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

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

Company Profile

NOK trades as an American Depositary Receipt (ADR), offering U.S. investors a convenient way to access its foreign-listed shares. In contrast, VRSN is a standard domestic listing.

SymbolNOKVRSN
Company NameNokia OyjVeriSign, Inc.
CountryFinlandUnited States
GICS SectorInformation TechnologyInformation Technology
GICS IndustryCommunications EquipmentIT Services
Market Capitalization23.35 billion USD24.88 billion USD
ExchangeNYSENasdaqGS
Listing DateJuly 1, 1994January 30, 1998
Security TypeADRCommon Stock

Historical Performance

This chart compares the performance of NOK 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.

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

Historical Performance at a Glance

SymbolNOKVRSN
5-Day Price Return2.59%-1.05%
13-Week Price Return-21.98%-5.49%
26-Week Price Return-22.82%14.96%
52-Week Price Return-1.47%47.94%
Month-to-Date Return2.70%-0.92%
Year-to-Date Return-13.79%28.72%
10-Day Avg. Volume7.16M0.80M
3-Month Avg. Volume9.35M0.89M
3-Month Volatility29.91%29.64%
Beta0.810.78

Profitability

Return on Equity (TTM)

NOK

5.01%

Communications Equipment Industry

Max
32.05%
Q3
19.58%
Median
11.77%
Q1
2.23%
Min
-11.93%

NOK’s Return on Equity of 5.01% is on par with the norm for the Communications Equipment 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.

NOK vs. VRSN: A comparison of their Return on Equity (TTM) against their respective Communications Equipment and IT Services industry benchmarks.

Net Profit Margin (TTM)

NOK

5.31%

Communications Equipment Industry

Max
23.65%
Q3
14.32%
Median
5.31%
Q1
1.45%
Min
-12.72%

NOK’s Net Profit Margin of 5.31% is aligned with the median group of its peers in the Communications Equipment 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.

NOK vs. VRSN: A comparison of their Net Profit Margin (TTM) against their respective Communications Equipment and IT Services industry benchmarks.

Operating Profit Margin (TTM)

NOK

6.21%

Communications Equipment Industry

Max
42.27%
Q3
18.90%
Median
6.21%
Q1
2.97%
Min
-20.72%

NOK’s Operating Profit Margin of 6.21% is around the midpoint for the Communications Equipment 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.

NOK vs. VRSN: A comparison of their Operating Profit Margin (TTM) against their respective Communications Equipment and IT Services industry benchmarks.

Profitability at a Glance

SymbolNOKVRSN
Return on Equity (TTM)5.01%113.55%
Return on Assets (TTM)2.68%55.87%
Net Profit Margin (TTM)5.31%50.03%
Operating Profit Margin (TTM)6.21%67.89%
Gross Profit Margin (TTM)44.23%87.88%

Financial Strength

Current Ratio (MRQ)

NOK

1.46

Communications Equipment Industry

Max
1.72
Q3
1.72
Median
1.46
Q1
1.18
Min
0.93

NOK’s Current Ratio of 1.46 aligns with the median group of the Communications Equipment industry, indicating that its short-term liquidity is in line with its sector peers.

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.

NOK vs. VRSN: A comparison of their Current Ratio (MRQ) against their respective Communications Equipment and IT Services industry benchmarks.

Debt-to-Equity Ratio (MRQ)

NOK

0.21

Communications Equipment Industry

Max
1.55
Q3
0.92
Median
0.55
Q1
0.30
Min
0.00

Falling into the lower quartile for the Communications Equipment industry, NOK’s Debt-to-Equity Ratio of 0.21 points to a conservative financing strategy. This results in lower financial risk but potentially limits strategic investments compared to more leveraged competitors.

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.

NOK vs. VRSN: A comparison of their Debt-to-Equity Ratio (MRQ) against their respective Communications Equipment and IT Services industry benchmarks.

Interest Coverage Ratio (TTM)

NOK

34.19

Communications Equipment Industry

Max
181.73
Q3
113.63
Median
7.59
Q1
3.82
Min
-5.39

NOK’s Interest Coverage Ratio of 34.19 is positioned comfortably within the norm for the Communications Equipment 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.

NOK vs. VRSN: A comparison of their Interest Coverage Ratio (TTM) against their respective Communications Equipment and IT Services industry benchmarks.

Financial Strength at a Glance

SymbolNOKVRSN
Current Ratio (MRQ)1.460.54
Quick Ratio (MRQ)1.210.50
Debt-to-Equity Ratio (MRQ)0.211.07
Interest Coverage Ratio (TTM)34.1927.96

Growth

Revenue Growth

NOK 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

NOK 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)

NOK

3.61%

Communications Equipment Industry

Max
3.88%
Q3
2.75%
Median
0.93%
Q1
0.00%
Min
0.00%

With a Dividend Yield of 3.61%, NOK offers a more attractive income stream than most of its peers in the Communications Equipment 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.

NOK vs. VRSN: A comparison of their Dividend Yield (TTM) against their respective Communications Equipment and IT Services industry benchmarks.

Dividend Payout Ratio (TTM)

NOK

50.74%

Communications Equipment Industry

Max
111.16%
Q3
55.91%
Median
28.42%
Q1
0.00%
Min
0.00%

NOK’s Dividend Payout Ratio of 50.74% is within the typical range for the Communications Equipment 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.

NOK vs. VRSN: A comparison of their Dividend Payout Ratio (TTM) against their respective Communications Equipment and IT Services industry benchmarks.

Dividend at a Glance

SymbolNOKVRSN
Dividend Yield (TTM)3.61%0.00%
Dividend Payout Ratio (TTM)50.74%0.00%

Valuation

Price-to-Earnings Ratio (TTM)

NOK

19.25

Communications Equipment Industry

Max
57.30
Q3
47.92
Median
27.50
Q1
17.89
Min
13.89

NOK’s P/E Ratio of 19.25 is within the middle range for the Communications Equipment 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

31.73

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.

NOK vs. VRSN: A comparison of their Price-to-Earnings Ratio (TTM) against their respective Communications Equipment and IT Services industry benchmarks.

Price-to-Sales Ratio (TTM)

NOK

1.02

Communications Equipment Industry

Max
11.03
Q3
5.53
Median
2.20
Q1
0.99
Min
0.40

NOK’s P/S Ratio of 1.02 aligns with the market consensus for the Communications Equipment 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.

NOK vs. VRSN: A comparison of their Price-to-Sales Ratio (TTM) against their respective Communications Equipment and IT Services industry benchmarks.

Price-to-Book Ratio (MRQ)

NOK

1.21

Communications Equipment Industry

Max
9.66
Q3
5.60
Median
3.73
Q1
2.67
Min
0.30

NOK’s P/B Ratio of 1.21 is in the lower quartile for the Communications Equipment 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.

NOK vs. VRSN: A comparison of their Price-to-Book Ratio (MRQ) against their respective Communications Equipment and IT Services industry benchmarks.

Valuation at a Glance

SymbolNOKVRSN
Price-to-Earnings Ratio (TTM)19.2531.73
Price-to-Sales Ratio (TTM)1.0215.88
Price-to-Book Ratio (MRQ)1.2111.17
Price-to-Free Cash Flow Ratio (TTM)13.2726.71