Versant (NASDAQ:VSNT – Get Free Report) released its earnings results on Thursday. The company reported $1.99 EPS for the quarter, beating the consensus estimate of $1.69 by $0.30, FiscalAI reports. The business had revenue of $1.69 billion during the quarter.
Here are the key takeaways from Versant’s conference call:
- Versant said it had a strong start to 2026, with first-quarter adjusted EBITDA of $704 million, margins above 30%, and $558 million in free cash flow. Management emphasized disciplined execution and continued profitability despite pay TV headwinds.
- Total revenue was down 1% year over year to about $1.69 billion, as declines in linear distribution and advertising were partially offset by growth in platforms and content licensing. Linear distribution fell 7% and advertising declined 5%, but ad trends improved versus last year.
- The company highlighted strong audience performance across key brands, including CNBC posting its highest-rated quarter in four years and MS NOW delivering its most-watched quarter since 2024. Golf Channel, the Olympics coverage, and women’s sports also contributed to engagement gains.
- Platforms revenue rose 9%, driven by GolfNow and Fandango, and management said new initiatives like the MS NOW direct-to-consumer product and Fandango AVOD service are on track to launch later this year. The company also said it is expanding beyond TV with acquisitions like StockStory and Fandango One.
- Versant reiterated its full-year outlook of $6.15 billion to $6.4 billion in revenue, $1.85 billion to $2.0 billion in adjusted EBITDA, and $1.0 billion to $1.2 billion in free cash flow. It also continued capital returns with a $0.375 quarterly dividend, $100 million of share repurchases in Q1, and a new $100 million accelerated share repurchase.
Versant Price Performance
Shares of NASDAQ VSNT traded down $1.45 on Friday, hitting $42.98. The company had a trading volume of 3,367,444 shares, compared to its average volume of 2,028,712. Versant has a 12-month low of $27.17 and a 12-month high of $59.00. The company has a 50 day moving average price of $38.73. The company has a debt-to-equity ratio of 0.09, a current ratio of 4.02 and a quick ratio of 4.02.
Versant Announces Dividend
Key Stories Impacting Versant
Here are the key news stories impacting Versant this week:
- Positive Sentiment: Versant beat Q1 earnings expectations, reporting EPS of $1.99 versus the $1.69 consensus estimate, which supported the stock despite broader revenue softness.
- Positive Sentiment: Investors reacted favorably to strength in platforms and content licensing, with coverage noting those businesses outperformed expectations and helped offset weakness in traditional media.
- Positive Sentiment: Management said the company has more flexibility as a standalone business, including an accelerated buyback plan and potential to expand its sports portfolio beyond the NFL, which could improve long-term growth prospects. Article: Versant Eyes Expanded Sports Portfolio As Larger Rivals Focus On NFL — “There’s A Variety Of Content Coming” Says CEO Mark Lazarus
- Neutral Sentiment: Analysts and media reports highlighted a mixed quarter overall: revenue declined slightly, with lower linear distribution and advertising sales weighing on results, while digital and licensing areas provided bright spots. Article: Versant reports first-quarter revenue decline, with bright spots in platforms and licensing
- Negative Sentiment: Profit fell sharply year over year as lower ad revenue and higher costs tied to operating as a standalone company continued to pressure margins. Article: Versant Q1 profit tumbles 22% on lower linear, ad revenues and higher standalone company costs
- Negative Sentiment: Continued declines in subscriber numbers and ad sales underscore ongoing weakness in the pay-TV business, which remains a headwind for the stock. Article: Versant Revenue Slides on Lower Subscriber Numbers and Ad Sales
Wall Street Analysts Forecast Growth
VSNT has been the subject of several analyst reports. Wall Street Zen upgraded Versant to a “hold” rating in a research note on Saturday, January 24th. TD Cowen began coverage on Versant in a research report on Monday, March 2nd. They set a “hold” rating and a $32.00 price target for the company. Seaport Research Partners began coverage on Versant in a research report on Tuesday, March 31st. They set a “buy” rating and a $45.00 price target for the company. JPMorgan Chase & Co. began coverage on Versant in a research report on Tuesday. They set a “neutral” rating and a $43.00 price target for the company. Finally, Weiss Ratings raised Versant from a “sell (d)” rating to a “sell (d+)” rating in a research report on Thursday, May 7th. One analyst has rated the stock with a Buy rating, five have given a Hold rating and two have assigned a Sell rating to the company. Based on data from MarketBeat, the company currently has an average rating of “Reduce” and a consensus target price of $40.40.
View Our Latest Stock Report on Versant
Insider Transactions at Versant
In related news, Director David C. Novak bought 143,000 shares of the firm’s stock in a transaction dated Thursday, March 5th. The stock was bought at an average price of $36.85 per share, with a total value of $5,269,550.00. Following the completion of the transaction, the director directly owned 158,560 shares of the company’s stock, valued at approximately $5,842,936. This represents a 919.02% increase in their ownership of the stock. The acquisition was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, Director Gerald L. Hassell bought 10,000 shares of the firm’s stock in a transaction dated Monday, March 9th. The stock was bought at an average cost of $36.07 per share, with a total value of $360,700.00. Following the transaction, the director directly owned 12,680 shares of the company’s stock, valued at approximately $457,367.60. This trade represents a 373.13% increase in their ownership of the stock. Additional details regarding this purchase are available in the official SEC disclosure. Insiders purchased 154,350 shares of company stock valued at $5,679,039 over the last quarter. Company insiders own 7.60% of the company’s stock.
Institutional Investors Weigh In On Versant
Institutional investors and hedge funds have recently modified their holdings of the stock. Citizens National Bank Trust Department purchased a new stake in shares of Versant in the first quarter worth about $26,000. Root Financial Partners LLC acquired a new position in shares of Versant in the first quarter worth about $28,000. Parallel Advisors LLC acquired a new position in shares of Versant in the first quarter worth about $32,000. Advocate Investing Services LLC acquired a new position in shares of Versant in the first quarter worth about $33,000. Finally, Livforsakringsbolaget Skandia Omsesidigt acquired a new stake in Versant during the first quarter valued at approximately $35,000.
About Versant
Versant Corporation is a provider of data management software. The Company designs, develops, markets and supports database management system products that companies use to solve data management and data integration issues. It also provides related product support, training and consulting services to assist users of the Company’s products in developing and deploying software applications based on its products. The Company’s Versant Object Database product is used primarily by enterprises, which have data management requirements, such as technology providers, telecommunications carriers, Government defense agencies, defense contractors, healthcare companies and companies in the financial services and transportation industries.
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