Vroom Target of Unusually High Options Trading (NASDAQ:VRM)

Vroom, Inc. (NASDAQ:VRMGet Rating) was the target of some unusual options trading activity on Friday. Traders bought 29,735 call options on the stock. This is an increase of 159% compared to the average volume of 11,470 call options.

Analyst Upgrades and Downgrades

Several brokerages have commented on VRM. Stifel Nicolaus cut their price target on shares of Vroom from $2.00 to $1.50 in a research report on Tuesday, June 28th. Wedbush reiterated an “outperform” rating on shares of Vroom in a report on Tuesday, May 10th. Finally, William Blair downgraded Vroom from an “outperform” rating to a “market perform” rating in a research note on Thursday, April 28th. Six analysts have rated the stock with a hold rating and two have given a buy rating to the company. According to MarketBeat.com, the company currently has an average rating of “Hold” and an average target price of $16.28.

Vroom Trading Up 28.9 %

Shares of VRM stock opened at $2.32 on Friday. Vroom has a 1-year low of $1.03 and a 1-year high of $39.48. 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 stock has a market cap of $320.32 million, a price-to-earnings ratio of -0.53 and a beta of 1.85. The stock has a 50-day moving average of $1.45 and a 200-day moving average of $2.89.

Vroom (NASDAQ:VRMGet Rating) last announced its earnings results on Monday, May 9th. The company reported ($0.71) earnings per share for the quarter, topping analysts’ consensus estimates 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 business had revenue of $923.50 million during the quarter, compared to the consensus estimate of $878.18 million. During the same quarter last year, the firm earned ($0.57) earnings per share. Vroom’s quarterly revenue was up 56.2% on a year-over-year basis. On average, equities research analysts forecast that Vroom will post -3.06 earnings per share for the current year.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently added to or reduced their stakes in the company. Spyglass Capital Management LLC lifted its stake in shares of Vroom by 31.8% in the fourth quarter. Spyglass Capital Management LLC now owns 8,377,527 shares of the company’s stock valued at $90,394,000 after buying an additional 2,018,990 shares in the last quarter. Cooper Creek Partners Management LLC acquired a new stake in shares of Vroom in the 1st quarter worth about $14,157,000. Nisa Investment Advisors LLC boosted its stake in Vroom by 1.9% during the 1st quarter. Nisa Investment Advisors LLC now owns 3,848,568 shares of the company’s stock valued at $10,237,000 after purchasing an additional 71,600 shares during the last quarter. State Street Corp increased its holdings in Vroom by 55.5% during the 1st 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 in the last quarter. Finally, Massachusetts Financial Services Co. MA raised its stake in shares of Vroom by 40.7% in the fourth quarter. Massachusetts Financial Services Co. MA now owns 2,362,440 shares of the company’s stock worth $25,491,000 after purchasing an additional 683,322 shares during the last quarter. Institutional investors own 83.92% of the company’s stock.

Vroom Company Profile

(Get Rating)

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.

Further Reading

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