VULCAN MATERIALS CO (VMC) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:VMC - US9291601097 - Common Stock
298.48 USD
-12.56 (-4.04%)
298.48 USD
0 (0%)
VMC gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 13 industry peers in the Construction Materials industry. VMC has an excellent profitability rating, but there are some minor concerns on its financial health. VMC is valied quite expensively at the moment, while it does show a decent growth rate.
1. Profitability
1.1 Basic Checks
- In the past year VMC was profitable.
- VMC had a positive operating cash flow in the past year.
- Each year in the past 5 years VMC has been profitable.
- In the past 5 years VMC always reported a positive cash flow from operatings.
1.2 Ratios
- With a decent Return On Assets value of 6.59%, VMC is doing good in the industry, outperforming 69.23% of the companies in the same industry.
- With a decent Return On Equity value of 12.80%, VMC is doing good in the industry, outperforming 61.54% of the companies in the same industry.
- VMC has a better Return On Invested Capital (7.67%) than 61.54% of its industry peers.
- Measured over the past 3 years, the Average Return On Invested Capital for VMC is below the industry average of 9.37%.
- The 3 year average ROIC (6.80%) for VMC is below the current ROIC(7.67%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.59% | ||
| ROE | 12.8% | ||
| ROIC | 7.67% |
ROA(3y)5.26%
ROA(5y)5.14%
ROE(3y)10.67%
ROE(5y)10.39%
ROIC(3y)6.8%
ROIC(5y)6.44%
1.3 Margins
- Looking at the Profit Margin, with a value of 14.19%, VMC is in the better half of the industry, outperforming 76.92% of the companies in the same industry.
- VMC's Profit Margin has been stable in the last couple of years.
- Looking at the Operating Margin, with a value of 20.10%, VMC is in the better half of the industry, outperforming 76.92% of the companies in the same industry.
- In the last couple of years the Operating Margin of VMC has grown nicely.
- With a Gross Margin value of 28.23%, VMC perfoms like the industry average, outperforming 46.15% of the companies in the same industry.
- VMC's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 20.1% | ||
| PM (TTM) | 14.19% | ||
| GM | 28.23% |
OM growth 3Y5.54%
OM growth 5Y1.72%
PM growth 3Y0.58%
PM growth 5Y-0.38%
GM growth 3Y2.91%
GM growth 5Y1.13%
2. Health
2.1 Basic Checks
- The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so VMC is destroying value.
- The number of shares outstanding for VMC remains at a similar level compared to 1 year ago.
- The number of shares outstanding for VMC remains at a similar level compared to 5 years ago.
- Compared to 1 year ago, VMC has a worse debt to assets ratio.
2.2 Solvency
- VMC has an Altman-Z score of 4.21. This indicates that VMC is financially healthy and has little risk of bankruptcy at the moment.
- VMC has a Altman-Z score of 4.21. This is in the better half of the industry: VMC outperforms 76.92% of its industry peers.
- VMC has a debt to FCF ratio of 4.15. This is a neutral value as VMC would need 4.15 years to pay back of all of its debts.
- VMC has a Debt to FCF ratio of 4.15. This is in the better half of the industry: VMC outperforms 76.92% of its industry peers.
- A Debt/Equity ratio of 0.50 indicates that VMC is not too dependend on debt financing.
- The Debt to Equity ratio of VMC (0.50) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.5 | ||
| Debt/FCF | 4.15 | ||
| Altman-Z | 4.21 |
ROIC/WACC0.73
WACC10.47%
2.3 Liquidity
- VMC has a Current Ratio of 2.23. This indicates that VMC is financially healthy and has no problem in meeting its short term obligations.
- Looking at the Current ratio, with a value of 2.23, VMC is in line with its industry, outperforming 53.85% of the companies in the same industry.
- VMC has a Quick Ratio of 1.56. This is a normal value and indicates that VMC is financially healthy and should not expect problems in meeting its short term obligations.
- VMC has a better Quick ratio (1.56) than 69.23% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.23 | ||
| Quick Ratio | 1.56 |
3. Growth
3.1 Past
- The Earnings Per Share has grown by an impressive 23.87% over the past year.
- The Earnings Per Share has been growing by 9.91% on average over the past years. This is quite good.
- The Revenue has been growing slightly by 6.54% in the past year.
- Measured over the past years, VMC shows a quite strong growth in Revenue. The Revenue has been growing by 8.52% on average per year.
EPS 1Y (TTM)23.87%
EPS 3Y14.29%
EPS 5Y9.91%
EPS Q2Q%27.93%
Revenue 1Y (TTM)6.54%
Revenue growth 3Y10.14%
Revenue growth 5Y8.52%
Sales Q2Q%14.35%
3.2 Future
- The Earnings Per Share is expected to grow by 11.84% on average over the next years. This is quite good.
- Based on estimates for the next years, VMC will show a small growth in Revenue. The Revenue will grow by 7.87% on average per year.
EPS Next Y12.8%
EPS Next 2Y14.9%
EPS Next 3Y15.33%
EPS Next 5Y11.84%
Revenue Next Year8.18%
Revenue Next 2Y6.59%
Revenue Next 3Y6.45%
Revenue Next 5Y7.87%
3.3 Evolution
- When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
- The Revenue growth rate is stable: in the next years the growth will be about the same than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
- With a Price/Earnings ratio of 35.28, VMC can be considered very expensive at the moment.
- Compared to the rest of the industry, the Price/Earnings ratio of VMC indicates a slightly more expensive valuation: VMC is more expensive than 76.92% of the companies listed in the same industry.
- Compared to an average S&P500 Price/Earnings ratio of 27.33, VMC is valued a bit more expensive.
- VMC is valuated quite expensively with a Price/Forward Earnings ratio of 29.99.
- 69.23% of the companies in the same industry are cheaper than VMC, based on the Price/Forward Earnings ratio.
- VMC is valuated rather expensively when we compare the Price/Forward Earnings ratio to 24.12, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 35.28 | ||
| Fwd PE | 29.99 |
4.2 Price Multiples
- 69.23% of the companies in the same industry are cheaper than VMC, based on the Enterprise Value to EBITDA ratio.
- VMC's Price/Free Cash Flow is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 37.39 | ||
| EV/EBITDA | 18.87 |
4.3 Compensation for Growth
- The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
- VMC has a very decent profitability rating, which may justify a higher PE ratio.
- A more expensive valuation may be justified as VMC's earnings are expected to grow with 15.33% in the coming years.
PEG (NY)2.76
PEG (5Y)3.56
EPS Next 2Y14.9%
EPS Next 3Y15.33%
5. Dividend
5.1 Amount
- With a yearly dividend of 0.66%, VMC is not a good candidate for dividend investing.
- Compared to an average industry Dividend Yield of 2.09, VMC pays a bit more dividend than its industry peers.
- Compared to an average S&P500 Dividend Yield of 1.91, VMC's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.66% |
5.2 History
- On average, the dividend of VMC grows each year by 8.29%, which is quite nice.
- VMC has paid a dividend for at least 10 years, which is a reliable track record.
- VMC has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)8.29%
Div Incr Years11
Div Non Decr Years12
5.3 Sustainability
- 22.91% of the earnings are spent on dividend by VMC. This is a low number and sustainable payout ratio.
- The dividend of VMC is growing, but earnings are growing more, so the dividend growth is sustainable.
DP22.91%
EPS Next 2Y14.9%
EPS Next 3Y15.33%
298.48
-12.56 (-4.04%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryConstruction Materials
Earnings (Last)10-30 2025-10-30/bmo
Earnings (Next)02-16 2026-02-16/amc
Inst Owners95.53%
Inst Owner Change0.35%
Ins Owners0.14%
Ins Owner Change-1.93%
Market Cap39.44B
Revenue(TTM)7.88B
Net Income(TTM)1.12B
Analysts80
Price Target325.62 (9.09%)
Short Float %3.55%
Short Ratio4.43
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.66% |
Yearly Dividend1.85
Dividend Growth(5Y)8.29%
DP22.91%
Div Incr Years11
Div Non Decr Years12
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-0.56%
Min EPS beat(2)-4.43%
Max EPS beat(2)3.31%
EPS beat(4)3
Avg EPS beat(4)11.73%
Min EPS beat(4)-4.43%
Max EPS beat(4)27.04%
EPS beat(8)4
Avg EPS beat(8)2.64%
EPS beat(12)6
Avg EPS beat(12)6.43%
EPS beat(16)9
Avg EPS beat(16)6.23%
Revenue beat(2)1
Avg Revenue beat(2)-2.36%
Min Revenue beat(2)-4.83%
Max Revenue beat(2)0.11%
Revenue beat(4)2
Avg Revenue beat(4)-1.44%
Min Revenue beat(4)-4.83%
Max Revenue beat(4)0.9%
Revenue beat(8)2
Avg Revenue beat(8)-2.28%
Revenue beat(12)4
Avg Revenue beat(12)-1.61%
Revenue beat(16)8
Avg Revenue beat(16)-0.22%
PT rev (1m)0.34%
PT rev (3m)5.34%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-6.41%
EPS NY rev (1m)0%
EPS NY rev (3m)0.17%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-4.02%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-0.99%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 35.28 | ||
| Fwd PE | 29.99 | ||
| P/S | 5 | ||
| P/FCF | 37.39 | ||
| P/OCF | 23.06 | ||
| P/B | 4.52 | ||
| P/tB | 12.73 | ||
| EV/EBITDA | 18.87 |
EPS(TTM)8.46
EY2.83%
EPS(NY)9.95
Fwd EY3.33%
FCF(TTM)7.98
FCFY2.67%
OCF(TTM)12.94
OCFY4.34%
SpS59.65
BVpS66.1
TBVpS23.45
PEG (NY)2.76
PEG (5Y)3.56
Graham Number112.17
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.59% | ||
| ROE | 12.8% | ||
| ROCE | 9.93% | ||
| ROIC | 7.67% | ||
| ROICexc | 7.76% | ||
| ROICexgc | 12.08% | ||
| OM | 20.1% | ||
| PM (TTM) | 14.19% | ||
| GM | 28.23% | ||
| FCFM | 13.38% |
ROA(3y)5.26%
ROA(5y)5.14%
ROE(3y)10.67%
ROE(5y)10.39%
ROIC(3y)6.8%
ROIC(5y)6.44%
ROICexc(3y)7.09%
ROICexc(5y)6.8%
ROICexgc(3y)11.53%
ROICexgc(5y)11.5%
ROCE(3y)8.82%
ROCE(5y)8.34%
ROICexgc growth 3Y5.03%
ROICexgc growth 5Y-1.37%
ROICexc growth 3Y9.16%
ROICexc growth 5Y1.05%
OM growth 3Y5.54%
OM growth 5Y1.72%
PM growth 3Y0.58%
PM growth 5Y-0.38%
GM growth 3Y2.91%
GM growth 5Y1.13%
F-Score6
Asset Turnover0.46
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.5 | ||
| Debt/FCF | 4.15 | ||
| Debt/EBITDA | 1.89 | ||
| Cap/Depr | 90.15% | ||
| Cap/Sales | 8.31% | ||
| Interest Coverage | 7.42 | ||
| Cash Conversion | 73.98% | ||
| Profit Quality | 94.3% | ||
| Current Ratio | 2.23 | ||
| Quick Ratio | 1.56 | ||
| Altman-Z | 4.21 |
F-Score6
WACC10.47%
ROIC/WACC0.73
Cap/Depr(3y)113.72%
Cap/Depr(5y)105.98%
Cap/Sales(3y)9.24%
Cap/Sales(5y)8.66%
Profit Quality(3y)84.21%
Profit Quality(5y)91.47%
High Growth Momentum
Growth
EPS 1Y (TTM)23.87%
EPS 3Y14.29%
EPS 5Y9.91%
EPS Q2Q%27.93%
EPS Next Y12.8%
EPS Next 2Y14.9%
EPS Next 3Y15.33%
EPS Next 5Y11.84%
Revenue 1Y (TTM)6.54%
Revenue growth 3Y10.14%
Revenue growth 5Y8.52%
Sales Q2Q%14.35%
Revenue Next Year8.18%
Revenue Next 2Y6.59%
Revenue Next 3Y6.45%
Revenue Next 5Y7.87%
EBIT growth 1Y16.34%
EBIT growth 3Y16.24%
EBIT growth 5Y10.38%
EBIT Next Year76.87%
EBIT Next 3Y28.68%
EBIT Next 5Y19.4%
FCF growth 1Y68.32%
FCF growth 3Y12.87%
FCF growth 5Y6.08%
OCF growth 1Y17.52%
OCF growth 3Y11.68%
OCF growth 5Y7.45%
VULCAN MATERIALS CO / VMC FAQ
What is the fundamental rating for VMC stock?
ChartMill assigns a fundamental rating of 6 / 10 to VMC.
What is the valuation status for VMC stock?
ChartMill assigns a valuation rating of 1 / 10 to VULCAN MATERIALS CO (VMC). This can be considered as Overvalued.
How profitable is VULCAN MATERIALS CO (VMC) stock?
VULCAN MATERIALS CO (VMC) has a profitability rating of 7 / 10.
How financially healthy is VULCAN MATERIALS CO?
The financial health rating of VULCAN MATERIALS CO (VMC) is 6 / 10.
What is the expected EPS growth for VULCAN MATERIALS CO (VMC) stock?
The Earnings per Share (EPS) of VULCAN MATERIALS CO (VMC) is expected to grow by 12.8% in the next year.