Corpay, Inc. (CPAY) vs VeriSign, Inc. (VRSN)

Corpay, Inc. and VeriSign, Inc. are both Software Infrastructure companies. Corpay, Inc. and VeriSign, Inc. are of similar size ($26.4B and $26.3B). Corpay, Inc. trades at the lower P/E: 23.9× against 31.1×. Corpay, Inc. grew revenue faster over the last twelve months: 20.4% against 6.86%. VeriSign, Inc. has the higher net margin (49.8% vs 22.6%) and the higher return on invested capital (0.00% vs 0.00%). Across the 20 metrics below, Corpay, Inc. leads on 14 and VeriSign, Inc. on 6.

Valuation

Metric CPAY VRSN Software Infrastructure median
P/E 23.94 31.12 28.02
P/S 5.20 15.27 3.07
P/B 7.27 n/m 3.36
Price to free cash flow 15.93 24.47 17.12
EV/EBITDA 8.27 23.32 14.91
EV/Sales 4.39 16.03 3.03
Earnings yield 4.18% 3.21% 0.13%
Free cash flow yield 6.28% 4.09% 1.15%

Profitability

Metric CPAY VRSN Software Infrastructure median
Gross margin 100.00% 88.47% 61.23%
Operating margin 43.74% 67.86% 0.00%
Net margin 22.58% 49.77% 0.00%
Free cash flow margin 32.63% 62.42% 1.67%
Return on equity 30.01% (40.02%) 0.59%
Return on assets 4.66% 52.95% 0.00%
Return on invested capital 0.00% 0.00% 0.00%

Growth

Metric CPAY VRSN Software Infrastructure median
Revenue growth (TTM) 20.36% 6.86% 13.41%
EPS growth (last fiscal year) 7.59% 10.13% —
Revenue growth, 5-year CAGR 13.65% 5.54% 15.81%
Net income growth, 5-year CAGR 8.69% 0.26% 0.00%

Health

Metric CPAY VRSN Software Infrastructure median
Debt to equity 1.70 (1.04) 0.06
Current ratio 0.97 0.59 1.55
Net debt to EBITDA (0.97) 1.06 0.08

Dividend

Metric CPAY VRSN Software Infrastructure median
Dividend yield — — 1.53%
Payout ratio 0.00 0.00 0.00

Size

Metric CPAY VRSN Software Infrastructure median
Market cap 26.28b 26.36b 835.96m

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