VeriSign (VRSN) Stock Sinks As Market Gains: What You Should Know
VeriSign (VRSN) closed the most recent trading day at $206.61, moving -0.55% from the previous trading session. This change lagged the S&P 500's 0.14% gain on the day. Elsewhere, the Dow gained 0.22%, while the tech-heavy Nasdaq added 0.09%.
Coming into today, shares of the internet infrastructure services provider had gained 1.85% in the past month. In that same time, the Computer and Technology sector gained 0.07%, while the S&P 500 lost 1.27%.
Investors will be hoping for strength from VeriSign as it approaches its next earnings release. The company is expected to report EPS of $1.74, up 10.13% from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $373.79 million, up 4.73% from the year-ago period.
VRSN's full-year Zacks Consensus Estimates are calling for earnings of $7.02 per share and revenue of $1.49 billion. These results would represent year-over-year changes of +12.5% and +4.68%, respectively.
Investors should also note any recent changes to analyst estimates for VeriSign. These revisions typically reflect the latest short-term business trends, which can change frequently. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Our research shows that these estimate changes are directly correlated with near-term stock prices. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 1.59% higher. VeriSign is currently a Zacks Rank #3 (Hold).
In terms of valuation, VeriSign is currently trading at a Forward P/E ratio of 29.59. This valuation marks a premium compared to its industry's average Forward P/E of 22.76.
The Internet - Software and Services industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 68, which puts it in the top 27% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
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VeriSign, Inc. (VRSN) : Free Stock Analysis Report
