VirnetX Holding Corporation, through its subsidiary VirnetX, Inc., operates as an Internet security software and technology company in the United States.
FAIL · Does not pass the screen
9.65 USD
Price as of 4 Nov 2026Daily close, not a live quote
Screened 2026-11-04 · the tape above runs as of 12:01 UTC · two dates, stated on purpose · verdict and workings shown in full · never trimmed
Key facts today
Price9.65 USD at the 4 Nov 2026 close
Fair value13.51. Our model only; no analyst estimate to cross-check.
Our value readUndervalued vs our fair value, as of 4 Nov 2026
Positioning no disclosures inside 60 days, left as found
Options no verdict drawn today, left as found
Ethical does not pass the values gate
Price9.65 USD
Fair value13.51Our model only; no analyst estimate to cross-check.
Ethical score70.0/100
Value readUndervaluedas of 4 Nov 2026
Our investment reviews on this name
2026-11-01Read Accumulation9.48+1.8% to today ✓Distribution gives way to Accumulation after a 13% slide in 11 days
2026-10-21Read Distribution10.91-11.5% to today ✓Markup gives way to Distribution after a 9% slide in 10 days
2026-10-11Read Markup12.00-19.6% to today Markdown gives way to Markup first Markup read since August
2026-09-16Read Markdown11.84-18.5% to today ✓Markup gives way to Markdown after a 6% slide in 11 weeks
Our analytic regime reads on this name, dated and marked against the screened price. Small sample per name, and separate from the daily-framework accuracy on the Track Record page.
Virnetx Holding Corp holds its Markdown at $9.65. The statistical read favours the sellers, held for 20 days.
As held on the ledger · 2026-11-04
Phase
Markdown · caution
Quantitative state
The statistical read favours the sellers, held for 20 days
Price at the screen
$9.65
Valuation
N/A trailing · 6.56 forward price to earnings
Values screen
FAIL· score 70.0
Beta
2.27
The Workings
Five Screens, Shown in Full
Does not pass. Accounts receivable
Test
Figure
Limit
What it means
Status
Business activity
Permissible
Core business clean
Its core business isn't built on prohibited lines: no gambling, alcohol, tobacco, weapons, or interest-based lending.
Pass
Debt load
Excluded
Below 33%
Interest-bearing debt is of its assets, above the one-third ceiling the screen allows.
Fail
Interest-bearing cash
19.25%
Below 33%
Cash held in interest-bearing accounts and securities is 19.2% of assets, under the one-third limit.
Pass
Receivables
50.12%
Below 49%
Money owed to the company is 50.1% of assets, above the 49% limit.
Fail
Revenue purity
100.00%
Below 5%
100.0% of revenue comes from non-compliant sources, over the 5% line.
Fail
Five checks adapted from AAOIFI screening standards: business activity plus four balance-sheet ratios. All five must pass for ethical clearance. Every figure is arithmetic on public accounts, not judgement.
The Ethical Read
Why It Falls Short, in Plain English
Virnetx's business is fine, but its receivables are about 50% of its assets, just over the ~49% line, so it does not pass on the financial screens.
Read as at 2026-11-05. It updates when the underlying figures move, and past reads are kept below.
Follow this verdict
Get an email when VHC's ethical verdict changes
Today VHC does not pass the screen. If new figures move it to a pass, we send you one short email with the before and after. Verdicts change rarely, so you may not hear from us for a long time.
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What the Numbers Say It Is Worth
The Fair Value Range
Our model only; no analyst estimate to cross-check.
Our analysis reads Undervalued vs our fair value, as of 4 Nov 2026: it trades at roughly a 31% discount to our $13.51 fair value, none competitive moat.
Fair value range in USD, drawn from the 2026-11-04 screen. The gold marker is the market price at the same screen. A 28.6% discount to the base estimate.
Where our models see it going: fair-value estimate $13.51, with a range of $13.51 to $18.68, dated to the 2026-11-04 screen.
Fair value and rating are our own model estimates; the Street's range reflects third-party analyst estimates. Analysis, not advice.
The Business, in Plain Words
Why it stands out
Trading at 6.6x forward earnings, with a none competitive moat and minimal debt. That is a 31% discount to our $13.51 fair value: the market is pricing it cautiously while the fundamentals argue otherwise.
Another profit measure, before interest, tax and non-cash costs: EBITDA.
The risks · The things to watch: it's a small-cap, so the share price can swing harder than the market; it already moves more than the market on an average day.
Plain-English interpretation of our own screen data. Analysis, not advice.
Where & How to Trade
VHC trades on NASDAQ. As a listed security it is accessible through almost any international broker offering its home market. New to this, or investing from abroad? Our guide to accessing global markets covers brokers, currencies and the practical steps.
The framework has shifted from distribution to accumulation since the last review. Smart money appears to be quietly building positions. This typically precedes a markup phase. Price has moved down 13.1% since our last review. Ethical screening: FAIL. This security does not pass our values-based screening criteria. The risk-adjusted return profile shows good risk-adjusted returns. Our composite framework grades it D. Technically it is sitting below its long-term trend line with momentum reading neutral. Over the past year the shares are up 48%. Our forward projection puts the odds of a 10% gain over the next month near 41%. Insiders have been net sellers over the past quarter.
The framework has shifted from markup to distribution since the last review. Smart money appears to be selling into strength. Institutional holders may be rotating out. Price has moved down 9.1% since our last review. Ethical screening: FAIL. This security does not pass our values-based screening criteria. The risk-adjusted return profile shows good risk-adjusted returns. Our composite framework grades it D. Technically it is sitting below its long-term trend line with momentum reading neutral. Over the past year the shares are up 48%. Our forward projection puts the odds of a 10% gain over the next month near 41%. Insiders have been net sellers over the past quarter.
2026-10-11Markup · changed$12.00+0.0%Entry 7
The framework has shifted from markdown to markup since the last review. Price is trending higher with momentum. The crowd has caught on and buyers are in control. Price has moved down 0.0% since our last review. Ethical screening: FAIL. This security does not pass our values-based screening criteria. The risk-adjusted return profile shows good risk-adjusted returns. Our composite framework grades it C. Technically it is momentum reading neutral. Over the past year the shares are up 48%. Our forward projection puts the odds of a 10% gain over the next month near 41%. Insiders have been net sellers over the past quarter.
2026-10-02Markdown$12.00+1.4%Entry 6
Our analysis reads markdown. Price is trending lower. Sellers are in control and the prior trend has reversed. Price has moved up 1.4% since our last review. Ethical screening: FAIL. This security does not pass our values-based screening criteria. The risk-adjusted return profile shows good risk-adjusted returns. Our composite framework grades it C. Technically it is momentum reading neutral. Over the past year the shares are up 48%. Our forward projection puts the odds of a 10% gain over the next month near 41%. Insiders have been net sellers over the past quarter.
2026-09-16Markdown · changed$11.84+0.0%Entry 5
The framework has shifted from markup to markdown since the last review. Price is trending lower. Sellers are in control and the prior trend has reversed. Price has moved down 0.0% since our last review. Ethical screening: FAIL. This security does not pass our values-based screening criteria. The risk-adjusted return profile shows good risk-adjusted returns. Our composite framework grades it C. Technically it is momentum reading neutral. Over the past year the shares are up 48%. Our forward projection puts the odds of a 10% gain over the next month near 41%. Insiders have been net sellers over the past quarter.
2026-08-16Markup$11.84-6.4%Entry 4
Our analysis reads markup. Price is trending higher with momentum. The crowd has caught on and buyers are in control. Price has moved down 6.4% since our last review. Ethical screening: FAIL. This security does not pass our values-based screening criteria. The risk-adjusted return profile shows excellent risk-adjusted returns. Our composite framework grades it C. Technically it is momentum reading neutral. Over the past year the shares are up 48%. Our forward projection puts the odds of a 10% gain over the next month near 41%.
2026-07-18Markup$12.65+0.0%Entry 3
Our analysis reads markup. Price is trending higher with momentum. The crowd has caught on and buyers are in control. Price has moved down 0.0% since our last review. Ethical screening: PASS with passing ethical screen. The risk-adjusted return profile shows excellent risk-adjusted returns. Our composite framework grades it C. Technically it is momentum reading neutral. Over the past year the shares are up 48%. Our forward projection puts the odds of a 10% gain over the next month near 41%.
2026-07-03Markup$12.65+0.0%Entry 2
Our analysis reads markup. Price is trending higher with momentum. The crowd has caught on and buyers are in control. Price has moved down 0.0% since our last review. Ethical screening: PASS with passing ethical screen (70). The risk-adjusted return profile shows excellent risk-adjusted returns.
2026-07-02Markup$12.65Entry 1
Our analysis reads markup. Price is trending higher with momentum. The crowd has caught on and buyers are in control. Ethical screening: PASS with passing ethical screen (70). The risk-adjusted return profile shows excellent risk-adjusted returns.
Each entry above was written on its date, before the outcome. A journal you can prune is not a journal.