VERRA MOBILITY CORP (VRRM) Fundamental Analysis & Valuation
NASDAQ:VRRM • US92511U1025
Current stock price
15.11 USD
-0.07 (-0.46%)
At close:
15.11 USD
0 (0%)
After Hours:
This VRRM fundamental analysis includes valuation metrics, fair value assessment, financial health analysis, profitability trends, growth metrics and dividend sustainability analysis.
1. VRRM Profitability Analysis
1.1 Basic Checks
- In the past year VRRM was profitable.
- In the past year VRRM had a positive cash flow from operations.
- In the past 5 years VRRM has always been profitable.
- VRRM had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
- VRRM has a Return On Assets of 8.30%. This is in the better half of the industry: VRRM outperforms 76.14% of its industry peers.
- VRRM has a better Return On Equity (46.64%) than 96.59% of its industry peers.
- Looking at the Return On Invested Capital, with a value of 13.12%, VRRM belongs to the top of the industry, outperforming 85.23% of the companies in the same industry.
- VRRM had an Average Return On Invested Capital over the past 3 years of 11.88%. This is in line with the industry average of 10.44%.
- The last Return On Invested Capital (13.12%) for VRRM is above the 3 year average (11.88%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.3% | ||
| ROE | 46.64% | ||
| ROIC | 13.12% |
ROA(3y)4.48%
ROA(5y)4.19%
ROE(3y)24.01%
ROE(5y)25.6%
ROIC(3y)11.88%
ROIC(5y)9.85%
1.3 Margins
- VRRM's Profit Margin of 13.96% is amongst the best of the industry. VRRM outperforms 87.50% of its industry peers.
- In the last couple of years the Profit Margin of VRRM has grown nicely.
- The Operating Margin of VRRM (24.35%) is better than 97.73% of its industry peers.
- VRRM's Operating Margin has improved in the last couple of years.
- Looking at the Gross Margin, with a value of 92.25%, VRRM belongs to the top of the industry, outperforming 100.00% of the companies in the same industry.
- VRRM's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 24.35% | ||
| PM (TTM) | 13.96% | ||
| GM | 92.25% |
OM growth 3Y3.12%
OM growth 5Y20.45%
PM growth 3Y3.81%
PM growth 5YN/A
GM growth 3Y-0.49%
GM growth 5Y0.17%
2. VRRM Health Analysis
2.1 Basic Checks
- With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), VRRM is creating some value.
- VRRM has less shares outstanding than it did 1 year ago.
- Compared to 5 years ago, VRRM has less shares outstanding
- The debt/assets ratio for VRRM has been reduced compared to a year ago.
2.2 Solvency
- VRRM has an Altman-Z score of 2.05. This is not the best score and indicates that VRRM is in the grey zone with still only limited risk for bankruptcy at the moment.
- Looking at the Altman-Z score, with a value of 2.05, VRRM is in line with its industry, outperforming 42.05% of the companies in the same industry.
- VRRM has a debt to FCF ratio of 7.52. This is a slightly negative value and a sign of low solvency as VRRM would need 7.52 years to pay back of all of its debts.
- VRRM has a Debt to FCF ratio (7.52) which is comparable to the rest of the industry.
- VRRM has a Debt/Equity ratio of 3.49. This is a high value indicating a heavy dependency on external financing.
- Looking at the Debt to Equity ratio, with a value of 3.49, VRRM is doing worse than 77.27% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 3.49 | ||
| Debt/FCF | 7.52 | ||
| Altman-Z | 2.05 |
ROIC/WACC1.28
WACC10.28%
2.3 Liquidity
- VRRM has a Current Ratio of 2.09. This indicates that VRRM is financially healthy and has no problem in meeting its short term obligations.
- Looking at the Current ratio, with a value of 2.09, VRRM is in the better half of the industry, outperforming 60.23% of the companies in the same industry.
- A Quick Ratio of 2.00 indicates that VRRM should not have too much problems paying its short term obligations.
- The Quick ratio of VRRM (2.00) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.09 | ||
| Quick Ratio | 2 |
3. VRRM Growth Analysis
3.1 Past
- The Earnings Per Share has been growing slightly by 6.50% over the past year.
- Measured over the past years, VRRM shows a quite strong growth in Earnings Per Share. The EPS has been growing by 9.06% on average per year.
- VRRM shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 11.36%.
- VRRM shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 19.99% yearly.
EPS 1Y (TTM)6.5%
EPS 3Y9.06%
EPS 5YN/A
EPS Q2Q%-9.09%
Revenue 1Y (TTM)11.36%
Revenue growth 3Y9.7%
Revenue growth 5Y19.99%
Sales Q2Q%16.42%
3.2 Future
- Based on estimates for the next years, VRRM will show a small growth in Earnings Per Share. The EPS will grow by 5.64% on average per year.
- VRRM is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 4.71% yearly.
EPS Next Y5.21%
EPS Next 2Y9.99%
EPS Next 3Y9.08%
EPS Next 5Y5.64%
Revenue Next Year6.53%
Revenue Next 2Y6.7%
Revenue Next 3Y5.41%
Revenue Next 5Y4.71%
3.3 Evolution
- The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
- When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. VRRM Valuation Analysis
4.1 Price/Earnings Ratio
- VRRM is valuated reasonably with a Price/Earnings ratio of 11.53.
- 72.73% of the companies in the same industry are more expensive than VRRM, based on the Price/Earnings ratio.
- Compared to an average S&P500 Price/Earnings ratio of 27.47, VRRM is valued rather cheaply.
- The Price/Forward Earnings ratio is 10.96, which indicates a very decent valuation of VRRM.
- Based on the Price/Forward Earnings ratio, VRRM is valued a bit cheaper than the industry average as 76.14% of the companies are valued more expensively.
- Compared to an average S&P500 Price/Forward Earnings ratio of 22.62, VRRM is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.53 | ||
| Fwd PE | 10.96 |
4.2 Price Multiples
- Based on the Enterprise Value to EBITDA ratio, VRRM is valued a bit cheaper than the industry average as 72.73% of the companies are valued more expensively.
- Based on the Price/Free Cash Flow ratio, VRRM is valued a bit cheaper than 62.50% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 16.79 | ||
| EV/EBITDA | 9.24 |
4.3 Compensation for Growth
- The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates VRRM does not grow enough to justify the current Price/Earnings ratio.
- VRRM has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)2.21
PEG (5Y)N/A
EPS Next 2Y9.99%
EPS Next 3Y9.08%
5. VRRM Dividend Analysis
5.1 Amount
- VRRM does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
VRRM Fundamentals: All Metrics, Ratios and Statistics
15.11
-0.07 (-0.46%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustryIT Services
Earnings (Last)02-24 2026-02-24/amc
Earnings (Next)05-12 2026-05-12/amc
Inst Owners106.18%
Inst Owner Change-0.09%
Ins Owners1.01%
Ins Owner Change1.41%
Market Cap2.30B
Revenue(TTM)979.08M
Net Income(TTM)136.63M
Analysts82.86
Price Target26.35 (74.39%)
Short Float %2.64%
Short Ratio2.17
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-0.26%
Min EPS beat(2)-5.88%
Max EPS beat(2)5.36%
EPS beat(4)3
Avg EPS beat(4)0.73%
Min EPS beat(4)-5.88%
Max EPS beat(4)5.36%
EPS beat(8)6
Avg EPS beat(8)1.7%
EPS beat(12)9
Avg EPS beat(12)2.43%
EPS beat(16)11
Avg EPS beat(16)3.12%
Revenue beat(2)2
Avg Revenue beat(2)6.43%
Min Revenue beat(2)4.82%
Max Revenue beat(2)8.05%
Revenue beat(4)3
Avg Revenue beat(4)3.29%
Min Revenue beat(4)-0.61%
Max Revenue beat(4)8.05%
Revenue beat(8)4
Avg Revenue beat(8)1.18%
Revenue beat(12)7
Avg Revenue beat(12)1.18%
Revenue beat(16)9
Avg Revenue beat(16)0.93%
PT rev (1m)-11.93%
PT rev (3m)-11.93%
EPS NQ rev (1m)-1.55%
EPS NQ rev (3m)-18.66%
EPS NY rev (1m)-0.18%
EPS NY rev (3m)-0.43%
Revenue NQ rev (1m)-1.2%
Revenue NQ rev (3m)-7.61%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.29%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.53 | ||
| Fwd PE | 10.96 | ||
| P/S | 2.34 | ||
| P/FCF | 16.79 | ||
| P/OCF | 8.97 | ||
| P/B | 7.84 | ||
| P/tB | N/A | ||
| EV/EBITDA | 9.24 |
EPS(TTM)1.31
EY8.67%
EPS(NY)1.38
Fwd EY9.12%
FCF(TTM)0.9
FCFY5.96%
OCF(TTM)1.68
OCFY11.14%
SpS6.45
BVpS1.93
TBVpS-4.06
PEG (NY)2.21
PEG (5Y)N/A
Graham Number7.53942 (-50.1%)
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.3% | ||
| ROE | 46.64% | ||
| ROCE | 16.61% | ||
| ROIC | 13.12% | ||
| ROICexc | 13.75% | ||
| ROICexgc | 40.97% | ||
| OM | 24.35% | ||
| PM (TTM) | 13.96% | ||
| GM | 92.25% | ||
| FCFM | 13.96% |
ROA(3y)4.48%
ROA(5y)4.19%
ROE(3y)24.01%
ROE(5y)25.6%
ROIC(3y)11.88%
ROIC(5y)9.85%
ROICexc(3y)12.64%
ROICexc(5y)10.49%
ROICexgc(3y)46.78%
ROICexgc(5y)45.87%
ROCE(3y)15.03%
ROCE(5y)12.46%
ROICexgc growth 3Y-7.25%
ROICexgc growth 5Y28.41%
ROICexc growth 3Y15.66%
ROICexc growth 5Y40.35%
OM growth 3Y3.12%
OM growth 5Y20.45%
PM growth 3Y3.81%
PM growth 5YN/A
GM growth 3Y-0.49%
GM growth 5Y0.17%
F-Score8
Asset Turnover0.59
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 3.49 | ||
| Debt/FCF | 7.52 | ||
| Debt/EBITDA | 2.9 | ||
| Cap/Depr | 104.4% | ||
| Cap/Sales | 12.16% | ||
| Interest Coverage | 3.67 | ||
| Cash Conversion | 72.57% | ||
| Profit Quality | 100.06% | ||
| Current Ratio | 2.09 | ||
| Quick Ratio | 2 | ||
| Altman-Z | 2.05 |
F-Score8
WACC10.28%
ROIC/WACC1.28
Cap/Depr(3y)73.51%
Cap/Depr(5y)55.34%
Cap/Sales(3y)9.09%
Cap/Sales(5y)7.66%
Profit Quality(3y)282.18%
Profit Quality(5y)287.35%
High Growth Momentum
Growth
EPS 1Y (TTM)6.5%
EPS 3Y9.06%
EPS 5YN/A
EPS Q2Q%-9.09%
EPS Next Y5.21%
EPS Next 2Y9.99%
EPS Next 3Y9.08%
EPS Next 5Y5.64%
Revenue 1Y (TTM)11.36%
Revenue growth 3Y9.7%
Revenue growth 5Y19.99%
Sales Q2Q%16.42%
Revenue Next Year6.53%
Revenue Next 2Y6.7%
Revenue Next 3Y5.41%
Revenue Next 5Y4.71%
EBIT growth 1Y2.52%
EBIT growth 3Y13.12%
EBIT growth 5Y44.53%
EBIT Next Year24.3%
EBIT Next 3Y14.42%
EBIT Next 5Y10.11%
FCF growth 1Y-10.52%
FCF growth 3Y-7.03%
FCF growth 5Y43.33%
OCF growth 1Y14.38%
OCF growth 3Y5.43%
OCF growth 5Y40.39%
VERRA MOBILITY CORP / VRRM Fundamental Analysis FAQ
Can you provide the ChartMill fundamental rating for VERRA MOBILITY CORP?
ChartMill assigns a fundamental rating of 6 / 10 to VRRM.
Can you provide the valuation status for VERRA MOBILITY CORP?
ChartMill assigns a valuation rating of 6 / 10 to VERRA MOBILITY CORP (VRRM). This can be considered as Fairly Valued.
How profitable is VERRA MOBILITY CORP (VRRM) stock?
VERRA MOBILITY CORP (VRRM) has a profitability rating of 9 / 10.
What are the PE and PB ratios of VERRA MOBILITY CORP (VRRM) stock?
The Price/Earnings (PE) ratio for VERRA MOBILITY CORP (VRRM) is 11.53 and the Price/Book (PB) ratio is 7.84.
What is the expected EPS growth for VERRA MOBILITY CORP (VRRM) stock?
The Earnings per Share (EPS) of VERRA MOBILITY CORP (VRRM) is expected to grow by 5.21% in the next year.