Analyzing VerifyMe (VRME) & Its Rivals

VerifyMe (NASDAQ:VRME) is one of 61 publicly-traded companies in the “Air Freight & Logistics” industry, but how does it contrast to its rivals? We will compare VerifyMe to related companies based on the strength of its profitability, institutional ownership, analyst recommendations, dividends, risk, earnings and valuation.

Institutional and Insider Ownership

8.8% of VerifyMe shares are owned by institutional investors. Comparatively, 42.7% of shares of all “Air Freight & Logistics” companies are owned by institutional investors. 19.7% of VerifyMe shares are owned by insiders. Comparatively, 18.4% of shares of all “Air Freight & Logistics” companies are owned by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock will outperform the market over the long term.

Profitability

This table compares VerifyMe and its rivals’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
VerifyMe	-47.08%	-17.16%	-14.63%
VerifyMe Competitors	-1,651.27%	-22.26%	-11.48%

Volatility and Risk

VerifyMe has a beta of 0.32, meaning that its stock price is 68% less volatile than the S&P 500. Comparatively, VerifyMe’s rivals have a beta of 0.69, meaning that their average stock price is 31% less volatile than the S&P 500.

Analyst Recommendations

This is a breakdown of current ratings and target prices for VerifyMe and its rivals, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
VerifyMe	1	1	1	0	2.00
VerifyMe Competitors	669	2032	2612	108	2.40

VerifyMe currently has a consensus target price of $15.00, indicating a potential upside of 68.69%. As a group, “Air Freight & Logistics” companies have a potential upside of 17.49%. Given VerifyMe’s higher probable upside, analysts clearly believe VerifyMe is more favorable than its rivals.

Earnings and Valuation

This table compares VerifyMe and its rivals top-line revenue, earnings per share and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
VerifyMe	$11.10 million	-$4.91 million	-2.22
VerifyMe Competitors	$9.48 billion	$472.10 million	9.33

VerifyMe’s rivals have higher revenue and earnings than VerifyMe. VerifyMe is trading at a lower price-to-earnings ratio than its rivals, indicating that it is currently more affordable than other companies in its industry.

Summary

VerifyMe rivals beat VerifyMe on 9 of the 13 factors compared.

VerifyMe Company Profile

VerifyMe, Inc., together with its subsidiary, PeriShip Global, LLC, operates as a technology solutions provider that specializes in products to connect brands with consumers and providing brands with end-to-end logistics management for their products. The company operates through two segments, VerifyMe Solutions and PeriShip Global Solutions. The VerifyMe Solutions segment offers technology solutions to connect brands with consumers allowing brand owners to gather business intelligence while engaging directly with their consumers. Its solutions provide brand protection and supply chain functions, such as counterfeit prevention, traceability, consumer engagement solutions, and authentication for labels, packaging, and products, as well as tamper-proof labels. The PeriShip Global Solutions segment offers predictive analytics for optimizing delivery of time and temperature sensitive perishable products. This segment's products include PeriTrack customer dashboard, an integrated web portal tool gives its customers an in-depth look at their shipping activities based on real-time data. It also provides call center, pre-transit, post-delivery, and weather/traffic services. The company has a strategic partnership with INX International Ink Company. The company was formerly known as LaserLock Technologies, Inc. and changed its name to VerifyMe, Inc. in July 2015. VerifyMe, Inc. was incorporated in 1999 and is headquartered in Lake Mary, Florida.