With a market capitalization of $40.5 billion, New Jersey’s Verisk Analytics, Inc. (VRSK) leads in the field of data analytics, providing valuable insights to the insurance sector. The company plays a crucial role in helping clients boost operational efficiency, enhance underwriting, and improve claims handling while combating fraud. Verisk empowers businesses to manage complex risks related to climate change, extreme weather, sustainability, and political factors.
Fitting into the “large-cap” category, Verisk significantly surpasses the $10 billion mark. The company utilizes advanced data analytics, innovative software solutions, and extensive industry knowledge to foster resilience among individuals and businesses alike. With a global operation spanning over 20 countries, Verisk is well-positioned to tackle diverse challenges across various markets.
Recently, VRSK shares have pulled back 4% from their November peak of $296.58. However, in the past three months, the stock has seen a modest increase of around 4.3%, falling short of the broader Nasdaq Composite’s ($NASX) impressive 16.9% surge during the same period.
Looking at the long term, VRSK shares are up approximately 22.3% over the last year, and 19.3% year-to-date, yet they still trail behind NASX’s strong 37% annual increase and 31.5% YTD return.
Despite some fluctuations, the stock has remained above its 200-day moving average since early February and is currently trading above its 50-day moving average as well.
On October 30, VRSK shares rose more than 4% following a strong Q3 earnings report. The firm reported revenue of $725.3 million, reflecting a 7% year-over-year growth, surpassing Wall Street’s expectation of $723 million. Furthermore, adjusted earnings per share (EPS) rose to $1.67, marking a 9% increase, exceeding estimates by 4.2%.
In contrast, competitor TransUnion (TRU) has seen substantial returns, boasting a 56.8% increase over the past year and a 43% rise year-to-date.
Amid these dynamics, Wall Street remains cautiously optimistic regarding VRSK’s future. Analysts rate the stock as “Moderate Buy,” with a consensus price target of $298, indicating a potential 4.6% increase from its current value.
On the date of publication, Anushka Mukherjee did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
