On August 10, 2026, Verisk Analytics Inc VRSK shares dropped 5.6%, closing at $181.18. The stock has experienced significant volatility, trading within a 52-week range of $155.94 to $276.19.
- GF Valueâ„¢ verdict: The current price is $181.18, indicating a 43.3% undervaluation compared to the GF Valueâ„¢ of $319.36.
- GF Scoreâ„¢ stands at 82/100, suggesting a strong overall performance relative to its peers.
- Insider activity shows $4.7 million in sales over the last three months, with no insider buying.
Is VRSK Overvalued or Undervalued?
Based on the current price of $181.18 and the GF Valueâ„¢ estimate of $319.36, Verisk Analytics Inc is significantly undervalued at 43.3% below its fair value. This presents a notable margin of safety for potential investors, as the current valuation is well below the intrinsic value derived from historical trading multiples, past business growth, and future performance forecasts. The GF Valuation label indicates a substantial opportunity for upside, considering the disparity between the market price and the estimated fair value.
However, it is essential to approach this undervaluation with caution, especially in light of the recent insider selling activity amounting to $4.7 million. While the GF Valueâ„¢ suggests a robust buying opportunity, the lack of insider buying could imply that those closest to the company may not share the same sentiment about the stock's prospects. Investors should weigh this potential risk against the opportunity presented by the GF Valueâ„¢ assessment.
How Does VRSK's Valuation Compare to Its History?
| Metric | Current | Historical |
|---|---|---|
| P/E (TTM) | 27.8x | 43.3x |
| Forward P/E | 23.6x | N/A |
Currently, VRSK's P/E ratio of 27.8x is significantly below its 5-year median P/E of 43.3x, indicating that the stock is trading at a discount relative to its historical valuation levels. This P/E analysis aligns with the GF Valueâ„¢ verdict, confirming the perception that VRSK is undervalued in the market.
What Does VRSK's GF Scoreâ„¢ Tell Us?
The GF Scoreâ„¢ is a comprehensive measure of a company's financial health, profitability, growth potential, and valuation relative to its peers. With a score of 82/100, Verisk Analytics Inc demonstrates a robust performance, particularly excelling in profitability and growth metrics.
| Metric | Rating |
|---|---|
| GF Scoreâ„¢ | 82/100 |
| Financial Strength | 5/10 |
| Profitability | 9/10 |
| Growth | 10/10 |
| Valuation | 4/10 |
| Momentum | 2/10 |
Verisk Analytics Inc's strongest areas are its growth (10/10) and profitability (9/10), indicating a solid foundation for future expansion and stable earnings. However, the lower score in valuation (4/10) highlights the current market's perception of the stock, which may not fully reflect its growth potential. The momentum score of 2/10 suggests challenges in price performance, which could be a concern for short-term investors.
What Are Gurus and Insiders Doing with VRSK?
Currently, eight gurus hold positions in Verisk Analytics Inc, with five increasing their stakes and three reducing their holdings in recent quarters. This mixed activity among institutional investors indicates a level of confidence in the stock's potential, although caution should be exercised given the significant insider selling of $4.7 million over the last three months.
The absence of insider buying could suggest that those within the company lack confidence in the near-term outlook, potentially reinforcing the idea that investors should be vigilant. The combination of guru activity and insider selling presents a complex picture that investors must consider when evaluating their position in VRSK.
What This Means for Investors
Considering the GF Valueâ„¢ assessment, Verisk Analytics Inc appears to be significantly undervalued at its current price of $181.18 compared to the GF Valueâ„¢ of $319.36. However, the insider selling and lower momentum rank raise questions about the near-term outlook, suggesting that while there is a compelling long-term opportunity, investors should remain cautious and vigilant.
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Frequently Asked Questions
What is VRSK's GF Scoreâ„¢?
VRSK has a GF Scoreâ„¢ of 82/100, indicating a strong overall performance relative to its peers, particularly in profitability and growth metrics.
Is VRSK overvalued or undervalued?
According to GF Valueâ„¢, VRSK is undervalued, with a current price of $181.18 compared to a fair value estimate of $319.36, representing a 43.3% potential upside.
What is VRSK's P/E ratio?
VRSK's P/E ratio is currently 27.8x, which is significantly below its 5-year median of 43.3x, suggesting that the stock is trading at a discount to its historical valuation levels.
This stock alert was generated using automated technology and GuruFocus financial data to provide readers with timely and accurate market reporting. This content was reviewed by GuruFocus editorial team prior to publication. Please send any questions or comments about this story to [email protected].
