VERRA MOBILITY CORP (VRRM) Fundamental Analysis & Valuation
NASDAQ:VRRM • US92511U1025
Current stock price
15 USD
+0.1 (+0.67%)
At close:
15.0379 USD
+0.04 (+0.25%)
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.
- In the past 5 years VRRM always reported a positive cash flow from operatings.
1.2 Ratios
- Looking at the Return On Assets, with a value of 8.30%, VRRM is in the better half of the industry, outperforming 76.14% of the companies in the same industry.
- VRRM's Return On Equity of 46.64% is amongst the best of the industry. VRRM outperforms 97.73% 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.
- Measured over the past 3 years, the Average Return On Invested Capital for VRRM is in line with the industry average of 10.44%.
- The 3 year average ROIC (11.88%) for VRRM is below the current ROIC(13.12%), indicating increased profibility in the last year.
| 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 has a Profit Margin of 13.96%. This is amongst the best in the industry. VRRM outperforms 87.50% of its industry peers.
- In the last couple of years the Profit Margin of VRRM has grown nicely.
- VRRM has a Operating Margin of 24.35%. This is amongst the best in the industry. VRRM outperforms 97.73% of its industry peers.
- In the last couple of years the Operating Margin of VRRM has grown nicely.
- The Gross Margin of VRRM (92.25%) is better than 100.00% of its industry peers.
- 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.
- The number of shares outstanding for VRRM has been reduced compared to 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
- An Altman-Z score of 2.04 indicates that VRRM is not a great score, but indicates only limited risk for bankruptcy at the moment.
- VRRM has a Altman-Z score (2.04) which is in line with its industry peers.
- The Debt to FCF ratio of VRRM is 7.52, which is on the high side as it means it would take VRRM, 7.52 years of fcf income to pay off all of its debts.
- Looking at the Debt to FCF ratio, with a value of 7.52, VRRM is in line with its industry, outperforming 52.27% of the companies in the same industry.
- A Debt/Equity ratio of 3.49 is on the high side and indicates that VRRM has dependencies on debt financing.
- VRRM has a Debt to Equity ratio of 3.49. This is in the lower half of the industry: VRRM underperforms 77.27% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 3.49 | ||
| Debt/FCF | 7.52 | ||
| Altman-Z | 2.04 |
ROIC/WACC1.33
WACC9.88%
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.
- VRRM has a better Current ratio (2.09) than 60.23% of its industry peers.
- A Quick Ratio of 2.00 indicates that VRRM should not have too much problems paying its short term obligations.
- VRRM has a Quick ratio (2.00) which is in line with its industry peers.
| 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.
- Looking at the last year, VRRM shows a quite strong growth in Revenue. The Revenue has grown by 11.36% in the last year.
- 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
- VRRM is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 5.64% yearly.
- The Revenue is expected to grow by 4.71% on average over the next years.
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.
- The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. VRRM Valuation Analysis
4.1 Price/Earnings Ratio
- Based on the Price/Earnings ratio of 11.45, the valuation of VRRM can be described as reasonable.
- Based on the Price/Earnings ratio, VRRM is valued a bit cheaper than the industry average as 76.14% of the companies are valued more expensively.
- When comparing the Price/Earnings ratio of VRRM to the average of the S&P500 Index (27.34), we can say VRRM is valued rather cheaply.
- A Price/Forward Earnings ratio of 10.88 indicates a reasonable valuation of VRRM.
- VRRM's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. VRRM is cheaper than 76.14% of the companies in the same industry.
- VRRM is valuated cheaply when we compare the Price/Forward Earnings ratio to 38.18, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.45 | ||
| Fwd PE | 10.88 |
4.2 Price Multiples
- Based on the Enterprise Value to EBITDA ratio, VRRM is valued a bit cheaper than 72.73% of the companies in the same industry.
- Compared to the rest of the industry, the Price/Free Cash Flow ratio of VRRM indicates a somewhat cheap valuation: VRRM is cheaper than 63.64% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 16.61 | ||
| EV/EBITDA | 9.17 |
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.
- The excellent profitability rating of VRRM may justify a higher PE ratio.
PEG (NY)2.2
PEG (5Y)N/A
EPS Next 2Y9.99%
EPS Next 3Y9.08%
5. VRRM Dividend Analysis
5.1 Amount
- No dividends for VRRM!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
VRRM Fundamentals: All Metrics, Ratios and Statistics
15
+0.1 (+0.67%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustryIT Services
Earnings (Last)02-24 2026-02-24/amc
Earnings (Next)05-05 2026-05-05/amc
Inst Owners106.18%
Inst Owner Change0.03%
Ins Owners1.01%
Ins Owner Change1.41%
Market Cap2.27B
Revenue(TTM)979.08M
Net Income(TTM)136.63M
Analysts82.86
Price Target26.35 (75.67%)
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 | 11.45 | ||
| Fwd PE | 10.88 | ||
| P/S | 2.32 | ||
| P/FCF | 16.61 | ||
| P/OCF | 8.88 | ||
| P/B | 7.75 | ||
| P/tB | N/A | ||
| EV/EBITDA | 9.17 |
EPS(TTM)1.31
EY8.73%
EPS(NY)1.38
Fwd EY9.19%
FCF(TTM)0.9
FCFY6.02%
OCF(TTM)1.69
OCFY11.27%
SpS6.47
BVpS1.94
TBVpS-4.08
PEG (NY)2.2
PEG (5Y)N/A
Graham Number7.55
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 | 2.04 |
F-Score8
WACC9.88%
ROIC/WACC1.33
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 11.45 and the Price/Book (PB) ratio is 7.75.
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.