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VRMEVerifyMe, Inc.
$0.61$8M
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  4. Financial Ratios

VerifyMe, Inc. (VRME) Financial Ratios

Latest Ratios: P/E Ratio -1.6x · EV/EBITDA N/A · ROE -46.3%. (2001–2025 historical series)

Income StatementBalance SheetCash FlowRatios
AnnualQuarterly

VRME Valuation Multiples

Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
Market Cap$8M$8M$14M$11M$10M$23M$14M$8M$22M$14M$916372
Enterprise Value$4M$4M$14M$11M$9M$14M$6M$8M$21M$14M$961797
P/E Ratio →-1.58————6.49—————
P/S Ratio0.490.460.580.430.5027.0841.7730.70299.71—24.73
P/B Ratio0.710.691.390.870.721.111.72—14.29——
P/FCF——40.65————————
P/OCF13.3712.5716.2444.83———————

P/E links to full P/E history page with 30-year chart

VRME EV Ratios

Enterprise-value multiples — capital-structure-neutral measures of total business value

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
EV / Revenue—0.240.560.430.4516.2118.8430.89277.37—25.96
EV / EBITDA———————————
EV / EBIT———————————
EV / FCF——38.93————————

VRME Profitability

Margins and return-on-capital ratios measuring operating efficiency

Margins

Full margin charts and quarterly trend are on the Earnings History page

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
Gross Margin32.5%32.5%35.8%31.7%33.1%69.1%81.9%81.6%61.5%—34.3%
Operating Margin-7.4%-7.4%-8.6%-12.8%-19.1%-557.2%-1040.2%-992.9%-3466.4%—-10077.8%
Net Profit Margin-29.9%-29.9%-15.8%-13.4%-73.5%416.6%-1720.7%-1023.3%-3916.0%—-4442.7%

Return on Capital

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
ROE-46.3%-46.3%-33.6%-26.0%-82.9%24.5%-143.0%-333.5%-425.7%——
ROA-33.7%-33.7%-20.8%-16.4%-67.9%23.7%-121.5%-167.5%-198.6%-571.7%-532.5%
ROIC-10.8%-10.8%-14.1%-19.5%-23.2%-59.4%-1244.7%————
ROCE-10.7%-10.7%-15.2%-21.0%-20.5%-32.6%-85.7%-323.6%-376.8%——

VRME Leverage & Debt

Solvency and debt-coverage ratios — lower is generally safer

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
Debt / Equity0.070.070.220.240.17—0.01————
Debt / EBITDA———————————
Net Debt / Equity—-0.33-0.06-0.01-0.08-0.45-0.95—-1.07——
Net Debt / EBITDA———————————
Debt / FCF——-1.73————————
Interest Coverage——-28.42-20.06-162.61—-1.74-24.85-389.53-14.51-126.90

Net cash position: cash ($4M) exceeds total debt ($750000)

VRME Liquidity & Efficiency

Short-term solvency ratios and asset-utilisation metrics

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
Current Ratio3.823.821.501.501.7422.2521.410.443.690.650.03
Quick Ratio3.803.801.491.491.7322.1321.270.413.600.650.02
Cash Ratio2.152.150.670.600.6320.9420.730.253.480.630.01
Asset Turnover—1.261.511.220.940.040.040.260.04—0.13
Inventory Turnover298.95298.95398.59454.92161.585.151.151.500.69—1.43
Days Sales Outstanding—19.0850.8061.99105.03125.0332.99120.67148.04——

VRME Shareholder Yields

Earnings, FCF, buyback, and dividend yields — total returns to shareholders

Dividends

Full dividend history and growth charts are on the Dividend History page

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
Dividend Yield—————————100.0%100.0%
Payout Ratio———————————

Total Shareholder Return Metrics

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
Earnings Yield—————15.4%—————
FCF Yield——2.5%————————
Buyback Yield2.7%2.9%0.1%0.1%3.0%3.1%0.0%0.0%0.0%0.0%0.0%
Total Shareholder Yield2.7%2.9%0.1%0.1%3.0%3.1%0.0%0.0%0.0%100.0%100.0%
Shares Outstanding—$13M$10M$10M$8M$7M$4M$2M$2M$1M$166613

Key Metrics

Growth RegimeContracting
ProfitabilityNegative
Balance SheetVulnerable
Cash FlowBurning
Top Statement Risk

Liquidity and revenue churn

Verified Source

Metrics are mathematically derived from official filings.

SEC 10-K (2026Q1)

Distressed Valuation Reflects Operational Uncertainty

According to recent market data, VerifyMe trades at a P/S multiple of 0.49, a valuation level that suggests investors are heavily discounting the firm's future growth prospects due to the persistent revenue contraction and the absence of a clear path toward positive earnings per share.

The current P/S ratio of 0.49, when viewed against the company's negative net margin of -29.91%, indicates that the market is pricing the equity as a distressed asset rather than a growth-oriented technology provider. This valuation multiple appears to reflect significant skepticism regarding the company's ability to leverage its proprietary authentication technology into a scalable, profitable business model.

Capital Efficiency Deteriorating Amidst Losses

Based on reported financial figures, VerifyMe's ROIC has trended into negative territory, reaching -7.7% in 2026Q1, which highlights a fundamental failure to generate adequate returns on the capital deployed into its authentication and logistics service segments over the past several quarters.

The consistent decay in ROIC suggests that the company's acquisition-led strategy has not yet produced the expected synergies or operational efficiencies required to drive value. Investors should monitor whether management can stabilize these returns, as the current trend indicates that capital is being consumed rather than compounded.

Working Capital Volatility Hinders Performance

As reported in quarterly filings, the company's cash conversion cycle has fluctuated significantly, reaching 43 days in 2026Q1, which underscores the operational challenges in managing receivables and inventory effectively during a period of material top-line decline and shifting business mix.

The volatility in the cash conversion cycle, particularly the swing from negative cycles in 2025 to a positive 43 days in 2026Q1, suggests that the company is struggling to maintain consistent working capital efficiency. This instability may further pressure liquidity, as the firm appears to be losing the ability to collect on its services as quickly as it incurs operational costs.

Misapplication of Revenue-Based Valuation Metrics

Market participants often misapply the P/S ratio to VerifyMe, failing to account for the fact that the company's revenue mix is shifting toward lower-margin logistics services, which obscures the true underlying earning power of the higher-margin authentication segment.

Using a simple P/S multiple ignores the structural differences between the high-margin, proprietary ink business and the lower-margin, service-heavy logistics segment. Analysts should instead focus on segment-specific contribution margins or customer acquisition costs relative to lifetime value to better assess the company's true economic potential.

Download Financial Ratios Data

Includes 30+ ratios · 25 years · Updated daily

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VRME — Frequently Asked Questions

Quick answers to the most common questions about buying VRME stock.

What is VerifyMe, Inc.'s P/E ratio?

VerifyMe, Inc.'s current P/E ratio is -1.6x. The historical average is 6.5x.

What is VerifyMe, Inc.'s ROE?

VerifyMe, Inc.'s return on equity (ROE) is -46.3%. The historical average is -167.5%.

Is VRME stock overvalued?

Based on historical data, VerifyMe, Inc. is trading at a P/E of -1.6x. Compare with industry peers and growth rates for a complete picture.

What are VerifyMe, Inc.'s profit margins?

VerifyMe, Inc. has 32.5% gross margin and -7.4% operating margin.