Orin
VRSKNasdaq·Consulting Services

Verisk Analytics, Inc. VRSK

Market cap $22.8BP/E 26.3× trailingGross margin 67.7%Reports Wed 4 Nov, before the open
$174.80
+3.00 (+1.74%)live 09:35 ET
52-wk $155.94 – $253.35
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Orin's take
0.62conviction · moderate
Refreshed 2 Sep · take v7. A new filing or a print queues the next refresh.

Verisk continues to beat earnings — Q2 2026 actual EPS of $1.98 exceeded the $1.93 estimate by 2.6% — and generates robust free cash flow ($1.19B in FY2025 at a 38.8% FCF margin), but revenue growth is decelerating (4.4% YoY in Q2 2026 versus 7.8% in Q2 2025) and total debt of $5.04B against just $309M of equity creates material balance-sheet risk. At 29.8x trailing earnings — roughly 14% above the peer median of 26.2x — with a third-party DCF suggesting fair value of $104 versus the current $194.35 close, valuation leaves limited room for error even as technicals recover (bullish MACD histogram of 1.159, stock above the 50-day MA of $189.92).

The combination of slowing top-line growth, elevated leverage, and a premium multiple supports holding until growth reaccelerates or leverage meaningfully declines.

What could go wrong

  • Leverage. Total debt of $5.04B against equity of $309M as of FY2025 leaves minimal balance-sheet flexibility for further acquisitions or downturn-driven stress.
  • Growth deceleration. Q2 2026 revenue growth of 4.4% YoY is well below the 7.8% posted in Q2 2025, suggesting core demand is cooling.
  • Valuation stretch. At 29.8x trailing PE (~14% above peer median of 26.2x), a third-party DCF estimates fair value at $104, implying significant downside from $194.35.
  • Insider selling. Net insider disposition value of $11.68M over the trailing 24 months, with recent CEO and CFO stock sales at $179.95–$220.00 per share.

What would change my mind

Revenue reacceleration. Quarterly revenue growth returns above 6% YoY for two consecutive quartersbullish
Deleveraging. Total debt declines below $4.5B or debt-to-EBITDA improves materially from FY2025 levelsbullish
Further growth slowdown. Revenue growth falls below 3% YoY in any quarter or EPS misses consensusbearish
Multiple compression. Stock breaks and sustains below the 200-day MA of $195.01 for multiple weeksbearish

Where this comes from: earnings_surprises (period ending 2026-07-29) · FMP FY2025 fundamentals + derived_metrics · quarterly_results (Q2 2026 and Q2 2025) · FMP FY2025 fundamentals. Orin's read on VRSK; not advice.

Twelve months actual closes to 2026-09-23 · actual filings

Sept 25Nov 25Jan 26Mar 26May 26Jul 26

50-day average 200-day average · volume below

Largest holders · 13F Q2 2026

Money flow
FilerPositionOf fund
Vanguard Capital Management$1.5B0.0% of fund
Alliancebernstein L.P$1.1B0.4% of fund
Vanguard Portfolio Management$1.1B0.1% of fund
State Street$1.0B0.0% of fund
Bamco /Ny/$844.3M1.3% of fund
Morgan Stanley$826.0M0.0% of fund

100 filers · quarter ended Q2 2026 · positions, not flows

Insiders, last 24 months: 144 Form 4 filings, net −$12.4M. Of the 50 on hand, 3 were open-market purchases and 14 sales— the rest are grants, option exercises and tax withholding.

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Where it trades

vs its own 5y · Industrials
MetricNowOwn medianSector
P/E26.3×40.9×44.5×
EV/EBITDA15.9×25.4×
P/S7.13×13.06×

Its P/E sits below all 5 of the last 5 years (−1.52σ from its own mean).

What the price assumes

6.8%

free-cash-flow growth every year for 10 years, discounted at 10%, is what today’s price implies — starting from $1.2B of trailing free cash flow. It is an assumption the market is making, not a forecast Orin is making.

What Wall Street published

25 firms · 2026-09-23
Consensus target

$225

$185$247 · +29% against today's price

How they rate it
  • 9 buy or overweight
  • 15 hold
  • 1 underweight or sell

The analysts’ consensus and their own ratings, not Orin’s. A target is a twelve-month opinion published by the firm that wrote it.

Against the companies it is compared to

median P/E 27.2× of 8 peers
CompanyMarket capP/EEV/EBITDAGrossNetROE
VRSKVerisk Analytics, Inc.$22B26.3×15.9×67.7%28.2%-212%
EFXEquifax Inc.$18B27.1×12.4×44.4%10.7%15%
EMEEMCOR Group, Inc.$33B23.5×14.7×19.7%7.7%38%
HUBBHubbell Incorporated$24B27.4×20.1×35.2%14.5%24%
IRIngersoll Rand Inc.$30B31.1×17.0×37.9%12.1%9%
ODFLOld Dominion Freight Line, Inc.$37B34.2×20.2×31.7%19.4%25%
RKLBRocket Lab USA, Inc.$41B37.3%-21.5%-8%
UALUnited Airlines Holdings, Inc.$36B10.3×7.1×65.1%5.6%23%
VLTOVeralto Corporation$23B24.0×18.2×60.2%17.3%33%
WABWestinghouse Air Brake Technologies Corporation$49B39.2×22.7×34.3%10.6%11%

The median is of the 8 peers listed above and nothing else — check it against the column. This company trades 3.2% below it. The peer set is the vendor’s, so a company can appear here that a person would not have chosen.

What it has traded at

P/E by fiscal year
FY14 26.6×FY25 34.4×

What its sector has traded at

Industrials
FY14 173.5×FY26 32.7×

Two scales, drawn separately on purpose: a sector median and one company’s multiple are not the same number and putting them on one axis invites a comparison neither series supports.

Discounted cash flow

not recomputed since
ModelFair valueAgainstComputed
Standard DCF$300$184.25 · +63%2026-06-10
Levered DCF$277$184.25 · +50%2026-06-10

The vendor’s intrinsic-value models. Treat them as a low-growth anchor — for a fast grower the market routinely pays well above a DCF. These were computed against the price in the “against” column, not today’s.

Every estimate on one scale

price $174.80
52-week range$156 – $253
Analyst targets$185 – $247
Standard DCF$300 as of 2026-06-10, when it was $184.25
Levered DCF$277 as of 2026-06-10, when it was $184.25
At own 5y-median P/E (41×)$267
At 5y P/E range (29–57×)$190 – $372
At sector P/E (45×)$290

The vertical rule is the current price. Ranges and point estimates are the backend’s, published as they were calculated; an arrow means the estimate sits beyond this scale, and its number is on the right.