Verra Mobility (NASDAQ:VRRM) Trading 10.1% Higher – Time to Buy?

Verra Mobility Corp (NASDAQ:VRRM) shares traded up 10.1% on Friday . The stock traded as high as $4.46 and last traded at $4.5490. 4,328,102 shares traded hands during mid-day trading, an increase of 60% from the average session volume of 2,712,575 shares. The stock had previously closed at $4.13.

More Verra Mobility News

Here are the key news stories impacting Verra Mobility this week:

• Negative Sentiment: Verra Mobility said it received a termination notice from Avis Budget Group, a customer that accounted for more than 10% of revenue, which raised concerns about a meaningful hit to future sales and profitability. Article link
• Negative Sentiment: The company sharply reduced its fiscal 2026 outlook after previously reaffirming guidance, intensifying investor concerns that business conditions weakened much faster than expected. Article link
• Negative Sentiment: Several law firms, including Block & Leviton, Levi & Korsinsky, Ademi LLP, and Hagens Berman, announced securities-fraud investigations tied to the Avis contract loss and the company’s prior disclosures, increasing legal overhang for the stock. Article link
• Negative Sentiment: Analysts also turned more cautious, including a downgrade from Robert W. Baird to neutral and a much lower price target, reinforcing the market’s bearish view. Article link

Analyst Upgrades and Downgrades

Several equities research analysts have weighed in on the stock. Weiss Ratings downgraded shares of Verra Mobility from a “hold (c-)” rating to a “sell (d+)” rating in a research note on Monday, May 4th. Deutsche Bank Aktiengesellschaft restated a “hold” rating and issued a $9.00 target price (down from $22.00) on shares of Verra Mobility in a research note on Wednesday. Wall Street Zen downgraded shares of Verra Mobility from a “buy” rating to a “hold” rating in a research note on Saturday, May 9th. JPMorgan Chase & Co. restated an “underweight” rating and issued a $8.00 target price (down from $17.00) on shares of Verra Mobility in a research note on Wednesday. Finally, William Blair downgraded shares of Verra Mobility from an “outperform” rating to a “market perform” rating in a research note on Wednesday. Seven analysts have rated the stock with a Hold rating and two have issued a Sell rating to the company’s stock. According to data from MarketBeat.com, the stock presently has an average rating of “Reduce” and a consensus price target of $7.17.

Verra Mobility Stock Up 9.2%

The company’s 50 day moving average price is $13.75 and its 200 day moving average price is $18.02. The company has a quick ratio of 1.77, a current ratio of 1.89 and a debt-to-equity ratio of 3.76. The firm has a market capitalization of $685.11 million, a price-to-earnings ratio of 5.50, a P/E/G ratio of 0.98 and a beta of 0.67.

Verra Mobility (NASDAQ:VRRM) last posted its quarterly earnings data on Wednesday, May 6th. The company reported $0.25 EPS for the quarter, hitting the consensus estimate of $0.25. Verra Mobility had a net margin of 13.38% and a return on equity of 55.59%. The business had revenue of $223.57 million during the quarter, compared to the consensus estimate of $223.34 million. During the same period in the previous year, the firm posted $0.30 earnings per share. The business’s revenue for the quarter was up .1% compared to the same quarter last year. Verra Mobility has set its FY 2026 guidance at 1.320-1.380 EPS. As a group, research analysts forecast that Verra Mobility Corp will post 1.08 earnings per share for the current fiscal year.

Institutional Inflows and Outflows

Several institutional investors have recently made changes to their positions in VRRM. Wellington Management Group LLP boosted its stake in shares of Verra Mobility by 4.9% in the fourth quarter. Wellington Management Group LLP now owns 7,059,237 shares of the company’s stock worth $158,198,000 after buying an additional 329,264 shares during the last quarter. JPMorgan Chase & Co. raised its position in shares of Verra Mobility by 4.7% in the third quarter. JPMorgan Chase & Co. now owns 6,223,576 shares of the company’s stock worth $153,722,000 after acquiring an additional 281,465 shares during the period. Morgan Stanley raised its position in shares of Verra Mobility by 44.8% in the fourth quarter. Morgan Stanley now owns 4,194,005 shares of the company’s stock worth $93,988,000 after acquiring an additional 1,296,602 shares during the period. William Blair Investment Management LLC raised its position in shares of Verra Mobility by 34.7% in the third quarter. William Blair Investment Management LLC now owns 3,479,448 shares of the company’s stock worth $85,942,000 after acquiring an additional 896,564 shares during the period. Finally, Dimensional Fund Advisors LP raised its position in shares of Verra Mobility by 0.7% in the fourth quarter. Dimensional Fund Advisors LP now owns 3,316,850 shares of the company’s stock worth $74,333,000 after acquiring an additional 24,682 shares during the period.

Verra Mobility Company Profile

Verra Mobility, traded on the Nasdaq under the ticker VRRM, is a leading provider of smart mobility solutions designed to improve safety, efficiency and compliance for transportation authorities and commercial fleets. The company develops and operates automated traffic enforcement systems, toll and violation management platforms, and connected-vehicle services. Through its technology offerings, Verra Mobility helps public agencies enhance road safety, reduce congestion and streamline revenue collection for tolling and parking.

Verra Mobility’s core products include red-light and speed-camera enforcement programs, license plate recognition systems, and cloud-based violation processing software.