21.8 USD
-0.13 (-0.59%)
21.8 USD
0 (0%)
VRRM gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 85 industry peers in the IT Services industry. VRRM scores excellent on profitability, but there are some minor concerns on its financial health. VRRM has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
VRRM had positive earnings in the past year.
In the past year VRRM had a positive cash flow from operations.
Of the past 5 years VRRM 4 years were profitable.
Each year in the past 5 years VRRM had a positive operating cash flow.
1.2 Ratios
Looking at the Return On Assets, with a value of 2.85%, VRRM is in line with its industry, outperforming 56.47% of the companies in the same industry.
With a decent Return On Equity value of 12.59%, VRRM is doing good in the industry, outperforming 74.12% of the companies in the same industry.
With an excellent Return On Invested Capital value of 12.66%, VRRM belongs to the best of the industry, outperforming 83.53% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for VRRM is significantly below the industry average of 29.59%.
The 3 year average ROIC (10.27%) for VRRM is below the current ROIC(12.66%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.85% | ||
| ROE | 12.59% | ||
| ROIC | 12.66% |
ROA(3y)3.47%
ROA(5y)2.46%
ROE(3y)21.81%
ROE(5y)15.98%
ROIC(3y)10.27%
ROIC(5y)7.68%
1.3 Margins
Looking at the Profit Margin, with a value of 5.38%, VRRM is in the better half of the industry, outperforming 62.35% of the companies in the same industry.
VRRM's Profit Margin has been stable in the last couple of years.
VRRM has a better Operating Margin (26.35%) than 97.65% of its industry peers.
VRRM's Operating Margin has improved in the last couple of years.
With an excellent Gross Margin value of 93.48%, VRRM belongs to the best 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 | 26.35% | ||
| PM (TTM) | 5.38% | ||
| GM | 93.48% |
OM growth 3Y9.3%
OM growth 5Y3.04%
PM growth 3Y-21.94%
PM growth 5Y-1.26%
GM growth 3Y0.41%
GM growth 5Y-0.19%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so VRRM is still creating some value.
Compared to 1 year ago, VRRM has less shares outstanding
VRRM has more shares outstanding than it did 5 years ago.
The debt/assets ratio for VRRM is higher compared to a year ago.
2.2 Solvency
VRRM has an Altman-Z score of 2.61. 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 2.61, VRRM is in line with its industry, outperforming 49.41% of the companies in the same industry.
The Debt to FCF ratio of VRRM is 6.73, which is on the high side as it means it would take VRRM, 6.73 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of VRRM (6.73) is comparable to the rest of the industry.
VRRM has a Debt/Equity ratio of 2.55. This is a high value indicating a heavy dependency on external financing.
VRRM has a worse Debt to Equity ratio (2.55) than 80.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.55 | ||
| Debt/FCF | 6.73 | ||
| Altman-Z | 2.61 |
ROIC/WACC1.42
WACC8.94%
2.3 Liquidity
VRRM has a Current Ratio of 2.45. This indicates that VRRM is financially healthy and has no problem in meeting its short term obligations.
VRRM has a Current ratio of 2.45. This is in the better half of the industry: VRRM outperforms 70.59% of its industry peers.
A Quick Ratio of 2.35 indicates that VRRM has no problem at all paying its short term obligations.
The Quick ratio of VRRM (2.35) is better than 69.41% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.45 | ||
| Quick Ratio | 2.35 |
3. Growth
3.1 Past
VRRM shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 17.54%, which is quite good.
The Earnings Per Share has been growing by 42.41% on average over the past years. This is a very strong growth
VRRM shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 8.52%.
Measured over the past years, VRRM shows a quite strong growth in Revenue. The Revenue has been growing by 14.40% on average per year.
EPS 1Y (TTM)17.54%
EPS 3Y27.03%
EPS 5Y42.41%
EPS Q2Q%15.62%
Revenue 1Y (TTM)8.52%
Revenue growth 3Y16.88%
Revenue growth 5Y14.4%
Sales Q2Q%16.13%
3.2 Future
Based on estimates for the next years, VRRM will show a quite strong growth in Earnings Per Share. The EPS will grow by 9.50% on average per year.
The Revenue is expected to grow by 7.80% on average over the next years.
EPS Next Y10.41%
EPS Next 2Y6.09%
EPS Next 3Y9.5%
EPS Next 5YN/A
Revenue Next Year9.53%
Revenue Next 2Y7.87%
Revenue Next 3Y7.8%
Revenue Next 5YN/A
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.
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. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 16.27, the valuation of VRRM can be described as correct.
71.76% of the companies in the same industry are more expensive than VRRM, based on the Price/Earnings ratio.
When comparing the Price/Earnings ratio of VRRM to the average of the S&P500 Index (26.56), we can say VRRM is valued slightly cheaper.
A Price/Forward Earnings ratio of 15.75 indicates a correct valuation of VRRM.
Compared to the rest of the industry, the Price/Forward Earnings ratio of VRRM indicates a somewhat cheap valuation: VRRM is cheaper than 72.94% of the companies listed in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 23.79. VRRM is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.27 | ||
| Fwd PE | 15.75 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, VRRM is valued a bit cheaper than 72.94% of the companies in the same industry.
The rest of the industry has a similar Price/Free Cash Flow ratio as VRRM.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 22.74 | ||
| EV/EBITDA | 11.93 |
4.3 Compensation for Growth
VRRM's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
The decent profitability rating of VRRM may justify a higher PE ratio.
PEG (NY)1.56
PEG (5Y)0.38
EPS Next 2Y6.09%
EPS Next 3Y9.5%
5. Dividend
5.1 Amount
No dividends for VRRM!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
21.8
-0.13 (-0.59%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustryIT Services
Earnings (Last)
Earnings (Next)
Inst Owners102.26%
Inst Owner Change-0.25%
Ins Owners0.87%
Ins Owner Change0.06%
Market Cap3.48B
Revenue(TTM)942.72M
Net Income(TTM)50.75M
Analysts84.62
Price Target29.92 (37.25%)
Short Float %2.14%
Short Ratio2.62
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)2
Avg EPS beat(2)3.19%
Min EPS beat(2)1.01%
Max EPS beat(2)5.36%
EPS beat(4)4
Avg EPS beat(4)4.42%
Min EPS beat(4)1.01%
Max EPS beat(4)8.88%
EPS beat(8)6
Avg EPS beat(8)1.47%
EPS beat(12)10
Avg EPS beat(12)3.94%
EPS beat(16)12
Avg EPS beat(16)4.24%
Revenue beat(2)1
Avg Revenue beat(2)3.72%
Min Revenue beat(2)-0.61%
Max Revenue beat(2)8.05%
Revenue beat(4)2
Avg Revenue beat(4)1.7%
Min Revenue beat(4)-1.5%
Max Revenue beat(4)8.05%
Revenue beat(8)4
Avg Revenue beat(8)0.83%
Revenue beat(12)6
Avg Revenue beat(12)0.69%
Revenue beat(16)9
Avg Revenue beat(16)0.89%
PT rev (1m)0.57%
PT rev (3m)0.57%
EPS NQ rev (1m)-0.46%
EPS NQ rev (3m)-7.63%
EPS NY rev (1m)-0.21%
EPS NY rev (3m)0.76%
Revenue NQ rev (1m)-0.11%
Revenue NQ rev (3m)3.04%
Revenue NY rev (1m)0.47%
Revenue NY rev (3m)3.37%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.27 | ||
| Fwd PE | 15.75 | ||
| P/S | 3.69 | ||
| P/FCF | 22.74 | ||
| P/OCF | 13.54 | ||
| P/B | 8.63 | ||
| P/tB | N/A | ||
| EV/EBITDA | 11.93 |
EPS(TTM)1.34
EY6.15%
EPS(NY)1.38
Fwd EY6.35%
FCF(TTM)0.96
FCFY4.4%
OCF(TTM)1.61
OCFY7.38%
SpS5.91
BVpS2.53
TBVpS-3.28
PEG (NY)1.56
PEG (5Y)0.38
Graham Number8.73
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.85% | ||
| ROE | 12.59% | ||
| ROCE | 16.02% | ||
| ROIC | 12.66% | ||
| ROICexc | 14.49% | ||
| ROICexgc | 45.88% | ||
| OM | 26.35% | ||
| PM (TTM) | 5.38% | ||
| GM | 93.48% | ||
| FCFM | 16.23% |
ROA(3y)3.47%
ROA(5y)2.46%
ROE(3y)21.81%
ROE(5y)15.98%
ROIC(3y)10.27%
ROIC(5y)7.68%
ROICexc(3y)11.02%
ROICexc(5y)8.25%
ROICexgc(3y)50.23%
ROICexgc(5y)40.02%
ROCE(3y)12.99%
ROCE(5y)9.72%
ROICexgc growth 3Y9.79%
ROICexgc growth 5Y-1.24%
ROICexc growth 3Y34.5%
ROICexc growth 5Y14.79%
OM growth 3Y9.3%
OM growth 5Y3.04%
PM growth 3Y-21.94%
PM growth 5Y-1.26%
GM growth 3Y0.41%
GM growth 5Y-0.19%
F-Score5
Asset Turnover0.53
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.55 | ||
| Debt/FCF | 6.73 | ||
| Debt/EBITDA | 2.85 | ||
| Cap/Depr | 91.77% | ||
| Cap/Sales | 11.02% | ||
| Interest Coverage | 3.73 | ||
| Cash Conversion | 71.03% | ||
| Profit Quality | 301.38% | ||
| Current Ratio | 2.45 | ||
| Quick Ratio | 2.35 | ||
| Altman-Z | 2.61 |
F-Score5
WACC8.94%
ROIC/WACC1.42
Cap/Depr(3y)50.29%
Cap/Depr(5y)38.63%
Cap/Sales(3y)7.2%
Cap/Sales(5y)6.46%
Profit Quality(3y)310.13%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)17.54%
EPS 3Y27.03%
EPS 5Y42.41%
EPS Q2Q%15.62%
EPS Next Y10.41%
EPS Next 2Y6.09%
EPS Next 3Y9.5%
EPS Next 5YN/A
Revenue 1Y (TTM)8.52%
Revenue growth 3Y16.88%
Revenue growth 5Y14.4%
Sales Q2Q%16.13%
Revenue Next Year9.53%
Revenue Next 2Y7.87%
Revenue Next 3Y7.8%
Revenue Next 5YN/A
EBIT growth 1Y22.43%
EBIT growth 3Y27.75%
EBIT growth 5Y17.88%
EBIT Next Year31.18%
EBIT Next 3Y13.44%
EBIT Next 5YN/A
FCF growth 1Y-18.25%
FCF growth 3Y-3.15%
FCF growth 5Y7.98%
OCF growth 1Y7.06%
OCF growth 3Y5%
OCF growth 5Y10.82%
VERRA MOBILITY CORP / VRRM FAQ
Can you provide the ChartMill fundamental rating for VERRA MOBILITY CORP?
ChartMill assigns a fundamental rating of 5 / 10 to VRRM.
What is the valuation status of VERRA MOBILITY CORP (VRRM) stock?
ChartMill assigns a valuation rating of 5 / 10 to VERRA MOBILITY CORP (VRRM). This can be considered as Fairly Valued.
What is the profitability of VRRM stock?
VERRA MOBILITY CORP (VRRM) has a profitability rating of 7 / 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 16.27 and the Price/Book (PB) ratio is 8.63.
How financially healthy is VERRA MOBILITY CORP?
The financial health rating of VERRA MOBILITY CORP (VRRM) is 5 / 10.