175.8 USD
+8.14 (+4.86%)
175.8 USD
0 (0%)
Taking everything into account, VSEC scores 4 out of 10 in our fundamental rating. VSEC was compared to 71 industry peers in the Aerospace & Defense industry. The financial health of VSEC is average, but there are quite some concerns on its profitability. VSEC is quite expensive at the moment. It does show a decent growth rate.
1. Profitability
1.1 Basic Checks
VSEC had positive earnings in the past year.
VSEC had a positive operating cash flow in the past year.
Of the past 5 years VSEC 4 years were profitable.
In multiple years VSEC reported negative operating cash flow during the last 5 years.
1.2 Ratios
VSEC has a Return On Assets (0.72%) which is comparable to the rest of the industry.
Looking at the Return On Equity, with a value of 1.14%, VSEC is in line with its industry, outperforming 46.48% of the companies in the same industry.
VSEC has a Return On Invested Capital of 4.81%. This is comparable to the rest of the industry: VSEC outperforms 47.89% of its industry peers.
The Average Return On Invested Capital over the past 3 years for VSEC is below the industry average of 8.60%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.72% | ||
| ROE | 1.14% | ||
| ROIC | 4.81% |
ROA(3y)2.2%
ROA(5y)1.36%
ROE(3y)4.72%
ROE(5y)2.92%
ROIC(3y)5.73%
ROIC(5y)5.23%
1.3 Margins
VSEC has a Profit Margin (1.01%) which is in line with its industry peers.
In the last couple of years the Profit Margin of VSEC has declined.
VSEC has a Operating Margin (7.73%) which is in line with its industry peers.
In the last couple of years the Operating Margin of VSEC has grown nicely.
The Gross Margin of VSEC (13.39%) is worse than 77.46% of its industry peers.
VSEC's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 7.73% | ||
| PM (TTM) | 1.01% | ||
| GM | 13.39% |
OM growth 3Y45.15%
OM growth 5Y2.81%
PM growth 3Y10.02%
PM growth 5Y-22.01%
GM growth 3Y26.16%
GM growth 5Y0.93%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so VSEC is destroying value.
Compared to 1 year ago, VSEC has more shares outstanding
VSEC has more shares outstanding than it did 5 years ago.
VSEC has a better debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 5.93 indicates that VSEC is not in any danger for bankruptcy at the moment.
With a decent Altman-Z score value of 5.93, VSEC is doing good in the industry, outperforming 61.97% of the companies in the same industry.
The Debt to FCF ratio of VSEC is 13.22, which is on the high side as it means it would take VSEC, 13.22 years of fcf income to pay off all of its debts.
Looking at the Debt to FCF ratio, with a value of 13.22, VSEC is in line with its industry, outperforming 52.11% of the companies in the same industry.
VSEC has a Debt/Equity ratio of 0.35. This is a healthy value indicating a solid balance between debt and equity.
With a decent Debt to Equity ratio value of 0.35, VSEC is doing good in the industry, outperforming 60.56% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.35 | ||
| Debt/FCF | 13.22 | ||
| Altman-Z | 5.93 |
ROIC/WACC0.47
WACC10.15%
2.3 Liquidity
A Current Ratio of 3.94 indicates that VSEC has no problem at all paying its short term obligations.
The Current ratio of VSEC (3.94) is better than 73.24% of its industry peers.
A Quick Ratio of 1.41 indicates that VSEC should not have too much problems paying its short term obligations.
VSEC has a Quick ratio (1.41) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 3.94 | ||
| Quick Ratio | 1.41 |
3. Growth
3.1 Past
VSEC shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 18.57%, which is quite good.
VSEC shows a very negative growth in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -23.99% yearly.
The Revenue has grown by 9.22% in the past year. This is quite good.
The Revenue has been growing slightly by 7.49% on average over the past years.
EPS 1Y (TTM)18.57%
EPS 3Y10.22%
EPS 5Y-23.99%
EPS Q2Q%39.44%
Revenue 1Y (TTM)9.22%
Revenue growth 3Y12.88%
Revenue growth 5Y7.49%
Sales Q2Q%3.4%
3.2 Future
The Earnings Per Share is expected to grow by 14.81% on average over the next years. This is quite good.
Based on estimates for the next years, VSEC will show a quite strong growth in Revenue. The Revenue will grow by 18.24% on average per year.
EPS Next Y17.69%
EPS Next 2Y17.98%
EPS Next 3Y19.26%
EPS Next 5Y14.81%
Revenue Next Year2.29%
Revenue Next 2Y8.37%
Revenue Next 3Y8.62%
Revenue Next 5Y18.24%
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 accelerating.
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 48.30 indicates a quite expensive valuation of VSEC.
VSEC's Price/Earnings ratio is in line with the industry average.
Compared to an average S&P500 Price/Earnings ratio of 26.38, VSEC is valued quite expensively.
With a Price/Forward Earnings ratio of 40.48, VSEC can be considered very expensive at the moment.
VSEC's Price/Forward Earnings is on the same level as the industry average.
VSEC is valuated expensively when we compare the Price/Forward Earnings ratio to 23.83, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 48.3 | ||
| Fwd PE | 40.48 |
4.2 Price Multiples
VSEC's Enterprise Value to EBITDA is on the same level as the industry average.
VSEC's Price/Free Cash Flow is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 152.61 | ||
| EV/EBITDA | 35.99 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
VSEC's earnings are expected to grow with 19.26% in the coming years. This may justify a more expensive valuation.
PEG (NY)2.73
PEG (5Y)N/A
EPS Next 2Y17.98%
EPS Next 3Y19.26%
5. Dividend
5.1 Amount
With a yearly dividend of 0.23%, VSEC is not a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 0.41, VSEC pays a bit more dividend than its industry peers.
Compared to an average S&P500 Dividend Yield of 1.87, VSEC's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.23% |
5.2 History
The dividend of VSEC has a limited annual growth rate of 2.67%.
VSEC has paid a dividend for at least 10 years, which is a reliable track record.
VSEC has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)2.67%
Div Incr Years0
Div Non Decr Years34
5.3 Sustainability
73.55% of the earnings are spent on dividend by VSEC. This is not a sustainable payout ratio.
The dividend of VSEC is growing, but earnings are growing more, so the dividend growth is sustainable.
DP73.55%
EPS Next 2Y17.98%
EPS Next 3Y19.26%
175.8
+8.14 (+4.86%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryAerospace & Defense
Earnings (Last)
Earnings (Next)
Inst Owners103.94%
Inst Owner Change1.76%
Ins Owners1.99%
Ins Owner Change0.12%
Market Cap4.11B
Revenue(TTM)1.11B
Net Income(TTM)11.20M
Analysts86.67
Price Target211.21 (20.14%)
Short Float %6.98%
Short Ratio6.49
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.23% |
Yearly Dividend0.39
Dividend Growth(5Y)2.67%
DP73.55%
Div Incr Years0
Div Non Decr Years34
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)24.74%
Min EPS beat(2)15.55%
Max EPS beat(2)33.94%
EPS beat(4)4
Avg EPS beat(4)26.25%
Min EPS beat(4)15.55%
Max EPS beat(4)33.94%
EPS beat(8)7
Avg EPS beat(8)18.32%
EPS beat(12)10
Avg EPS beat(12)17.22%
EPS beat(16)13
Avg EPS beat(16)14.54%
Revenue beat(2)2
Avg Revenue beat(2)0.79%
Min Revenue beat(2)0.3%
Max Revenue beat(2)1.28%
Revenue beat(4)4
Avg Revenue beat(4)1.3%
Min Revenue beat(4)0.3%
Max Revenue beat(4)1.93%
Revenue beat(8)5
Avg Revenue beat(8)0.61%
Revenue beat(12)6
Avg Revenue beat(12)-1.77%
Revenue beat(16)9
Avg Revenue beat(16)-1.95%
PT rev (1m)9.52%
PT rev (3m)13.08%
EPS NQ rev (1m)3.22%
EPS NQ rev (3m)-3.67%
EPS NY rev (1m)3.04%
EPS NY rev (3m)3.87%
Revenue NQ rev (1m)-0.02%
Revenue NQ rev (3m)-1.75%
Revenue NY rev (1m)0.09%
Revenue NY rev (3m)0.27%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 48.3 | ||
| Fwd PE | 40.48 | ||
| P/S | 3.7 | ||
| P/FCF | 152.61 | ||
| P/OCF | 91.94 | ||
| P/B | 4.18 | ||
| P/tB | 11.66 | ||
| EV/EBITDA | 35.99 |
EPS(TTM)3.64
EY2.07%
EPS(NY)4.34
Fwd EY2.47%
FCF(TTM)1.15
FCFY0.66%
OCF(TTM)1.91
OCFY1.09%
SpS47.46
BVpS42.04
TBVpS15.08
PEG (NY)2.73
PEG (5Y)N/A
Graham Number58.68
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.72% | ||
| ROE | 1.14% | ||
| ROCE | 6.23% | ||
| ROIC | 4.81% | ||
| ROICexc | 4.84% | ||
| ROICexgc | 8.98% | ||
| OM | 7.73% | ||
| PM (TTM) | 1.01% | ||
| GM | 13.39% | ||
| FCFM | 2.43% |
ROA(3y)2.2%
ROA(5y)1.36%
ROE(3y)4.72%
ROE(5y)2.92%
ROIC(3y)5.73%
ROIC(5y)5.23%
ROICexc(3y)5.78%
ROICexc(5y)5.26%
ROICexgc(3y)10.59%
ROICexgc(5y)10.1%
ROCE(3y)7.42%
ROCE(5y)6.77%
ROICexgc growth 3Y31.62%
ROICexgc growth 5Y-9.39%
ROICexc growth 3Y31.63%
ROICexc growth 5Y-4.64%
OM growth 3Y45.15%
OM growth 5Y2.81%
PM growth 3Y10.02%
PM growth 5Y-22.01%
GM growth 3Y26.16%
GM growth 5Y0.93%
F-Score7
Asset Turnover0.71
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.35 | ||
| Debt/FCF | 13.22 | ||
| Debt/EBITDA | 2.81 | ||
| Cap/Depr | 46.68% | ||
| Cap/Sales | 1.6% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 36.1% | ||
| Profit Quality | 240.62% | ||
| Current Ratio | 3.94 | ||
| Quick Ratio | 1.41 | ||
| Altman-Z | 5.93 |
F-Score7
WACC10.15%
ROIC/WACC0.47
Cap/Depr(3y)65.18%
Cap/Depr(5y)51%
Cap/Sales(3y)1.76%
Cap/Sales(5y)1.47%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)18.57%
EPS 3Y10.22%
EPS 5Y-23.99%
EPS Q2Q%39.44%
EPS Next Y17.69%
EPS Next 2Y17.98%
EPS Next 3Y19.26%
EPS Next 5Y14.81%
Revenue 1Y (TTM)9.22%
Revenue growth 3Y12.88%
Revenue growth 5Y7.49%
Sales Q2Q%3.4%
Revenue Next Year2.29%
Revenue Next 2Y8.37%
Revenue Next 3Y8.62%
Revenue Next 5Y18.24%
EBIT growth 1Y-10.63%
EBIT growth 3Y63.86%
EBIT growth 5Y10.52%
EBIT Next Year118.18%
EBIT Next 3Y43.31%
EBIT Next 5Y31.19%
FCF growth 1Y151.72%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y219.23%
OCF growth 3YN/A
OCF growth 5YN/A
VSE CORP / VSEC FAQ
Can you provide the ChartMill fundamental rating for VSE CORP?
ChartMill assigns a fundamental rating of 4 / 10 to VSEC.
What is the valuation status of VSE CORP (VSEC) stock?
ChartMill assigns a valuation rating of 2 / 10 to VSE CORP (VSEC). This can be considered as Overvalued.
How profitable is VSE CORP (VSEC) stock?
VSE CORP (VSEC) has a profitability rating of 3 / 10.
Can you provide the PE and PB ratios for VSEC stock?
The Price/Earnings (PE) ratio for VSE CORP (VSEC) is 48.3 and the Price/Book (PB) ratio is 4.18.
Can you provide the financial health for VSEC stock?
The financial health rating of VSE CORP (VSEC) is 5 / 10.