Verisign

Revenues are highly predictable due to recurring renewals. The business effectively operates as a tollbooth: 170–171 million domains (as of 2024/2025) each renew annually. Renewal rates have been in the mid-70% range; for instance, Q1 2025’s final renewal was 75.5% (vs 74.1% a year earlier)).

New registrations typically grow slowly or even decline (172.7M at end-2023 vs 169.0M at end-2024), but because the base is large and sticky the underlying cash flow is stable. Verisign’s revenue grew modestly 4–6% per year recently (e.g. 2024: +4%)). This isn’t a high-growth tech story, but it is very steady and repeatable, which we value.

Business concentration (two TLDs) is a risk factor, but renewal income is extremely reliable. For such a predictable, subscription-like model we rate predictability 80/100.