VERALTO CORP (VLTO) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:VLTO - US92338C1036 - Common Stock
102.2 USD
+0.45 (+0.44%)
Taking everything into account, VLTO scores 6 out of 10 in our fundamental rating. VLTO was compared to 81 industry peers in the Commercial Services & Supplies industry. VLTO has an excellent profitability rating, but there are some minor concerns on its financial health. VLTO has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
In the past year VLTO was profitable.
VLTO had a positive operating cash flow in the past year.
VLTO had positive earnings in each of the past 5 years.
Each year in the past 5 years VLTO had a positive operating cash flow.
1.2 Ratios
The Return On Assets of VLTO (12.29%) is better than 93.83% of its industry peers.
VLTO has a better Return On Equity (32.07%) than 93.83% of its industry peers.
Looking at the Return On Invested Capital, with a value of 18.03%, VLTO belongs to the top of the industry, outperforming 92.59% of the companies in the same industry.
VLTO had an Average Return On Invested Capital over the past 3 years of 20.23%. This is significantly above the industry average of 10.33%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 12.29% | ||
| ROE | 32.07% | ||
| ROIC | 18.03% |
ROA(3y)15.08%
ROA(5y)N/A
ROE(3y)42.55%
ROE(5y)N/A
ROIC(3y)20.23%
ROIC(5y)N/A
1.3 Margins
VLTO has a better Profit Margin (16.75%) than 96.30% of its industry peers.
VLTO's Profit Margin has declined in the last couple of years.
VLTO has a Operating Margin of 23.28%. This is amongst the best in the industry. VLTO outperforms 98.77% of its industry peers.
VLTO's Operating Margin has improved in the last couple of years.
VLTO has a better Gross Margin (60.01%) than 96.30% of its industry peers.
In the last couple of years the Gross Margin of VLTO has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 23.28% | ||
| PM (TTM) | 16.75% | ||
| GM | 60.01% |
OM growth 3Y1.65%
OM growth 5YN/A
PM growth 3Y-4.33%
PM growth 5YN/A
GM growth 3Y1.18%
GM growth 5YN/A
2. Health
2.1 Basic Checks
VLTO has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
The number of shares outstanding for VLTO has been increased compared to 1 year ago.
VLTO has a better debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 5.08 indicates that VLTO is not in any danger for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 5.08, VLTO belongs to the top of the industry, outperforming 82.72% of the companies in the same industry.
VLTO has a debt to FCF ratio of 2.71. This is a good value and a sign of high solvency as VLTO would need 2.71 years to pay back of all of its debts.
With a decent Debt to FCF ratio value of 2.71, VLTO is doing good in the industry, outperforming 75.31% of the companies in the same industry.
VLTO has a Debt/Equity ratio of 0.69. This is a neutral value indicating VLTO is somewhat dependend on debt financing.
With a Debt to Equity ratio value of 0.69, VLTO perfoms like the industry average, outperforming 45.68% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.69 | ||
| Debt/FCF | 2.71 | ||
| Altman-Z | 5.08 |
ROIC/WACC2.16
WACC8.33%
2.3 Liquidity
A Current Ratio of 1.57 indicates that VLTO should not have too much problems paying its short term obligations.
Looking at the Current ratio, with a value of 1.57, VLTO is in line with its industry, outperforming 55.56% of the companies in the same industry.
A Quick Ratio of 1.40 indicates that VLTO should not have too much problems paying its short term obligations.
VLTO has a Quick ratio (1.40) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.57 | ||
| Quick Ratio | 1.4 |
3. Growth
3.1 Past
VLTO shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 10.72%, which is quite good.
Measured over the past years, VLTO shows a decrease in Earnings Per Share. The EPS has been decreasing by -1.57% on average per year.
The Revenue has been growing slightly by 6.15% in the past year.
VLTO shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 3.38% yearly.
EPS 1Y (TTM)10.72%
EPS 3Y-1.57%
EPS 5YN/A
EPS Q2Q%11.24%
Revenue 1Y (TTM)6.15%
Revenue growth 3Y3.38%
Revenue growth 5YN/A
Sales Q2Q%6.85%
3.2 Future
The Earnings Per Share is expected to grow by 7.53% on average over the next years.
VLTO is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 5.29% yearly.
EPS Next Y11.02%
EPS Next 2Y9.83%
EPS Next 3Y9.4%
EPS Next 5Y7.53%
Revenue Next Year6.15%
Revenue Next 2Y5.95%
Revenue Next 3Y5.86%
Revenue Next 5Y5.29%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 26.75 indicates a quite expensive valuation of VLTO.
Compared to the rest of the industry, the Price/Earnings ratio of VLTO is on the same level as its industry peers.
VLTO is valuated at similar levels of the S&P average when we compare the Price/Earnings ratio to 26.92, which is the current average of the S&P500 Index.
With a Price/Forward Earnings ratio of 24.00, VLTO is valued on the expensive side.
VLTO's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. VLTO is cheaper than 64.20% of the companies in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 23.46, VLTO is valued at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 26.75 | ||
| Fwd PE | 24 |
4.2 Price Multiples
VLTO's Enterprise Value to EBITDA is on the same level as the industry average.
Based on the Price/Free Cash Flow ratio, VLTO is valued a bit cheaper than the industry average as 65.43% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 25.74 | ||
| EV/EBITDA | 19.42 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
VLTO has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)2.43
PEG (5Y)N/A
EPS Next 2Y9.83%
EPS Next 3Y9.4%
5. Dividend
5.1 Amount
With a yearly dividend of 0.45%, VLTO is not a good candidate for dividend investing.
VLTO's Dividend Yield is a higher than the industry average which is at 0.89.
Compared to an average S&P500 Dividend Yield of 2.00, VLTO's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.45% |
5.2 History
VLTO has been paying a dividend for less than 5 years, so it still needs to build a track record.
Dividend Growth(5Y)N/A
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
11.39% of the earnings are spent on dividend by VLTO. This is a low number and sustainable payout ratio.
DP11.39%
EPS Next 2Y9.83%
EPS Next 3Y9.4%
NYSE:VLTO (12/29/2025, 10:50:44 AM)
102.2
+0.45 (+0.44%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCommercial & Professional Services
GICS IndustryCommercial Services & Supplies
Earnings (Last)
Earnings (Next)
Inst Owners97.3%
Inst Owner ChangeN/A
Ins Owners0.11%
Ins Owner Change1.42%
Market Cap25.38B
Revenue(TTM)5.45B
Net Income(TTM)913.00M
Analysts77.69
Price Target115.81 (13.32%)
Short Float %1.48%
Short Ratio2.26
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.45% |
Yearly Dividend0.36
Dividend Growth(5Y)N/A
DP11.39%
Div Incr Years1
Div Non Decr Years1
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)2.63%
Min EPS beat(2)2.19%
Max EPS beat(2)3.08%
EPS beat(4)4
Avg EPS beat(4)4.18%
Min EPS beat(4)2.19%
Max EPS beat(4)7.23%
EPS beat(8)8
Avg EPS beat(8)4.56%
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)1
Avg Revenue beat(2)-0.73%
Min Revenue beat(2)-1.54%
Max Revenue beat(2)0.07%
Revenue beat(4)2
Avg Revenue beat(4)-0.36%
Min Revenue beat(4)-2.04%
Max Revenue beat(4)2.07%
Revenue beat(8)3
Avg Revenue beat(8)-0.41%
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)-1.73%
PT rev (3m)-1.71%
EPS NQ rev (1m)0.23%
EPS NQ rev (3m)1.08%
EPS NY rev (1m)0.32%
EPS NY rev (3m)1.28%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0.35%
Revenue NY rev (1m)0.05%
Revenue NY rev (3m)0.25%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 26.75 | ||
| Fwd PE | 24 | ||
| P/S | 4.65 | ||
| P/FCF | 25.74 | ||
| P/OCF | 24.14 | ||
| P/B | 8.91 | ||
| P/tB | N/A | ||
| EV/EBITDA | 19.42 |
EPS(TTM)3.82
EY3.74%
EPS(NY)4.26
Fwd EY4.17%
FCF(TTM)3.97
FCFY3.89%
OCF(TTM)4.23
OCFY4.14%
SpS21.96
BVpS11.47
TBVpS-2.04
PEG (NY)2.43
PEG (5Y)N/A
Graham Number31.39
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 12.29% | ||
| ROE | 32.07% | ||
| ROCE | 23.53% | ||
| ROIC | 18.03% | ||
| ROICexc | 26.88% | ||
| ROICexgc | 368.33% | ||
| OM | 23.28% | ||
| PM (TTM) | 16.75% | ||
| GM | 60.01% | ||
| FCFM | 18.09% |
ROA(3y)15.08%
ROA(5y)N/A
ROE(3y)42.55%
ROE(5y)N/A
ROIC(3y)20.23%
ROIC(5y)N/A
ROICexc(3y)23.22%
ROICexc(5y)N/A
ROICexgc(3y)116.35%
ROICexgc(5y)N/A
ROCE(3y)26.4%
ROCE(5y)N/A
ROICexgc growth 3Y-1.56%
ROICexgc growth 5YN/A
ROICexc growth 3Y2.06%
ROICexc growth 5YN/A
OM growth 3Y1.65%
OM growth 5YN/A
PM growth 3Y-4.33%
PM growth 5YN/A
GM growth 3Y1.18%
GM growth 5YN/A
F-Score5
Asset Turnover0.73
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.69 | ||
| Debt/FCF | 2.71 | ||
| Debt/EBITDA | 1.46 | ||
| Cap/Depr | 83.33% | ||
| Cap/Sales | 1.19% | ||
| Interest Coverage | 9.33 | ||
| Cash Conversion | 78.03% | ||
| Profit Quality | 108% | ||
| Current Ratio | 1.57 | ||
| Quick Ratio | 1.4 | ||
| Altman-Z | 5.08 |
F-Score5
WACC8.33%
ROIC/WACC2.16
Cap/Depr(3y)56.79%
Cap/Depr(5y)50.81%
Cap/Sales(3y)0.94%
Cap/Sales(5y)0.96%
Profit Quality(3y)101.91%
Profit Quality(5y)107.36%
High Growth Momentum
Growth
EPS 1Y (TTM)10.72%
EPS 3Y-1.57%
EPS 5YN/A
EPS Q2Q%11.24%
EPS Next Y11.02%
EPS Next 2Y9.83%
EPS Next 3Y9.4%
EPS Next 5Y7.53%
Revenue 1Y (TTM)6.15%
Revenue growth 3Y3.38%
Revenue growth 5YN/A
Sales Q2Q%6.85%
Revenue Next Year6.15%
Revenue Next 2Y5.95%
Revenue Next 3Y5.86%
Revenue Next 5Y5.29%
EBIT growth 1Y7%
EBIT growth 3Y5.08%
EBIT growth 5YN/A
EBIT Next Year10.63%
EBIT Next 3Y8.65%
EBIT Next 5Y7.54%
FCF growth 1Y-9.79%
FCF growth 3Y-0.88%
FCF growth 5YN/A
OCF growth 1Y-9.14%
OCF growth 3Y-0.79%
OCF growth 5YN/A
VERALTO CORP / VLTO FAQ
Can you provide the ChartMill fundamental rating for VERALTO CORP?
ChartMill assigns a fundamental rating of 6 / 10 to VLTO.
What is the valuation status for VLTO stock?
ChartMill assigns a valuation rating of 4 / 10 to VERALTO CORP (VLTO). This can be considered as Fairly Valued.
What is the profitability of VLTO stock?
VERALTO CORP (VLTO) has a profitability rating of 8 / 10.
What is the earnings growth outlook for VERALTO CORP?
The Earnings per Share (EPS) of VERALTO CORP (VLTO) is expected to grow by 11.02% in the next year.
Is the dividend of VERALTO CORP sustainable?
The dividend rating of VERALTO CORP (VLTO) is 3 / 10 and the dividend payout ratio is 11.39%.