Michael Petusky, an analyst from Barrington, maintained the Buy rating on VerifyMe (VRME – Research Report). The associated price target is $1.25.
Michael Petusky has given his Buy rating due to a combination of factors that suggest potential for future growth despite recent challenges. The company’s Precision Logistics segment, which accounts for the majority of its revenue, has shown resilience by increasing its customer base by 6% in FY/24, although shipments to existing customers have declined. This indicates a strategic focus on expanding their market presence, which could lead to improved performance in the future.
Additionally, VerifyMe has taken steps to strengthen its financial position by retiring most of its debt, leaving only a small amount of convertible notes. This financial maneuvering, coupled with a bolstered salesforce, positions the company to better navigate the unpredictable market conditions cited by management. While the company did not provide financial guidance for FY/25, the expectation of operational progress in the latter half of the year and a return to growth in FY/26 supports the optimistic outlook reflected in the Buy rating.