Berkshire Hathaway is now the largest stakeholder of the internet firm
Shares of network infrastructure company VeriSign Inc. (NASDAQ:VRSN) were up 1.6% at $208.43 at last check, following news that Warren Buffett's Berkshire Hathaway (BRK.A) increased its stake in the company. The conglomerate purchased shares last week and added 76,487 more this week, worth around $15.6 million. Berkshire is now the largest shareholder of the internet firm, known for its high profit margins.
Calls have been popular during the past two weeks of trading. This is per VRSN's 10-day call/put volume ratio of 3.74 at the International Securities Exchange (ISE), Cboe Options Exchange (CBOE), and NASDAQ OMX PHLX (PHLX), which stands above 96% of readings from the past 12 months.
For those looking to move in on the security, options look like an affordable way to go. VeriSign stock's Schaeffer's Volatility Index (SVI) of 20% ranks in the 15th percentile of its annual range, implying options traders are pricing in lower-than-usual volatility expectations.
VeriSign stock sat out of the S&P 500 Index's (SPX) 2024 rally, adding just 0.7% against the SPX's 24.1% year-to-date gain. On track for its eighth-straight win, VRSN is trading at its highest level since December 2023 and staring at a 10.7% monthly gain -- its best since October 2022.