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VeriSign (VRSN) to Report Q4 Earnings: What's in Store?

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VeriSign, Inc. (VRSN - Free Report) is set to report fourth-quarter 2021 results on Feb 10, after the closing bell.

The Zacks Consensus Estimate for fourth-quarter earnings has remained stable with the year-ago reported figure of $1.38 per share.

The consensus mark for revenues is pegged at $340 million, indicating an increase of 6.3% from the year-ago quarter’s reported figure.

The company’s earnings beat the Zacks Consensus Estimate in three of the trailing four quarters, missing in one, delivering an earnings surprise of 3.3%, on average.

Factors to Note

VeriSign’s fourth-quarter earnings are expected to have benefited from solid growth across .com and .net domain name registrations. A recovering global economy on the back of an avant-garde, critical Internet infrastructure might have boosted the company’s performance in the to-be-reported quarter.

VeriSign ended third-quarter 2021 with 172.1 million .com and .net domain name registrations, up 5.1% year over year. The company processed 10.7 million new domain name registrations for .com and .net compared with 10.9 million in the year-ago quarter.

Per VeriSign’s latest The Domain Name Industry Brief report, domain name registrations decreased 6.1 million or 1.6% year over year to 364.6 million across all top-level domains at the end of third-quarter 2021. Domain name registrations decreased 2.7 million or 0.7% sequentially.

However, escalating operating expenses related to cybersecurity and infrastructure spending are likely to have weighed on the company’s fourth-quarter operating margin.

Earnings Whispers

Our proven model does not predict an earnings beat for VeriSign this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat. This is not the case here.

Earnings ESP: VeriSign’s Earnings ESP, which represents the difference between the Most Accurate Estimate and the Zacks Consensus Estimate, is 0.00%. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.

VeriSign, Inc. Price and EPS Surprise

Zacks Rank: VeriSign currently has a Zacks Rank #3.

Stocks to Consider

Here are a few companies that you may want to consider as our model shows that these have the right combination of elements to post an earnings beat this quarter:

Sensus Healthcare, Inc. (SRTS - Free Report) is slated to release fourth-quarter 2021 results on Feb 10. It has an Earnings ESP of +65.00% and currently sports a Zacks Rank #1. You can see the complete list of today’s Zacks #1 Rank stocks here.

The Zacks Consensus Estimate for Sensus Healthcare’s current-year earnings has increased from a loss of 2 cents per share to earnings of 3 cents per share in the past 60 days. SRTS shares have surged 96.7% in the past year. The company delivered a trailing four-quarter earnings surprise of 108.1%, on average.

Monolithic Power Systems, Inc. (MPWR - Free Report) is scheduled to release fourth-quarter 2021 results on Feb 10. It has an Earnings ESP of +2.83% and carries a Zacks Rank #2.

Monolithic Power Systems has a long-term earnings growth expectation of 25%. The Zacks Consensus Estimate for its current-year earnings has been revised 0.1% upward in the past 60 days. MPWR shares have returned 4.7% in the past year. The company delivered a trailing four-quarter earnings surprise of 6.4%, on average.

Alpine Income Property Trust, Inc. (PINE - Free Report) will report fourth-quarter 2021 results on Feb 10. It has an Earnings ESP of +10.34% and carries a Zacks Rank #2.

Alpine Income Property Trust has a long-term earnings growth expectation of 6%. The Zacks Consensus Estimate for its current-year earnings has been revised 2% upward in the past 60 days. PINE shares have gained 10% in the past year. The company delivered a trailing four-quarter earnings surprise of 2.7%, on average.

Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar.

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