Vroom Inc. (VRM) Could Be Sitting On A Goldmine
Vroom Inc. (NASDAQ:VRM) concluded the trading at $1.84 on Wednesday, July 20 with a rise of 9.52% from its closing price on previous day.
Taking a look at stock we notice that its last check on previous day was $1.68 with its price kept floating in the range of $1.68 and $1.95 on the day. Considering stock’s 52-week price range provides that VRM hit a high price of $40.26 and saw its price falling to a low level of $1.03 during that period. Over a period of past 1-month, stock came adding 53.33% in its value.
With its current market valuation of $236.42 million, Vroom Inc. is set to declare its quarterly results on Mar 01, 2022 – Mar 07, 2022. Analysts are in estimates of -$0.85 per share for company’s earnings in the current quarter and are expecting its annual EPS growth moving up to -$3.33 for 2022 with estimates of that growing to -$2.68 in next year. These estimates are suggesting current year growth of -24.30% for EPS and 19.50% growth next year.
Analysts watching the company’s growth closely have provided estimates for its revenue growth with an average revenue estimate of $726.84 million. They suggested that in the process company could generate revenue of as low as $453 million which could climb up to $994 million to hit a high. The average estimate is representing a decrease of -4.60% in sales growth from that of posted by the company in the same quarter of last year. In keeping analyst consensus estimate with, company is forecasted to be making an annual revenue of $3.14 billion in 2022, which will be -1.40% less from revenue generated by the company last year.
In last 7 days, analysts came adjusting their opinions about stock’s EPS with 3 upward and no downward revisions, an indication which could give clearer idea about the company’s short term price movement. In contrast, when we review VRM stock’s current outlook then short term indicators are assigning it an average of Hold, while medium term indicators are categorizing the stock at an average of 50% Sell. Long term indicators are suggesting an average of 100% Sell for it.
According to ratings assigned by 11 analysts at the scale of 1 to 5 with 1.00 representing a strong buy and 5.00 suggesting a strong sell; 8 of them are recommending Vroom Inc. (VRM) as a Hold, while 2 are in view that stock is a Buy. Recommendation by 0 analysts for the stock is an Underweight while number of those analysts who rated the stock as an Overweight is 1, whereas 0 of them are considering the stock as a Sell. When taken as whole, stock gets a rating of Overweight and that encourages the investors to exploit the opportunity and build their stake up in the company.
Digging deeper we become aware of the PEG ratio of the VRM stock which is currently positioned at 0. It further provides that stock’s current price level is 26.90% away from its 20-day simple moving average and is 33.97% off its SMA50. Its relative strength index (RSI) for 14-periods is oscillating at 65.23 while volatility remained at 10.59% over the past week which changes to 15.22% when measuring it over the past month. Average true range or ATR is currently at 0.18. In predicting price targets of as low as $1.00 and as high as $6.00, analysts are in agreement on assigning the stock over the next 12 months average price target of $2.95. Stock’s current price level is 45.65% above from estimated low price target while it is -226.09% below the estimated high; and even if the VRM’s share succeeded to reach the median price of $2.30, then the outlook of -25.0% could come to the excitement of the investors.
Having a second look at Vroom Inc. (NASDAQ:VRM) provides that stock’s average daily trading volume for 3 months was 19.37 million, while it jumped to 8.96 million when we calculate an average volume for past 10 days. Number of outstanding shares of the stock stood at 137.26 million.
The percentage of outstanding shares held by the insiders is 3.00% while it is 78.20% for the institutional holders. The figures also indicate that as of Apr 28, 2022, number of stock’s short shares was 44.23 million which implies a short ratio of 3.52. This shows up a 32.03% of Short Interest in company’s outstanding shares on the day. In April the standing of shares short improved as it was 35.6 million in the previous month. Subtraction of -82.95% by stock’s current price to its year-to-date value in last trading session is likely to be increasing investors’ interest in the stock as it is hinting an extended uptrend.
Vroom, Inc. (NASDAQ:VRM) Shares Acquired by Truist Financial Corp
Truist Financial Corp lifted its stake in shares of Vroom, Inc. (NASDAQ:VRM – Get Rating) by 66.5% in the first quarter, Holdings Channel reports. The institutional investor owned 52,952 shares of the company’s stock after buying an additional 21,154 shares during the quarter. Truist Financial Corp’s holdings in Vroom were worth $141,000 as of its most recent SEC filing.
Other hedge funds have also made changes to their positions in the company. Cinctive Capital Management LP grew its position in shares of Vroom by 24.0% during the fourth quarter. Cinctive Capital Management LP now owns 99,414 shares of the company’s stock worth $1,073,000 after buying an additional 19,220 shares in the last quarter. Cubist Systematic Strategies LLC boosted its holdings in Vroom by 145.9% in the fourth quarter. Cubist Systematic Strategies LLC now owns 840,361 shares of the company’s stock worth $9,067,000 after purchasing an additional 498,627 shares during the period. First Republic Investment Management Inc. boosted its holdings in Vroom by 48.2% in the fourth quarter. First Republic Investment Management Inc. now owns 138,060 shares of the company’s stock worth $1,490,000 after purchasing an additional 44,873 shares during the period. Jennison Associates LLC boosted its holdings in Vroom by 7.8% in the fourth quarter. Jennison Associates LLC now owns 857,194 shares of the company’s stock worth $9,249,000 after purchasing an additional 62,173 shares during the period. Finally, Versor Investments LP bought a new stake in Vroom in the fourth quarter valued at $142,000. Institutional investors and hedge funds own 83.92% of the company’s stock.
Wall Street Analysts Forecast Growth
A number of equities research analysts have issued reports on VRM shares. Wedbush reiterated an “outperform” rating on shares of Vroom in a research note on Tuesday, May 10th. Stifel Nicolaus cut their price objective on shares of Vroom from $2.00 to $1.50 in a research note on Tuesday, June 28th. Finally, William Blair cut shares of Vroom from an “outperform” rating to a “market perform” rating in a research note on Thursday, April 28th. Six research analysts have rated the stock with a hold rating and two have given a buy rating to the company. Based on data from MarketBeat.com, the stock has a consensus rating of “Hold” and an average target price of $16.28.
Vroom Price Performance Shares of Vroom stock opened at $1.49 on Monday. The company has a current ratio of 1.83, a quick ratio of 1.10 and a debt-to-equity ratio of 1.13. The company’s 50-day moving average price is $1.40 and its two-hundred day moving average price is $3.04. Vroom, Inc. has a 52 week low of $1.03 and a 52 week high of $39.48. The stock has a market cap of $205.72 million, a PE ratio of -0.34 and a beta of 1.62.
Vroom (NASDAQ:VRM – Get Rating) last issued its quarterly earnings results on Monday, May 9th. The company reported ($0.71) EPS for the quarter, topping the consensus estimate of ($1.03) by $0.32. The firm had revenue of $923.50 million for the quarter, compared to analysts’ expectations of $878.18 million. Vroom had a negative net margin of 17.18% and a negative return on equity of 41.73%. Vroom’s revenue for the quarter was up 56.2% compared to the same quarter last year. During the same period in the previous year, the business earned ($0.57) earnings per share. As a group, sell-side analysts anticipate that Vroom, Inc. will post -3.1 EPS for the current fiscal year.
Vroom, Inc operates as an e-commerce used automotive retailer in the United States. It operates end-to-end ecommerce platform for buying, selling, transporting, reconditioning, pricing, financing, registering, and delivering vehicles. The company was formerly known as Auto America, Inc and changed its name to Vroom, Inc in July 2015.
Vroom (VRM) Set to Announce Quarterly Earnings on Monday
Vroom (NASDAQ:VRM – Get Rating) is set to issue its quarterly earnings data after the market closes on Monday, August 8th. Analysts expect the company to announce earnings of ($0.77) per share for the quarter. Parties that are interested in participating in the company’s conference call can do so using this link.
Vroom (NASDAQ:VRM – Get Rating) last issued its earnings results on Monday, May 9th. The company reported ($0.71) earnings per share for the quarter, topping the consensus estimate of ($1.03) by $0.32. Vroom had a negative net margin of 17.18% and a negative return on equity of 41.73%. The company had revenue of $923.50 million for the quarter, compared to analyst estimates of $878.18 million. During the same period in the prior year, the business posted ($0.57) earnings per share. The firm’s revenue for the quarter was up 56.2% compared to the same quarter last year. On average, analysts expect Vroom to post $-3 EPS for the current fiscal year and $-2 EPS for the next fiscal year.
Vroom Stock Down 3.2 %
Shares of NASDAQ VRM opened at $1.49 on Monday. Vroom has a 12-month low of $1.03 and a 12-month high of $39.48. The company has a market capitalization of $205.72 million, a PE ratio of -0.34 and a beta of 1.62. The company has a debt-to-equity ratio of 1.13, a current ratio of 1.83 and a quick ratio of 1.10. The firm’s 50-day moving average is $1.40 and its two-hundred day moving average is $3.04.
Hedge Funds Weigh In On Vroom Several institutional investors and hedge funds have recently modified their holdings of VRM. State Street Corp increased its position in Vroom by 55.5% during the first quarter. State Street Corp now owns 3,314,989 shares of the company’s stock worth $8,818,000 after purchasing an additional 1,183,123 shares during the last quarter. Prudential Financial Inc. acquired a new position in Vroom during the first quarter worth approximately $3,068,000. Walleye Capital LLC increased its position in Vroom by 1,394.7% during the first quarter. Walleye Capital LLC now owns 1,026,136 shares of the company’s stock worth $2,730,000 after purchasing an additional 957,483 shares during the last quarter. Renaissance Technologies LLC increased its position in Vroom by 1,258.1% during the first quarter. Renaissance Technologies LLC now owns 942,700 shares of the company’s stock worth $2,508,000 after purchasing an additional 873,286 shares during the last quarter. Finally, Gabelli Funds LLC increased its position in Vroom by 100.7% during the first quarter. Gabelli Funds LLC now owns 934,018 shares of the company’s stock worth $2,484,000 after purchasing an additional 468,539 shares during the last quarter. Hedge funds and other institutional investors own 83.92% of the company’s stock. Wall Street Analyst Weigh In
Several brokerages have issued reports on VRM. Stifel Nicolaus reduced their price target on shares of Vroom from $2.00 to $1.50 in a report on Tuesday, June 28th. Wedbush reaffirmed an “outperform” rating on shares of Vroom in a report on Tuesday, May 10th. Finally, William Blair downgraded shares of Vroom from an “outperform” rating to a “market perform” rating in a report on Thursday, April 28th. Six analysts have rated the stock with a hold rating and two have assigned a buy rating to the company’s stock. According to data from MarketBeat.com, the company presently has an average rating of “Hold” and a consensus price target of $16.28.