VRSN vs. WEX: A Head-to-Head Stock Comparison
Updated onHere’s a clear look at VRSN and WEX, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.
Company Profile
| Symbol | VRSN | WEX |
|---|---|---|
| Company Name | VeriSign, Inc. | WEX Inc. |
| Country | United States | United States |
| GICS Sector | Information Technology | Financials |
| GICS Industry | IT Services | Financial Services |
| Market Capitalization | 23.61 billion USD | 4.76 billion USD |
| Exchange | NasdaqGS | NYSE |
| Listing Date | January 30, 1998 | February 16, 2005 |
| Security Type | Common Stock | Common Stock |
Historical Performance
This chart compares the performance of VRSN and WEX 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 | VRSN | WEX |
|---|---|---|
| 5-Day Price Return | 2.11% | -6.66% |
| 13-Week Price Return | -6.30% | -21.49% |
| 26-Week Price Return | -8.36% | -0.88% |
| 52-Week Price Return | 36.70% | -23.97% |
| Month-to-Date Return | 5.45% | -6.15% |
| Year-to-Date Return | 22.19% | -21.91% |
| 10-Day Avg. Volume | 0.85M | 0.51M |
| 3-Month Avg. Volume | 0.90M | 0.40M |
| 3-Month Volatility | 22.03% | 28.55% |
| Beta | 0.75 | 1.01 |
Profitability
Return on Equity (TTM)
VRSN
113.55%
IT Services Industry
- Max
- 37.08%
- Q3
- 19.28%
- Median
- 14.70%
- Q1
- 6.70%
- Min
- -8.16%
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.
WEX
25.83%
Financial Services Industry
- Max
- 34.42%
- Q3
- 16.76%
- Median
- 9.18%
- Q1
- 3.90%
- Min
- -10.16%
In the upper quartile for the Financial Services industry, WEX’s Return on Equity of 25.83% signals a highly effective use of shareholder capital to drive profitability compared to most of its peers.
Net Profit Margin (TTM)
VRSN
49.86%
IT Services Industry
- Max
- 17.01%
- Q3
- 11.02%
- Median
- 6.91%
- Q1
- 3.07%
- Min
- -5.13%
VRSN’s Net Profit Margin of 49.86% 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.
WEX
10.82%
Financial Services Industry
- Max
- 52.16%
- Q3
- 25.33%
- Median
- 13.11%
- Q1
- 7.04%
- Min
- -8.99%
WEX’s Net Profit Margin of 10.82% is aligned with the median group of its peers in the Financial Services industry. This indicates its ability to convert revenue into profit is typical for the sector.
Operating Profit Margin (TTM)
VRSN
67.62%
IT Services Industry
- Max
- 23.01%
- Q3
- 15.32%
- Median
- 9.57%
- Q1
- 4.91%
- Min
- -9.58%
VRSN’s Operating Profit Margin of 67.62% 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.
WEX
24.96%
Financial Services Industry
- Max
- 81.07%
- Q3
- 40.32%
- Median
- 19.93%
- Q1
- 10.20%
- Min
- -34.40%
WEX’s Operating Profit Margin of 24.96% is around the midpoint for the Financial Services industry, indicating that its efficiency in managing core business operations is typical for the sector.
Profitability at a Glance
| Symbol | VRSN | WEX |
|---|---|---|
| Return on Equity (TTM) | 113.55% | 25.83% |
| Return on Assets (TTM) | 57.26% | 2.01% |
| Net Profit Margin (TTM) | 49.86% | 10.82% |
| Operating Profit Margin (TTM) | 67.62% | 24.96% |
| Gross Profit Margin (TTM) | 87.97% | 63.19% |
Financial Strength
Current Ratio (MRQ)
VRSN
0.53
IT Services Industry
- Max
- 3.02
- Q3
- 1.91
- Median
- 1.36
- Q1
- 1.02
- Min
- 0.49
VRSN’s Current Ratio of 0.53 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.
WEX
0.57
Financial Services Industry
- Max
- 4.36
- Q3
- 2.26
- Median
- 1.33
- Q1
- 0.86
- Min
- 0.01
For the Financial Services industry, the Current Ratio is often not the most suitable measure of short-term liquidity.
Debt-to-Equity Ratio (MRQ)
VRSN
1.07
IT Services Industry
- Max
- 2.55
- Q3
- 1.30
- Median
- 0.55
- Q1
- 0.14
- 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.
WEX
4.49
Financial Services Industry
- Max
- 5.07
- Q3
- 2.14
- Median
- 0.55
- Q1
- 0.11
- Min
- 0.00
The Debt-to-Equity Ratio is often not the primary focus for assessing leverage in the Financial Services industry.
Interest Coverage Ratio (TTM)
VRSN
27.96
IT Services Industry
- Max
- 129.00
- Q3
- 56.00
- Median
- 11.69
- Q1
- 1.68
- 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.
WEX
2.14
Financial Services Industry
- Max
- 140.54
- Q3
- 57.67
- Median
- 6.72
- Q1
- 1.93
- Min
- -33.27
The Interest Coverage Ratio is often not a primary indicator of debt servicing capacity in the Financial Services industry.
Financial Strength at a Glance
| Symbol | VRSN | WEX |
|---|---|---|
| Current Ratio (MRQ) | 0.53 | 0.57 |
| Quick Ratio (MRQ) | 0.48 | 0.56 |
| Debt-to-Equity Ratio (MRQ) | 1.07 | 4.49 |
| Interest Coverage Ratio (TTM) | 27.96 | 2.14 |
Growth
Revenue Growth
EPS Growth
Dividend
Dividend Yield (TTM)
VRSN
0.65%
IT Services Industry
- Max
- 4.66%
- Q3
- 2.02%
- Median
- 0.66%
- Q1
- 0.00%
- Min
- 0.00%
VRSN’s Dividend Yield of 0.65% is consistent with its peers in the IT Services industry, providing a dividend return that is standard for its sector.
WEX
0.00%
Financial Services Industry
- Max
- 7.52%
- Q3
- 3.60%
- Median
- 1.75%
- Q1
- 0.00%
- Min
- 0.00%
WEX 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)
VRSN
0.00%
IT Services Industry
- Max
- 93.78%
- Q3
- 63.22%
- Median
- 24.64%
- 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.
WEX
0.00%
Financial Services Industry
- Max
- 132.10%
- Q3
- 64.32%
- Median
- 17.51%
- Q1
- 0.00%
- Min
- 0.00%
WEX 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 | VRSN | WEX |
|---|---|---|
| Dividend Yield (TTM) | 0.65% | 0.00% |
| Dividend Payout Ratio (TTM) | 0.00% | 0.00% |
Valuation
Price-to-Earnings Ratio (TTM)
VRSN
27.39
IT Services Industry
- Max
- 45.03
- Q3
- 30.25
- Median
- 21.01
- Q1
- 16.50
- Min
- 0.00
VRSN’s P/E Ratio of 27.39 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.
WEX
17.49
Financial Services Industry
- Max
- 46.13
- Q3
- 28.79
- Median
- 13.18
- Q1
- 9.14
- Min
- 0.47
WEX’s P/E Ratio of 17.49 is within the middle range for the Financial 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.
Price-to-Sales Ratio (TTM)
VRSN
13.65
IT Services Industry
- Max
- 5.24
- Q3
- 4.01
- Median
- 2.18
- Q1
- 1.08
- Min
- 0.00
With a P/S Ratio of 13.65, 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.
WEX
1.89
Financial Services Industry
- Max
- 9.71
- Q3
- 4.81
- Median
- 2.49
- Q1
- 1.25
- Min
- 0.04
The P/S Ratio is often not a primary valuation tool in the Financial Services industry.
Price-to-Book Ratio (MRQ)
VRSN
11.17
IT Services Industry
- Max
- 9.42
- Q3
- 5.79
- Median
- 3.70
- Q1
- 2.30
- Min
- 0.79
At 11.17, VRSN’s P/B Ratio is at an extreme premium to the IT Services industry. This signifies that the market’s valuation is heavily reliant on future potential rather than its current net asset value, which can be a high-risk proposition.
WEX
4.83
Financial Services Industry
- Max
- 7.21
- Q3
- 3.51
- Median
- 1.52
- Q1
- 0.88
- Min
- 0.08
WEX’s P/B Ratio of 4.83 is in the upper tier for the Financial 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 | VRSN | WEX |
|---|---|---|
| Price-to-Earnings Ratio (TTM) | 27.39 | 17.49 |
| Price-to-Sales Ratio (TTM) | 13.65 | 1.89 |
| Price-to-Book Ratio (MRQ) | 11.17 | 4.83 |
| Price-to-Free Cash Flow Ratio (TTM) | 22.10 | 4.24 |