Is Verrica Pharmaceuticals Stock a Good Investment?
Verrica Pharmaceuticals Investment Advice | VRCA |
- Examine Verrica Pharmaceuticals' financial health by looking at its balance sheet, income statement, and cash flow statement. Analyze key financial ratios, such as Price-to-Earnings (P/E), Price-to-Sales (P/S), and Price-to-Book (P/B), to determine whether the stock is fairly valued or over/undervalued.
- Research Verrica Pharmaceuticals' leadership team and their track record. Good management can help Verrica Pharmaceuticals navigate difficult times and make strategic decisions that benefit shareholders and increases its net worth.
- Consider the overall health of the Pharmaceuticals space and any emerging trends that could impact Verrica Pharmaceuticals' business and its evolving consumer preferences.
- Compare Verrica Pharmaceuticals' performance and market position to its competitors. Analyze how Verrica Pharmaceuticals is positioned in terms of product offerings, innovation, and market share.
- Check if Verrica Pharmaceuticals pays a dividend and its dividend yield and payout ratio.
- Review what financial analysts are saying about Verrica Pharmaceuticals' stock and their price targets. However, remember that analysts' opinions can vary, and their predictions may not always be accurate.
It's important to note that investing in Verrica Pharmaceuticals stock, carries risks, and you should carefully consider your investment goals and risk tolerance before making any investment decisions. Also, remember that it's important for investors to have a long-term perspective and a well-diversified portfolio to manage the impact of stock market volatility on their investments. Below is a detailed guide on how to decide if Verrica Pharmaceuticals is a good investment.
Sell | Buy |
Strong Buy
Market Performance | Very Weak | Details | |
Volatility | Dangerous | Details | |
Hype Condition | Over hyped | Details | |
Current Valuation | Undervalued | Details | |
Odds Of Distress | Very High | Details | |
Economic Sensitivity | Responds to the market | Details | |
Investor Sentiment | Impartial | Details | |
Analyst Consensus | Buy | Details | |
Financial Strenth (F Score) | Poor | Details | |
Financial Leverage | Not Rated | Details | |
Reporting Quality (M-Score) | Unlikely Manipulator | Details |
Examine Verrica Pharmaceuticals Stock
Researching Verrica Pharmaceuticals' stock involves analyzing various aspects of the company and its industry to make an informed investment decision. The key areas to focus on are fundamentals, business model and competitive advantage. It is also important to analyze trends in revenue, net income, and cash flow, as well as key financial ratios, such as price-to-earnings (P/E), price-to-sales (P/S), and debt-to-equity (D/E). About 44.0% of the company outstanding shares are owned by insiders. The company has Price/Earnings To Growth (PEG) ratio of 0.03. Verrica Pharmaceuticals recorded a loss per share of 1.84. The entity had not issued any dividends in recent years.
To determine if Verrica Pharmaceuticals is a good investment, evaluating the company's potential for future growth is also very important. This may include expanding into new markets, launching new products or services, or improving operational efficiency. Companies with strong growth prospects can be more attractive investments. This aspect of the research should be conducted in the context of the overall market and industry in which the company operates and should include an analysis of growth potential, competitive landscape, and any regulatory or economic factors that could impact the business. Some of the essential points regarding Verrica Pharmaceuticals' research are outlined below:
| 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 Quarterly Liabilities And Stockholders Equity |
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Verrica Pharmaceuticals uses earnings reports to provide investors with an update of all three financial statements, including the income statement, the balance sheet, and the cash flow statement. Therefore, it is also crucial when considering investing in Verrica Pharmaceuticals. Every quarterly earnings report provides investors with an overview of sales, expenses, and net income for the most recent period. It also may provide a comparison to Verrica Pharmaceuticals' previous reporting period. The quarterly earnings reports are usually disseminated to the public via Form 10-Q, which is a legal document filed with the Securities and Exchange Commission every quarter.
| 4th of March 2024 Upcoming Quarterly Report | View | |
| 14th of May 2024 Next Financial Report | View | |
| 31st of December 2023 Next Fiscal Quarter End | View | |
| 4th of March 2024 Next Fiscal Year End | View | |
| 30th of September 2023 Last Quarter Report | View | |
| 31st of December 2022 Last Financial Announcement | View |
Earnings surprises can significantly impact Verrica Pharmaceuticals' stock price both in the short term and over time. Negative earnings surprises usually result in a price decline. However, it has been seen that positive earnings surprises lead to an immediate rise in a stock's price and a gradual increase over time. This is why we often hear news about some companies beating earning projections. Financial analysts spend a large amount of time predicting earnings per share (EPS) along with other important future indicators. Many analysts use forecasting models, management guidance, and additional fundamental information to derive an EPS estimate. Below are the table of largest EPS Surprises Verrica Pharmaceuticals' investors have experienced.
| Reported | Fiscal Date | Estimated EPS | Reported EPS | Surprise | |||
|---|---|---|---|---|---|---|---|
2023-08-08 | 2023-06-30 | -0.21 | -0.24 | -0.03 | 14 | ||
2019-11-06 | 2019-09-30 | -0.27 | -0.24 | 0.03 | 11 | ||
2019-03-07 | 2018-12-31 | -0.27 | -0.3 | -0.03 | 11 | ||
2018-11-07 | 2018-09-30 | -0.24 | -0.27 | -0.03 | 12 | ||
2024-05-13 | 2024-03-31 | -0.4 | -0.44 | -0.04 | 10 | ||
2023-05-09 | 2023-03-31 | -0.19 | -0.15 | 0.04 | 21 | ||
2024-08-14 | 2024-06-30 | -0.42 | -0.37 | 0.05 | 11 | ||
2023-03-06 | 2022-12-31 | -0.19 | -0.14 | 0.05 | 26 |
Know Verrica Pharmaceuticals' Top Institutional Investors
Have you ever been surprised when a price of an equity instrument such as Verrica Pharmaceuticals is soaring high without any particular reason? This is usually happening because many institutional investors are aggressively trading Verrica Pharmaceuticals backward and forwards among themselves. Verrica Pharmaceuticals' institutional investor refers to the entity that pools money to purchase Verrica Pharmaceuticals' securities or originate loans. Institutional investors include commercial and private banks, credit unions, insurance companies, pension funds, hedge funds, endowments, and mutual funds. Operating companies that invest excess capital in these types of assets may also be included in the term and may influence corporate governance by exercising voting rights in their investments.
| Shares | Northern Trust Corp | 2024-09-30 | 219.1 K | Simplify Asset Management Inc. | 2024-09-30 | 200 K | 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 | Perceptive Advisors Llc | 2024-09-30 | 7.1 M | Vanguard Group Inc | 2024-09-30 | 1.3 M |
Verrica Pharmaceuticals' market capitalization trends
The company currently falls under 'Micro-Cap' category with a current market capitalization of 66.73 M.Market Cap |
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Verrica Pharmaceuticals' profitablity analysis
| Last Reported | Projected for Next Year | ||
| Return On Tangible Assets | (0.74) | (0.78) | |
| Return On Capital Employed | (0.92) | (0.96) | |
| Return On Assets | (0.74) | (0.78) | |
| Return On Equity | (3.90) | (3.70) |
Determining Verrica Pharmaceuticals' profitability involves analyzing its financial statements and using various financial metrics to determine if Verrica Pharmaceuticals is a good buy. For example, gross profit margin measures Verrica Pharmaceuticals' profitability after accounting for the cost of goods sold, while net profit margin measures profitability after accounting for all expenses. Other important metrics include return on assets, return on equity, and free cash flow. By reviewing multiple sources and metrics, you can gain a complete picture of Verrica Pharmaceuticals' profitability and make more informed investment decisions.
Please note, the presentation of Verrica Pharmaceuticals' financial position, as portrayed in its financial statements, is often influenced by management's estimates, judgments, and sometimes even manipulations. In the best case, Verrica Pharmaceuticals' management is honest, while the outside auditors are strict and uncompromising. Please utilize our Beneish M Score to check the likelihood of Verrica Pharmaceuticals' management manipulating its earnings.
Evaluate Verrica Pharmaceuticals' management efficiency
Verrica Pharmaceuticals has return on total asset (ROA) of (0.7141) % which means that it has lost $0.7141 on every $100 spent on assets. This is way below average. Similarly, it shows a return on stockholder's equity (ROE) of (20.5989) %, meaning that it created substantial loss on money invested by shareholders. Verrica Pharmaceuticals' management efficiency ratios could be used to measure how well Verrica Pharmaceuticals manages its routine affairs as well as how well it operates its assets and liabilities. As of February 16, 2025, Return On Tangible Assets is expected to decline to -0.78. In addition to that, Return On Capital Employed is expected to decline to -0.96. At present, Verrica Pharmaceuticals' Non Currrent Assets Other are projected to increase significantly based on the last few years of reporting. The current year's Other Current Assets is expected to grow to about 3.9 M, whereas Total Assets are forecasted to decline to about 62 M.| Last Reported | Projected for Next Year | ||
| Book Value Per Share | 0.50 | 0.48 | |
| Tangible Book Value Per Share | 0.50 | 0.48 | |
| Enterprise Value Over EBITDA | (4.45) | (4.68) | |
| Price Book Value Ratio | 15.11 | 15.87 | |
| Enterprise Value Multiple | (4.45) | (4.68) | |
| Price Fair Value | 15.11 | 15.87 | |
| Enterprise Value | 354.1 M | 283.5 M |
Verrica Pharmaceuticals showcases strong leadership that adapts to market changes and drives innovation. Our analysis explores how this adaptability affects the stock's investment appeal.
Beta 1.476 |
Basic technical analysis of Verrica Stock
As of the 16th of February 2025, Verrica Pharmaceuticals has the Coefficient Of Variation of (30,959), variance of 32.22, and Risk Adjusted Performance of 0.0065. In relation to fundamental indicators, the technical analysis model makes it possible for you to check existing technical drivers of Verrica Pharmaceuticals, as well as the relationship between them.Verrica Pharmaceuticals' insider trading activities
Some recent studies suggest that insider trading raises the cost of capital for securities issuers and decreases overall economic growth. Trading by specific Verrica Pharmaceuticals insiders, such as employees or executives, is commonly permitted as long as it does not rely on Verrica Pharmaceuticals' material information that is not in the public domain. Local jurisdictions usually require such trading to be reported in order to monitor insider transactions. In many U.S. states, trading conducted by corporate officers, key employees, directors, or significant shareholders must be reported to the regulator or publicly disclosed, usually within a few business days of the trade. In these cases Verrica Pharmaceuticals insiders are required to file a Form 4 with the U.S. Securities and Exchange Commission (SEC) when buying or selling shares of their own companies.
Verrica Pharmaceuticals' Outstanding Corporate Bonds
Verrica Pharmaceuticals issues bonds to finance its operations. Corporate bonds make up one of the largest components of the U.S. bond market, which is considered the world's largest securities market. Verrica Pharmaceuticals uses the proceeds from bond sales for a wide variety of purposes, including financing ongoing mergers and acquisitions, buying new equipment, investing in research and development, buying back their own stock, paying dividends to shareholders, and even refinancing existing debt. Most Verrica bonds can be classified according to their maturity, which is the date when Verrica Pharmaceuticals has to pay back the principal to investors. Maturities can be short-term, medium-term, or long-term (more than ten years). Longer-term bonds usually offer higher interest rates but may entail additional risks.
| MPLX LP 4125 Corp BondUS55336VAK61 | View | |
| MPLX LP 4875 Corp BondUS55336VAJ98 | View | |
| MPLX LP 52 Corp BondUS55336VAL45 | View | |
| Valero Energy Partners Corp BondUS91914JAA07 | View |
Understand Verrica Pharmaceuticals' technical and predictive indicators
Using predictive indicators to make investment decisions involves analyzing Verrica Pharmaceuticals' various financial and market-based factors to help forecast future trends and identify investment opportunities. Select the indicators that are most relevant to your investment strategy. Each indicator has its own strengths and weaknesses, so it's essential to combine multiple indicators to get a more comprehensive view of the market and reduce the risk of making poor decisions based on limited data.
| Risk Adjusted Performance | 0.0065 | |||
| Market Risk Adjusted Performance | (0.01) | |||
| Mean Deviation | 4.03 | |||
| Coefficient Of Variation | (30,959) | |||
| Standard Deviation | 5.68 | |||
| Variance | 32.22 | |||
| Information Ratio | (0.01) | |||
| Jensen Alpha | (0.03) | |||
| Total Risk Alpha | (0.04) | |||
| Treynor Ratio | (0.02) | |||
| Maximum Drawdown | 26.59 | |||
| Value At Risk | (8.57) | |||
| Potential Upside | 11.94 | |||
| Skewness | 0.686 | |||
| Kurtosis | 0.684 |
| Risk Adjusted Performance | 0.0065 | |||
| Market Risk Adjusted Performance | (0.01) | |||
| Mean Deviation | 4.03 | |||
| Coefficient Of Variation | (30,959) | |||
| Standard Deviation | 5.68 | |||
| Variance | 32.22 | |||
| Information Ratio | (0.01) | |||
| Jensen Alpha | (0.03) | |||
| Total Risk Alpha | (0.04) | |||
| Treynor Ratio | (0.02) | |||
| Maximum Drawdown | 26.59 | |||
| Value At Risk | (8.57) | |||
| Potential Upside | 11.94 | |||
| Skewness | 0.686 | |||
| Kurtosis | 0.684 |
Consider Verrica Pharmaceuticals' intraday indicators
Verrica Pharmaceuticals intraday indicators are useful technical analysis tools used by many experienced traders. Just like the conventional technical analysis, daily indicators help intraday investors to analyze the price movement with the timing of Verrica Pharmaceuticals stock daily movement. By combining multiple daily indicators into a single trading strategy, you can limit your risk while still earning strong returns on your managed positions.
Verrica Pharmaceuticals time-series forecasting models is one of many Verrica Pharmaceuticals' stock analysis techniques aimed to predict future share value based on previously observed values. Time-series forecasting models ae widely used for non-stationary data. Non-stationary data are called the data whose statistical properties e.g. the mean and standard deviation are not constant over time but instead, these metrics vary over time. These non-stationary Verrica Pharmaceuticals' historical data is usually called time-series. Some empirical experimentation suggests that the statistical forecasting models outperform the models based exclusively on fundamental analysis to predict the direction of the market movement and maximize returns from investment trading.
Verrica Stock media impact
Far too much social signal, news, headlines, and media speculation about Verrica Pharmaceuticals that are available to investors today. That information is available publicly through Verrica media outlets and privately through word of mouth or via Verrica internal channels. However, regardless of the origin, that massive amount of Verrica data is challenging to quantify into actionable patterns, especially for investors that are not very sophisticated with ever-evolving tools and techniques used in the investment management field.
A primary focus of Verrica Pharmaceuticals news analysis is to determine if its current price reflects all relevant headlines and social signals impacting the current market conditions. A news analyst typically looks at the history of Verrica Pharmaceuticals relative headlines and hype rather than examining external drivers such as technical or fundamental data. It is believed that price action tends to repeat itself due to investors' collective, patterned thinking related to Verrica Pharmaceuticals' headlines and news coverage data. This data is often completely overlooked or insufficiently analyzed for actionable insights to drive Verrica Pharmaceuticals alpha.
Verrica Pharmaceuticals Sentiment by Major News Outlets
Investor sentiment, mood or attitude towards Verrica Pharmaceuticals can have a significant impact on its stock price or the market as a whole. This sentiment can be positive or negative, and various factors, such as economic indicators, news events, or market trends, can influence it. When investor sentiment is positive, investors are more likely to buy stocks, increasing demand and increasing the stock price. Positive investor sentiment can be driven by good news about the company or the broader market, such as solid earnings reports or positive economic data.
Note that negative investor sentiment can cause investors to sell stocks, leading to a decrease in demand and a drop in the stock price. Negative sentiment can be driven by factors such as poor earnings reports, negative news about the company or industry, or broader economic concerns. It's important to note that investor sentiment is just one of many factors that can affect stock prices. Other factors, such as company performance, industry trends, and global economic conditions, can also play a significant role in determining the value of a stock.
Verrica Pharmaceuticals Corporate Management
| Eugene Scavola | Executive Operations | Profile | |
| Terence Kohler | Chief Officer | Profile | |
| Dr MBA | Head Development | Profile | |
| Christopher Hayes | Secretary, Officer | Profile | |
| Joe Bonaccorso | Chief Commercial Officer | Profile | |
| Gary MD | Chief Officer | Profile | |
| David Zawitz | Chief Officer | Profile |
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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.
In summary, please note that there is a difference between Verrica Pharmaceuticals' value and its price, as these two are different measures arrived at by various 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.