VRRM Shareholder Alert: Investors With Losses May Seek to Lead the Class Action in Verra Mobility Securities Lawsuit - Contact Levi & Korsinsky

NEW YORK--(BUSINESS WIRE)--"We are reaffirming 2026 full year guidance for all financial measures." That was the promise Verra Mobility Corporation (NASDAQ: VRRM) made to shareholders on May 6, 2026. Twenty days later, the Company slashed that guidance by $35 million at the midpoint after disclosing that Avis Budget Group had terminated a contract representing over 10% of total revenue. Shares collapsed 71%, erasing $9.23 per share in value.

Find out if you qualify to recover losses from the VRRM promise gap or contact Joseph E. Levi, Esq. at jlevi@levikorsinsky.com or (212) 363-7500.

The lead plaintiff deadline is August 4, 2026. A securities class action has been filed on behalf of investors who purchased VRRM between February 24, 2026 and May 26, 2026.

The Promise

Throughout the Class Period, the Company painted a picture of stability and predictable growth. On February 24, 2026, management issued 2026 guidance calling for total revenue of $1,020 million to $1,030 million and Adjusted EBITDA of $405 million to $415 million. On May 6, 2026, despite declining Commercial Services revenue and a fleet management business that had contracted 19% year over year, the Company reaffirmed every single guidance measure and characterized negotiations with its largest customer as "ongoing and constructive."

The Reality

On May 26, 2026, Verra disclosed that Avis Budget Group, a customer of nearly two decades and over 10% of consolidated revenue, had issued a termination notice effective September 2026. Management admitted it was "surprised and disappointed." The revised numbers told the real story:

• Total Revenue: Promised $1,020M-$1,030M. Revised to $985M-$995M. Gap: $35M at midpoint.
• Adjusted EBITDA: Promised $405M-$415M. Revised to $380M-$385M. Gap: $27.5M at midpoint.
• Adjusted EPS: Promised $1.32-$1.38. Revised to $1.19-$1.25. Gap: $0.13 at midpoint.
• Free Cash Flow: Promised $150M-$160M. Revised to $140M-$150M. Gap: $10M at midpoint.

The Numbers: What Shareholders Paid vs. What They Received

Investors who relied on the reaffirmed guidance purchased shares at prices as high as $13.08. After the Avis termination was disclosed, shares fell to $3.85, a loss of $9.23 per share. Baird Equity Research cut its price target 60%, noting the loss "could put the viability of the business in question" if other major RAC clients followed. UBS dropped its target 83% and downgraded the stock to neutral.

What the Lawsuit Alleges About the Gap

The complaint contends the Company knew its Avis relationship was at serious risk during the same weeks it was reaffirming guidance and dismissing the possibility that customers could replace Verra with in-house solutions. Management told investors at the Morgan Stanley conference on March 3, 2026 that in-sourcing was not "much of an issue" and that Verra had "a pretty impeccable track record of continuing to serve these customers." The lawsuit asserts these statements were materially misleading because they omitted the growing risk that Avis was actively evaluating alternatives to Verra's platform.

"Companies that make specific promises to investors about future performance have an obligation to disclose known risks to those projections. When guidance is reaffirmed just twenty days before a major customer termination is announced, investors are entitled to ask what was known and when," stated Joseph E. Levi, Esq.

Evaluate your VRRM losses and speak with an attorney at no cost or call (212) 363-7500.

LEAD PLAINTIFF DEADLINE: August 4, 2026

About Levi & Korsinsky, LLP

Levi & Korsinsky, LLP is a nationally recognized shareholder rights firm. Over the past 20 years, the firm has secured hundreds of millions of dollars for aggrieved shareholders. Ranked in ISS Top 50 for seven consecutive years.

Frequently Asked Questions About the VRRM Lawsuit

Q: What specific misstatements does the VRRM lawsuit allege? A: The complaint alleges Verra Mobility made materially false or misleading statements regarding the stability of its Avis Budget Group relationship and the durability of its 2026 revenue outlook during the Class Period. When the termination was disclosed, the stock price declined 71%.

Q: When did Verra Mobility allegedly mislead investors? A: The class period runs from February 24, 2026 to May 26, 2026. During this window, the Company reaffirmed full-year guidance twice and described its largest customer relationship as stable and constructive.

Q: What do VRRM investors need to do right now? A: Gather brokerage records including purchase dates, share quantities, and prices paid. Contact Levi & Korsinsky for a free, no-obligation evaluation at jlevi@levikorsinsky.com or (212) 363-7500. No immediate action is required to remain eligible as a class member.

Q: What if I already sold my VRRM shares, can I still recover losses? A: Yes. Eligibility is based on when you purchased, not whether you still hold them. Investors who bought during the class period and sold at a loss may still participate.

Q: Do I need to go to court or give testimony? A: No. The overwhelming majority of class members never appear in court or give depositions. You submit a claim form to receive your portion of recovery.

Q: What does it cost me to participate? A: Nothing. Securities class actions are handled on a pure contingency basis. No upfront fees, no retainer, no out-of-pocket costs.

Q: How long will the lawsuit take to resolve? A: Securities class actions typically take two to four years from initial filing to resolution.