VERRA MOBILITY CORP (VRRM) Fundamental Analysis & Valuation
NASDAQ:VRRM • US92511U1025
Current stock price
14.85 USD
-0.04 (-0.27%)
At close:
14.85 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
- VRRM had positive earnings in the past year.
- VRRM had a positive operating cash flow in the past year.
- 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
- The Return On Assets of VRRM (8.30%) is better than 77.01% of its industry peers.
- VRRM has a Return On Equity of 46.64%. This is amongst the best in the industry. VRRM outperforms 96.55% 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 85.06% 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 10.75%.
- 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
- With an excellent Profit Margin value of 13.96%, VRRM belongs to the best of the industry, outperforming 87.36% of the companies in the same industry.
- In the last couple of years the Profit Margin of VRRM has grown nicely.
- With an excellent Operating Margin value of 24.35%, VRRM belongs to the best of the industry, outperforming 97.70% of the companies in the same industry.
- VRRM's Operating Margin has improved in the last couple of years.
- With an excellent Gross Margin value of 92.25%, 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 | 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.
- The number of shares outstanding for VRRM has been reduced compared to 1 year ago.
- The number of shares outstanding for VRRM has been reduced compared to 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 2.03 indicates that VRRM is not a great score, but indicates only limited risk for bankruptcy at the moment.
- VRRM's Altman-Z score of 2.03 is in line compared to the rest of the industry. VRRM outperforms 45.98% of its industry peers.
- 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's Debt to FCF ratio of 7.52 is in line compared to the rest of the industry. VRRM outperforms 50.57% of its industry peers.
- A Debt/Equity ratio of 3.49 is on the high side and indicates that VRRM has dependencies on debt financing.
- Looking at the Debt to Equity ratio, with a value of 3.49, VRRM is doing worse than 79.31% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 3.49 | ||
| Debt/FCF | 7.52 | ||
| Altman-Z | 2.03 |
ROIC/WACC1.49
WACC8.79%
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's Current ratio of 2.09 is in line compared to the rest of the industry. VRRM outperforms 59.77% of its industry peers.
- VRRM has a Quick Ratio of 2.00. This is a normal value and indicates that VRRM is financially healthy and should not expect problems in meeting 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.
- VRRM shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 9.06% yearly.
- The Revenue has grown by 11.36% in the past year. This is quite good.
- 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
- The Earnings Per Share is expected to grow by 5.64% on average over the next years.
- VRRM is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 4.71% yearly.
EPS Next Y5.41%
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.
- 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
- A Price/Earnings ratio of 11.34 indicates a reasonable valuation of VRRM.
- VRRM's Price/Earnings ratio is rather cheap when compared to the industry. VRRM is cheaper than 81.61% of the companies in the same industry.
- When comparing the Price/Earnings ratio of VRRM to the average of the S&P500 Index (25.96), we can say VRRM is valued rather cheaply.
- Based on the Price/Forward Earnings ratio of 10.75, the valuation of VRRM can be described as reasonable.
- Compared to the rest of the industry, the Price/Forward Earnings ratio of VRRM indicates a somewhat cheap valuation: VRRM is cheaper than 77.01% of the companies listed in the same industry.
- VRRM's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 24.04.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.34 | ||
| Fwd PE | 10.75 |
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.
- Compared to the rest of the industry, the Price/Free Cash Flow ratio of VRRM indicates a somewhat cheap valuation: VRRM is cheaper than 62.07% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 16.44 | ||
| EV/EBITDA | 9.13 |
4.3 Compensation for Growth
- The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
- The excellent profitability rating of VRRM may justify a higher PE ratio.
PEG (NY)2.1
PEG (5Y)N/A
EPS Next 2Y10.12%
EPS Next 3Y10.58%
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
14.85
-0.04 (-0.27%)
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 Cap2.25B
Revenue(TTM)979.08M
Net Income(TTM)136.63M
Analysts82.86
Price Target29.92 (101.48%)
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 | 11.34 | ||
| Fwd PE | 10.75 | ||
| P/S | 2.3 | ||
| P/FCF | 16.44 | ||
| P/OCF | 8.79 | ||
| P/B | 7.67 | ||
| P/tB | N/A | ||
| EV/EBITDA | 9.13 |
EPS(TTM)1.31
EY8.82%
EPS(NY)1.38
Fwd EY9.3%
FCF(TTM)0.9
FCFY6.08%
OCF(TTM)1.69
OCFY11.38%
SpS6.47
BVpS1.94
TBVpS-4.08
PEG (NY)2.1
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 | 2.03 |
F-Score8
WACC8.79%
ROIC/WACC1.49
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.