We’ve recently updated our valuation analysis.

Vroom Valuation

Is VRM undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

2/6

Valuation Score 2/6

  • Price-To-Sales vs Peers

  • Price-To-Sales vs Industry

  • Price-To-Sales vs Fair Ratio

  • Below Fair Value

  • Significantly Below Fair Value

  • Analyst Forecast

Key Valuation Metric

Which metric is best to use when looking at relative valuation for VRM?

Other financial metrics that can be useful for relative valuation.

VRM key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue0.3x
Enterprise Value/EBITDA-2.1x
PEG Ration/a

Price to Sales Ratio vs Peers

How does VRM's PS Ratio compare to its peers?

The above table shows the PS ratio for VRM vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyPSEstimated GrowthMarket Cap
Peer Average1.2x
VLTA Volta
3.1x44.8%US$153.4m
LAZY Lazydays Holdings
0.1x-4.9%US$134.0m
ECXJ CXJ Group
30.6xn/aUS$70.2m
KXIN Kaixin Auto Holdings
0.4xn/aUS$100.3m
VRM Vroom
0.05x-6.4%US$129.2m

Price-To-Sales vs Peers: VRM is good value based on its Price-To-Sales Ratio (0x) compared to the peer average (1.2x).


Price to Earnings Ratio vs Industry

How does VRM's PE Ratio compare vs other companies in the US Specialty Retail Industry?

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
Industry Avg.n/a11.4%
n/an/an/a

Price-To-Sales vs Industry: VRM is good value based on its Price-To-Sales Ratio (0x) compared to the US Specialty Retail industry average (0.4x)


Price to Sales Ratio vs Fair Ratio

What is VRM's PS Ratio compared to its Fair PS Ratio? This is the expected PS Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

VRM PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio0.05x
Fair PS Ratio0.04x

Price-To-Sales vs Fair Ratio: VRM is expensive based on its Price-To-Sales Ratio (0x) compared to the estimated Fair Price-To-Sales Ratio (0x).


Share Price vs Fair Value

What is the Fair Price of VRM when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: Insufficient data to calculate VRM's fair value for valuation analysis.

Significantly Below Fair Value: Insufficient data to calculate VRM's fair value for valuation analysis.


Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst VRM forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentUS$0.94
US$1.28
+36.4%
33.0%US$2.00US$1.00n/a4
Jan ’24US$1.02
US$1.53
+49.5%
31.2%US$2.00US$1.00n/a4
Dec ’23US$1.18
US$1.78
+50.8%
31.9%US$2.60US$1.00n/a5
Nov ’23US$1.10
US$2.14
+94.5%
51.5%US$4.00US$1.00n/a5
Oct ’23US$1.16
US$2.90
+150.0%
46.6%US$5.00US$1.00n/a7
Sep ’23US$1.66
US$2.77
+66.9%
46.0%US$5.00US$1.00n/a9
Aug ’23US$1.46
US$2.97
+103.4%
54.6%US$6.00US$1.00n/a9
Jul ’23US$1.26
US$2.97
+135.7%
54.6%US$6.00US$1.00n/a9
Jun ’23US$1.34
US$3.03
+125.8%
52.2%US$6.00US$1.00n/a9
May ’23US$1.56
US$5.13
+228.6%
46.1%US$10.00US$2.00n/a9
Apr ’23US$2.62
US$5.13
+95.6%
46.1%US$10.00US$2.00n/a9
Mar ’23US$3.25
US$16.09
+395.1%
81.7%US$51.00US$4.00n/a11
Feb ’23US$8.41
US$27.00
+221.0%
63.8%US$65.00US$8.00n/a12
Jan ’23US$10.79
US$34.45
+219.3%
48.9%US$65.00US$13.00US$1.0211
Dec ’22US$13.30
US$37.64
+183.0%
41.4%US$65.00US$13.00US$1.1811
Nov ’22US$20.44
US$46.67
+128.3%
25.3%US$65.00US$25.00US$1.1012
Oct ’22US$21.75
US$49.25
+126.4%
21.3%US$65.00US$30.00US$1.1612
Sep ’22US$27.09
US$49.25
+81.8%
21.3%US$65.00US$30.00US$1.6612
Aug ’22US$37.04
US$53.42
+44.2%
16.8%US$65.00US$30.00US$1.4612
Jul ’22US$42.51
US$53.42
+25.7%
16.8%US$65.00US$30.00US$1.2612
Jun ’22US$45.34
US$53.08
+17.1%
17.5%US$65.00US$30.00US$1.3412
May ’22US$46.27
US$52.17
+12.7%
18.4%US$65.00US$30.00US$1.5612
Apr ’22US$39.22
US$51.42
+31.1%
18.1%US$65.00US$30.00US$2.6212
Mar ’22US$46.93
US$56.25
+19.9%
20.4%US$75.00US$31.00US$3.2512
Feb ’22US$40.30
US$55.83
+38.5%
20.5%US$75.00US$31.00US$8.4112
Jan ’22US$40.97
US$55.25
+34.9%
22.0%US$75.00US$31.00US$10.7912

Analyst Forecast: Target price is more than 20% higher than the current share price, but analysts are not within a statistically confident range of agreement.


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