VERRA MOBILITY CORP (VRRM) Fundamental Analysis & Valuation
NASDAQ:VRRM • US92511U1025
Current stock price
15.35 USD
-0.11 (-0.71%)
At close:
15.35 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.
- VRRM had positive earnings in each of the past 5 years.
- Each year in the past 5 years VRRM had a positive operating cash flow.
1.2 Ratios
- VRRM has a better Return On Assets (8.30%) than 76.14% of its industry peers.
- VRRM has a Return On Equity of 46.64%. This is amongst the best in the industry. VRRM outperforms 97.73% of its industry peers.
- The Return On Invested Capital of VRRM (13.12%) is better than 85.23% of its industry peers.
- 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 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.
- Looking at the Operating Margin, with a value of 24.35%, VRRM belongs to the top of the industry, outperforming 97.73% of the companies in the same industry.
- 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
- VRRM has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
- VRRM has less shares outstanding than it did 1 year ago.
- VRRM has less shares outstanding than it did 5 years ago.
- The debt/assets ratio for VRRM has been reduced compared to a year ago.
2.2 Solvency
- An Altman-Z score of 2.08 indicates that VRRM is not a great score, but indicates only limited risk for bankruptcy at the moment.
- VRRM's Altman-Z score of 2.08 is in line compared to the rest of the industry. VRRM outperforms 42.05% of 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.
- VRRM has a Debt to FCF ratio of 7.52. This is comparable to the rest of the industry: VRRM outperforms 52.27% of its industry peers.
- VRRM has a Debt/Equity ratio of 3.49. This is a high value indicating a heavy dependency on external 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 | 2.08 |
ROIC/WACC1.27
WACC10.3%
2.3 Liquidity
- A Current Ratio of 2.09 indicates that VRRM has no problem at all paying 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
- VRRM shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 6.50%.
- The Earnings Per Share has been growing by 9.06% on average over the past years. This is quite good.
- 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
- When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
- 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
- A Price/Earnings ratio of 11.72 indicates a reasonable valuation of VRRM.
- 76.14% of the companies in the same industry are more expensive than VRRM, based on the Price/Earnings ratio.
- VRRM is valuated cheaply when we compare the Price/Earnings ratio to 27.71, which is the current average of the S&P500 Index.
- With a Price/Forward Earnings ratio of 11.14, the valuation of VRRM can be described as very reasonable.
- 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.
- When comparing the Price/Forward Earnings ratio of VRRM to the average of the S&P500 Index (38.09), we can say VRRM is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.72 | ||
| Fwd PE | 11.14 |
4.2 Price Multiples
- Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of VRRM indicates a somewhat cheap valuation: VRRM is cheaper than 72.73% of the companies listed in the same industry.
- Based on the Price/Free Cash Flow ratio, VRRM is valued a bit cheaper than the industry average as 63.64% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 17.06 | ||
| EV/EBITDA | 9.39 |
4.3 Compensation for Growth
- The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
- VRRM has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)2.25
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
15.35
-0.11 (-0.71%)
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 Cap2.33B
Revenue(TTM)979.08M
Net Income(TTM)136.63M
Analysts82.86
Price Target26.35 (71.66%)
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 | 11.72 | ||
| Fwd PE | 11.14 | ||
| P/S | 2.38 | ||
| P/FCF | 17.06 | ||
| P/OCF | 9.12 | ||
| P/B | 7.96 | ||
| P/tB | N/A | ||
| EV/EBITDA | 9.39 |
EPS(TTM)1.31
EY8.53%
EPS(NY)1.38
Fwd EY8.98%
FCF(TTM)0.9
FCFY5.86%
OCF(TTM)1.68
OCFY10.97%
SpS6.45
BVpS1.93
TBVpS-4.06
PEG (NY)2.25
PEG (5Y)N/A
Graham Number7.53942 (-50.88%)
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 | 2.08 |
F-Score8
WACC10.3%
ROIC/WACC1.27
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 11.72 and the Price/Book (PB) ratio is 7.96.
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.