📊 VRME Key Takeaways
Is VerifyMe, Inc. (VRME) a Good Investment?
VerifyMe is an unprofitable micro-cap burning cash with -$729K free cash flow and -38.3% net margins, indicating fundamental business model distress. While 54.2% gross margins and strong liquidity (3.94x current ratio) provide some cushion, the company's negligible revenue base, negative operating leverage, and ongoing cash burn present severe value destruction risk.
VerifyMe, Inc. Key Strengths (VRME)
- Gross margin of 54.2% suggests core product unit economics have potential merit
- Exceptional liquidity position with 3.94x current ratio provides financial flexibility
- Minimal leverage with 0.05x Debt/Equity ratio limits downside financial risk
VRME Stock Risks: VerifyMe, Inc. Investment Risks
- Severe unprofitability: -43.3% operating margin, -38.3% net margin with negative operating/free cash flow
- Micro-revenue base of $1.8M with unclear path to breakeven or positive unit economics
- Cash burn rate of -$729K annually depletes $3.5M cash reserves within ~4.8 years without intervention
Key Metrics to Watch
- Revenue growth acceleration and gross revenue per customer expansion
- Operating expense ratio trend and timeline to positive EBITDA
- Quarterly cash burn rate and cash runway extension timeline
VerifyMe, Inc. (VRME) Financial Metrics & Key Ratios
💡 AI Analyst Insight
Strong liquidity with a 3.94x current ratio provides a solid financial cushion.
VRME Profit Margin, ROE & Profitability Analysis
VRME vs Finance Sector: How VerifyMe, Inc. Compares
How VerifyMe, Inc. compares to Finance sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is VerifyMe, Inc. Stock Overvalued? VRME Valuation Analysis 2026
Based on fundamental analysis, VerifyMe, Inc. has mixed fundamental signals relative to the Finance sector in 2026.
Note: This is a fundamental analysis based on SEC filings. For P/E ratio, price targets, and market-based valuation, consult financial data providers. This is not investment advice.
VerifyMe, Inc. Balance Sheet: VRME Debt, Cash & Liquidity
VRME Revenue & Earnings Growth: 5-Year Financial Trend
5-Year Trend Summary: VerifyMe, Inc.'s revenue has grown significantly by 2,692% over the 5-year period, indicating strong business expansion. The most recent EPS of $-0.37 indicates the company is currently unprofitable.
VRME Revenue Growth, EPS Growth & YoY Performance
VRME Quarterly Earnings & Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q1 2026 | $1.8M | -$571.0K | $-0.05 |
| Q3 2025 | $5.0M | -$2.4M | $-0.23 |
| Q2 2025 | $4.5M | -$291.0K | $-0.02 |
| Q1 2025 | $4.5M | -$553.0K | $-0.05 |
| Q3 2024 | $5.4M | -$930.0K | $-0.09 |
| Q2 2024 | $5.3M | -$346.0K | $-0.03 |
| Q1 2024 | $5.7M | -$553.0K | $-0.05 |
| Q3 2023 | $5.2M | -$557.0K | $-0.06 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
VerifyMe, Inc. Dividends, Buybacks & Capital Allocation
VRME SEC Filings: Latest 10-K & 10-Q Analysis
Access official SEC EDGAR filings for VerifyMe, Inc. (CIK: 0001104038)
📋 Recent SEC Filings
❓ Frequently Asked Questions about VRME
What is the AI rating for VRME?
VerifyMe, Inc. (VRME) has an AI grade of D with 78% confidence, based on fundamental analysis of SEC EDGAR filings.
What are VRME's key strengths?
Claude: Gross margin of 54.2% suggests core product unit economics have potential merit. Exceptional liquidity position with 3.94x current ratio provides financial flexibility.
What are the risks of investing in VRME?
Claude: Severe unprofitability: -43.3% operating margin, -38.3% net margin with negative operating/free cash flow. Micro-revenue base of $1.8M with unclear path to breakeven or positive unit economics.
What is VRME's revenue and growth?
VerifyMe, Inc. reported revenue of $1.8M.
Does VRME pay dividends?
VerifyMe, Inc. does not currently pay dividends.
Where can I find VRME SEC filings?
Official SEC filings for VerifyMe, Inc. (CIK: 0001104038) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is VRME's EPS?
VerifyMe, Inc. has a diluted EPS of $-0.05.
How is the AI analysis conducted?
Two independent AI systems — Claude (Anthropic) and ChatGPT (OpenAI) — analyze SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports. Each AI evaluates financial health, profitability ratios, balance sheet strength, and growth metrics. The combined grade reflects both perspectives for balanced insights.
What is VRME's fundamental grade?
Based on our AI fundamental analysis in June 2026, VerifyMe, Inc. has a D grade with 78% confidence. Review the strengths and risks sections above for full context. This is not investment advice.
Is VRME stock overvalued or undervalued?
Valuation metrics for VRME: ROE of -6.5% (sector avg: 12%), net margin of -38.3% (sector avg: 25%). Compare these metrics with sector averages to assess valuation.
What is VRME's AI grade for 2026?
Our dual AI analysis gives VerifyMe, Inc. a combined D grade for 2026. Revenue is data pending, with profitability at or below sector average. Always conduct your own research.
What is VRME's free cash flow?
VerifyMe, Inc.'s operating cash flow is $-711.0K, with capital expenditures of $18.0K. FCF margin is -41.1%.
How does VRME compare to other Finance stocks?
Vs Finance sector averages: Net margin -38.3% (avg: 25%), ROE -6.5% (avg: 12%), current ratio 3.94 (avg: 1.2).