The stock price of Verra Mobility Corp (NASDAQ: VRRM) has surged by 1.36 when compared to previous closing price of 26.51, but the company has seen a 13.38% gain in its stock price over the last five trading sessions. Seeking Alpha reported 2024-05-04 that Verra Mobility Corp (NASDAQ:VRRM ) Q1 2024 Earnings Conference Call May 2, 2024 5:00 PM ET Company Participants Mark Zindler – Vice President-Investor Relations David Roberts – Chief Executive Officer Craig Conti – Chief Financial Officer Conference Call Participants Faiza Alwy – Deutsche Bank Daniel Moore – CJS Securities Keith Housum – Northcoast Research Louie DiPalma – William Blair Dave Koning – Baird Operator Good afternoon, ladies and gentlemen, and welcome to the Verra Mobility First Quarter 2024 Earnings Call. At this time all lines are in a listen-only mode.
Is It Worth Investing in Verra Mobility Corp (NASDAQ: VRRM) Right Now?
Verra Mobility Corp (NASDAQ: VRRM) has a higher price-to-earnings ratio of 54.32x compared to its average ratio, The 36-month beta value for VRRM is at 1.22. Analysts have varying views on the stock, with 1 analysts rating it as a “buy,” 0 rating it as “overweight,” 0 as “hold,” and 0 as “sell.”
The public float for VRRM is 162.03M, and currently, shorts hold a 2.17% of that float. The average trading volume for VRRM on May 09, 2024 was 1.02M shares.
VRRM’s Market Performance
VRRM stock saw an increase of 13.38% in the past week, with a monthly gain of 7.27% and a quarterly increase of 21.09%. The volatility ratio for the week is 2.96%, and the volatility levels for the last 30 days are 2.48% for Verra Mobility Corp (VRRM). The simple moving average for the past 20 days is 10.03% for VRRM’s stock, with a 25.57% simple moving average for the past 200 days.
Analysts’ Opinion of VRRM
Many brokerage firms have already submitted their reports for VRRM stocks, with UBS repeating the rating for VRRM by listing it as a “Buy.” The predicted price for VRRM in the upcoming period, according to UBS is $25 based on the research report published on October 20, 2023 of the previous year 2023.
Deutsche Bank, on the other hand, stated in their research note that they expect to see VRRM reach a price target of $26, previously predicting the price at $21. The rating they have provided for VRRM stocks is “Buy” according to the report published on July 31st, 2023.
Robert W. Baird gave a rating of “Neutral” to VRRM, setting the target price at $18 in the report published on July 13th of the previous year.
VRRM Trading at 12.33% from the 50-Day Moving Average
After a stumble in the market that brought VRRM to its low price for the period of the last 52 weeks, the company was able to rebound, for now settling with 0.24% of gains for the given period.
Volatility was left at 2.48%, however, over the last 30 days, the volatility rate increased by 2.96%, as shares surge +8.87% for the moving average over the last 20 days. Over the last 50 days, in opposition, the stock is trading +24.69% upper at present.
During the last 5 trading sessions, VRRM rose by +13.38%, which changed the moving average for the period of 200-days by +31.33% in comparison to the 20-day moving average, which settled at $24.53. In addition, Verra Mobility Corp saw 16.67% in overturn over a single year, with a tendency to cut further gains.
Insider Trading
Reports are indicating that there were more than several insider trading activities at VRRM starting from REXFORD JOHN H, who sale 10,000 shares at the price of $22.82 back on Mar 12 ’24. After this action, REXFORD JOHN H now owns 41,275 shares of Verra Mobility Corp, valued at $228,190 using the latest closing price.
Keyser Jonathan, the Chief Legal Officer of Verra Mobility Corp, sale 7,789 shares at $22.41 during a trade that took place back on Mar 04 ’24, which means that Keyser Jonathan is holding 0 shares at $174,551 based on the most recent closing price.
Stock Fundamentals for VRRM
Current profitability levels for the company are sitting at:
- 0.23 for the present operating margin
- 0.91 for the gross margin
The net margin for Verra Mobility Corp stands at 0.07. The total capital return value is set at 0.12. Equity return is now at value 23.78, with 4.69 for asset returns.
Based on Verra Mobility Corp (VRRM), the company’s capital structure generated 0.71 points at debt to capital in total, while cash flow to debt ratio is standing at 0.2. The debt to equity ratio resting at 2.48. The interest coverage ratio of the stock is 2.18.
Currently, EBITDA for the company is 303.4 million with net debt to EBITDA at 2.97. When we switch over and look at the enterprise to sales, we see a ratio of 6.6. The receivables turnover for the company is 3.48for trailing twelve months and the total asset turnover is 0.46. The liquidity ratio also appears to be rather interesting for investors as it stands at 2.72.
Conclusion
In conclusion, Verra Mobility Corp (VRRM) has had a better performance lately. Opinion on the stock among analysts is bullish, with some giving it a “buy” rating and others a “hold”. It is worth mentioning that the stock is currently trading in close proximity to its 50-day moving average and its 52-week high.
