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

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Here’s a clear look at HPE and VRSN, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.

Company Profile

SymbolHPEVRSN
Company NameHewlett Packard Enterprise CompanyVeriSign, Inc.
CountryUnited StatesUnited States
GICS SectorInformation TechnologyInformation Technology
GICS IndustryTechnology Hardware, Storage & PeripheralsIT Services
Market Capitalization34.41 billion USD25.02 billion USD
ExchangeNYSENasdaqGS
Listing DateOctober 19, 2015January 30, 1998
Security TypeCommon StockCommon Stock

Historical Performance

This chart compares the performance of HPE and VRSN by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period. Data is adjusted for dividends and splits.

HPE vs. VRSN: Growth of a $10,000 investment over the past one year.

Historical Performance at a Glance

SymbolHPEVRSN
5-Day Price Return6.54%-2.74%
13-Week Price Return25.38%-7.55%
26-Week Price Return90.64%4.87%
52-Week Price Return25.02%45.29%
Month-to-Date Return6.19%-4.18%
Year-to-Date Return22.15%29.44%
10-Day Avg. Volume22.88M0.67M
3-Month Avg. Volume20.31M0.80M
3-Month Volatility26.69%28.36%
Beta1.340.79

Profitability

Return on Equity (TTM)

HPE

5.08%

Technology Hardware, Storage & Peripherals Industry

Max
56.93%
Q3
27.52%
Median
9.18%
Q1
5.14%
Min
-1.04%

HPE’s Return on Equity of 5.08% is in the lower quartile for the Technology Hardware, Storage & Peripherals industry. This indicates a less efficient generation of profit from its equity base when compared to its competitors.

VRSN

113.55%

IT Services Industry

Max
32.78%
Q3
19.28%
Median
13.86%
Q1
5.50%
Min
-10.00%

VRSN’s Return on Equity of 113.55% is exceptionally high, placing it well beyond the typical range for the IT Services industry. This demonstrates a superior ability to generate profit from shareholder investments, though it could also be inflated by high financial leverage.

HPE vs. VRSN: A comparison of their Return on Equity (TTM) against their respective Technology Hardware, Storage & Peripherals and IT Services industry benchmarks.

Net Profit Margin (TTM)

HPE

3.77%

Technology Hardware, Storage & Peripherals Industry

Max
16.15%
Q3
7.95%
Median
4.80%
Q1
2.20%
Min
-0.29%

HPE’s Net Profit Margin of 3.77% is aligned with the median group of its peers in the Technology Hardware, Storage & Peripherals industry. This indicates its ability to convert revenue into profit is typical for the sector.

VRSN

50.03%

IT Services Industry

Max
19.71%
Q3
11.01%
Median
6.66%
Q1
2.96%
Min
-6.22%

VRSN’s Net Profit Margin of 50.03% is exceptionally high, placing it well beyond the typical range for the IT Services industry. This demonstrates outstanding operational efficiency and a strong competitive advantage in converting revenue into profit.

HPE vs. VRSN: A comparison of their Net Profit Margin (TTM) against their respective Technology Hardware, Storage & Peripherals and IT Services industry benchmarks.

Operating Profit Margin (TTM)

HPE

3.91%

Technology Hardware, Storage & Peripherals Industry

Max
20.70%
Q3
10.74%
Median
6.27%
Q1
4.07%
Min
1.97%

HPE’s Operating Profit Margin of 3.91% is in the lower quartile for the Technology Hardware, Storage & Peripherals industry. This indicates weaker profitability from core operations, which may stem from inefficiencies or competitive pressures on pricing.

VRSN

67.89%

IT Services Industry

Max
22.44%
Q3
14.90%
Median
8.82%
Q1
4.91%
Min
-9.89%

VRSN’s Operating Profit Margin of 67.89% is exceptionally high, placing it well above the typical range for the IT Services industry. This demonstrates outstanding efficiency in managing its core operations, which can be a result of strong pricing power or superior cost control.

HPE vs. VRSN: A comparison of their Operating Profit Margin (TTM) against their respective Technology Hardware, Storage & Peripherals and IT Services industry benchmarks.

Profitability at a Glance

SymbolHPEVRSN
Return on Equity (TTM)5.08%113.55%
Return on Assets (TTM)1.74%55.87%
Net Profit Margin (TTM)3.77%50.03%
Operating Profit Margin (TTM)3.91%67.89%
Gross Profit Margin (TTM)29.45%87.88%

Financial Strength

Current Ratio (MRQ)

HPE

0.95

Technology Hardware, Storage & Peripherals Industry

Max
3.37
Q3
2.04
Median
1.41
Q1
0.98
Min
0.11

HPE’s Current Ratio of 0.95 falls into the lower quartile for the Technology Hardware, Storage & Peripherals industry. This indicates a tighter liquidity situation and a more constrained capacity to handle short-term debt than many of its competitors.

VRSN

0.54

IT Services Industry

Max
3.17
Q3
2.00
Median
1.47
Q1
1.05
Min
0.52

VRSN’s Current Ratio of 0.54 falls into the lower quartile for the IT Services industry. This indicates a tighter liquidity situation and a more constrained capacity to handle short-term debt than many of its competitors.

HPE vs. VRSN: A comparison of their Current Ratio (MRQ) against their respective Technology Hardware, Storage & Peripherals and IT Services industry benchmarks.

Debt-to-Equity Ratio (MRQ)

HPE

0.97

Technology Hardware, Storage & Peripherals Industry

Max
1.54
Q3
0.85
Median
0.32
Q1
0.11
Min
0.00

HPE’s leverage is in the upper quartile of the Technology Hardware, Storage & Peripherals industry, with a Debt-to-Equity Ratio of 0.97. While this approach can boost equity growth, it also exposes the company to greater financial vulnerability.

VRSN

1.07

IT Services Industry

Max
3.11
Q3
1.55
Median
0.55
Q1
0.17
Min
0.00

VRSN’s Debt-to-Equity Ratio of 1.07 is typical for the IT Services industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.

HPE vs. VRSN: A comparison of their Debt-to-Equity Ratio (MRQ) against their respective Technology Hardware, Storage & Peripherals and IT Services industry benchmarks.

Interest Coverage Ratio (TTM)

HPE

116.71

Technology Hardware, Storage & Peripherals Industry

Max
143.63
Q3
76.01
Median
19.47
Q1
5.91
Min
-23.93

HPE’s Interest Coverage Ratio of 116.71 is in the upper quartile for the Technology Hardware, Storage & Peripherals industry, signifying a strong and healthy capacity to meet its interest payments from operating profits.

VRSN

27.96

IT Services Industry

Max
129.00
Q3
56.00
Median
11.69
Q1
0.77
Min
-28.15

VRSN’s Interest Coverage Ratio of 27.96 is positioned comfortably within the norm for the IT Services industry, indicating a standard and healthy capacity to cover its interest payments.

HPE vs. VRSN: A comparison of their Interest Coverage Ratio (TTM) against their respective Technology Hardware, Storage & Peripherals and IT Services industry benchmarks.

Financial Strength at a Glance

SymbolHPEVRSN
Current Ratio (MRQ)0.950.54
Quick Ratio (MRQ)0.690.50
Debt-to-Equity Ratio (MRQ)0.971.07
Interest Coverage Ratio (TTM)116.7127.96

Growth

Revenue Growth

HPE vs. VRSN: A side-by-side comparison of their Revenue Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

EPS Growth

HPE vs. VRSN: A side-by-side comparison of their EPS Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

Dividend

Dividend Yield (TTM)

HPE

2.23%

Technology Hardware, Storage & Peripherals Industry

Max
4.33%
Q3
3.29%
Median
1.76%
Q1
0.00%
Min
0.00%

HPE’s Dividend Yield of 2.23% is consistent with its peers in the Technology Hardware, Storage & Peripherals industry, providing a dividend return that is standard for its sector.

VRSN

0.00%

IT Services Industry

Max
2.79%
Q3
1.76%
Median
0.58%
Q1
0.00%
Min
0.00%

VRSN currently does not pay a dividend, resulting in a yield of 0%. This is a common strategy for growth-focused companies that prioritize reinvesting earnings, though it may be less typical in mature, income-oriented sectors.

HPE vs. VRSN: A comparison of their Dividend Yield (TTM) against their respective Technology Hardware, Storage & Peripherals and IT Services industry benchmarks.

Dividend Payout Ratio (TTM)

HPE

24.59%

Technology Hardware, Storage & Peripherals Industry

Max
142.87%
Q3
77.17%
Median
40.90%
Q1
3.87%
Min
0.00%

HPE’s Dividend Payout Ratio of 24.59% is within the typical range for the Technology Hardware, Storage & Peripherals industry, suggesting a balanced approach between shareholder payouts and company reinvestment.

VRSN

0.00%

IT Services Industry

Max
107.85%
Q3
52.62%
Median
22.53%
Q1
0.00%
Min
0.00%

VRSN has a Dividend Payout Ratio of 0%, indicating it does not currently pay a dividend. This is a common strategy for growth-oriented companies that reinvest all profits back into the business.

HPE vs. VRSN: A comparison of their Dividend Payout Ratio (TTM) against their respective Technology Hardware, Storage & Peripherals and IT Services industry benchmarks.

Dividend at a Glance

SymbolHPEVRSN
Dividend Yield (TTM)2.23%0.00%
Dividend Payout Ratio (TTM)24.59%0.00%

Valuation

Price-to-Earnings Ratio (TTM)

HPE

27.47

Technology Hardware, Storage & Peripherals Industry

Max
43.10
Q3
28.67
Median
19.23
Q1
15.53
Min
9.46

HPE’s P/E Ratio of 27.47 is within the middle range for the Technology Hardware, Storage & Peripherals industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.

VRSN

31.08

IT Services Industry

Max
56.41
Q3
33.17
Median
23.17
Q1
16.18
Min
6.62

VRSN’s P/E Ratio of 31.08 is within the middle range for the IT Services industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.

HPE vs. VRSN: A comparison of their Price-to-Earnings Ratio (TTM) against their respective Technology Hardware, Storage & Peripherals and IT Services industry benchmarks.

Price-to-Sales Ratio (TTM)

HPE

1.04

Technology Hardware, Storage & Peripherals Industry

Max
5.63
Q3
3.18
Median
1.10
Q1
0.49
Min
0.04

HPE’s P/S Ratio of 1.04 aligns with the market consensus for the Technology Hardware, Storage & Peripherals industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.

VRSN

15.55

IT Services Industry

Max
5.99
Q3
4.26
Median
1.93
Q1
0.97
Min
0.12

With a P/S Ratio of 15.55, VRSN trades at a valuation that eclipses even the highest in the IT Services industry. This implies the market has priced in exceptionally optimistic scenarios for future revenue growth, posing considerable valuation risk.

HPE vs. VRSN: A comparison of their Price-to-Sales Ratio (TTM) against their respective Technology Hardware, Storage & Peripherals and IT Services industry benchmarks.

Price-to-Book Ratio (MRQ)

HPE

1.11

Technology Hardware, Storage & Peripherals Industry

Max
13.94
Q3
6.87
Median
1.88
Q1
0.94
Min
0.32

HPE’s P/B Ratio of 1.11 is within the conventional range for the Technology Hardware, Storage & Peripherals industry. This shows a balanced market view, where the stock’s price is neither at a significant premium nor a discount to the book value of its peers.

VRSN

11.17

IT Services Industry

Max
12.34
Q3
7.54
Median
3.84
Q1
2.52
Min
0.88

VRSN’s P/B Ratio of 11.17 is in the upper tier for the IT Services industry. This indicates that investors are paying a premium relative to the company’s net assets, a valuation that hinges on its ability to generate superior profits.

HPE vs. VRSN: A comparison of their Price-to-Book Ratio (MRQ) against their respective Technology Hardware, Storage & Peripherals and IT Services industry benchmarks.

Valuation at a Glance

SymbolHPEVRSN
Price-to-Earnings Ratio (TTM)27.4731.08
Price-to-Sales Ratio (TTM)1.0415.55
Price-to-Book Ratio (MRQ)1.1111.17
Price-to-Free Cash Flow Ratio (TTM)15.9426.16