Verisk Analytics, Inc.
$178.33
-0.43%Verisk Analytics, Inc. provides data analytics solutions in the United States and internationally. The company provides predictive analytics and decision support solutions to customers in rating, underwriting, claims, catastrophe and weather risk, global risk analytics, natural resources intelligence, economic forecasting, commercial banking and finance, and various other fields. It operates in three segments: Insurance, Energy and Specialized Markets, and Financial Services. The Insurance segment focuses on the prediction of loss, selection and pricing of risk, and compliance with their reporting requirements for property and casualty customers, as well as develops machine learned and artificially intelligent models to forecast scenarios and produce standard and customized analytics that help its customers to manage their businesses, including detecting fraud before and after a loss event, and quantifying losses. The Energy and Specialized Markets segment provides data analytics for the natural resources value chain, including energy, chemicals, metals, mining, power, and renewables sectors; research and consulting services focusing on supporting customer capital allocation decisions, asset valuation and benchmarking, commodity markets, and corporate analysis; and consultancy services in the areas of business environment, business improvement, business strategies, commercial advisory, and transaction support, as well as analysis and advice on assets, companies, governments, and markets. The Financial Services segment offers benchmarking, decisioning algorithms, business intelligence, and customized analytic services to financial institutions, payment networks and processors, alternative lenders, regulators, and merchants. The company was founded in 1971 and is headquartered in Jersey City, New Jersey.
At a Glance
Live SnapshotIntrinsic Alpha Methodology
Thesis Lenses
Signal
High confidenceValuation multiple is elevated (P/E 27.4).
Valuation inputs: P/E 27.4, earnings yield +3.7%, momentum -0.4%.
If multiples stay elevated while momentum fades, downside repricing risk rises.
Driver
High confidenceReturn profile is acceptable (ROE +2.9%, ROIC +19.6%).
Profitability stack: net margin +29.6%, ROE +2.9%, ROIC +19.6%.
Quality deterioration often appears in margins before it shows up in headline EPS.
Risk
High confidenceRisk profile is balanced but has notable pressure points to monitor.
Risk factors: liabilities/assets +95.0%, momentum -0.4%, net margin +29.6%.
Higher leverage with weak momentum and thin margins can amplify drawdown severity.
Verisk Analytics, Inc. Market vs Earnings Trajectory
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Verisk Analytics, Inc. Fair Value Envelope
Verisk Analytics, Inc. Profit Bridge
Profitability Analysis
Gross Margin
Exceptional pricing power and cost management. The company retains over half of revenue after direct costs.
Operating Margin
Outstanding operational efficiency. The company generates substantial profit from core operations.
Net Profit Margin
Exceptional profitability. The company converts a significant portion of revenue to bottom-line earnings.
Effective Tax Rate
Moderate tax rate typical for most corporations. Represents standard tax burden on profits.
Profitability Insight
Exceptional profitability across all levels: Strong pricing power, efficient operations, and healthy bottom line indicate a high-quality business with sustainable competitive advantages.
Verisk Analytics, Inc. Cash Conversion Engine
Cash Flow Quality Analysis
FCF Conversion Rate
Excellent cash generation. The company converts earnings to cash at or above 100%, indicating high-quality earnings.
CapEx Intensity
Asset-light business model. Low capital requirements leave more cash available for shareholders and growth investments.
FCF Growth Trend
Strong FCF growth demonstrates improving cash generation and business momentum. Positive signal for sustainability.
Working Capital Impact
Working capital inflow boosted cash flow. Efficient management of receivables, inventory, and payables contributing positively.
Cash Flow Quality Insight
Exceptional cash generation: High-quality earnings converting to growing free cash flow. The company demonstrates strong pricing power, efficient operations, and disciplined capital allocation.
Verisk Analytics, Inc. Funding & Solvency Profile
Financial Health Analysis
Current Ratio
Acceptable liquidity, but monitor closely. Current assets just barely cover current liabilities.
Working Capital
Positive working capital, but relatively tight. The company should monitor cash flow carefully.
Asset Composition
Capital-intensive business with significant long-term investments in property, equipment, or intangibles.
Verisk Analytics, Inc. Street Expectations Map
Wall Street analysts project that VRSK stock may rise significantly over the coming 12 months. The consensus 1-year price target stands at 231.25, with estimates ranging from a low of 223.00 to a high of 260.00.
The consensus 1-year price target stands at 231.25, with estimates ranging from a low of 223.00 to a high of 260.00.
Analyst Consensus Analysis
Upside Potential
Substantial upside potential. Analysts see significant value gap, suggesting the stock may be materially undervalued at current levels.
Analyst Agreement
High analyst agreement. Narrow target range indicates strong consensus on valuation, suggesting clear investment thesis and predictable outlook.
Analyst Conviction
Strong buy conviction: High upside with tight consensus suggests compelling investment opportunity backed by analyst confidence.
Market Sentiment Insight
Rare opportunity: Exceptional upside potential with strong analyst consensus creates a compelling setup. The combination of significant price target premium and tight agreement suggests high-conviction undervaluation that may attract institutional capital.
Verisk Analytics, Inc. Insider Positioning
During the last 12 months, insiders have purchased $1.02M and sold $9.36M worth of VRSK shares, resulting in $8.34M of net selling activity.
3 Months
0
0.00
5.9K
1.02M
-1.0M
-$1.02M
3-6 Months
2.5K
449.28K
300
65.86K
+383K
+$383K
6-9 Months
1.4K
314.66K
3.1K
694.95K
-380K
-$380K
9-12 Months
1.0K
259.80K
26.3K
7.58M
-7.3M
-$7.32M
Top Buyers
Perry Christopher John
Director
$440K
Hendrick Gregory
Director
$198K
Stevenson Kimberly S
Director
$179K
Dailey Jeffrey J
Director
$109K
Purtill Sabra R.
Director
$98K
Top Sellers
Daffan Nicholas
Officer: Chief Information Officer
$6.26M
Shavel Lee
Director, Officer: Chief Executive Officer
$1.07M
Hansen Bruce Edward
Director
$809K
Mann Elizabeth
Officer: Chief Financial Officer
$758K
Liss Samuel G
Director
$362K
Insider Activity Analysis
Net Insider Sentiment
Strong bearish signal with $8.34M net selling. Heavy insider selling may indicate concerns about valuation or near-term prospects.
Buy/Sell Ratio
Weak buy/sell ratio. Selling significantly exceeds buyingโmonitor for potential fundamental concerns.
Recent Trend (3 Months)
Heavy recent selling activity. Recent insider sales notably exceed purchasesโmay warrant investigation into company developments.
Insider Participation
5 insider buyers and 5 sellers. Equal participation suggests mixed or neutral insider views.
Insider Activity Insight
Multiple red flags: Heavy selling, numerous sellers, and continued recent selling create a concerning pattern. Investigate fundamental drivers and consider whether company guidance or industry conditions have deteriorated.
vrsk Dividend History
Learning Layer
Related Guides
Build conviction on VRSK by pairing this stock hub with focused valuation guides.
Research Paths
Snapshot
Start with context, operating signals, and key market metrics.
Value Model
Stress test fair value across bear, base, and bull assumptions.
Statements
Validate revenue quality, margins, and balance sheet durability.
Earnings Call
Read management commentary and compare it with reported outcomes.
Dividends
Check payout sustainability and long-term distribution behavior.
Analyst Expectations
Review consensus spread and where estimate risk is concentrated.