VeriSign, Inc. — Earnings Quality Grade F
VRSN · Technology
Major red flags
Screening Summary
Financial Trends
Revenue & Net Income ($B)
Margins (%)
18-Point Screening
Revenue Quality
DSO 2 days, change +0 days YoY
AR growth 37.5% exceeds revenue growth 6.4%
Revenue 6.4%, CFFO 20.9%. Cash follows revenue
Expense Quality
No material inventory
CapEx growth -18.9% vs revenue 6.4%. Normal
SG&A/Gross Profit = 16.1%, excellent (<30%)
Gross margin 88.2%, change +0.4pp. Stable
Cash Flow Quality
CFFO/NI = 1.32. Profits backed by cash
FCF $1.1B, FCF/NI = 1.29
Accruals ratio = -20.0%. Low accruals
Cash $0.6B covers only 32% of debt $1.8B
Balance Sheet Health
Goodwill+Intangibles $0.2B = -9% of equity. Manageable
Debt/EBITDA = 1.5x. Healthy
Other assets -51.2% vs revenue 6.4%. Normal
No write-off data
Acquisition Risk
FCF after acquisitions positive
Goodwill+Intangibles change 0% YoY. Normal
Manipulation Score
M-Score = -3.14 (< -2.22). Unlikely manipulator
Beneish M-Score
Altman Z-Score
Generated from public financial data using forensic accounting frameworks. Not investment advice. Data: Yahoo Finance · 2026-04-10