Invesaro

Stocks VRRM DCF valuation

DCF valuation

What is VERRA MOBILITY Corp worth?

With the base-case assumptions below, a discounted cash flow model on VERRA MOBILITY Corp's reported free cash flow gives $21.90 per share. The share price was $3.24 on September 25, 2026, 85% below that value.

Inputs from the filings

Free cash flow, fiscal 2025
$136.7M
Average free cash flow, last 5 years
$155.4M
Cash
$49.6M
balance sheet of June 30, 2026
Debt
$1.03B
balance sheet of June 30, 2026
Diluted shares, fiscal 2025
161,292,000
Revenue growth per year, last 5 years
20.0%

Three sets of assumptions

CaseGrowth yrs 1-5Growth yrs 6-10After year 10Discount rateValue per shareValue vs price
Bear10.0%6.0%2.0%10.0%$10.91+237%
Base15.0%9.0%2.5%9.0%$21.90+576%
Bull20.0%11.5%3.0%8.0%$42.36+1,207%

Sensitivity: base case value per share

Discount rate down the side, growth after year 10 across the top. Everything else as in the base case.

1.5%2.0%2.5%3.0%3.5%
7.0%$30.22$32.81$35.98$39.94$45.04
8.0%$23.97$25.65$27.64$30.02$32.94
9.0%$19.42$20.57$21.90$23.44$25.27
10.0%$15.97$16.79$17.72$18.78$20.00
11.0%$13.27$13.87$14.54$15.30$16.15

Where the presets come from

Base: years 1 to 5 grow at VERRA MOBILITY Corp's revenue growth rate over the last 5 fiscal years (20.0% a year), held between -5% and 15%. Years 6 to 10 grow halfway between that and the long-run rate of 2.5%. Future cash is discounted at 9% a year.

Bear: 5 points less growth, 2% long-run growth, 10% discount rate. Bull: 5 points more growth (at most 25%), 3% long-run growth, 8% discount rate.

Value per share = (present value of 10 years of free cash flow + present value of everything after + cash - debt) / diluted shares.

This is a model run on assumptions, not a recommendation or a price target. Small changes in the discount rate or growth move the result a lot, as the table above shows. Change them yourself in the calculator.

Adjust the assumptions

Move the sliders for growth, long-run growth and discount rate, or switch to average free cash flow, and see the value per share change.

Adjust the assumptions

VERRA MOBILITY Corp company page