VALMONT INDUSTRIES (VMI) Stock Fundamental Analysis
USA - NYSE:VMI - US9202531011 - Common Stock
419.42 USD
+8.12 (+1.97%)
We assign a fundamental rating of 6 out of 10 to VMI. VMI was compared to 55 industry peers in the Construction & Engineering industry. VMI gets an excellent profitability rating and is at the same time showing great financial health properties. VMI has a decent growth rate and is not valued too expensively. These ratings would make VMI suitable for quality investing!
1. Profitability
1.1 Basic Checks
In the past year VMI was profitable.
VMI had a positive operating cash flow in the past year.
VMI had positive earnings in each of the past 5 years.
Each year in the past 5 years VMI had a positive operating cash flow.
1.2 Ratios
VMI's Return On Assets of 6.94% is fine compared to the rest of the industry. VMI outperforms 72.73% of its industry peers.
VMI has a better Return On Equity (14.64%) than 63.64% of its industry peers.
VMI has a better Return On Invested Capital (13.47%) than 78.18% of its industry peers.
VMI had an Average Return On Invested Capital over the past 3 years of 11.89%. This is significantly below the industry average of 17.10%.
The last Return On Invested Capital (13.47%) for VMI is above the 3 year average (11.89%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.94% | ||
| ROE | 14.64% | ||
| ROIC | 13.47% |
ROA(3y)7.28%
ROA(5y)6.46%
ROE(3y)16.53%
ROE(5y)15.12%
ROIC(3y)11.89%
ROIC(5y)10.15%
1.3 Margins
Looking at the Profit Margin, with a value of 5.70%, VMI is in the better half of the industry, outperforming 70.91% of the companies in the same industry.
In the last couple of years the Profit Margin of VMI has grown nicely.
The Operating Margin of VMI (12.44%) is better than 87.27% of its industry peers.
In the last couple of years the Operating Margin of VMI has grown nicely.
VMI has a better Gross Margin (30.31%) than 83.64% of its industry peers.
In the last couple of years the Gross Margin of VMI has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 12.44% | ||
| PM (TTM) | 5.7% | ||
| GM | 30.31% |
OM growth 3Y15.4%
OM growth 5Y9.34%
PM growth 3Y15.22%
PM growth 5Y10.06%
GM growth 3Y6.46%
GM growth 5Y4.3%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), VMI is creating some value.
VMI has less shares outstanding than it did 1 year ago.
VMI has less shares outstanding than it did 5 years ago.
VMI has a better debt/assets ratio than last year.
2.2 Solvency
The Debt to FCF ratio of VMI is 1.79, which is an excellent value as it means it would take VMI, only 1.79 years of fcf income to pay off all of its debts.
VMI's Debt to FCF ratio of 1.79 is fine compared to the rest of the industry. VMI outperforms 76.36% of its industry peers.
VMI has a Debt/Equity ratio of 0.46. This is a healthy value indicating a solid balance between debt and equity.
Looking at the Debt to Equity ratio, with a value of 0.46, VMI is in the better half of the industry, outperforming 61.82% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.46 | ||
| Debt/FCF | 1.79 | ||
| Altman-Z | N/A |
ROIC/WACC1.37
WACC9.8%
2.3 Liquidity
A Current Ratio of 2.26 indicates that VMI has no problem at all paying its short term obligations.
VMI has a better Current ratio (2.26) than 92.73% of its industry peers.
A Quick Ratio of 1.50 indicates that VMI should not have too much problems paying its short term obligations.
Looking at the Quick ratio, with a value of 1.50, VMI is in the better half of the industry, outperforming 76.36% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.26 | ||
| Quick Ratio | 1.5 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 9.08% over the past year.
VMI shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 18.77% yearly.
Looking at the last year, VMI shows a small growth in Revenue. The Revenue has grown by 1.23% in the last year.
Measured over the past years, VMI shows a quite strong growth in Revenue. The Revenue has been growing by 8.05% on average per year.
EPS 1Y (TTM)9.08%
EPS 3Y16.27%
EPS 5Y18.77%
EPS Q2Q%21.17%
Revenue 1Y (TTM)1.23%
Revenue growth 3Y5.19%
Revenue growth 5Y8.05%
Sales Q2Q%2.53%
3.2 Future
The Earnings Per Share is expected to grow by 10.14% on average over the next years. This is quite good.
The Revenue is expected to grow by 3.30% on average over the next years.
EPS Next Y9.94%
EPS Next 2Y10.8%
EPS Next 3Y10.74%
EPS Next 5Y10.14%
Revenue Next Year1.37%
Revenue Next 2Y3.27%
Revenue Next 3Y3.42%
Revenue Next 5Y3.3%
3.3 Evolution
The estimated forward EPS growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 23.28, VMI is valued on the expensive side.
78.18% of the companies in the same industry are more expensive than VMI, based on the Price/Earnings ratio.
VMI's Price/Earnings ratio indicates a similar valuation than the S&P500 average which is at 26.83.
Based on the Price/Forward Earnings ratio of 19.89, the valuation of VMI can be described as rather expensive.
Based on the Price/Forward Earnings ratio, VMI is valued cheaply inside the industry as 81.82% of the companies are valued more expensively.
When comparing the Price/Forward Earnings ratio of VMI to the average of the S&P500 Index (22.82), we can say VMI is valued inline with the index average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 23.28 | ||
| Fwd PE | 19.89 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, VMI is valued a bit cheaper than the industry average as 78.18% of the companies are valued more expensively.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of VMI indicates a somewhat cheap valuation: VMI is cheaper than 76.36% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 20.25 | ||
| EV/EBITDA | 14.36 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
The excellent profitability rating of VMI may justify a higher PE ratio.
PEG (NY)2.34
PEG (5Y)1.24
EPS Next 2Y10.8%
EPS Next 3Y10.74%
5. Dividend
5.1 Amount
With a yearly dividend of 0.68%, VMI is not a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 1.66, VMI pays a better dividend. On top of this VMI pays more dividend than 94.55% of the companies listed in the same industry.
With a Dividend Yield of 0.68, VMI pays less dividend than the S&P500 average, which is at 2.34.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.68% |
5.2 History
On average, the dividend of VMI grows each year by 9.85%, which is quite nice.
VMI has paid a dividend for at least 10 years, which is a reliable track record.
VMI has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)9.85%
Div Incr Years0
Div Non Decr Years22
5.3 Sustainability
VMI pays out 21.87% of its income as dividend. This is a sustainable payout ratio.
VMI's earnings are growing around the same pace than its dividend. As long as the earnings growth is kept the dividend growth is sustainable.
DP21.87%
EPS Next 2Y10.8%
EPS Next 3Y10.74%
NYSE:VMI (10/24/2025, 12:11:30 PM)
419.42
+8.12 (+1.97%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryConstruction & Engineering
Earnings (Last)
Earnings (Next)
Inst Owners94.26%
Inst Owner Change-0.13%
Ins Owners1.37%
Ins Owner Change0.46%
Market Cap8.28B
Revenue(TTM)4.10B
Net Income(TTM)233.68M
Analysts80
Price Target396.1 (-5.56%)
Short Float %1.69%
Short Ratio1.66
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.68% |
Yearly Dividend2.4
Dividend Growth(5Y)9.85%
DP21.87%
Div Incr Years0
Div Non Decr Years22
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)4.64%
Min EPS beat(2)2.54%
Max EPS beat(2)6.73%
EPS beat(4)3
Avg EPS beat(4)3.09%
Min EPS beat(4)-1.82%
Max EPS beat(4)6.73%
EPS beat(8)7
Avg EPS beat(8)8.23%
EPS beat(12)10
Avg EPS beat(12)7.25%
EPS beat(16)14
Avg EPS beat(16)7.8%
Revenue beat(2)2
Avg Revenue beat(2)0.85%
Min Revenue beat(2)0.19%
Max Revenue beat(2)1.5%
Revenue beat(4)3
Avg Revenue beat(4)0.35%
Min Revenue beat(4)-1.68%
Max Revenue beat(4)1.5%
Revenue beat(8)3
Avg Revenue beat(8)-0.7%
Revenue beat(12)5
Avg Revenue beat(12)-1.37%
Revenue beat(16)9
Avg Revenue beat(16)1.23%
PT rev (1m)0%
PT rev (3m)12.56%
EPS NQ rev (1m)0.57%
EPS NQ rev (3m)1.12%
EPS NY rev (1m)0%
EPS NY rev (3m)2.74%
Revenue NQ rev (1m)0.29%
Revenue NQ rev (3m)-0.1%
Revenue NY rev (1m)0.1%
Revenue NY rev (3m)0.66%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 23.28 | ||
| Fwd PE | 19.89 | ||
| P/S | 2.02 | ||
| P/FCF | 20.25 | ||
| P/OCF | 15.37 | ||
| P/B | 5.19 | ||
| P/tB | 5.19 | ||
| EV/EBITDA | 14.36 |
EPS(TTM)18.02
EY4.3%
EPS(NY)21.09
Fwd EY5.03%
FCF(TTM)20.71
FCFY4.94%
OCF(TTM)27.29
OCFY6.51%
SpS207.86
BVpS80.84
TBVpS80.84
PEG (NY)2.34
PEG (5Y)1.24
Graham Number181.04
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.94% | ||
| ROE | 14.64% | ||
| ROCE | 19.71% | ||
| ROIC | 13.47% | ||
| ROICexc | 14.76% | ||
| ROICexgc | 14.76% | ||
| OM | 12.44% | ||
| PM (TTM) | 5.7% | ||
| GM | 30.31% | ||
| FCFM | 9.96% |
ROA(3y)7.28%
ROA(5y)6.46%
ROE(3y)16.53%
ROE(5y)15.12%
ROIC(3y)11.89%
ROIC(5y)10.15%
ROICexc(3y)12.77%
ROICexc(5y)11.1%
ROICexgc(3y)19%
ROICexgc(5y)16.55%
ROCE(3y)17.42%
ROCE(5y)14.91%
ROICexgc growth 3Y22.29%
ROICexgc growth 5Y14.35%
ROICexc growth 3Y24.1%
ROICexc growth 5Y13.9%
OM growth 3Y15.4%
OM growth 5Y9.34%
PM growth 3Y15.22%
PM growth 5Y10.06%
GM growth 3Y6.46%
GM growth 5Y4.3%
F-Score7
Asset Turnover1.22
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.46 | ||
| Debt/FCF | 1.79 | ||
| Debt/EBITDA | 1.22 | ||
| Cap/Depr | 143.82% | ||
| Cap/Sales | 3.16% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 89.68% | ||
| Profit Quality | 174.94% | ||
| Current Ratio | 2.26 | ||
| Quick Ratio | 1.5 | ||
| Altman-Z | N/A |
F-Score7
WACC9.8%
ROIC/WACC1.37
Cap/Depr(3y)92.44%
Cap/Depr(5y)104.5%
Cap/Sales(3y)2.14%
Cap/Sales(5y)2.64%
Profit Quality(3y)124.57%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)9.08%
EPS 3Y16.27%
EPS 5Y18.77%
EPS Q2Q%21.17%
EPS Next Y9.94%
EPS Next 2Y10.8%
EPS Next 3Y10.74%
EPS Next 5Y10.14%
Revenue 1Y (TTM)1.23%
Revenue growth 3Y5.19%
Revenue growth 5Y8.05%
Sales Q2Q%2.53%
Revenue Next Year1.37%
Revenue Next 2Y3.27%
Revenue Next 3Y3.42%
Revenue Next 5Y3.3%
EBIT growth 1Y9.02%
EBIT growth 3Y21.39%
EBIT growth 5Y18.14%
EBIT Next Year16.72%
EBIT Next 3Y13.14%
EBIT Next 5Y10.73%
FCF growth 1Y73.22%
FCF growth 3YN/A
FCF growth 5Y18.6%
OCF growth 1Y61.56%
OCF growth 3Y105.55%
OCF growth 5Y13.24%
VALMONT INDUSTRIES / VMI FAQ
What is the ChartMill fundamental rating of VALMONT INDUSTRIES (VMI) stock?
ChartMill assigns a fundamental rating of 6 / 10 to VMI.
Can you provide the valuation status for VALMONT INDUSTRIES?
ChartMill assigns a valuation rating of 4 / 10 to VALMONT INDUSTRIES (VMI). This can be considered as Fairly Valued.
Can you provide the profitability details for VALMONT INDUSTRIES?
VALMONT INDUSTRIES (VMI) has a profitability rating of 8 / 10.
Can you provide the PE and PB ratios for VMI stock?
The Price/Earnings (PE) ratio for VALMONT INDUSTRIES (VMI) is 23.28 and the Price/Book (PB) ratio is 5.19.
What is the earnings growth outlook for VALMONT INDUSTRIES?
The Earnings per Share (EPS) of VALMONT INDUSTRIES (VMI) is expected to grow by 9.94% in the next year.