Morgan Stanley Issues Pessimistic Forecast for Verra Mobility (NASDAQ:VRRM) Stock Price

Verra Mobility (NASDAQ:VRRM) had its price target lowered 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 currently has an “equal weight” rating on the stock. Morgan Stanley’s target price suggests a potential upside of 17.99% from the stock’s current price.

VRRM has been the topic of several other research reports. Wall Street Zen upgraded Verra Mobility from a “buy” rating to a “strong-buy” rating in a report on Saturday, December 20th. JPMorgan Chase & Co. assumed coverage on shares of Verra Mobility in a research report on Monday, January 26th. They set a “neutral” rating and a $25.00 price target on the stock. UBS Group increased their price objective on shares of Verra Mobility from $29.00 to $31.00 and gave the stock a “buy” rating in a report on Thursday, October 30th. Finally, Weiss Ratings restated a “hold (c)” rating on shares of Verra Mobility in a research report on Monday, December 29th. Two investment analysts have rated the stock with a Buy rating and three have given a Hold rating to the stock. According to MarketBeat.com, the company has an average rating of “Hold” and a consensus price target of $24.75.

Verra Mobility Price Performance

Shares of Verra Mobility stock opened at $16.95 on Wednesday. The stock has a market capitalization of $2.70 billion, a price-to-earnings ratio of 19.94, a P/E/G ratio of 2.56 and a beta of 0.59. The firm’s 50-day moving average price is $20.64 and its two-hundred day moving average price is $22.53. The company has a current ratio of 2.10, a quick ratio of 2.35 and a debt-to-equity ratio of 3.49. Verra Mobility has a 1-year low of $15.58 and a 1-year high of $26.24.

Verra Mobility (NASDAQ:VRRM) last announced 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). Verra Mobility had a return on equity of 57.45% and a net margin of 13.95%.The business had revenue of $257.86 million during the quarter, compared to analyst estimates of $241.17 million. During the same period in the previous year, the firm earned $0.33 earnings per share. The firm’s revenue was up 16.4% compared to the same quarter last year. Verra Mobility has set its FY 2026 guidance at 1.320-1.380 EPS. On average, equities analysts predict that Verra Mobility will post 1.08 earnings per share for the current fiscal year.

Institutional Inflows and Outflows

Several hedge funds have recently modified their holdings of VRRM. Rothschild Investment LLC raised its stake in shares of Verra Mobility by 238.3% during the third quarter. Rothschild Investment LLC now owns 1,167 shares of the company’s stock worth $29,000 after buying an additional 822 shares during the last quarter. Global Retirement Partners LLC bought a new position in Verra Mobility in the fourth quarter valued at approximately $27,000. Caitong International Asset Management Co. Ltd grew its holdings in Verra Mobility by 967.8% during the 4th quarter. Caitong International Asset Management Co. Ltd now owns 1,260 shares of the company’s stock worth $28,000 after acquiring an additional 1,142 shares during the period. EverSource Wealth Advisors LLC raised its position in shares of Verra Mobility by 439.4% during the 2nd quarter. EverSource Wealth Advisors LLC now owns 1,494 shares of the company’s stock valued at $38,000 after acquiring an additional 1,217 shares during the last quarter. Finally, Salomon & Ludwin LLC raised its position in shares of Verra Mobility by 100.7% during the 4th quarter. Salomon & Ludwin LLC now owns 1,497 shares of the company’s stock valued at $34,000 after acquiring an additional 751 shares during the last quarter.

Key Headlines Impacting Verra Mobility

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

• Positive Sentiment: Management will speak at the Morgan Stanley TMT conference on March 3, giving the company a chance to address margin outlook, NYC contract timing and MOSAIC investments directly to investors. Verra Mobility to Present at the Morgan Stanley Technology, Media & Telecom Conference
• Positive Sentiment: Top-line growth: Verra reported Q4 revenue above Street expectations and year-over-year revenue growth (~16%), which supports the company’s growth narrative despite an EPS miss. Verra Mobility beats Q4 sales expectations
• Neutral Sentiment: Company set 2026 revenue expectation in the $1.02B–$1.03B range and cited the NYC contract plus MOSAIC investments as drivers reshaping margins; this is informative but leaves margin trajectory uncertain. Verra Mobility expects $1.02B–$1.03B 2026 revenue
• Neutral Sentiment: Earnings materials and the Q4 call transcript are available for investors seeking detail on segment trends and the company’s margin assumptions—useful for modeling but not a catalyst on their own. Q4 results presentation Earnings call transcript
• Negative Sentiment: EPS miss: Verra reported $0.30 EPS vs. ~$0.32 consensus, which, together with management’s margin commentary, triggered the initial selloff. Q4 earnings lag estimates
• Negative Sentiment: Analysts have trimmed targets: Morgan Stanley cut its target to $20 (equal-weight) and JPMorgan cut to $24 (neutral). Those revisions reduce near-term sentiment and helped pressure the stock. Morgan Stanley cuts price target to $20 JPMorgan cuts price target to $24
• Negative Sentiment: Market reaction: coverage notes the stock dropped to a multi‑year low amid the earnings miss and guidance concerns, prompting headlines and momentum selling. Verra Mobility hits 3-year low

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.