenue for the first quarter, attributing it to a consistent demand for domain name registrations as businesses enhance their online visibility.

The latest trading day saw VeriSign (VRSN) settling at $191.42, representing a +1.1% change from its previous close.