GURUFOCUS.COM » STOCK LIST » USA » NAS » VeriSign Inc (NAS:VRSN) » Definitions » Earnings Yield (Joel Greenblatt) %
Switch to:

VeriSign Earnings Yield (Joel Greenblatt) %

: 4.81% (As of Jun. 2022)
View and export this data going back to 1998. Start your Free Trial

VeriSign's Enterprise Value for the quarter that ended in Jun. 2022 was $18,830 Mil. VeriSign's EBIT for the trailing twelve months (TTM) ended in Jun. 2022 was $906 Mil. VeriSign's Earnings Yield (Joel Greenblatt) for the quarter that ended in Jun. 2022 was 4.81%.

The historical rank and industry rank for VeriSign's Earnings Yield (Joel Greenblatt) % or its related term are showing as below:

VRSN' s Earnings Yield (Joel Greenblatt) % Range Over the Past 10 Years
Min: 3.01   Med: 5.57   Max: 9.34
Current: 4.16

During the past 13 years, the highest Earnings Yield (Joel Greenblatt) of VeriSign was 9.34%. The lowest was 3.01%. And the median was 5.57%.

VRSN's Earnings Yield (Joel Greenblatt) % is ranked better than
65.15% of 2743 companies
in the Software industry
Industry Median: 1.31 vs VRSN: 4.16

Joel Greenblatt's definition of earnings yield has the same problems the regular earnings yield does. It does not consider the growth of the company. It only looks at one-year's business operation. For cyclical companies, the earnings yield is usually highest at the peak of the business cycle. But these earnings are rarely sustainable.

A better indicator of the attractiveness of an investment which takes growth into account is the Forward Rate of Return (Yacktman) %. VeriSign's Forward Rate of Return (Yacktman) % for the quarter that ended in Jun. 2022 was 9.78%. The Forward Rate of Return uses the normalized Free Cash Flow of the past seven years, and considers growth. The forward rate of return can be thought of as the return that investors buying the stock today can expect from it in the future.


VeriSign Earnings Yield (Joel Greenblatt) % Historical Data

The historical data trend for VeriSign's Earnings Yield (Joel Greenblatt) % can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

VeriSign Annual Data
Trend Dec12 Dec13 Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21
Earnings Yield (Joel Greenblatt) %
Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 6.59 4.59 3.68 3.34 3.02

VeriSign Quarterly Data
Sep17 Dec17 Mar18 Jun18 Sep18 Dec18 Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22
Earnings Yield (Joel Greenblatt) % Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 3.19 3.63 3.02 3.52 4.81

Competitive Comparison

For the Software - Infrastructure subindustry, VeriSign's Earnings Yield (Joel Greenblatt) %, along with its competitors' market caps and Earnings Yield (Joel Greenblatt) % data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.

   

VeriSign Earnings Yield (Joel Greenblatt) % Distribution

For the Software industry and Technology sector, VeriSign's Earnings Yield (Joel Greenblatt) % distribution charts can be found below:

* The bar in red indicates where VeriSign's Earnings Yield (Joel Greenblatt) % falls into.



VeriSign Earnings Yield (Joel Greenblatt) % Calculation

In his book, The Little That Beat the Market, hedge fund manager Joel Greenblatt defines Earnings Yield as operating income divided by enterprise value.

VeriSigns Earnings Yield (Joel Greenblatt) for the fiscal year that ended in Dec. 2021 is calculated as

Earnings Yield (Joel Greenblatt)=EBIT/Enterprise Value
=865.474/28634.32158
=3.02 %

VeriSign's EBIT for the trailing twelve months (TTM) ended in Jun. 2022 adds up the quarterly data reported by the company within the most recent 12 months, which was $906 Mil.



VeriSign  (NAS:VRSN) Earnings Yield (Joel Greenblatt) % Explanation

Joel Greenblatt defines the earnings yield using the above equation because it more accurately reflects the company's profitability relative to its stock price. Items like interest payment and tax etc. are not directly related to the company's operational profitability.

Enterprise Value instead of market cap (share price) is used in the calculation because it is the real price stock and bond investors together pay for the company.


Be Aware

Joel Greenblatt's definition of earnings yield has the same problems the regular earnings yield does. It does not consider the growth of the company. It only looks at one-year's business operation. For cyclical companies, the earnings yield is usually highest at the peak of the business cycle. But these earnings are rarely sustainable.

Forward Rate of Return (Yacktman) % based on Don Yacktman's definition is a better measure of the expected rate of return for a stock.


VeriSign Earnings Yield (Joel Greenblatt) % Related Terms

Thank you for viewing the detailed overview of VeriSign's Earnings Yield (Joel Greenblatt) % provided by GuruFocus.com. Please click on the following links to see related term pages.


VeriSign Business Description

VeriSign logo
Industry
GURUFOCUS.COM » STOCK LIST » Technology » Software » VeriSign Inc (NAS:VRSN) » Definitions » Earnings Yield (Joel Greenblatt) %
Address
12061 Bluemont Way, Reston, VA, USA, 20190
Verisign is the sole authorized registry for several generic top-level domains, including the widely utilized .com and .net top-level domains. The company operates critical Internet infrastructure to support the domain name system, including operating two of the world's 13 root servers that are used to route Internet traffic. In 2018, the firm sold off its Security Services business, signalling a renewed focus on the core registry business.
Executives
Armstrong Courtney D director 12061 BLUEMONT WAY RESTON VA 20190
Buchalter Yehuda Ari director 12061 BLUEMONT WAY RESTON VA 20190
Strubbe Todd B officer: EVP and COO VERISIGN 12061 BLUEMONT WAY RESTON VA 20190
Kilguss George E Iii officer: EVP and CFO C/O VERISIGN, INC. 12061 BLUEMONT WAY RESTON VA 20190
Frist Thomas F Iii director 3100 WEST END AVENUE SUITE 1225 NASHVILLE TN 37203
Indelicarto Thomas C officer: SVP, Gen Counsel & Secretary 12061 BLUEMONT WAY ATTN: GENERAL COUNSEL RESTON VA 20190
Gorelick Jamie S director 12061 BLUEMONT WAY RESTON VA 20190
Berkshire Hathaway Inc 10 percent owner 3555 FARNAM STREET OMAHA NE 68131
Buffett Warren E 10 percent owner 3555 FARNAM ST STE 1440 OMAHA NE 68131
Calys John officer: VP, Interim CFO 12061 BLUEMONT WAY ATTN: OFFICE OF GENERAL COUNSEL RESTON VA 20190
Kane Patrick S officer: Senior Vice President 12061 BLUEMONT WAY ATTN: OFFICE OF GENERAL COUNSEL RESTON VA 20190
Brennan Christine officer: SVP Global HR 21355 RIDGETOP CIRCLE ATTN: GENERAL COUNSEL DULLES VA 20166
Robins Brian G officer: ACTING CHIEF FINANCIAL OFFICER 21355 RIDGETOP CIRCLE ATTN: GENERAL COUNSEL DULLES VA 20166
Cote Kathleen A director 12061 BLUEMONT WAY RESTON VA 20190
Tomlinson Timothy director 12061 BLUEMONT WAY ATTN: GENERAL COUNSEL RESTON VA 20190

VeriSign Headlines

Other Sources

Get WordPress Plugins for easy affiliate links on Stock Tickers and Guru Names | Earn affiliate commissions by embedding GuruFocus Charts
GuruFocus Affiliate Program: Earn up to $400 per referral. ( Learn More)