VirnetX Holding Corp (VHC) carries a Roarable Rating of E (Strong Sell) with 28/100 RQD Confidence due to weak cash-flow efficiency and sensitivity to current interest rates. Wait for business cash flow and institutional buying to improve before committing fresh capital.
As of 2026-11-03, VirnetX Holding Corp (NASDAQ: VHC) is rated E (Strong Sell / SELL) by Roarable's 5-pillar RQD engine with a composite confidence score of 28/100 at a spot price of $9.48 (-9.37% 1D, market cap $39.8M). Pillar breakdown: Fundamental Cash Engine 7/20, Institutional 13F & Options Flow 3/20, Executive Insider Alignment 8/20, FRED Macro Regime Fit 7/20, and SEC Balance-Sheet Forensics 3/20. Across 485 tracked Industrials issuers, VHC ranks #426 in composite RQD confidence.
Within the Industrials sector (Multi-Sector Companies), VHC carries a Roarable E (28/100 RQD), trailing P/E of N/A, gross margin of —, and ROIC of -35.0%. By comparison, NTIP (Network-1 Technologies Inc.) holds a D- grade (43/100 RQD, P/E N/A, ROIC -10.0%, cap $35.2M) and RMCO (Royalty Management Holding Corporation (Class A)) posts a E grade (29/100 RQD, P/E N/A, ROIC -1.7%, cap $34.9M). Among the 5-stock peer group, JYNT leads on earnings multiple (35.8x) while RMCO leads on capital efficiency (-1.7% ROIC).
Per VHC's SEC EDGAR XBRL 10-K filing (FY2025, filed 2025-12-31, CIK 0001082324), VirnetX Holding Corp generated $162.0K in revenue (+3140.0% YoY), -$18.2M in net income, and -$15.7M in free cash flow against $31.1M in total assets and $0 in total debt. Key quantitative strengths: Established market leader in Industrials with deep daily trading liquidity.. Primary risk factors monitored: Company executives have done more routine share selling than personal cash buying lately.. Institutional options positioning shows a 50% call / 50% put premium split.
Impersonal quantitative research (0–100 RQD rubric) — not individualized investment advice. Past performance does not guarantee future results. Full Disclaimer
Altman Z-Score 3.80 (FORTRESS SAFE (>3.0)) • Piotroski F-Score 3/9
SEC XBRL FY 2025 (10-K): 0% FCF Margin ($0 FCF) & 52% Gross Margin
Dilution Drag (+1.28% YoY Shares) & executive Form 4 sales trim 16 pts from alignment
While VHC currently carries a cautious 28/100 (E) rating due to Insider Conviction & Share Dilution (4/20), shorts face asymmetric squeeze risk if free cash flow inflects or management executes accretive buybacks.
Established market leader in Industrials with deep daily trading liquidity.
Options & Short-Covering Gamma: Reclaiming the 50-day SMA ($11.20) and Max Pain ($9.95) forces dealer call-delta covering toward $27.30.
Forensic Repair Trigger: Halting share dilution (Dilution Drag (+1.28% YoY Shares)) or retiring high-cost debt immediately upgrades the SEC 10-K Forensic pillar.
VirnetX Holding Corp (VHC) dropped -9.37% to $9.48, trading at 6% of its 52-week range ($8.41 – $26). Stretched risk/reward at current multiples (-35% return on capital) under elevated 10-year interest-rate pressure.
ZEPHYR COVE, Nev., July 20, 2026--VirnetX Holding Corporation (Nasdaq: VHC), a global leader in secure communications and zero-trust cybersecurity solutions, today announced that on July 16, 2026, its wholly owned subsid
ZEPHYR COVE, Nev., June 09, 2026--VirnetX Holding Corporation (Nasdaq: VHC), a global leader in secure communications and zero-trust cybersecurity solutions, today announced iSCOUT (Intelligent Situational Command, Orche
<a href="https://news.google.com/rss/articles/CBMipwFBVV95cUxNbmc4QU41dnB5N0tqRFpxMnFKUTZUX2VKQmFhZml4d18xMHhYTEUxZktxQW43Ym1neHZWNm4weERlMmgyRHFLeHhmN2VSTFdhR2RNbFQ3Rnh0N2gtTlRqMjFjd3M3WFNlWjJiQ09UZWpIbGtkTzlhSldnNE9
Multi-year comparable XBRL diluted share count not disclosed (ETF or recent listing).
vs. +180.0% actual YoY revenue growth (assuming 9.25% cost of equity & 16.5x terminal multiple).
No active Ellis Vennor swing setup published on VHC today. View full Setup Ledger →
No direct multi-tier Butterfly edges indexed yet for VHC. Explore sector supply chains on /butterfly.
Across 485 tracked Industrials securities in the Roarable RQD universe, VirnetX Holding Corp (VHC) ranks #426 by composite RQD confidence (28/100, grade E) and #414 by equity capitalization ($39.8M). Within this direct 5-issuer industry benchmark cohort, JYNT leads on earnings valuation at 35.8x trailing P/E, while RMCO leads on capital efficiency and profitability with -1.7% ROIC and 16.3% gross margin. NTIP currently holds the highest overall quantitative score in the immediate peer group at 43/100 (D-) compared with VHC at 28/100 (E).
| Ticker / Company | Roarable Grade | RQD Score | Trailing P/E | Gross Margin | ROIC | 1D Change | Market Cap | Head-to-Head |
|---|---|---|---|---|---|---|---|---|
| VHC
ACTIVE
VirnetX Holding Corp | E | 28/100 | — | — | -35.0% | -9.37% | $39.8M | Benchmark Subject |
| NTIP Network-1 Technologies Inc. | D- | 43/100 | — | 72.0% | -10.0% | -3.14% | $35.2M | /ntip-vs-vhc → |
| RMCO Royalty Management Holding Corporation (Class A) | E | 29/100 | — | 16.3% | -1.7% | -2.13% | $34.9M | /rmco-vs-vhc → |
| AMOD Alpha Modus Holdings Inc. (Class A) | E | 26/100 | — | 96.0% | -35.0% | +9.80% | $71.5M | /amod-vs-vhc → |
| JYNT The Joint Corp. | D- | 35/100 | 35.8x | — | -13.9% | -4.48% | $99.4M | /jynt-vs-vhc → |
In its most recent audited fiscal period (FY2025, filed 2025-12-31), VirnetX Holding Corp (VHC) reported GAAP revenue of $162.0K (+3140.0% vs. FY2024 revenue of $5.0K , and +2214.3% cumulative change since FY2023) , GAAP net income of -$18.2M, operating cash flow of -$15.6M, and free cash flow of -$15.7M (-2.0% YoY). On the balance sheet, VHC closed FY2025 with $31.1M in total assets against $0 in total debt (Altman Z-Score: N/A, Piotroski F-Score: 3/9).
| Fiscal Period | Filing Date | Revenue | Net Income | Operating Cash Flow | Free Cash Flow | Total Assets | Total Debt |
|---|---|---|---|---|---|---|---|
| FY2025 (FY) | 2025-12-31 | $162.0K | -$18.2M | -$15.6M | -$15.7M | $31.1M | — |
| FY2024 (FY) | 2024-12-31 | $5.0K | -$18.2M | -$15.3M | -$15.3M | $49.6M | — |
| FY2023 (FY) | 2023-12-31 | $7.0K | -$27.9M | -$24.8M | -$24.8M | — | — |
As of 2026-11-03, VirnetX Holding Corp (NASDAQ: VHC) is rated E (Strong Sell / SELL) by Roarable's 5-pillar RQD engine with a composite confidence score of 28/100 at a spot price of $9.48 (-9.37% 1D, market cap $39.8M). Pillar breakdown: Fundamental Cash Engine 7/20, Institutional 13F & Options Flow 3/20, Executive Insider Alignment 8/20, FRED Macro Regime Fit 7/20, and SEC Balance-Sheet Forensics 3/20. Across 485 tracked Industrials issuers, VHC ranks #426 in composite RQD confidence.
Within the Industrials sector (Multi-Sector Companies), VHC carries a Roarable E (28/100 RQD), trailing P/E of N/A, gross margin of —, and ROIC of -35.0%. By comparison, NTIP (Network-1 Technologies Inc.) holds a D- grade (43/100 RQD, P/E N/A, ROIC -10.0%, cap $35.2M) and RMCO (Royalty Management Holding Corporation (Class A)) posts a E grade (29/100 RQD, P/E N/A, ROIC -1.7%, cap $34.9M). Among the 5-stock peer group, JYNT leads on earnings multiple (35.8x) while RMCO leads on capital efficiency (-1.7% ROIC).
Per VHC's SEC EDGAR XBRL 10-K filing (FY2025, filed 2025-12-31, CIK 0001082324), VirnetX Holding Corp generated $162.0K in revenue (+3140.0% YoY), -$18.2M in net income, and -$15.7M in free cash flow against $31.1M in total assets and $0 in total debt. Key quantitative strengths: Established market leader in Industrials with deep daily trading liquidity.. Primary risk factors monitored: Company executives have done more routine share selling than personal cash buying lately.. Institutional options positioning shows a 50% call / 50% put premium split.
VHC last traded at $9.48 (-9.37% on volume of 31,678 shares), positioning the stock -15.36% below its 50-day simple moving average ($11.20) and -31.90% below its 200-day simple moving average ($13.92). Across its 52-week range of $8.41 to $26.00, VHC sits at the 6.1% percentile with a 14-day RSI of 40.3 (NEUTRAL RANGE) and an implied next-earnings move of ±12.5% ($8.29 to $10.67).
Why VHC Stock dropped -9.37% Today — RQD Quant Desk Flash. Stretched risk/reward at current multiples (-35% return on capital) under elevated 10-year interest-rate pressure.
Per the Roarable RQD rating, VHC carries an RQD Score of 30 out of 100, a letter grade of E, and the verdict "Roarable Strong Sell — Forensic Risk / Avoid." Across the five pillars, the Fundamental Cash Engine scores 7 of 20 (ROIC of -35% and FCF yield of 0%), indicating the business is not currently generating returns on capital or free cash flow. Whale 13F Flow scores 5 of 20, reflecting weak institutional accumulation and options positioning. Insider Conviction scores 3 of 20 on SEC Form 4 and Congressional PTR cluster flow, the lowest pillar in the set. Macro Regime Fit scores 7 of 20, with a beta of 1.0 and sector sensitivity noted. Forensic Balance Sheet scores 8 of 20, based on an Altman Z-Score of 2.5, a Piotroski F-Score of 3 of 9, and a Debt/Equity ratio of 0.5. For a prospective investor evaluating the stock today, the rating points to no visible upside driver from cash generation or insider conviction, and a valuation case that depends on factors outside the reported cash engine. The forensic readings suggest limited margin for error if operating losses persist.
| Period | Revenue | Operating Income | Net Income | EPS | FCF | Cash | Debt |
|---|---|---|---|---|---|---|---|
| FY 2025 | $0.2M | $-19.4M | $-18.2M | N/A | $-15.7M | $15.5M | N/A |
| FY 2024 | $0.0M | $-20.4M | $-18.2M | N/A | $-15.3M | $23.3M | N/A |
| FY 2023 | $0.0M | $-31.4M | $-27.9M | N/A | $-24.8M | N/A | N/A |
Per the SEC financials and market data, operating margin and net margin are both -60%, gross margin is 0%, and ROIC is -35%. Cash declined from $23.3M in FY 2024 to $15.5M in FY 2025, while net losses remained in the same range across the two most recent periods. Per the Roarable RQD rating, the Altman Z-Score is 2.5 and the Piotroski F-Score is 3 of 9, with a Debt/Equity ratio of 0.5. The Piotroski reading indicates weak fundamental scoring on the company's own financials.
Real-time company headlines, analyst actions, and sector developments for VirnetX Holding Corp (VHC) • Click "Debate This Headline" to argue it in the Roar Pit below
ZEPHYR COVE, Nev., July 20, 2026--VirnetX Holding Corporation (Nasdaq: VHC), a global leader in secure communications and zero-trust cybersecurity solutions, today announced that on July 16, 2026, its wholly owned subsid
ZEPHYR COVE, Nev., June 09, 2026--VirnetX Holding Corporation (Nasdaq: VHC), a global leader in secure communications and zero-trust cybersecurity solutions, today announced iSCOUT (Intelligent Situational Command, Orche
<a href="https://news.google.com/rss/articles/CBMipwFBVV95cUxNbmc4QU41dnB5N0tqRFpxMnFKUTZUX2VKQmFhZml4d18xMHhYTEUxZktxQW43Ym1neHZWNm4weERlMmgyRHFLeHhmN2VSTFdhR2RNbFQ3Rnh0N2gtTlRqMjFjd3M3WFNlWjJiQ09UZWpIbGtkTzlhSldnNE9
Welcome to the VHC (VirnetX Holding Corp) Roar Pit. Current RQD Composite is 30/100 (Roarable Strong Sell — Forensic Risk / Avoid) in Multi-Sector Companies. Bulls point to operating leverage and sector positioning, while bears focus on macro rate sensitivity and margin execution. Pick your side (🐂 Bull or 🐻 Bear) and drop your price target below.
Everyone in here is repeating the bull case on VHC, but look at what you are paying: current EV/EBITDA multiples with tightening sector spreads. Unless VirnetX Holding Corp expands free cash flow yield next quarter, I would rather wait for a pullback closer to the 200-day moving average before touching this.
Looking at the 5-pillar RQD breakdown on VHC, the market is fixating on short-term headline noise in Multi-Sector Companies and ignoring the balance sheet and cash flow trajectory. At $10.46 (52-wk range $8.41 - $26.00), any beat on forward guidance forces shorts and underweight funds to chase.
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