Short Interest in Vroom, Inc. (NASDAQ:VRM) Grows By 20.9%

Key Points

• Short interest in Vroom rose 20.9% in March to 48,536 shares (about 0.9% of the stock), with a short‑interest ratio of 1.8 days based on average volume.
• Analyst sentiment is negative — Weiss Ratings reissued a Sell (D-) and MarketBeat shows a consensus Sell rating.
• Recent results showed EPS of (‑$1.95) and a negative net margin on $43.9M revenue; Vroom has a market cap near $69.9M, a high debt‑to‑equity ratio (3.87), and roughly 25.8% institutional ownership (notably Mudrick’s ~3.97M‑share stake).

Vroom, Inc. (NASDAQ:VRM - Get Free Report) saw a large growth in short interest in March. As of March 13th, there was short interest totaling 48,536 shares, a growth of 20.9% from the February 26th total of 40,139 shares. Currently, 0.9% of the company's stock are sold short. Based on an average trading volume of 27,188 shares, the short-interest ratio is presently 1.8 days.

Wall Street Analyst Weigh In

Separately, Weiss Ratings reissued a "sell (d-)" rating on shares of Vroom in a research report on Monday, December 29th. One analyst has rated the stock with a Sell rating, According to data from MarketBeat.com, the company currently has a consensus rating of "Sell".

Vroom Stock Performance

Shares of VRM traded up $0.75 during midday trading on Tuesday, reaching $13.42. The stock had a trading volume of 14,713 shares, compared to its average volume of 9,655. The firm has a market cap of $69.92 million, a PE ratio of -0.50 and a beta of 1.26. The firm has a 50 day simple moving average of $15.76 and a 200-day simple moving average of $20.65. Vroom has a one year low of $9.04 and a one year high of $41.36. The company has a current ratio of 2.79, a quick ratio of 2.79 and a debt-to-equity ratio of 3.87.

Vroom (NASDAQ:VRM - Get Free Report) last issued its earnings results on Thursday, March 26th. The company reported ($1.95) earnings per share (EPS) for the quarter. Vroom had a negative net margin of 4.45% and a negative return on equity of 4.47%. The firm had revenue of $43.92 million during the quarter.

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently made changes to their positions in the business. JPMorgan Chase & Co. grew its position in shares of Vroom by 129.5% in the third quarter. JPMorgan Chase & Co. now owns 1,368 shares of the company's stock valued at $37,000 after purchasing an additional 772 shares during the last quarter. Russell Investments Group Ltd. acquired a new stake in Vroom during the 3rd quarter worth approximately $47,000. New York State Common Retirement Fund bought a new stake in Vroom in the 2nd quarter valued at $103,000. General Catalyst Group Management LLC acquired a new position in Vroom in the 2nd quarter valued at $218,000. Finally, Mudrick Capital Management L.P. increased its position in Vroom by 0.4% during the 2nd quarter. Mudrick Capital Management L.P. now owns 3,967,251 shares of the company's stock worth $113,106,000 after buying an additional 15,020 shares during the period. 25.79% of the stock is currently owned by institutional investors.

About Vroom

Vroom, Inc operates as an automotive finance company. The company offers vehicle financing to its customers through third party dealers under the UACC brand. It also provides artificial intelligence powered analytics and digital services to dealers, automotive financial services companies, and others in the automotive industry for automotive retail. The company was formerly known as Auto America, Inc and changed its name to Vroom, Inc in July 2015. Vroom, Inc was incorporated in 2012 and is based in Houston, Texas.

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