We publish no single base value for Verisign. Our valuation methods put it between $231.71 and $232.37 a share. The valuation code's reason: no point fair value: the two anchors behind it compound the same growth rate and differ only in how they end — a perpetuity at the terminal rate against a multiple on the final year — so the midpoint between them measures terminal treatment rather than what the business is worth. The published range is the same reading with the false precision removed: read it as the span the method supports, and treat neither edge as a point estimate.
| Method | Value | vs price | Basis |
|---|---|---|---|
| Discounted cash flow | $232.37 | -25.6% | free cash flow $1.02bn, growth 5.7% for 5 years, then fading to 3% over 5 more, discounted at 8.91%; stress floor $146.21 |
| Exit multiple (P/E) | $231.71 | -25.8% | earnings per share $9.52 valued at 29.72× (the stock's own median P/E) in 5 years, discounted back |
| Sum of the parts | — | — | no sum of the parts: the filing discloses one operating segment, and one business summed is an earnings multiple with extra steps, not a second opinion |
| Price to sales | — | — | not reached: the cash-flow or earnings methods produced an anchor, so this fallback was not run |
| Tangible book | — | — | used only for lenders, where book value is the business |
| Price to FFO (REITs) | — | — | used only for REITs |
Each working is rebuilt by code from the valuation's own figures and checked against the published value.
The discount rate:
| Risk-free rate | 5.13% (10-year US Treasury yield) |
| Company's own beta | 0.66 (5 years of monthly returns against the S&P 500; standard error 0.20) |
| Peer beta | 1.34 (median of 73 S&P 500 Information Technology companies) |
| Blend of own and peers | 0.76 (86% own, 14% peers, weighted by how precisely the company's own beta is measured) |
| Adjusted beta | 0.84 (0.67 × 0.76 + 0.33, pulled toward the market's 1.0) |
| Equity risk premium | 4.5% |
| Discount rate = risk-free + adjusted beta × premium | 8.91% |
Free cash flow grows 5.70% a year for 5 years, then fades in equal steps toward 3% over 5 more; each year is discounted by 1 ÷ (1 + rate)^year:
| Year | Growth | Free cash flow | Discount factor | Present value |
|---|---|---|---|---|
| Now | — | $1.02bn | — | — |
| Year 1 | 5.70% | $1.08bn | 0.9182 | $993.62m |
| Year 2 | 5.70% | $1.14bn | 0.8431 | $964.34m |
| Year 3 | 5.70% | $1.21bn | 0.7741 | $935.92m |
| Year 4 | 5.70% | $1.28bn | 0.7108 | $908.33m |
| Year 5 | 5.70% | $1.35bn | 0.6526 | $881.56m |
| Year 6 | 5.25% | $1.42bn | 0.5992 | $851.93m |
| Year 7 | 4.80% | $1.49bn | 0.5502 | $819.78m |
| Year 8 | 4.35% | $1.55bn | 0.5052 | $785.46m |
| Year 9 | 3.90% | $1.62bn | 0.4639 | $749.33m |
| Year 10 | 3.45% | $1.67bn | 0.4259 | $711.76m |
| Terminal value = year-10 cash flow × (1 + 3%) ÷ (8.91% − 3%) | $29.12bn |
| Terminal value in today's money | $12.40bn |
| Present value of years 1–10 | $8.60bn |
| Total present value | $21.01bn |
| Shares outstanding | 90.40m |
| Value per share = total ÷ shares | $232.37 |
How the DCF value moves with the discount rate and the starting growth (the middle cell is the published value):
| Discount rate | Growth 0.7% | Growth 5.7% | Growth 10.7% |
|---|---|---|---|
| 7.91% | $205.71 | $281.00 | $381.87 |
| 8.91% | $171.63 | $232.37 | — |
| 9.91% | $147.38 | $197.88 | — |
The same DCF at each beta, starting growth unchanged:
| Beta | Value | Discount rate | DCF value |
|---|---|---|---|
| Company's own beta | 0.66 | 8.10% | $270.29 |
| Peer beta | 1.34 | 11.16% | $166.70 |
| Adjusted beta (used) | 0.84 | 8.91% | $232.37 |
Earnings per share grow on the same fading path as the DCF:
| Year | Growth | Earnings per share |
|---|---|---|
| Now | — | $9.52 |
| Year 1 | 5.70% | $10.06 |
| Year 2 | 5.03% | $10.57 |
| Year 3 | 4.52% | $11.05 |
| Year 4 | 4.14% | $11.50 |
| Year 5 | 3.85% | $11.95 |
| Earnings per share in year 5 | $11.95 |
| Exit P/E (the stock's own median P/E) | 29.72× |
| Value in 5 years = earnings × P/E | $355.04 |
| Discounted at 8.91% over 5 years: ÷ 1.5323 | $231.71 |
We publish no single base value for Verisign. Our valuation methods put it between $231.71 and $232.37 a share. The valuation code's reason: no point fair value: the two anchors behind it compound the same growth rate and differ only in how they end — a perpetuity at the terminal rate against a multiple on the final year — so the midpoint between them measures terminal treatment rather than what the business is worth. The published range is the same reading with the false precision removed: read it as the span the method supports, and treat neither edge as a point estimate.
One-year price simulation: a 10% chance the price is below $248.57 and a 10% chance it is above $444.48 in a year; a 61% chance it is higher than today's $312.48, from 22.56% volatility. The simulation assumes the price drifts up at our discount rate of 8.91% a year.
At $312.48 the price implies free cash flow growing 10.6% a year for five years and then fading toward 3% over five more; its revenue has grown 5.7%.
| Week | Price | Base value |
|---|---|---|
| 2 Oct 2026 | $288.32 | — |
| 9 Oct 2026 | $303.74 | — |
| 16 Oct 2026 | $302.34 | — |
| 23 Oct 2026 | $300.32 | — |
| 30 Oct 2026 | $307.21 | — |
| 6 Nov 2026 | $308.67 | — |
| 12 Nov 2026 | $312.48 | — |
Data as of 12 Nov 2026; financials to 30 Sep 2026. Sources: company filings via EODHD, SEC EDGAR, US Treasury. How these values are computed. Not investment advice.
Run a full Desk Run on VRSN · Verisign company page · Call and put prices