Citi sees good entry point amid VeriSign ‘bearish narratives’

Citi analyst Ygal Arounian says “bearish narratives” for VeriSign (VRSN) have emerged despite the company’s “strong” Q3 results and increased domain guidance. The bear thesis centers around parked domain advertising changes as well as promotional activity leading to lower quality adds, the analyst told investors earlier in a research note. However, Citi believes VeriSign’s Q3 report and management’s commentary adequately addressed much of the concerns. It views current share levels as an attractive entry point and keeps a Buy rating on VeriSign with a $337 price target The stock in afternoon trading is down 3% to $241.84.