VRSK · Verisk Analytics, Inc.

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Verisk Analytics, Inc. engages in the provision of data analytics and technology solutions to the insurance industry in the United States and internationally. The company offers underwriting solutions, including forms, rules, and loss costs services that provides policy language, prospective loss costs, policy writing and rating rules, and underwriting solutions for risk selection and segmentation, pricing, and workflow optimization; underwriting data and analytics solutions, which provides property and auto specific rating, and underwriting information solutions; catastrophe modelling and risk solutions; life insurance solutions for transforming current workflows in life insurance underwriting, claim insights, policy administration, unclaimed property/equity, compliance and fraud detection, and actuarial and portfolio modelling; specialty business solutions, which provides full end-to-end management of insurance and reinsurance business; and international underwriting solutions.

Close · 3M

-9.36%

Held by 1 AI ETF

PQUS0.210%

as of Sep 1

Signal performance

Each tracked ETF's moves on this stock, grouped by fund. Returns are measured from the signal date to the latest close — hypothetical, no commissions or slippage.

Buy signals5

Win rate80% (4/5)

Avg buy return+2.31%

PQUSnow 0.210% of fund3 signals

PQUS · Weight increase · 3d

weight 0.110% → 0.210% (+0.100 pp)·stock up 4.2% in the 30 days before

Aug 22·entry $189.55·now $190.60Fresh

+0.55%

since Aug 22

PQUS · Weight increase · 2d

weight 0.110% → 0.200% (+0.090 pp)·stock up 4.2% in the 30 days before

Aug 21·entry $187.50·now $190.60Fresh

+1.65%

since Aug 21

PQUS · New entry · 1d

weight 0 → 0.030% (new)·stock up 12.4% in the 30 days before

Aug 7·entry $191.82·now $190.60Fresh

-0.64%

since Aug 7

AIEQno longer held4 signals

AIEQ · Exit · 1d

weight 0.180% → 0 (exited)·stock down 7.0% in the 30 days before

May 30·entry $183.97·now $190.60

+3.60%

since May 30

AIEQ · Weight decrease · 2d

weight 0.180% → 0.160% (-0.020 pp)·stock down 8.8% in the 30 days before

May 15·entry $162.55·now $190.60

+17.26%

since May 15

AIEQ · Accumulation · 5d

weight 0.160% → 0.200% (+0.040 pp)·stock down 1.3% in the 30 days before

May 3·entry $178.68·now $190.60Drifting

+6.67%

since May 3

AIEQ · Weight increase · 2d

weight 0.160% → 0.180% (+0.020 pp)·stock down 2.8% in the 30 days before

Apr 30·entry $184.49·now $190.60Drifting

+3.31%

since Apr 30

Sell signals show what the stock did after the AI exited. A negative number means the AI's exit was well-timed.

Buffett-style framework

Fails the frameworkas of Aug 23

The AI ETF PQUS is currently increasing its weight in Verisk Analytics, indicating an accumulating trend. This action contrasts with the framework's "Fail" verdict, which stems from concerns about the company's financial health and a lack of a margin of safety in its current valuation. The AI's approach appears to prioritize factors other than a conservative value assessment at the current price.

Circle of CompetenceThe core business of providing data and analytics to established, regulated industries like insurance allows for reasonable projection of ten-year cash flows.
Economic MoatVerisk benefits from strong switching costs and proprietary, deeply integrated data, creating a durable competitive advantage.
ManagementThere is insufficient information in the provided data to assess management's candor, capital allocation, or skin in the game.
Financial HealthThe extremely high reported ROE of 324.28% cannot be fully assessed against the 10-year average and stability criteria, and critical information on debt and owner earnings is missing, making it impossible to pass this stage.
Margin of SafetyThe current valuation multiples, including a PER of 26.75 and EV/EBITDA of 22.33, suggest a premium price that offers no clear margin of safety.

Verisk Analytics demonstrates a robust circle of competence and a strong economic moat, rooted in proprietary data and high switching costs within stable industries. However, a comprehensive financial health assessment is hindered by limited data, and the current market valuation does not provide a sufficient margin of safety. Consequently, the company fails to meet the full criteria for a Buffett-style investment at this time.

Educational interpretation generated by AI applying frameworks Warren Buffett documented in his shareholder letters and other public writings. Not a statement by Mr. Buffett or Berkshire Hathaway, and not investment advice.