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|  | JANUARY 27, 2005
 WORD ON THE STREET Citigroup Downgrades Verisign Analyst Christopher R. DeBiase says the e-commerce security company's Jamba business growth is not enough to offset increased sales and marketing costs Citigroup downgrades Verisign (VRSN ) to hold from buy. Analyst Christopher R. DeBiase says he is downgrading the stock and cutting his $38 target to $29 on the view that its earnings per share upside is limited in 2005. He says, while Jamba remains a solid growth engine, he doesn't expect it to be strong enough to offset increased sales and marketing that the company plans to spend on this business. Hence, he doesn't believe the upside in revenues will result in an upside to earnings per share. He believes that the earnings leverage due to company's ringtone business won't be seen until 2006. DeBiase revises his 2005 estimates to 91 cents earnings per share on $1.55 billion in revenue from 92 cents earnings per share on $1.5 bilion in revenue. The company sees 90 cents 2005 earnings per share on $1.5 billion to $1.55 billion in revenue.  All of the views expressed in this research report accurately reflect the research analyst's personal views regarding any and all of the subject securities or issuers. No part of analyst compensation was, is or will be, directly or indirectly related to the specific recommendations or views expressed in this research report. Standard & Poor's Regulatory Disclosure Any advice, analysis, or recommendations contained in articles labeled "Insight from Standard & Poor's" reflect the views of Standard & Poor's, which operates separately from and independently of BusinessWeek Online. It is possible that BWOL may from time to time publish information that is not consistent with advice, analysis, or recommendations that are published by Standard & Poor's. Standard & Poor's and BusinessWeek Online are each units of The McGraw-Hill Companies, Inc.
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