Using the PEG framework with historical EPS growth of 8.0% plus 0.9% dividend yield, VeriSign, Inc. has a fair value of $75.79 based on NTM EPS (FY2026) of $9.47. The current PEG ratio is 3.88.
PEG < 1 = bargain, 1–1.5 = fair, > 2 = expensive.
PEG tends to undervalue slow growers — consider dividend yield and asset value instead.
| EPS Growth RateHistorical | 5.9% |
| Dividend Yield | +0.9% |
| Adjusted Growth (clamped 8–25%)Clamped | 8.0% |
| Fair P/E | 8.0x |
| NTM EPS (FY2026) | $9.47 |
| Fair Value | $75.79 |
| Period | EPS Est. | Growth | Analysts |
|---|---|---|---|
| FY2025 (actual) | $8.81 | — | — |
| FY2026E | $9.47 | +7.5% | 3 |
1Y Forward EPS CAGR: 7.5%
| Year | Net Income | EPS | YoY |
|---|---|---|---|
| FY2021 | $784.8M | $7.00 | — |
| FY2022 | $673.8M | $6.24 | -10.9% |
| FY2023 | $817.6M | $7.90 | +26.6% |
The PEG Fair Value uses the Price/Earnings-to-Growth framework. A stock is fairly valued when its P/E ratio equals its earnings growth rate (PEG = 1.0). This model adds dividend yield to the growth rate per the original PEGY formula.
Growth rate priority: analyst consensus forward EPS CAGR (when ≥ 3 analysts cover the stock), falling back to historical EPS CAGR. Using EPS rather than net income avoids distortion from share buybacks. The growth rate is clamped between 8% and 25% — below 8% would undervalue stable earners, while above 25% would overvalue unsustainable spikes.
| FY2024 | $785.7M | $8.00 | +1.3% |
| FY2025 | $825.7M | $8.81 | +10.1% |
4Y Historical EPS CAGR: 5.9%