VRSK VRSK

Name: VRSK Crucible Score
Creator: Kaladin Capital Intelligence

UnknownUnknownN/A📅 Scored March 19, 2026

Price at analysis: $188.47

Crucible Score

59.4

C+

Quality × Value Composite

KQI — Quality

64.0

B-

Fundamental Quality Index

KVI — Value

53.8

C-

Valuation Attractiveness Index

Crucible Verdict — VRSK

Verisk Analytics (VRSK) trades below fair value despite solid financial quality (84) and an impressive 88% earnings beat rate under CEO Lee Shavel's performance-driven leadership. The quality analytics provider faces growth headwinds (44 score) and limited diversification (38), creating a disconnect between its strong fundamentals and modest expansion prospects. The 12% upside to fair value offers reasonable entry for patient investors.

— Kal, Kaladin Capital Intelligence

◆ KQI Quality Dimensions

Financial Quality

84.5

Growth Profile⚠

44.0

Moat Durability

54.4

Management Effectiveness

74.4

Diversification & Resilience⚠

38.0

Market Position

68.0

Weakest dimension: Diversification & Resilience (38.0)

◆ KVI Value Dimensions

DCF Margin of Safety

65.0

FCF Yield & Cash Returns

47.5

Relative Valuation

54.8

Growth-Adjusted Value

16.6

Historical Valuation

89.7

Macro Context

56.8

◆ DCF Valuation Scenarios

Bear Case

$148.52

Base Case

$210.38

Bull Case

$296.14

Price at Analysis

$188.47

Scenario	Fair Value	Rev CAGR (5yr)	Terminal Margin	WACC
🔴 Bear	$148.52	5.0%	40.0%	8.9%
🟢 Base	$210.38	7.0%	44.0%	8.4%
🟢 Bull	$296.14	9.0%	47.0%	8.0%

Key Assumptions: VRSK has demonstrated consistent mid-single-digit organic revenue growth (~5-7% CAGR over 5 years) with strong and expanding operating margins (37-45% range, excluding the anomalous 56% year). WACC is computed using CAPM with a 5.5% ERP for the base case (beta 0.80), yielding ~8.4%. Net debt of ~$2,859M is subtracted from enterprise value; capex intensity has been declining slightly as the business scales its data analytics platform. Bear case assumes macro headwinds compress margins and slow growth to 5%, while bull case reflects accelerating subscription revenue and further operating leverage pushing margins toward 47%.

◆ Financial Snapshot

Profitability

Gross Margin67.3%

Operating Margin44.6%

Net Margin29.6%

ROIC21.1%

ROE1.7%

Balance Sheet

Balance SheetCR: 1.20

Cash ConversionFCF/EPS: 1.31x

Capital IntensityCapex/Rev: 7.9%

Altman Z-Score5.98 (Safe)

Piotroski F-Score6/9 (Good)

Growth

Revenue CAGR-40.6% CAGR (suspect)

Earnings CAGR-39.2% CAGR (suspect)

Growth ConsistencyCV: 5.44

Segment BreadthInsufficient segments

Quarterly TrendMargin↘, WC↓

Earnings CredibilityConsistent Beater

◆ Analyst Consensus & Leadership

Leadership & Governance

CEOLee Shavel · 6 years

CEO Ownership< 1%

Compensation80% performance-based

Insider ActivityBuying

Capital AllocationROIC 21.1% vs WACC 2.7%

Earnings Beat Rate88% (19/22)

◆ Related Companies in Our Universe

Other Unknown companies scored by the Crucible:

ADBE81.8A-NICE80.7A-DECK79.9A-INTU79.9A-EXEL78.3A-MTCH78.2A-TTD78.0B+

Methodology All Scores Crucible Briefs Performance @KaladinCI

Analysis conducted March 19, 2026 based on most recent SEC filings. Updated quarterly, after new SEC filings.

Point-in-time fundamental analysis. Not investment advice. Scores reflect company quality and valuation at time of analysis and may not reflect current market conditions.