Verrica Pharmaceuticals Stock Buy Hold or Sell Recommendation
| VRCA Stock | USD 0.72 0.01 1.37% |
Given the investment horizon of 90 days and your above-average risk tolerance, our recommendation regarding Verrica Pharmaceuticals is 'Strong Sell'. Macroaxis provides Verrica Pharmaceuticals buy-hold-or-sell recommendation only in the context of selected investment horizon and investor attitude towards risk assumed by holding VRCA positions.
Check out Verrica Pharmaceuticals Analyst Recommendation to compare Macroaxis Buy or Sell Recommendation with the current analyst consensus. To check ratings for multiple equity instruments, please use the Instant Ratings tool. For information on how to trade Verrica Stock refer to our How to Trade Verrica Stock guide. In addition, we conduct extensive research on individual companies such as Verrica and provide practical buy, sell, or hold advice based on investors' investing horizon and their risk tolerance towards Verrica Pharmaceuticals. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in main economic indicators.
Verrica |
Execute Verrica Pharmaceuticals Buy or Sell Advice
The Verrica recommendation should be used to complement the buy-or-sell advice compiled from the current analysts' consensus on Verrica Pharmaceuticals. Macroaxis does not own or have any residual interests in Verrica Pharmaceuticals or other equities on which the buy-or-sell advice is provided. Please provide your input below to execute Verrica Pharmaceuticals' advice using the current market data and latest reported fundamentals.
Time Horizon
Risk Tolerance
 |  |
Strong Sell
Market Performance | Very Weak | Details | |
Volatility | Abnormally volatile | Details | |
Hype Condition | Under hyped | Details | |
Current Valuation | Undervalued | Details | |
Odds Of Distress | Very High | Details | |
Economic Sensitivity | Moves completely opposite to the market | Details | |
Investor Sentiment | Alarmed | Details | |
Analyst Consensus | Buy | Details | |
Financial Strenth (F Score) | Poor | Details | |
Financial Leverage | Not Rated | Details | |
Reporting Quality (M-Score) | Unlikely Manipulator | Details |
Verrica Pharmaceuticals Trading Alerts and Improvement Suggestions
| Verrica Pharmaceuticals generated a negative expected return over the last 90 days | |
| Verrica Pharmaceuticals has high historical volatility and very poor performance | |
| Verrica Pharmaceuticals has some characteristics of a very speculative penny stock | |
| Verrica Pharmaceuticals has a very high chance of going through financial distress in the upcoming years | |
| The company reported the previous year's revenue of 5.12 M. Net Loss for the year was (67 M) with loss before overhead, payroll, taxes, and interest of (13.47 M). | |
| Verrica Pharmaceuticals currently holds about 14.4 M in cash with (38.58 M) of positive cash flow from operations. This results in cash-per-share (CPS) ratio of 0.35. | |
| Verrica Pharmaceuticals has a poor financial position based on the latest SEC disclosures | |
| Roughly 44.0% of the company outstanding shares are owned by insiders | |
| Latest headline from news.google.com: Shareholders Cant Ignore US1.1m Of Sales By Verrica Pharmaceuticals Insiders - Simply Wall St |
Verrica Pharmaceuticals Returns Distribution Density
The distribution of Verrica Pharmaceuticals' historical returns is an attempt to chart the uncertainty of Verrica Pharmaceuticals' future price movements. The chart of the probability distribution of Verrica Pharmaceuticals daily returns describes the distribution of returns around its average expected value. We use Verrica Pharmaceuticals price's Value At Risk and its Upside Potential as a relative measure of the distribution. The graph of the distribution of Verrica Pharmaceuticals returns is essential to provide solid investment advice for Verrica Pharmaceuticals.
| Mean Return | -0.71 | Value At Risk | -9.09 | Potential Upside | 11.94 | Standard Deviation | 8.30 |
Return Density |
| Distribution |
Investment risk management requires an estimate of the probability of extreme price changes. Therefore, the correct representation of the distribution of Verrica Pharmaceuticals historical returns presented in an easy-to-digest graphical form helps investors and money managers understand the risk-reward trade-off of different investement strategies.
Verrica Stock Institutional Investors
| Shares | Exoduspoint Capital Management, Lp | 2024-09-30 | 186.1 K | Morgan Stanley - Brokerage Accounts | 2024-09-30 | 181.8 K | Bml Capital Management Llc | 2024-09-30 | 180 K | Renaissance Technologies Corp | 2024-09-30 | 148 K | Two Sigma Investments Llc | 2024-09-30 | 115.3 K | Wellington Management Company Llp | 2024-09-30 | 114.4 K | Kovitz Investment Group Partners, Llc | 2024-09-30 | 101.1 K | Nuveen Asset Management, Llc | 2024-09-30 | 95 K | Mariner Wealth Advisors Llc | 2024-09-30 | 89.9 K | Perceptive Advisors Llc | 2024-09-30 | 7.1 M | Vanguard Group Inc | 2024-09-30 | 1.3 M |
Verrica Pharmaceuticals Cash Flow Accounts
| 2020 | 2021 | 2022 | 2023 | 2024 | 2025 (projected) | ||
| Investments | (1.9M) | 86K | 54.5M | 6.6M | 7.6M | 8.0M | |
| Change In Cash | 1.4M | 5.1M | 18.5M | 35.3M | 40.6M | 42.6M | |
| Free Cash Flow | (31.7M) | (28.5M) | (19.0M) | (38.9M) | (35.0M) | (33.3M) | |
| Depreciation | 229K | 472K | 718K | 836K | 961.4K | 1.0M | |
| Capital Expenditures | 1.5M | 883K | 302K | 362K | 325.8K | 602.1K | |
| Net Income | (42.7M) | (35.1M) | (24.5M) | (67.0M) | (60.3M) | (57.3M) | |
| End Period Cash Flow | 10.7M | 15.8M | 34.3M | 69.5M | 80.0M | 84.0M | |
| Change To Netincome | 3.3M | 10.6M | 7.5M | 6.8M | 7.8M | 4.8M | |
| Other Non Cash Items | 940K | 1.4M | 1.9M | 3.3M | 3.8M | 4.0M |
Verrica Pharmaceuticals Greeks
Most traded equities are subject to two types of risk - systematic (i.e., market) and unsystematic (i.e., nonmarket or company-specific) risk. Unsystematic risk is the risk that events specific to Verrica Pharmaceuticals or Pharmaceuticals sector will adversely affect the stock's price. This type of risk can be diversified away by owning several different stocks in different industries whose stock prices have shown a small correlation to each other. On the other hand, systematic risk is the risk that Verrica Pharmaceuticals' price will be affected by overall stock market movements and cannot be diversified away. So, no matter how many positions you have, you cannot eliminate market risk. However, you can measure a Verrica stock's historical response to market movements and buy it if you are comfortable with its volatility direction. Beta and standard deviation are two commonly used measures to help you make the right decision.
α | Alpha over Dow Jones | -0.46 | |
β | Beta against Dow Jones | -2.85 | |
σ | Overall volatility | 8.41 | |
Ir | Information ratio | -0.1 |
Verrica Pharmaceuticals Volatility Alert
Verrica Pharmaceuticals is displaying above-average volatility over the selected time horizon. Verrica Pharmaceuticals is a potential penny stock. Although Verrica Pharmaceuticals may be in fact a good instrument to invest, many penny stocks are speculative in nature and are subject to artificial price hype. Please make sure you totally understand the upside potential and downside risk of investing in Verrica Pharmaceuticals. We encourage investors to look for signals such as email spams, message board hypes, claims of breakthroughs, volume upswings, sudden news releases, promotions that are not reported, or demotions released before SEC filings. Please also check biographies and work history of current and past company officers before investing in high volatility instruments, penny stocks, or equities with microcap classification. You can indeed make money on Verrica instrument if you perfectly time your entry and exit. However, remember that penny stocks that have been the subject of artificial hype usually unable to maintain their increased share price for more than just a few days. The price of a promoted high volatility instrument will almost always revert back. The only way to increase shareholder value is through legitimate performance backed up by solid fundamentals.Verrica Pharmaceuticals Fundamentals Vs Peers
Comparing Verrica Pharmaceuticals' fundamentals to the average values of its peers is one of the most widely used and accepted methods of equity analyses. It helps to analyze Verrica Pharmaceuticals' direct or indirect competition across all of the common fundamentals between Verrica Pharmaceuticals and the related equities. This way, we can detect undervalued stocks with similar characteristics as Verrica Pharmaceuticals or determine the stocks which would be an excellent addition to an existing portfolio. Peer analysis of Verrica Pharmaceuticals' fundamental indicators could also be used in its relative valuation, which is a method of valuing Verrica Pharmaceuticals by comparing valuation metrics with those of similar companies.
| Better Than Average | Worse Than Average | Compare Verrica Pharmaceuticals to competition |
| Fundamentals | Verrica Pharmaceuticals | Peer Average |
| Return On Equity | -20.6 | -0.31 |
| Return On Asset | -0.71 | -0.14 |
| Operating Margin | 11.62 % | (5.51) % |
| Current Valuation | 89.28 M | 16.62 B |
| Shares Outstanding | 90.56 M | 571.82 M |
| Shares Owned By Insiders | 43.85 % | 10.09 % |
| Shares Owned By Institutions | 15.80 % | 39.21 % |
| Number Of Shares Shorted | 1.82 M | 4.71 M |
| Price To Book | 238.54 X | 9.51 X |
| Price To Sales | 7.05 X | 11.42 X |
| Revenue | 5.12 M | 9.43 B |
| Gross Profit | (13.47 M) | 27.38 B |
| EBITDA | (62.2 M) | 3.9 B |
| Net Income | (67 M) | 570.98 M |
| Cash And Equivalents | 14.4 M | 2.7 B |
| Cash Per Share | 0.35 X | 5.01 X |
| Total Debt | 45.51 M | 5.32 B |
| Debt To Equity | 2.69 % | 48.70 % |
| Current Ratio | 1.25 X | 2.16 X |
| Book Value Per Share | (0.75) X | 1.93 K |
| Cash Flow From Operations | (38.58 M) | 971.22 M |
| Short Ratio | 2.74 X | 4.00 X |
| Earnings Per Share | (1.84) X | 3.12 X |
| Price To Earnings To Growth | 0.03 X | 4.89 X |
| Target Price | 3.33 | |
| Number Of Employees | 100 | 18.84 K |
| Beta | 1.46 | -0.15 |
| Market Capitalization | 64.95 M | 19.03 B |
| Total Asset | 81.6 M | 29.47 B |
| Retained Earnings | (230.45 M) | 9.33 B |
| Working Capital | 60.51 M | 1.48 B |
| Net Asset | 81.6 M |
Note: Acquisition by Stalfort John A Iii of 50000 shares of Verrica Pharmaceuticals subject to Rule 16b-3 [view details]
Verrica Pharmaceuticals Market Momentum
Traders often use several daily momentume indicators to supplement a more traditional technical analysis when analyzing securities such as Verrica . With many different options, investors must choose the best indicators for them and familiarize themselves with how they work. We suggest combining traditional momentum indicators with more near-term forms of technical analysis such as Accumulation Distribution or Daily Balance Of Power. With their quantitative nature, daily value technical indicators can also be incorporated into your automated trading systems.
| Accumulation Distribution | 6736.58 | |||
| Daily Balance Of Power | (0.20) | |||
| Rate Of Daily Change | 0.99 | |||
| Day Median Price | 0.71 | |||
| Day Typical Price | 0.71 | |||
| Price Action Indicator | 0.01 | |||
| Period Momentum Indicator | (0.01) |
About Verrica Pharmaceuticals Buy or Sell Advice
When is the right time to buy or sell Verrica Pharmaceuticals? Buying financial instruments such as Verrica Stock isn't very hard. However, what challenging for most investors is doing it at the right time to beat the market. Proper market timing is something most people cannot do without sophisticated tools, which help to isolate the right opportunities. Macroaxis provides hands-on modules to deliver winning trades and diversify your portfolios on a daily basis. Most of our advising modules are very easy to use and apply.
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Check out Verrica Pharmaceuticals Analyst Recommendation to compare Macroaxis Buy or Sell Recommendation with the current analyst consensus. To check ratings for multiple equity instruments, please use the Instant Ratings tool. For information on how to trade Verrica Stock refer to our How to Trade Verrica Stock guide.You can also try the USA ETFs module to find actively traded Exchange Traded Funds (ETF) in USA.
Is Pharmaceuticals space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Verrica Pharmaceuticals. If investors know Verrica will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Verrica Pharmaceuticals listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Earnings Share (1.84) | Revenue Per Share | Quarterly Revenue Growth 27.445 | Return On Assets | Return On Equity |
The market value of Verrica Pharmaceuticals is measured differently than its book value, which is the value of Verrica that is recorded on the company's balance sheet. Investors also form their own opinion of Verrica Pharmaceuticals' value that differs from its market value or its book value, called intrinsic value, which is Verrica Pharmaceuticals' true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Verrica Pharmaceuticals' market value can be influenced by many factors that don't directly affect Verrica Pharmaceuticals' underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Verrica Pharmaceuticals' value and its price as these two are different measures arrived at by different means. Investors typically determine if Verrica Pharmaceuticals is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Verrica Pharmaceuticals' price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.