The latest leaked documents show that Berkshire Hathaway, the "stock god" Buffett, has increased its holdings by $28.55 million in the past week to buy 143000 shares of VeriSign (VRSN. US) in the three trading days ending on Christmas Eve.
If pushed back to the six trading days before the 24th, Berkshire Hathaway spent a total of $73.95 million (approximately RMB 540 million) to acquire 377700 shares of VeriSign stock, with a weighted average purchase price of approximately $195.8 per share.
Berkshire Hathaway currently holds 13.7% of VeriSign's outstanding shares, valued at nearly $2.7 billion, making it the company's largest shareholder.
In the long run, VeriSign is a big bull stock, rising from less than $3 per share to over $250 per share, with the highest increase since going public exceeding 85 times. Since 2019, it has been fluctuating between $150 and $250, with the latest report being $203.95.
According to the information, VeriSign is a company that invests in internet domain registration (VRSN. US). Mainly responsible for managing the registration services of top-level domains such as. com and. net, and is one of the largest market share holders in this market.
VeriSign is doing high gross profit business by collecting "rent" from Internet domain names. Its main business is the annual fee for the use of domain names. By virtue of the agreement with ICANN (Internet Name and Digital Address Distribution Agency) and the U.S. Department of Commerce, each domain name registrant with suffixes such as. com/. net/. org finally needs to pay a certain annual fee to Verisign every year.
ICANN allows Verisign to increase prices by 7% annually from 2020 to 2023. The next price increase cycle is from 2026 to 2029, and the price increase rate will still be 7% per year.
Buffett initially purchased shares of VeriSign in 2013 and has not adjusted his shareholding ratio for many years. This increase in holdings may indicate its focus on the long-term value of VeriSign.