VOL. XCIV, NO. 247

★ WIDE MOAT STOCKS COMPARISON ★

NO ADVICE

Wednesday, January 7, 2026

Stock Comparison

Paychex, Inc. vs VeriSign, Inc.

Compare moat strength, market structure, and segment coverage to understand how each company defends its edge.

Paychex, Inc.

PAYX · NASDAQ Global Select Market

Market cap (USD)$39.4B
Gross margin (TTM)73.4%
Operating margin (TTM)37.1%
Net margin (TTM)26.5%
SectorIndustrials
IndustryStaffing & Employment Services
CountryUS
Data as of2026-01-04
Moat score
66/ 100

Weighted average of segment moat scores, combining moat strength, durability, confidence, market structure, pricing power, and market share.

Full stock profile

Dive deeper into Paychex, Inc.'s moat claims, evidence, and risks.

View PAYX analysis

VeriSign, Inc.

VRSN · Nasdaq Global Select Market

Market cap (USD)$22.2B
Gross margin (TTM)88%
Operating margin (TTM)67.6%
Net margin (TTM)49.9%
SectorTechnology
IndustrySoftware - Infrastructure
CountryUS
Data as of2025-12-31
Moat score
100/ 100

Weighted average of segment moat scores, combining moat strength, durability, confidence, market structure, pricing power, and market share.

Full stock profile

Dive deeper into VeriSign, Inc.'s moat claims, evidence, and risks.

View VRSN analysis

Comparison highlights

  • Moat score gap: VeriSign, Inc. leads (100 / 100 vs 66 / 100 for Paychex, Inc.).
  • Segment focus: Paychex, Inc. has 3 segments (73% in Management Solutions); VeriSign, Inc. has 1 segment (100% in Naming Services (.com and .net registry)).
  • Primary market structure: Oligopoly vs Monopoly. Pricing power: Moderate vs Strong.
  • Moat breadth: Paychex, Inc. has 7 moat types across 4 domains; VeriSign, Inc. has 4 across 4.

Primary market context

Paychex, Inc.

Management Solutions

Market

Payroll processing and integrated HCM solutions for SMB and mid-market employers

Geography

United States (primarily)

Customer

Employers (SMB and mid-market)

Role

HCM SaaS + outsourced payroll/HR service provider

Revenue share

73%

VeriSign, Inc.

Naming Services (.com and .net registry)

Market

Registry operator services for .com and .net top-level domains (domain registrations + authoritative DNS resolution)

Geography

Global

Customer

ICANN-accredited domain registrars (wholesale) and, indirectly, registrants

Role

Registry operator / DNS infrastructure provider

Revenue share

100%

Side-by-side metrics

Paychex, Inc.
VeriSign, Inc.
Ticker / Exchange
PAYX - NASDAQ Global Select Market
VRSN - Nasdaq Global Select Market
Market cap (USD)
$39.4B
$22.2B
Gross margin (TTM)
73.4%
88%
Operating margin (TTM)
37.1%
67.6%
Net margin (TTM)
26.5%
49.9%
Sector
Industrials
Technology
Industry
Staffing & Employment Services
Software - Infrastructure
HQ country
US
US
Primary segment
Management Solutions
Naming Services (.com and .net registry)
Market structure
Oligopoly
Monopoly
Market share
n/a
100% (reported)
HHI estimate
n/a
10,000
Pricing power
Moderate
Strong
Moat score
66 / 100
100 / 100
Moat domains
Demand, Supply, Legal, Financial
Legal, Network, Supply, Financial
Last update
2026-01-04
2025-12-31

Moat coverage

Shared moat types

Float Prepayment

Paychex, Inc. strengths

Data Workflow LockinSuite BundlingService Field NetworkCompliance AdvantageUnderwriting Risk PoolingSwitching Costs General

VeriSign, Inc. strengths

Concession LicenseDe Facto StandardOperational Excellence

Segment mix

Paychex, Inc. segments

Full profile >

Management Solutions

Oligopoly

73%

PEO and Insurance Solutions

Competitive

24.1%

Client funds float (interest on funds held for clients)

Oligopoly

2.9%

VeriSign, Inc. segments

Full profile >

Naming Services (.com and .net registry)

Monopoly

100%

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Curation & Accuracy

This directory blends AI‑assisted discovery with human curation. Entries are reviewed, edited, and organized with the goal of expanding coverage and sharpening quality over time. Your feedback helps steer improvements (because no single human can capture everything all at once).

Details change. Pricing, features, and availability may be incomplete or out of date. Treat listings as a starting point and verify on the provider’s site before making decisions. If you spot an error or a gap, send a quick note and I’ll adjust.