Hot Tech stock to watch: Verisign, Inc. (NASDAQ: VRSN)

Free $100 Forex No-Deposit Bonus

Verisign, Inc. (NASDAQ: VRSN) stock rose  over 3.7% on 25th October, 2019 (as of  12:43 pm GMT-4; Source: Google finance) after the company posted better than expected results for the third quarter of FY 19. The company has reported net income for the third quarter of $153.9 million compared with $137.7 million, a year earlier. At the end of September 2019, the company’s domain name base in dot-com and net were of aggregate 157.1 million, comprising of 144 million names for dot-com and 13.4 million names for dot-net and had the year-over-year growth rate of 3.8%. During the third quarter, the company had processed 9.9 million new registrations, and the domain name base increased by 1.27 million names.

VRSN in the third quarter of FY 19 has reported the adjusted earnings per share of $1.36, beating the analysts’ estimates for the adjusted earnings per share of $1.31, as per analysts polled by FactSet. The company had reported the adjusted revenue growth of 0.9 percent to $308.4 million in the third quarter of FY 19, beating the analysts’ estimates for revenue by 0.03%. Operating expense had slightly fallen to $103 million compared to $105 million last quarter and $111 million in the third quarter a year ago. The small sequential quarter-over-quarter decline in operating expenses is mainly due to the timing of spend related to some sales and marketing programs. Operating income had risen to $206 million compared with $195 million in the third quarter of 2018. The operating margin in the quarter expanded to 66.7% compared to 63.8% in the same quarter a year ago.

Verisign ended the third quarter of 2019 with cash, cash equivalents and marketable securities of $1.23 billion, which is a decline of $40 million from the end of 2018. Cash flow from operating activities has increased to $208 million for the third quarter of 2019, compared to $187 million for the same quarter in 2018. Deferred revenues at the end of September 2019 have increased $24 million to $1.04 billion from the end of 2018. During the third quarter of 2019, VRSN had repurchased 1 million shares of its common stock for the total cost of $194 million. At the end of September, 2019, there was $522 million remaining for future share repurchases under the share repurchase program which has no expiration date.

For 2019 full year, the company expects the domain name base growth rate to be in the range of 3.2% and 3.7 %.

Copyright © 2020. All Rights Reserved. FXDailyReport.Com
Risk Warning: Trading CFDs is a high risk activity and you may lose more than your initial deposit. You should never invest money that you cannot afford to lose. FXDailyReport.com will not accept any liability for loss or damage as a result of reliance on the information contained within this website including data, quotes, charts and buy/sell signals. Please be fully informed regarding the risks and costs associated with trading the financial markets.