| Snowflake Score | |
|---|---|
| Valuation | 0/6 |
| Future Growth | 3/6 |
| Past Performance | 0/6 |
| Financial Health | 6/6 |
| Dividends | 1/6 |
VRS Stock Overview
Verso Corporation produces and sells coated papers in North America.
Verso Competitors
Price History & Performance
| Historical stock prices | |
|---|---|
| Current Share Price | US$26.68 |
| 52 Week High | US$27.29 |
| 52 Week Low | US$11.25 |
| Beta | 2.04 |
| 1 Month Change | -1.33% |
| 3 Month Change | 23.12% |
| 1 Year Change | 104.92% |
| 3 Year Change | 6.51% |
| 5 Year Change | 256.21% |
| Change since IPO | 122.33% |
Recent News & Updates
Verso Corp.: Investors Continue To Benefit From Shareholder Activism
Verso outperformed in the third quarter and ended the period with a strong cash position. Shareholder calls for a return of capital could be catalyst for yet another special one-time dividend or repurchase program. The Atlas non-binding proposal to acquire the company is still being considered by Verso's board. A deal could potentially bring pay investors $27/share or higher.
Shareholder Returns
| VRS | US Forestry | US Market | |
|---|---|---|---|
| 7D | -0.4% | -4.9% | -4.6% |
| 1Y | 104.9% | 37.4% | 7.7% |
Return vs Industry: VRS exceeded the US Forestry industry which returned 41.9% over the past year.
Return vs Market: VRS exceeded the US Market which returned 10.2% over the past year.
Price Volatility
| VRS volatility | |
|---|---|
| VRS Average Weekly Movement | 10.5% |
| Forestry Industry Average Movement | 6.2% |
| Market Average Movement | 6.6% |
| 10% most volatile stocks in US Market | 15.7% |
| 10% least volatile stocks in US Market | 2.4% |
Stable Share Price: VRS is more volatile than 75% of US stocks over the past 3 months, typically moving +/- 11% a week.
Volatility Over Time: VRS's weekly volatility (11%) has been stable over the past year, but is still higher than 75% of US stocks.
About the Company
| Founded | Employees | CEO | Website |
|---|---|---|---|
| 2006 | 1,700 | Randy Nebel | https://www.versoco.com |
Verso Corporation produces and sells coated papers in North America. It operates through two segments, Paper and Pulp. The company offers coated freesheet and coated groundwood, specialty, packaging, inkjet and digital, supercalendered, and uncoated freesheet papers; and bleached and unbleached market kraft pulp to manufacture printing, writing, and tissue products.
Verso Fundamentals Summary
| VRS fundamental statistics | |
|---|---|
| Market Cap | US$775.38m |
| Earnings (TTM) | -US$106.00m |
| Revenue (TTM) | US$1.26b |
0.6x
P/S Ratio-7.3x
P/E RatioIs VRS overvalued?
See Fair Value and valuation analysisEarnings & Revenue
| VRS income statement (TTM) | |
|---|---|
| Revenue | US$1.26b |
| Cost of Revenue | US$1.11b |
| Gross Profit | US$152.00m |
| Expenses | US$258.00m |
| Earnings | -US$106.00m |
Last Reported Earnings
Sep 30, 2021
Next Earnings Date
n/a
| Earnings per share (EPS) | -3.65 |
| Gross Margin | 12.03% |
| Net Profit Margin | -8.39% |
| Debt/Equity Ratio | 0% |
How did VRS perform over the long term?
See historical performance and comparisonDividends
1.5%
Current Dividend Yield-12%
Payout RatioValuation
Is Verso undervalued compared to its fair value and its price relative to the market?
1.33x
Price to Book (PB) ratio
Share Price vs. Fair Value
Below Fair Value: VRS ($26.68) is trading above our estimate of fair value ($6.59)
Significantly Below Fair Value: VRS is trading above our estimate of fair value.
Price To Earnings Ratio
PE vs Industry: VRS is unprofitable, so we can't compare its PE Ratio to the US Forestry industry average.
PE vs Market: VRS is unprofitable, so we can't compare its PE Ratio to the US market.
Price to Earnings Growth Ratio
PEG Ratio: Insufficient data to calculate VRS's PEG Ratio to determine if it is good value.
Price to Book Ratio
PB vs Industry: VRS's PB Ratio (1.3x) is in line with the US Forestry industry average.
Future Growth
How is Verso forecast to perform in the next 1 to 3 years based on estimates from 2 analysts?
170.9%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: VRS is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (2%).
Earnings vs Market: VRS is forecast to become profitable over the next 3 years, which is considered above average market growth.
High Growth Earnings: VRS's is expected to become profitable in the next 3 years.
Revenue vs Market: VRS's revenue (5.9% per year) is forecast to grow slower than the US market (9.2% per year).
High Growth Revenue: VRS's revenue (5.9% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: Insufficient data to determine if VRS's Return on Equity is forecast to be high in 3 years time
Past Performance
How has Verso performed over the past 5 years?
-37.8%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: VRS is currently unprofitable.
Growing Profit Margin: VRS is currently unprofitable.
Past Earnings Growth Analysis
Earnings Trend: VRS is unprofitable, and losses have increased over the past 5 years at a rate of 37.8% per year.
Accelerating Growth: Unable to compare VRS's earnings growth over the past year to its 5-year average as it is currently unprofitable
Earnings vs Industry: VRS is unprofitable, making it difficult to compare its past year earnings growth to the Forestry industry (172.7%).
Return on Equity
High ROE: VRS has a negative Return on Equity (-18.18%), as it is currently unprofitable.
Financial Health
How is Verso's financial position?
Financial Position Analysis
Short Term Liabilities: VRS's short term assets ($433.0M) exceed its short term liabilities ($201.0M).
Long Term Liabilities: VRS's short term assets ($433.0M) exceed its long term liabilities ($350.0M).
Debt to Equity History and Analysis
Debt Level: VRS is debt free.
Reducing Debt: VRS has no debt compared to 5 years ago when its debt to equity ratio was 47.6%.
Balance Sheet
Cash Runway Analysis
For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.
Stable Cash Runway: Whilst unprofitable VRS has sufficient cash runway for more than 3 years if it maintains its current positive free cash flow level.
Forecast Cash Runway: VRS is unprofitable but has sufficient cash runway for more than 3 years, due to free cash flow being positive and growing by 30.4% per year.
Dividend
What is Verso current dividend yield, its reliability and sustainability?
1.50%
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: VRS's dividend (1.5%) is higher than the bottom 25% of dividend payers in the US market (1.35%).
High Dividend: VRS's dividend (1.5%) is low compared to the top 25% of dividend payers in the US market (3.48%).
Stability and Growth of Payments
Stable Dividend: Whilst dividend payments have been stable, VRS has been paying a dividend for less than 10 years.
Growing Dividend: VRS has only been paying a dividend for 2 years, and since then payments have not increased.
Current Payout to Shareholders
Dividend Coverage: VRS is paying a dividend but the company is unprofitable.
Future Payout to Shareholders
Future Dividend Coverage: Insufficient data to determine if a dividend will be paid in 3 years and that it will be covered by earnings.
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
0.8yrs
Average management tenure
CEO
Randy Nebel (64 yo)
1.33yrs
Tenure
US$1,049,422
Compensation
Mr. Randy J. Nebel serves as the President and Chief Executive Officer of Verso Corporation since January 27, 2021. He served as Interim President and Chief Executive Officer of Verso Corporation since Sep...
CEO Compensation Analysis
Compensation vs Market: Randy's total compensation ($USD1.05M) is below average for companies of similar size in the US market ($USD2.39M).
Compensation vs Earnings: Randy's compensation has increased whilst the company is unprofitable.
Leadership Team
Experienced Management: VRS's management team is not considered experienced ( 0.8 years average tenure), which suggests a new team.
Board Members
Experienced Board: VRS's board of directors are not considered experienced ( 2 years average tenure), which suggests a new board.
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
Ownership Breakdown
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Top Shareholders
Company Information
Verso Corporation's employee growth, exchange listings and data sources
Key Information
- Name: Verso Corporation
- Ticker: VRS
- Exchange: NYSE
- Founded: 2006
- Industry: Paper Products
- Sector: Materials
- Implied Market Cap: US$775.382m
- Shares outstanding: 29.06m
- Website: https://www.versoco.com
Number of Employees
Location
- Verso Corporation
- 8540 Gander Creek Drive
- Miamisburg
- Ohio
- 45342
- United States
Listings
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2022/01/19 23:45 |
| End of Day Share Price | 2022/01/19 00:00 |
| Earnings | 2021/09/30 |
| Annual Earnings | 2020/12/31 |
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.