VERRA MOBILITY CORP (VRRM) Fundamental Analysis & Valuation
NASDAQ:VRRM • US92511U1025
Current stock price
14.34 USD
-0.17 (-1.17%)
At close:
14.34 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.
- VRRM had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
- VRRM has a better Return On Assets (8.30%) than 77.01% of its industry peers.
- With an excellent Return On Equity value of 46.64%, VRRM belongs to the best of the industry, outperforming 96.55% of the companies in the same industry.
- VRRM's Return On Invested Capital of 13.12% is amongst the best of the industry. VRRM outperforms 85.06% 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 10.73%.
- 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
- The Profit Margin of VRRM (13.96%) is better than 88.51% of its industry peers.
- VRRM's Profit Margin has improved in the last couple of years.
- The Operating Margin of VRRM (24.35%) is better than 97.70% of its industry peers.
- VRRM's Operating Margin has improved in the last couple of years.
- VRRM's Gross Margin of 92.25% is amongst the best of the industry. VRRM outperforms 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
- The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so VRRM is still creating some value.
- VRRM has less shares outstanding than it did 1 year ago.
- Compared to 5 years ago, VRRM has less shares outstanding
- VRRM has a better debt/assets ratio than last year.
2.2 Solvency
- VRRM has an Altman-Z score of 2.01. 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.
- With a Altman-Z score value of 2.01, VRRM perfoms like the industry average, outperforming 45.98% 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.
- With a Debt to FCF ratio value of 7.52, VRRM perfoms like the industry average, outperforming 51.72% 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 79.31% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 3.49 | ||
| Debt/FCF | 7.52 | ||
| Altman-Z | 2.01 |
ROIC/WACC1.5
WACC8.76%
2.3 Liquidity
- A Current Ratio of 2.09 indicates that VRRM has no problem at all paying its short term obligations.
- VRRM's Current ratio of 2.09 is in line compared to the rest of the industry. VRRM outperforms 59.77% of its industry peers.
- A Quick Ratio of 2.00 indicates that VRRM should not have too much problems paying its short term obligations.
- With a Quick ratio value of 2.00, VRRM perfoms like the industry average, outperforming 59.77% of the companies in the same 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%.
- The Revenue has been growing by 19.99% on average over the past years. This is quite good.
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.
- Based on estimates for the next years, VRRM will show a small growth in Revenue. The Revenue will grow by 4.71% on average per year.
EPS Next Y5.41%
EPS Next 2Y10.12%
EPS Next 3Y10.58%
EPS Next 5Y5.64%
Revenue Next Year6.53%
Revenue Next 2Y6.7%
Revenue Next 3Y5.5%
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
- With a Price/Earnings ratio of 10.95, the valuation of VRRM can be described as very reasonable.
- Compared to the rest of the industry, the Price/Earnings ratio of VRRM indicates a rather cheap valuation: VRRM is cheaper than 81.61% of the companies listed in the same industry.
- The average S&P500 Price/Earnings ratio is at 25.23. VRRM is valued rather cheaply when compared to this.
- VRRM is valuated reasonably with a Price/Forward Earnings ratio of 10.39.
- Based on the Price/Forward Earnings ratio, VRRM is valued a bit cheaper than the industry average as 78.16% of the companies are valued more expensively.
- VRRM's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 23.28.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.95 | ||
| Fwd PE | 10.39 |
4.2 Price Multiples
- 75.86% of the companies in the same industry are more expensive than VRRM, based on the Enterprise Value to EBITDA ratio.
- Based on the Price/Free Cash Flow ratio, VRRM is valued a bit cheaper than the industry average as 66.67% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 15.88 | ||
| EV/EBITDA | 8.96 |
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)2.02
PEG (5Y)N/A
EPS Next 2Y10.12%
EPS Next 3Y10.58%
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
14.34
-0.17 (-1.17%)
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 Owners107%
Inst Owner Change-2.89%
Ins Owners0.92%
Ins Owner Change0.64%
Market Cap2.17B
Revenue(TTM)979.08M
Net Income(TTM)136.63M
Analysts82.86
Price Target29.92 (108.65%)
Short Float %2.86%
Short Ratio2.77
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)0%
PT rev (3m)0%
EPS NQ rev (1m)-17.38%
EPS NQ rev (3m)-17.38%
EPS NY rev (1m)-0.37%
EPS NY rev (3m)-0.25%
Revenue NQ rev (1m)-6.49%
Revenue NQ rev (3m)-6.49%
Revenue NY rev (1m)0.19%
Revenue NY rev (3m)0.29%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.95 | ||
| Fwd PE | 10.39 | ||
| P/S | 2.22 | ||
| P/FCF | 15.88 | ||
| P/OCF | 8.49 | ||
| P/B | 7.41 | ||
| P/tB | N/A | ||
| EV/EBITDA | 8.96 |
EPS(TTM)1.31
EY9.14%
EPS(NY)1.38
Fwd EY9.63%
FCF(TTM)0.9
FCFY6.3%
OCF(TTM)1.69
OCFY11.79%
SpS6.47
BVpS1.94
TBVpS-4.08
PEG (NY)2.02
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 | 2.01 |
F-Score8
WACC8.76%
ROIC/WACC1.5
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 Y5.41%
EPS Next 2Y10.12%
EPS Next 3Y10.58%
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 3Y5.5%
Revenue Next 5Y4.71%
EBIT growth 1Y2.52%
EBIT growth 3Y13.12%
EBIT growth 5Y44.53%
EBIT Next Year24.45%
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.
What is the profitability of VRRM stock?
VERRA MOBILITY CORP (VRRM) has a profitability rating of 9 / 10.
Can you provide the financial health for VRRM stock?
The financial health rating of VERRA MOBILITY CORP (VRRM) is 5 / 10.
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 5.41% in the next year.