Vroom Inc. [NASDAQ: VRM] gained 4.07% or 0.05 points to close at $1.28 with a heavy trading volume of 5536374 shares. The company report on September 23, 2022 that Vroom Reports Inducement Grants Under Nasdaq Listing Rule 5635(c)(4).
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Vroom, Inc. (Nasdaq: VRM), a leading e-commerce platform for buying and selling used vehicles, today reported that on September 22, 2022, the Compensation Committee of Vroom’s Board of Directors approved the grant of inducement restricted stock unit awards covering 95,125 shares of Vroom’s common stock to 22 non-executive employees of Vroom and its affiliates to induce them to join as employees of Vroom and its affiliates. The awards were granted under Vroom’s 2022 Inducement Award Plan, and generally vest in equal annual increments of 1/3 over the three-year period following their grant, subject to continued employment through each applicable vesting date. The awards were granted as employment inducement awards pursuant to the Nasdaq listing rules.
It opened the trading session at $1.27, the shares rose to $1.34 and dropped to $1.245, the range by which the price of stock traded the whole day. The daily chart for VRM points out that the company has recorded -54.77% loss over the past six months. However, it is still -24.27% lower than its most recent low trading price.
If we look at the average trading volume of 10.11M shares, VRM reached to a volume of 5536374 in the most recent trading day, which is why market watchdogs consider the stock to be active.
Here is what top equities market gurus are saying about Vroom Inc. [VRM]:
Based on careful and fact-backed analyses by Wall Street experts, the current consensus on the target price for VRM shares is $2.93 per share. Analysis on target price and performance of stocks is usually carefully studied by market experts, and the current Wall Street consensus on VRM stock is a recommendation set at 2.50. This rating represents a strong Buy recommendation, on the scale from 1 to 5, where 5 would mean strong sell, 4 represents Sell, 3 is Hold, and 2 indicates Buy.
JP Morgan have made an estimate for Vroom Inc. shares, keeping their opinion on the stock as Underweight, with their previous recommendation back on August 15, 2022. The new note on the price target was released on April 28, 2022, representing the official price target for Vroom Inc. stock. Previously, the target price had yet another drop from $10 to $4, while Stifel kept a Hold rating on VRM stock. On March 01, 2022, analysts decreased their price target for VRM shares from 16 to 6.
The Average True Range (ATR) for Vroom Inc. is set at 0.14, with the Price to Sales ratio for VRM stock in the period of the last 12 months amounting to 0.06. The Price to Book ratio for the last quarter was 0.36, with the Price to Cash per share for the same quarter was set at 3.76.
Trading performance analysis for VRM stock
Vroom Inc. [VRM] gain into the green zone at the end of the last week, gaining into a positive trend and gaining by 0.79. With this latest performance, VRM shares dropped by -20.50% in over the last four-week period, additionally sinking by -54.77% over the last 6 months – not to mention a drop of -93.83% in the past year of trading.
Overbought and oversold stocks can be easily traced with the Relative Strength Index (RSI), where an RSI result of over 70 would be overbought, and any rate below 30 would indicate oversold conditions. An RSI rate of 50 would represent a neutral market momentum. The current RSI for VRM stock in for the last two-week period is set at 40.66, with the RSI for the last a single of trading hit 40.29, and the three-weeks RSI is set at 42.51 for Vroom Inc. [VRM]. The present Moving Average for the last 50 days of trading for this stock 1.6828, while it was recorded at 1.2340 for the last single week of trading, and 3.4114 for the last 200 days.
Vroom Inc. [VRM]: A deeper dive into fundamental analysis
Operating Margin for any stock indicates how profitable investing would be, and Vroom Inc. [VRM] shares currently have an operating margin of -11.26 and a Gross Margin at +5.94. Vroom Inc.’s Net Margin is presently recorded at -11.65.
Return on Equity for this stock declined to -34.63, with Return on Assets sitting at -18.13.
Vroom Inc.’s liquidity data is similarly interesting compelling, with a Quick Ratio of 1.20 and a Current Ratio set at 1.80.
An analysis of insider ownership at Vroom Inc. [VRM]
There are presently around $67 million, or 37.50% of VRM stock, in the hands of institutional investors. The top three institutional holders of VRM stocks are: VANGUARD GROUP INC with ownership of 5,766,966, which is approximately -25.063% of the company’s market cap and around 2.60% of the total institutional ownership; NISA INVESTMENT ADVISORS, LLC, holding 3,776,968 shares of the stock with an approximate value of $4.83 million in VRM stocks shares; and FIRST TRUST ADVISORS LP, currently with $4.15 million in VRM stock with ownership of nearly 599.832% of the company’s market capitalization.
Positions in Vroom Inc. stocks held by institutional investors increased at the end of November and at the time of the November reporting period, where 64 institutional holders increased their position in Vroom Inc. [NASDAQ:VRM] by around 13,890,285 shares. Additionally, 134 investors decreased positions by around 69,102,231 shares, while 30 investors held positions by with 30,714,288 shares. The mentioned changes placed institutional holdings at 52,278,228 shares, according to the latest SEC report filing. VRM stock had 34 new institutional investments in for a total of 6,228,001 shares, while 79 institutional investors sold positions of 37,913,974 shares during the same period.