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1. Company Snapshot

1.a. Company Description

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.

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1.b. Last Insights on VRSK

Verisk Analytics' recent performance was negatively impacted by its trimmed full-year revenue forecast, which fell below Wall Street estimates. The company's Q3 earnings beat estimates, but its mixed financial results and lowered guidance likely concerned investors. Analysts have cut their forecasts following the Q3 results. Despite this, Verisk's long-term fundamentals remain strong, with expected continued revenue, EBITDA, and EPS growth driven by recent acquisitions and AI initiatives. (Source: Verisk Analytics Will Keep Growing Its Bottom Lines Despite Warnings)

1.c. Company Highlights

2. Verisk's Q3 2025 Earnings: Strong Subscription Growth and AI Adoption

Verisk delivered a revenue growth of 5.9% to $768 million in Q3 2025, with organic constant currency revenue growth of 5.5% driven by strong subscription revenue growth of 8.7%. Net income was $226 million, a 2.5% increase versus the prior year, while diluted GAAP earnings per share were $1.61, up 5% versus the prior year. Adjusted net income increased 1% to $241 million, and diluted adjusted EPS increased 3% to $1.72, beating analyst estimates of $1.71. The increase in diluted GAAP EPS was driven by sales growth, operating leverage, and a lower average share count.

Publication Date: Oct -30

📋 Highlights
  • Organic Revenue Growth:: 5.5% organic constant currency revenue growth, driven by 8.7% subscription revenue growth (Q3 2025).
  • AI Adoption Momentum:: Over 40 clients using XactXpert AI solution, including 6 of top 10 carriers, with YTD sales performance doubling original quotas.
  • Strong Financial Performance:: Q3 net income of $226M (+2.5% YoY), $1.61 GAAP EPS (+5% YoY), and free cash flow of $336M (+40% YoY).
  • Subscription Revenue Dominance:: Subscription revenue accounted for 84% of total revenue, growing 8.7% OCC (Q3 2025), compounding on 9.1% growth in Q2 2025.
  • Guidance & Capital Allocation:: Full-year revenue guidance raised to $3.05–$3.08B; $100M stock repurchase and 15% dividend increase to $0.45/share.

Segment Performance

The company's organic constant currency results demonstrated balanced growth across the business, with underwriting revenue growing 5.8% and claims revenue growing 5%. Subscription revenues, which comprised 84% of total revenue in the quarter, grew 8.7% on an OCC basis. The company's largest businesses outperformed, and the launch of 3 new modules demonstrated the increased value being delivered to clients.

AI Adoption and Innovation

Verisk's clients are enthusiastically embracing the company's AI applications, with over 40 clients using XactXpert, including 6 of the top 10 carriers. The company's AI reliance on high-quality and usable data to train models is evident, and clients continue to reinforce the value of Verisk's content. Lee Shavel emphasized that AI is an accelerant to the effective utilization of Verisk's data sets, and the company is partnering with clients to deliver value and improve efficiency and connectivity.

Valuation and Outlook

With a P/E Ratio of 31.49 and an EV/EBITDA of 19.23, Verisk's valuation multiples suggest that the market is pricing in a certain level of growth. Analysts estimate next year's revenue growth at 10.0%, which may be achievable given the company's strong subscription growth and AI adoption. The company's guidance for the full year has been revised to exclude the impact of the AccuLynx transaction, with expected consolidated revenue in the range of $3.05 billion to $3.08 billion.

Dividend and Share Repurchase

Verisk remains committed to returning capital to shareholders, paying a $0.45 per share cash dividend, a 15% increase from last year, and repurchasing $100 million of common stock. The company has $1.2 billion in capacity under its share repurchase authorization, indicating a continued focus on shareholder returns.

3. NewsRoom

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Verisk Analytics, Inc. (VRSK) Presents at UBS Global Technology and AI Conference 2025 Transcript

Dec -03

Source: seekingalpha.com

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Carpe Data Joins Verisk ClaimSearch Ecosystem

Dec -02

Source: businesswire.com

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Top 15 High-Growth Dividend Stocks For December 2025

Dec -02

Source: seekingalpha.com

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Voya MidCap Opportunities Strategy Q3 2025 Portfolio Review

Dec -01

Source: seekingalpha.com

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Capital Fund Management S.A. Increases Stock Position in Verisk Analytics, Inc. $VRSK

Nov -28

Source: defenseworld.net

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Virtus Silvant Mid-Cap Growth Fund Q3 2025 Performance Review

Nov -26

Source: seekingalpha.com

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Verisk Analytics, Inc. $VRSK Stock Position Raised by Aviso Financial Inc.

Nov -25

Source: defenseworld.net

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2,959 Shares in Verisk Analytics, Inc. $VRSK Bought by ABN AMRO Bank N.V.

Nov -22

Source: defenseworld.net

4. Business Breakdown

4.a. Revenues by Country

4.b. Revenues by Segment

5. Expected revenues mid-term growth (8.50%)

6. Segments

Insurance

Expected Growth: 8.5%

Verisk Analytics’ data analytics solutions for insurance companies drive growth, fueled by increasing demand for data-driven decision making, expanding use of artificial intelligence, and rising need for risk management and compliance.

7. Detailed Products

ISO ClaimsSearch

A claims database that provides access to a vast repository of claims information, helping insurers to identify and prevent fraudulent activities.

AIR Worldwide

A catastrophe modeling platform that provides risk modeling and analytics solutions to help insurers and reinsurers manage their risk exposure.

Xactimate

A property estimation and claims management platform that helps insurers and contractors to estimate and manage property damage claims.

ISO Rating Service

A rating and underwriting platform that provides insurers with accurate and up-to-date rating information, enabling them to make informed underwriting decisions.

Verisk Maplecroft

A risk analytics platform that provides insights and analytics on political, economic, and environmental risks, helping organizations to manage their global risk exposure.

Wood Mackenzie

A research and analytics platform that provides insights and data on the energy, chemicals, and metals markets, helping organizations to make informed investment and operational decisions.

8. Verisk Analytics, Inc.'s Porter Forces

Forces Ranking

Threat Of Substitutes

Verisk Analytics, Inc. operates in a niche market, providing data analytics and risk assessment services to the insurance industry. While there are some substitutes available, they are not as comprehensive or specialized as Verisk's offerings, reducing the threat of substitutes.

Bargaining Power Of Customers

Verisk Analytics, Inc. has a diverse customer base, including many large insurance companies. While these customers have some bargaining power, Verisk's specialized services and strong brand reputation reduce their negotiating power.

Bargaining Power Of Suppliers

Verisk Analytics, Inc. has a diverse supplier base, and its suppliers have limited bargaining power. The company's strong financial position and long-term contracts with suppliers also reduce their negotiating power.

Threat Of New Entrants

The data analytics and risk assessment industry has high barriers to entry, including significant capital requirements and the need for specialized expertise. This reduces the threat of new entrants and allows Verisk Analytics, Inc. to maintain its market position.

Intensity Of Rivalry

The data analytics and risk assessment industry is moderately competitive, with several established players. However, Verisk Analytics, Inc.'s strong brand reputation, specialized services, and diversified customer base help it maintain a competitive edge.

9. SWOT Analysis

Strength

Weaknesses

Opportunities

Threats

10. Capital Structure

10.a. Balance Sheet

10.b. Weighted Average Cost of capital

Value
Debt Weight 90.90%
Debt Cost 4.99%
Equity Weight 9.10%
Equity Cost 7.86%
WACC 5.25%
Leverage 998.52%

11. Quality Control: Verisk Analytics, Inc. passed 6 out of 9 key points

12.a Historical Valuation

12.b Price/Earnings Ratio

12.c Margin Valuation

12.d Peers Valuation

Peers Group Analysis

Stock-Card
General Dynamics

A-Score: 6.0/10

Value: 3.6

Growth: 4.7

Quality: 6.2

Yield: 4.0

Momentum: 7.5

Volatility: 10.0

1-Year Total Return ->

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Stock-Card
Cummins

A-Score: 5.9/10

Value: 3.5

Growth: 5.7

Quality: 5.6

Yield: 4.0

Momentum: 8.0

Volatility: 8.7

1-Year Total Return ->

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Stock-Card
Caterpillar

A-Score: 5.6/10

Value: 2.0

Growth: 7.0

Quality: 7.0

Yield: 3.0

Momentum: 7.5

Volatility: 7.3

1-Year Total Return ->

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Stock-Card
Verisk Analytics

A-Score: 4.9/10

Value: 1.6

Growth: 6.2

Quality: 7.3

Yield: 1.0

Momentum: 4.0

Volatility: 9.0

1-Year Total Return ->

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Stock-Card
Resources Connection

A-Score: 4.5/10

Value: 8.5

Growth: 0.9

Quality: 3.8

Yield: 9.0

Momentum: 0.5

Volatility: 4.7

1-Year Total Return ->

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Stock-Card
Equifax

A-Score: 4.1/10

Value: 2.0

Growth: 5.8

Quality: 6.1

Yield: 1.0

Momentum: 3.5

Volatility: 6.3

1-Year Total Return ->

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Peers Metrics

12.e Scoring Insights

12.f DCF BETA

Parameters

Short Term Growth

Short term Time

Long-Term Growth

WACC

Target Price

221.24$

Current Price

221.24$

Potential

-0.00%

Expected Cash-Flows