Verra Mobility (NASDAQ:VRRM) Releases FY 2025 Earnings Guidance

Key Points

• Verra Mobility has updated its FY 2025 earnings guidance, expecting earnings per share (EPS) between 1.300 and 1.35, slightly below the consensus estimate of 1.317, and revenue in the range of $925 million to $935 million, close to the consensus of $929.8 million.
• The company's stock has experienced a decline of 5.1%, trading at $23.69 during mid-day, amidst a high trading volume of 1,482,809 shares.
• Wall Street analysts have mixed opinions on the stock with ratings ranging from "hold" to "strong buy," reflecting an average target price of $27.38.

Verra Mobility (NASDAQ:VRRM - Get Free Report) issued an update on its FY 2025 earnings guidance on Thursday morning. The company provided earnings per share guidance of 1.300-1.35 for the period, compared to the consensus earnings per share estimate of 1.317. The company issued revenue guidance of $925.0 million-$935.0 million, compared to the consensus revenue estimate of $929.8 million.

Verra Mobility Stock Down 2.4%

Verra Mobility stock traded down $0.58 during midday trading on Friday, reaching $23.49. The stock had a trading volume of 1,252,549 shares, compared to its average volume of 992,295. The firm's fifty day simple moving average is $24.73 and its 200-day simple moving average is $23.81. Verra Mobility has a 1-year low of $19.51 and a 1-year high of $29.07. The stock has a market capitalization of $3.75 billion, a P/E ratio of 97.88, a price-to-earnings-growth ratio of 2.31 and a beta of 0.79. The company has a debt-to-equity ratio of 2.93, a quick ratio of 2.10 and a current ratio of 2.28.

Verra Mobility (NASDAQ:VRRM - Get Free Report) last posted its quarterly earnings results on Wednesday, August 6th. The company reported $0.34 earnings per share for the quarter, beating analysts' consensus estimates of $0.33 by $0.01. The firm had revenue of $236.03 million during the quarter, compared to the consensus estimate of $232.78 million. Verra Mobility had a return on equity of 55.14% and a net margin of 4.30%. The business's revenue was up 6.1% compared to the same quarter last year. During the same period last year, the company earned $0.31 earnings per share. As a group, analysts expect that Verra Mobility will post 1.08 EPS for the current fiscal year.

Analysts Set New Price Targets

Several research firms have weighed in on VRRM. UBS Group lowered their price target on Verra Mobility from $31.50 to $29.50 and set a "buy" rating on the stock in a research report on Thursday, May 8th. Baird R W raised Verra Mobility from a "hold" rating to a "strong-buy" rating in a report on Tuesday, April 22nd. Robert W. Baird boosted their target price on Verra Mobility from $27.00 to $28.00 and gave the stock an "outperform" rating in a report on Thursday, May 8th. Finally, Wall Street Zen lowered Verra Mobility from a "strong-buy" rating to a "buy" rating in a report on Saturday, July 26th. One equities research analyst has rated the stock with a hold rating, four have assigned a buy rating and one has issued a strong buy rating to the company's stock. Based on data from MarketBeat, the company currently has an average rating of "Buy" and an average price target of $27.38.

Institutional Trading of Verra Mobility

Several institutional investors have recently added to or reduced their stakes in VRRM. Goldman Sachs Group Inc. boosted its stake in Verra Mobility by 33.0% in the 1st quarter. Goldman Sachs Group Inc. now owns 1,182,297 shares of the company's stock valued at $26,614,000 after purchasing an additional 293,082 shares during the period. Millennium Management LLC boosted its stake in Verra Mobility by 208.0% in the 1st quarter. Millennium Management LLC now owns 375,421 shares of the company's stock valued at $8,451,000 after purchasing an additional 253,529 shares during the period. Royal Bank of Canada boosted its stake in Verra Mobility by 14.3% in the 1st quarter. Royal Bank of Canada now owns 148,464 shares of the company's stock valued at $3,342,000 after purchasing an additional 18,562 shares during the period. Strs Ohio bought a new stake in Verra Mobility in the 1st quarter valued at $180,000. Finally, AQR Capital Management LLC lifted its position in shares of Verra Mobility by 21.7% during the 1st quarter. AQR Capital Management LLC now owns 34,501 shares of the company's stock valued at $777,000 after acquiring an additional 6,153 shares during the period.

Verra Mobility Company Profile

Verra Mobility Corporation provides smart mobility technology solutions and services in the United States, Australia, Canada, and Europe. It operates through three segments: Commercial Services, Government Solutions, and Parking Solutions. The Commercial Services segment provides automated toll and violations management, and title and registration services to rental car companies, fleet management companies, and other large fleet owners.