VeriSign, Inc. (VRSN) DCF Valuation
Transparent DCF models put VeriSign, Inc. (VRSN)'s fair value in a range of $143.83 – $277.54 — the low end is TGM's conservative base case (5% FCF growth, 10% discount), the high end the analyst consensus (FMP). Today's price of $283.89 sits above that range — by these conservative assumptions it looks richly valued; the reverse-DCF below is the better lens for a high-growth name.
Reverse DCF: at today's $283.89, the market is pricing in roughly +13.6%/yr free-cash-flow growth over the next decade (at a 10% required return) — versus its actual 5-year FCF CAGR of +8.1%. The price is betting on acceleration above its track record.
Current Price
$283.89
Fair-Value Range
$143.83 – $277.54
Market-Implied Growth
+13.6%/yr
vs +8.1% 5Y actual
VRSN DCF Fair Value Calculator
Edit the assumptions to see how they change the estimated fair value. Illustrative model — not investment advice. Defaults to a conservative base case; the analyst (FMP) DCF, where available, is shown as a reference below.
Base inputs: FCF $888.6M · 0.09B shares · net debt $1.5B
Estimated Fair Value
$143.83
-49.3% vs $283.89
Sensitivity — fair value by discount rate × terminal growth
How the estimated fair value shifts with the discount rate (WACC) and terminal growth, holding your 5.0%/yr FCF growth and 10-year horizon fixed. Green = above today's $283.89; red = below. Your current case is outlined.
| WACC ↓ / Terminal → | 1.50% | 2.00% | 2.50% | 3.00% | 3.50% |
|---|---|---|---|---|---|
| 8.0% | $183 | $193 | $205 | $219 | $237 |
| 9.0% | $155 | $162 | $170 | $179 | $190 |
| 10.0% | $133 | $138 | $144 | $150 | $158 |
| 11.0% | $116 | $120 | $124 | $129 | $134 |
| 12.0% | $103 | $106 | $109 | $112 | $116 |
About VeriSign, Inc.
VeriSign, Inc., along with its affiliates, provides fundamental internet infrastructure and domain name registration services, which enable global web navigation across numerous recognized online addresses. The company plays a crucial role in upholding the security, stability, and resilience of internet systems and services. This includes its function as the root zone maintainer, operating two of the thirteen internet root servers globally, and delivering essential registration and authoritative lookup services for the widely used .com and .net domains, which are vital for worldwide online commerce. Beyond these, VeriSign also manages the underlying technical systems for several other top-level domains, such as .cc, .gov, .edu, and .name. Its operational scope further encompasses distributed server management, network infrastructure, cybersecurity, and ensuring data integrity. Established in 1995, VeriSign, Inc. maintains its corporate headquarters in Reston, Virginia.
- Sector
- Technology
- Industry
- Software - Infrastructure
- CEO
- D. James Bidzos