HPQ vs. VRSN: A Head-to-Head Stock Comparison
Updated onHere’s a clear look at HPQ and VRSN, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.
Company Profile
| Symbol | HPQ | VRSN |
|---|---|---|
| Company Name | HP Inc. | VeriSign, Inc. |
| Country | United States | United States |
| GICS Sector | Information Technology | Information Technology |
| GICS Industry | Technology Hardware, Storage & Peripherals | IT Services |
| Market Capitalization | 25.83 billion USD | 24.88 billion USD |
| Exchange | NYSE | NasdaqGS |
| Listing Date | January 2, 1962 | January 30, 1998 |
| Security Type | Common Stock | Common Stock |
Historical Performance
This chart compares the performance of HPQ 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.
Historical Performance at a Glance
| Symbol | HPQ | VRSN |
|---|---|---|
| 5-Day Price Return | 1.85% | -1.05% |
| 13-Week Price Return | -3.51% | -5.49% |
| 26-Week Price Return | -20.70% | 14.96% |
| 52-Week Price Return | -21.61% | 47.94% |
| Month-to-Date Return | 10.89% | -0.92% |
| Year-to-Date Return | -15.72% | 28.72% |
| 10-Day Avg. Volume | 7.31M | 0.80M |
| 3-Month Avg. Volume | 8.16M | 0.89M |
| 3-Month Volatility | 32.88% | 29.64% |
| Beta | 1.33 | 0.78 |
Profitability
Return on Equity (TTM)
HPQ
16.85%
Technology Hardware, Storage & Peripherals Industry
- Max
- 47.24%
- Q3
- 29.40%
- Median
- 9.11%
- Q1
- 6.06%
- Min
- -0.79%
HPQ’s Return on Equity of 16.85% is on par with the norm for the Technology Hardware, Storage & Peripherals industry, indicating its profitability relative to shareholder equity is typical for the sector.
VRSN
113.55%
IT Services Industry
- Max
- 29.51%
- Q3
- 16.98%
- Median
- 13.47%
- Q1
- 7.93%
- Min
- -3.97%
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.
Net Profit Margin (TTM)
HPQ
4.64%
Technology Hardware, Storage & Peripherals Industry
- Max
- 13.86%
- Q3
- 8.17%
- Median
- 4.62%
- Q1
- 3.65%
- Min
- -0.21%
HPQ’s Net Profit Margin of 4.64% 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
- 19.82%
- Q3
- 11.49%
- Median
- 6.67%
- Q1
- 3.61%
- Min
- -4.62%
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.
Operating Profit Margin (TTM)
HPQ
6.31%
Technology Hardware, Storage & Peripherals Industry
- Max
- 17.80%
- Q3
- 10.33%
- Median
- 6.31%
- Q1
- 4.86%
- Min
- 2.53%
HPQ’s Operating Profit Margin of 6.31% is around the midpoint for the Technology Hardware, Storage & Peripherals industry, indicating that its efficiency in managing core business operations is typical for the sector.
VRSN
67.89%
IT Services Industry
- Max
- 21.69%
- Q3
- 14.50%
- Median
- 10.06%
- Q1
- 6.98%
- Min
- 0.06%
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.
Profitability at a Glance
| Symbol | HPQ | VRSN |
|---|---|---|
| Return on Equity (TTM) | 16.85% | 113.55% |
| Return on Assets (TTM) | 6.47% | 55.87% |
| Net Profit Margin (TTM) | 4.64% | 50.03% |
| Operating Profit Margin (TTM) | 6.31% | 67.89% |
| Gross Profit Margin (TTM) | 21.15% | 87.88% |
Financial Strength
Current Ratio (MRQ)
HPQ
0.73
Technology Hardware, Storage & Peripherals Industry
- Max
- 2.47
- Q3
- 1.98
- Median
- 1.40
- Q1
- 1.26
- Min
- 0.70
HPQ’s Current Ratio of 0.73 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
- 2.42
- Q3
- 1.81
- Median
- 1.47
- Q1
- 1.09
- Min
- 0.44
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.
Debt-to-Equity Ratio (MRQ)
HPQ
0.32
Technology Hardware, Storage & Peripherals Industry
- Max
- 1.47
- Q3
- 0.93
- Median
- 0.32
- Q1
- 0.19
- Min
- 0.00
HPQ’s Debt-to-Equity Ratio of 0.32 is typical for the Technology Hardware, Storage & Peripherals industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.
VRSN
1.07
IT Services Industry
- Max
- 2.33
- Q3
- 1.17
- Median
- 0.54
- Q1
- 0.15
- 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.
Interest Coverage Ratio (TTM)
HPQ
8.25
Technology Hardware, Storage & Peripherals Industry
- Max
- 204.63
- Q3
- 90.22
- Median
- 21.70
- Q1
- 6.79
- Min
- -23.93
HPQ’s Interest Coverage Ratio of 8.25 is positioned comfortably within the norm for the Technology Hardware, Storage & Peripherals industry, indicating a standard and healthy capacity to cover its interest payments.
VRSN
27.96
IT Services Industry
- Max
- 144.50
- Q3
- 84.49
- Median
- 13.76
- Q1
- 2.59
- Min
- -28.13
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.
Financial Strength at a Glance
| Symbol | HPQ | VRSN |
|---|---|---|
| Current Ratio (MRQ) | 0.73 | 0.54 |
| Quick Ratio (MRQ) | 0.42 | 0.50 |
| Debt-to-Equity Ratio (MRQ) | 0.32 | 1.07 |
| Interest Coverage Ratio (TTM) | 8.25 | 27.96 |
Growth
Revenue Growth
EPS Growth
Dividend
Dividend Yield (TTM)
HPQ
4.32%
Technology Hardware, Storage & Peripherals Industry
- Max
- 4.50%
- Q3
- 3.66%
- Median
- 1.90%
- Q1
- 0.00%
- Min
- 0.00%
With a Dividend Yield of 4.32%, HPQ offers a more attractive income stream than most of its peers in the Technology Hardware, Storage & Peripherals industry, signaling a strong commitment to shareholder returns.
VRSN
0.00%
IT Services Industry
- Max
- 2.80%
- Q3
- 1.74%
- Median
- 0.62%
- 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.
Dividend Payout Ratio (TTM)
HPQ
42.79%
Technology Hardware, Storage & Peripherals Industry
- Max
- 142.87%
- Q3
- 66.07%
- Median
- 42.79%
- Q1
- 0.00%
- Min
- 0.00%
HPQ’s Dividend Payout Ratio of 42.79% 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
- 147.75%
- Q3
- 63.58%
- Median
- 24.63%
- 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.
Dividend at a Glance
| Symbol | HPQ | VRSN |
|---|---|---|
| Dividend Yield (TTM) | 4.32% | 0.00% |
| Dividend Payout Ratio (TTM) | 42.79% | 0.00% |
Valuation
Price-to-Earnings Ratio (TTM)
HPQ
9.90
Technology Hardware, Storage & Peripherals Industry
- Max
- 43.16
- Q3
- 27.56
- Median
- 17.85
- Q1
- 12.48
- Min
- 6.21
In the lower quartile for the Technology Hardware, Storage & Peripherals industry, HPQ’s P/E Ratio of 9.90 suggests the stock may be undervalued compared to its peers, potentially presenting an attractive entry point for investors.
VRSN
31.73
IT Services Industry
- Max
- 41.55
- Q3
- 31.54
- Median
- 23.25
- Q1
- 18.12
- Min
- 6.57
A P/E Ratio of 31.73 places VRSN in the upper quartile for the IT Services industry. This high valuation relative to peers suggests the market holds elevated expectations for the company’s future growth.
Price-to-Sales Ratio (TTM)
HPQ
0.46
Technology Hardware, Storage & Peripherals Industry
- Max
- 4.27
- Q3
- 1.99
- Median
- 0.93
- Q1
- 0.45
- Min
- 0.04
HPQ’s P/S Ratio of 0.46 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
15.88
IT Services Industry
- Max
- 6.61
- Q3
- 4.37
- Median
- 2.02
- Q1
- 1.20
- Min
- 0.19
With a P/S Ratio of 15.88, 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.
Price-to-Book Ratio (MRQ)
HPQ
0.90
Technology Hardware, Storage & Peripherals Industry
- Max
- 12.51
- Q3
- 6.11
- Median
- 1.73
- Q1
- 1.01
- Min
- 0.31
HPQ’s P/B Ratio of 0.90 is in the lower quartile for the Technology Hardware, Storage & Peripherals industry. From a value investing perspective, this is favorable, as it suggests the stock is trading at a discount to its net asset value and may offer a greater margin of safety.
VRSN
11.17
IT Services Industry
- Max
- 11.19
- Q3
- 6.38
- Median
- 3.47
- Q1
- 2.31
- Min
- 0.96
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.
Valuation at a Glance
| Symbol | HPQ | VRSN |
|---|---|---|
| Price-to-Earnings Ratio (TTM) | 9.90 | 31.73 |
| Price-to-Sales Ratio (TTM) | 0.46 | 15.88 |
| Price-to-Book Ratio (MRQ) | 0.90 | 11.17 |
| Price-to-Free Cash Flow Ratio (TTM) | 7.63 | 26.71 |