Stock analysis · Bull Rankings model

VRSK analysis

Verisk Analytics, Inc.Consulting Services. Scored on the same transparent model behind the daily rankings.

VRSK
Verisk Analytics, Inc. · Consulting Services
FCF$1.1bC+
Rev+5.9%C+
D/E
P/E29.2xB
PEG1.77C+
69.0Score
$190.15$24.7B
1Y Target$237.71Analyst consensus · 17 analysts
5Y Target$348.03Compound horizon
10Y Target$516.27Long-dated conviction
FCF$1.1bTTM
C+
FCF $1.1b — respectable but not differentiating
Rev+5.9%TTM YoY
C+
Revenue +5.9% — steady but below market-beating range
D/E
D/E data unavailable — neutral default
P/E29.2x
B
P/E 29.2 — near the Industrials median (≈60th pctile)
PEG1.77
C+
PEG 1.77 — modest premium; above fair value

Forward price target — the 1-year figure is the analyst consensus where the stock is covered; the 5- and 10-year figures compound our earnings estimate from there. The DCF below is a separate cross-check on intrinsic value (what it's worth today), not another target.

Quality-growth score · 69
Quality82.1
Growth70.6
Value56.6
Why this score
  • Buying back stock
  • Raising its dividend
  • Durable high returns
Entry · Margin of safety
52-week rangeNear 52-week low
31% off the 12-month high
vs DCF fair value12% belowest. fair value ~$216
What the price assumes: free cash flow compounding at ~5% a year for the next decade — vs the ~13% a year our model projects from current growth and analyst estimates.
Quality signals · context only
Gross profitability47% · A-gross profit ÷ total assets (Novy-Marx)

Model-generatedGenerated by the Bull Rankings model from this company's reported fundamentals, and checked against the figures shown above.

Why now
Verisk’s underwriting analytics platform, the backbone of U.S. insurers’ risk selection, is driving a high‑margin engine that is expanding at 5.9% revenue growth while delivering a 29.3% profit margin and generating $1.1 B of free cash flow. Those fundamentals underpin a compelling compounding story that the market is already pricing in, as reflected by the consensus 1‑yr target of $237.71. The thesis rests on the durability of its data‑driven underwriting suite continuing to capture incremental pricing power for insurers.
Moat
The moat comes from Verisk’s deep integration of underwriting data, rules, and catastrophe modelling into insurers’ core workflows, creating high switching costs and a de‑facto standard for policy pricing. This data moat is reinforced by proprietary loss‑cost algorithms that competitors cannot replicate quickly, locking in long‑term contracts with large carriers.
Risk
The stock trades at a lofty P/E of 28.6 despite only 5.9% revenue growth, and its ROE is a dismal -77.9%, indicating that earnings are being propped up by buybacks rather than intrinsic profitability. A slowdown in insurance underwriting spend or a shift to alternative data providers would compress margins and force the price back toward its 52‑week low of $155.94, breaking the bull case.
Horizon
1-3 yr $237.71 (17-analyst consensus) — fundamentals + valuation re-rating. 5 yr $348.03 at ~13% CAGR — compounding case rests on the competitive position widening. 10 yr $516.27 if current growth sustains into durable earnings power.
Not investment advice. The Bull Rankings publishes a quantitative ranking model and accompanying analysis for general informational purposes only. Nothing on this page is a recommendation to buy, sell, or hold any security; nothing is personalized to your circumstances, risk tolerance, or tax situation. Investing carries the risk of loss — invest at your own risk and consider consulting a licensed financial professional before acting on anything you read here. See terms and methodology for full disclosures.

VRSK vs the Top Picks average

PillarVRSKBook avgDiff
Quality0.820.84in line
Growth0.710.84-0.13
Value0.570.78-0.22

Averaged across the 30 names in today's Top Picks (mean score 81.5). A name can beat these averages and still be absent from the book — it also applies concentration limits.

Trend
-4.1 over 47 daily scores
From 73.1 (Jun 22) → 69.0 (now)

One point per daily model run. The range autoscales, so a flat-looking line can still hide 1–2 point moves — read the From → To values for the actual range.

Analyst estimate revisions

30-day change+0.3%
90-day change+0.4%
Forward EPS estimate$8.70

Over the last 90 days, what analysts expect VRSK to earn is essentially unchanged. The estimate is derived from price and forward P/E captured at the same instant, so a moving share price does not move this number — only a changed forecast does.

A rising estimate means expectations are improving, not that the price has failed to keep up — and estimates get cut as readily as they get raised. It is not part of the Bull Rankings score. Biggest movers across the market →

Shares to buy
10
Position size
$1,901
3.8% of portfolio
Stop price
$142.61
25% below $190.15
$ at risk if stopped
$475.37
budget $500.00 · 1% of portfolio

Math only — share count is floor(portfolio × risk% ÷ (price × stop%)). Doesn't account for commissions, slippage, gap risk, or position-correlation across your book. Inputs persist locally; never sent to the server. Not investment advice.

Verisk Analytics, Inc. (VRSK): score, valuation & FAQ

Verisk Analytics, Inc. (VRSK) is a Consulting Services company that scores 69 out of 100 on the Bull Rankings quality-growth model — a solid, above-average reading. The score blends three pillars — quality (durable returns, healthy margins, low leverage), growth (revenue and earnings), and value (valuation versus sector peers) — into one number, refreshed daily; it is a screen, not a buy recommendation.

On valuation, VRSK sits about 12% below our discounted-cash-flow fair value (a margin of safety) — the current price implies roughly 5% annual free-cash-flow growth over the next decade.

Is VRSK a good stock to buy?

Bull Rankings scores VRSK 69 out of 100 on its quality-growth model, which is a solid, above-average reading. A score is a quantitative screen of Verisk Analytics, Inc.'s fundamentals, not personalised financial advice — weigh it against your own time horizon and risk tolerance, and read the risk factors below before acting.

Why does VRSK score 69 on Bull Rankings?

The quality-growth score blends three pillars — quality (returns on capital, margins, leverage, earnings quality), growth (revenue and earnings expansion), and value (valuation versus sector peers). VRSK grades middle-of-pack across the strip. Each pillar is graded against sector-aware thresholds, then combined into the single 0–100 score.

Is VRSK overvalued or undervalued?

Based on $190.15, VRSK sits about 12% below our discounted-cash-flow fair value (a margin of safety) — the current price implies roughly 5% annual free-cash-flow growth over the next decade. It trades at a 29.2x P/E (graded B). Discounted-cash-flow estimates are sensitive to growth and discount-rate assumptions, so treat this as a cross-check, not a price target.

What are the main risks of investing in VRSK?

The stock trades at a lofty P/E of 28.6 despite only 5.9% revenue growth, and its ROE is a dismal -77.9%, indicating that earnings are being propped up by buybacks rather than intrinsic profitability. A slowdown in insurance underwriting spend or a shift to alternative data providers would compress margins and force the price back toward its 52‑week low of $155.94, breaking the bull case.

New to these metrics? The guides explain free cash flow, how the score works, and more in the learn hub — or run another name through the screener.

Bull Rankings is an automated fundamentals screen for research and education. It is not investment advice, and nothing here is a recommendation to buy or sell any security. Do your own research and consider consulting a licensed financial advisor.

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