Verra Mobility Corporation provides smart mobility technology solutions and services in the United States, Canada, and Europe.
Reasonable growth potential and fair value.
Share Price & News
How has Verra Mobility's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: VRRM's share price has been volatile over the past 3 months.
7 Day Return
1 Year Return
Return vs Industry: VRRM underperformed the US IT industry which returned 9.3% over the past year.
Return vs Market: VRRM underperformed the US Market which returned 5.3% over the past year.
Price Volatility Vs. Market
How volatile is Verra Mobility's share price compared to the market and industry in the last 5 years?
Simply Wall St News
3 weeks ago | Simply Wall StIntroducing Verra Mobility (NASDAQ:VRRM), The Stock That Dropped 14% In The Last Year
3 months ago | Simply Wall StHere's Why We Don't Think Verra Mobility's (NASDAQ:VRRM) Statutory Earnings Reflect Its Underlying Earnings Potential
3 months ago | Simply Wall StShorn Like A Sheep: Analysts Just Shaved Their Verra Mobility Corporation (NASDAQ:VRRM) Forecasts Dramatically
Is Verra Mobility undervalued compared to its fair value and its price relative to the market?
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: VRRM ($9.83) is trading below our estimate of fair value ($18.62)
Significantly Below Fair Value: VRRM is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: VRRM is poor value based on its PE Ratio (42x) compared to the US IT industry average (26.9x).
PE vs Market: VRRM is poor value based on its PE Ratio (42x) compared to the US market (16.1x).
Price to Earnings Growth Ratio
PEG Ratio: VRRM is good value based on its PEG Ratio (0.6x)
Price to Book Ratio
PB vs Industry: VRRM is overvalued based on its PB Ratio (4.6x) compared to the US IT industry average (3.4x).
How is Verra Mobility forecast to perform in the next 1 to 3 years based on estimates from 8 analysts?
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: VRRM's forecast earnings growth (70.7% per year) is above the savings rate (2.2%).
Earnings vs Market: VRRM's earnings (70.7% per year) are forecast to grow faster than the US market (22.5% per year).
High Growth Earnings: earnings are expected to grow significantly over the next 3 years.
Revenue vs Market: VRRM's revenue (11.7% per year) is forecast to grow faster than the US market (9.2% per year).
High Growth Revenue: VRRM's revenue (11.7% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: VRRM's Return on Equity is forecast to be low in 3 years time (17.9%).
How has Verra Mobility performed over the past 5 years?
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: VRRM has high quality earnings.
Growing Profit Margin: VRRM became profitable in the past.
Past Earnings Growth Analysis
Earnings Trend: VRRM has become profitable over the past 5 years, growing earnings by -13.9% per year.
Accelerating Growth: VRRM has become profitable in the last year, making the earnings growth rate difficult to compare to its 5-year average.
Earnings vs Industry: VRRM has become profitable in the last year, making it difficult to compare its past year earnings growth to the IT industry (14.2%).
Return on Equity
High ROE: VRRM's Return on Equity (10.8%) is considered low.
How is Verra Mobility's financial position?
Financial Position Analysis
Short Term Liabilities: VRRM's short term assets ($265.9M) exceed its short term liabilities ($72.0M).
Long Term Liabilities: VRRM's short term assets ($265.9M) do not cover its long term liabilities ($957.7M).
Debt to Equity History and Analysis
Debt Level: VRRM's debt to equity ratio (245.2%) is considered high.
Reducing Debt: Insufficient data to determine if VRRM's debt to equity ratio has reduced over the past 5 years.
Debt Coverage: VRRM's debt is not well covered by operating cash flow (13.2%).
Interest Coverage: VRRM's interest payments on its debt are not well covered by EBIT (1.9x coverage).
What is Verra Mobility current dividend yield, its reliability and sustainability?
Dividend Yield vs Market
Notable Dividend: Unable to evaluate VRRM's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.
High Dividend: Unable to evaluate VRRM's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.
Stability and Growth of Payments
Stable Dividend: Insufficient data to determine if VRRM's dividends per share have been stable in the past.
Growing Dividend: Insufficient data to determine if VRRM's dividend payments have been increasing.
Current Payout to Shareholders
Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: No need to calculate the sustainability of VRRM's dividend in 3 years as they are not forecast to pay a notable one for the US market.
How experienced are the management team and are they aligned to shareholders interests?
Average management tenure
David Roberts (49yo)
Mr. David M. Roberts is President and Chief Executive Officer of Verra Mobility Corporation since August 2014 and has been its Director since October 2018. He serves as the Chief Executive Officer of Ameri ...
CEO Compensation Analysis
Compensation vs Market: David's total compensation ($USD873.43K) is below average for companies of similar size in the US market ($USD4.72M).
Compensation vs Earnings: David's compensation has been consistent with company performance over the past year.
|Chief Financial Officer||5.08yrs||US$683.60k||0.058% $926.5k|
|General Counsel||4.17yrs||US$517.49k||0.0071% $113.0k|
|Executive Vice President of Commercial Services||2.17yrs||US$532.94k||0.028% $444.1k|
|Executive Vice President of Government Solutions||1.17yrs||US$784.85k||0.010% $158.5k|
|Chief Technology Officer||2.08yrs||no data||no data|
|Vice President of Corporate Development and Strategy||1.25yrs||no data||no data|
|Chief People Officer||2.25yrs||no data||no data|
Experienced Management: VRRM's management team is considered experienced (2.2 years average tenure).
|Independent Director||1.08yrs||US$128.75k||0.0040% $63.6k|
|Independent Director||1.75yrs||US$174.00k||0.016% $249.7k|
|Independent Director||1.08yrs||US$128.75k||0.0040% $63.6k|
|Chairman of the Board||1.75yrs||US$150.00k||0.30% $4.7m|
|Independent Director||1.75yrs||US$172.50k||0.0095% $151.0k|
Experienced Board: VRRM's board of directors are not considered experienced ( 1.8 years average tenure), which suggests a new board.
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
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Verra Mobility Corporation's company bio, employee growth, exchange listings and data sources
- Name: Verra Mobility Corporation
- Ticker: VRRM
- Exchange: NasdaqCM
- Industry: Data Processing and Outsourced Services
- Sector: Software
- Market Cap: US$1.589b
- Shares outstanding: 161.69m
- Website: https://www.verramobility.com
Number of Employees
- Verra Mobility Corporation
- 1150 North Alma School Road
- United States
|Ticker||Exchange||Primary Security||Security Type||Country||Currency||Listed on|
|VRRM||NasdaqCM (Nasdaq Capital Market)||Yes||Class A Common Stock||US||USD||Oct 2018|
Verra Mobility Corporation provides smart mobility technology solutions and services in the United States, Canada, and Europe. It operates through two segments, Government Solutions and Commercial Services. The Government Solutions segment offers automated safety solutions, including services and technologies that enable photo enforcement through road safety camera programs, which detects and process traffic violations related to red light, speed, school bus, and city bus lanes. This segment serves municipalities, counties, school districts, and law enforcement agencies. The Commercial Services segment provides automated toll and violations management, and title and registration solutions to rental car companies, fleet management companies, and other large fleet owners. The company is headquartered in Mesa, Arizona.
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2020/07/14 23:57|
|End of Day Share Price||2020/07/14 00:00|
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.