Verra Mobility (NASDAQ:VRRM) Given New $20.00 Price Target at Morgan Stanley

Verra Mobility (NASDAQ:VRRM) had its target price cut by stock analysts at Morgan Stanley from $24.00 to $20.00 in a research report issued to clients and investors on Wednesday,Benzinga reports. The firm presently has an “equal weight” rating on the stock. Morgan Stanley’s price objective would indicate a potential upside of 27.23% from the stock’s current price.

A number of other equities analysts also recently commented on the stock. Wall Street Zen upgraded shares of Verra Mobility from a “buy” rating to a “strong-buy” rating in a research note on Saturday, December 20th. Weiss Ratings reiterated a “hold (c)” rating on shares of Verra Mobility in a report on Monday, December 29th. JPMorgan Chase & Co. initiated coverage on Verra Mobility in a research note on Monday, January 26th. They issued a “neutral” rating and a $25.00 price target for the company. Finally, UBS Group boosted their price target on Verra Mobility from $29.00 to $31.00 and gave the stock a “buy” rating in a research report on Thursday, October 30th. Two analysts have rated the stock with a Buy rating and three have given a Hold rating to the company’s stock. According to MarketBeat.com, Verra Mobility has an average rating of “Hold” and a consensus target price of $26.50.

Verra Mobility Stock Down 16.0%

Shares of NASDAQ:VRRM traded down $2.99 during midday trading on Wednesday, reaching $15.72. 1,491,876 shares of the company were exchanged, compared to its average volume of 1,443,304. The company has a quick ratio of 2.35, a current ratio of 2.45 and a debt-to-equity ratio of 2.55. The firm has a market cap of $2.51 billion, a PE ratio of 49.25, a P/E/G ratio of 2.93 and a beta of 0.59. The stock has a fifty day simple moving average of $20.86 and a two-hundred day simple moving average of $22.62. Verra Mobility has a fifty-two week low of $15.90 and a fifty-two week high of $26.38.

Verra Mobility (NASDAQ:VRRM) last released its earnings results on Tuesday, February 24th. The company reported $0.30 EPS for the quarter, missing the consensus estimate of $0.32 by ($0.02). The firm had revenue of $257.86 million during the quarter, compared to the consensus estimate of $241.17 million. Verra Mobility had a net margin of 5.42% and a return on equity of 60.72%. The company’s revenue was up 16.4% on a year-over-year basis. During the same quarter in the previous year, the firm posted $0.33 EPS. Verra Mobility has set its FY 2026 guidance at 1.320-1.380 EPS. As a group, sell-side analysts forecast that Verra Mobility will post 1.08 earnings per share for the current year.

Institutional Trading of Verra Mobility

A number of hedge funds have recently modified their holdings of VRRM. Rothschild Investment LLC raised its holdings in Verra Mobility by 238.3% in the 3rd quarter. Rothschild Investment LLC now owns 1,167 shares of the company’s stock valued at $29,000 after acquiring an additional 822 shares during the period. Global Retirement Partners LLC acquired a new stake in shares of Verra Mobility during the fourth quarter worth $27,000. Caitong International Asset Management Co. Ltd boosted its position in shares of Verra Mobility by 967.8% in the fourth quarter. Caitong International Asset Management Co. Ltd now owns 1,260 shares of the company’s stock valued at $28,000 after acquiring an additional 1,142 shares during the period. EverSource Wealth Advisors LLC increased its position in Verra Mobility by 439.4% during the second quarter. EverSource Wealth Advisors LLC now owns 1,494 shares of the company’s stock worth $38,000 after acquiring an additional 1,217 shares during the period. Finally, Salomon & Ludwin LLC increased its position in Verra Mobility by 100.7% during the fourth quarter. Salomon & Ludwin LLC now owns 1,497 shares of the company’s stock worth $34,000 after acquiring an additional 751 shares during the period.

Verra Mobility News Roundup

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

• Positive Sentiment: Top‑line beat — Q4 revenue rose ~16% YoY to $257.9M, beating Street estimates and demonstrating continued demand growth. Article Title
• Positive Sentiment: New contract and strategic wins — announced a five‑year contract with the New York City Department of Transportation, which supports longer‑term revenue visibility. Article Title
• Positive Sentiment: Active capital allocation — repurchased $133.4M of common stock in Q4, which is shareholder‑friendly and can support EPS over time. Article Title
• Neutral Sentiment: Full‑year 2025 results — revenue for FY2025 was ~$979.1M and net income ~$136.6M; management provided slides and the earnings‑call transcript for deeper detail. Article Title Slides
• Negative Sentiment: EPS miss — reported $0.30 EPS vs. consensus ~$0.32 (and weaker GAAP/profit metrics highlighted on the call), which pressured the stock. Article Title
• Negative Sentiment: Margin compression & profitability hit — operating profit and net income declined materially YoY; management says MOSAIC investments and the NYC contract profile will reshape margin dynamics, implying near‑term margin pressure. Article Title
• Negative Sentiment: Higher capex and weaker cash flow metrics — capex rose and cash balances fell year‑over‑year while liabilities remain elevated, raising near‑term cash/coverage concerns for some investors. Article Title
• Negative Sentiment: Market reaction & guidance interpretation — several outlets framed the company’s FY‑26 outlook (revenue roughly ~$1.02B–$1.03B per management) and margin commentary as weaker than hoped, prompting sell‑side headlines and the stock decline. Article Title

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.