Seek Returns logo

ADI vs. VRSN: A Head-to-Head Stock Comparison

Updated

Here’s a clear look at ADI and VRSN, comparing key factors like performance, valuation metrics, dividends, and financial strength. It’s built for investors or anyone curious to see how these two stocks match up.

Company Overview

ADI dominates in value with a market cap of 110.22 billion USD, eclipsing VRSN’s 26.39 billion USD by roughly 4.18×.

With betas of 0.98 for ADI and 0.80 for VRSN, both show similar volatility profiles relative to the overall market.

SymbolADIVRSN
Company NameAnalog Devices, Inc.VeriSign, Inc.
CountryUSUS
SectorTechnologyTechnology
IndustrySemiconductorsSoftware - Infrastructure
CEOMr. Vincent T. RocheMr. D. James Bidzos
Price222.22 USD281.08 USD
Market Cap110.22 billion USD26.39 billion USD
Beta0.980.80
ExchangeNASDAQNASDAQ
IPO DateMarch 17, 1980January 30, 1998
ADRNoNo

Performance Comparison

This chart compares the performance of ADI and VRSN over the past year by tracking the growth of an initial $10,000 investment in each (starting one year ago).

Hover over the lines to see the investment’s value and total return (%) at specific dates.

Data is adjusted for dividends and splits.

Valuation Metrics Comparison

The section examines key financial ratios to assess the valuation of ADI and VRSN based on earnings, cash flow, sales, and book value. Pay attention to the following notable points where extreme values stand out.

  • VRSN shows a negative forward PEG of -0.34, signaling expected earnings contraction, while ADI at 3.93 maintains analysts’ projections for stable or improved profits.
  • VRSN carries a sub-zero price-to-book ratio of -18.93, indicating negative equity. In contrast, ADI (P/B 3.14) has positive book value.
SymbolADIVRSN
Price-to-Earnings Ratio (P/E, TTM)70.5033.62
Forward PEG Ratio (TTM)3.93-0.34
Price-to-Sales Ratio (P/S, TTM)11.8016.75
Price-to-Book Ratio (P/B, TTM)3.14-18.93
Price-to-Free Cash Flow Ratio (P/FCF, TTM)34.6229.12
EV-to-EBITDA (TTM)28.1124.24
EV-to-Sales (TTM)12.3617.53
EV-to-Free Cash Flow (TTM)36.2530.46

Dividend Comparison

ADI’s dividend yield of 1.69% is about 516% higher than VRSN’s 0.27%, underscoring its stronger focus on returning cash to shareholders.

SymbolADIVRSN
Dividend Yield (TTM)1.69%0.27%

Financial Strength Metrics Comparison

This section dives into the financial resilience of ADI and VRSN, spotlighting key metrics like liquidity, leverage, and debt coverage. Check out the standout observations below where notable differences or extremes pop up.

  • VRSN’s current ratio of 0.56 indicates its assets may not cover near-term debts, whereas ADI at 1.93 maintains healthy liquidity.
  • VRSN posts a quick ratio of 0.56, indicating limited coverage of short-term debts from its most liquid assets—while ADI at 1.43 enjoys stronger liquidity resilience.
  • VRSN has negative equity (debt-to-equity ratio -1.28), suggesting asset shortfalls, whereas ADI at 0.22 preserves healthier equity coverage.
  • VRSN carries a debt-to-assets ratio of 1.24, suggesting substantial asset funding via debt, while ADI at 0.16 opts for a more conservative financing structure.
SymbolADIVRSN
Current Ratio (TTM)1.930.56
Quick Ratio (TTM)1.430.56
Debt-to-Equity Ratio (TTM)0.22-1.28
Debt-to-Assets Ratio (TTM)0.161.24
Interest Coverage Ratio (TTM)6.0913.94