VESTIS CORP (VSTS) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:VSTS - US29430C1027 - Common Stock
6.71 USD
+0.16 (+2.44%)
6.69 USD
-0.02 (-0.3%)
Taking everything into account, VSTS scores 3 out of 10 in our fundamental rating. VSTS was compared to 81 industry peers in the Commercial Services & Supplies industry. VSTS may be in some trouble as it scores bad on both profitability and health. VSTS is valued correctly, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
VSTS had positive earnings in the past year.
VSTS had a positive operating cash flow in the past year.
Of the past 5 years VSTS 4 years were profitable.
In the past 5 years VSTS always reported a positive cash flow from operatings.
1.2 Ratios
With a Return On Assets value of -1.38%, VSTS perfoms like the industry average, outperforming 41.98% of the companies in the same industry.
Looking at the Return On Equity, with a value of -4.65%, VSTS is in line with its industry, outperforming 41.98% of the companies in the same industry.
VSTS has a Return On Invested Capital of 2.18%. This is comparable to the rest of the industry: VSTS outperforms 45.68% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for VSTS is significantly below the industry average of 10.33%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -1.38% | ||
| ROE | -4.65% | ||
| ROIC | 2.18% |
ROA(3y)2.03%
ROA(5y)2.6%
ROE(3y)7.32%
ROE(5y)6.24%
ROIC(3y)3.96%
ROIC(5y)3.76%
1.3 Margins
VSTS has a Operating Margin (3.04%) which is in line with its industry peers.
In the last couple of years the Operating Margin of VSTS has declined.
VSTS's Gross Margin of 26.50% is in line compared to the rest of the industry. VSTS outperforms 44.44% of its industry peers.
In the last couple of years the Gross Margin of VSTS has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 3.04% | ||
| PM (TTM) | N/A | ||
| GM | 26.5% |
OM growth 3Y-24.82%
OM growth 5Y-12.25%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-0.91%
GM growth 5Y-0.73%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), VSTS is destroying value.
The number of shares outstanding for VSTS has been increased compared to 1 year ago.
Compared to 1 year ago, VSTS has a worse debt to assets ratio.
2.2 Solvency
VSTS has an Altman-Z score of 1.45. This is a bad value and indicates that VSTS is not financially healthy and even has some risk of bankruptcy.
VSTS has a worse Altman-Z score (1.45) than 66.67% of its industry peers.
VSTS has a debt to FCF ratio of 229.06. This is a negative value and a sign of low solvency as VSTS would need 229.06 years to pay back of all of its debts.
VSTS's Debt to FCF ratio of 229.06 is in line compared to the rest of the industry. VSTS outperforms 45.68% of its industry peers.
A Debt/Equity ratio of 1.49 is on the high side and indicates that VSTS has dependencies on debt financing.
VSTS has a worse Debt to Equity ratio (1.49) than 75.31% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.49 | ||
| Debt/FCF | 229.06 | ||
| Altman-Z | 1.45 |
ROIC/WACC0.29
WACC7.6%
2.3 Liquidity
A Current Ratio of 2.08 indicates that VSTS has no problem at all paying its short term obligations.
VSTS has a better Current ratio (2.08) than 72.84% of its industry peers.
VSTS has a Quick Ratio of 1.64. This is a normal value and indicates that VSTS is financially healthy and should not expect problems in meeting its short term obligations.
VSTS has a better Quick ratio (1.64) than 67.90% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.08 | ||
| Quick Ratio | 1.64 |
3. Growth
3.1 Past
VSTS shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -69.35%.
The Revenue has decreased by -2.53% in the past year.
VSTS shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 1.31% yearly.
EPS 1Y (TTM)-69.35%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-72.73%
Revenue 1Y (TTM)-2.53%
Revenue growth 3Y0.59%
Revenue growth 5Y1.31%
Sales Q2Q%4.05%
3.2 Future
The Earnings Per Share is expected to grow by 57.30% on average over the next years. This is a very strong growth
Based on estimates for the next years, VSTS will show a small growth in Revenue. The Revenue will grow by 1.18% on average per year.
EPS Next Y76.53%
EPS Next 2Y61.75%
EPS Next 3Y57.3%
EPS Next 5YN/A
Revenue Next Year-2.17%
Revenue Next 2Y-0.24%
Revenue Next 3Y1.18%
Revenue Next 5YN/A
3.3 Evolution
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 35.32, which means the current valuation is very expensive for VSTS.
VSTS's Price/Earnings is on the same level as the industry average.
VSTS's Price/Earnings ratio indicates a valuation a bit more expensive than the S&P500 average which is at 26.84.
With a Price/Forward Earnings ratio of 20.01, VSTS is valued on the expensive side.
Compared to the rest of the industry, the Price/Forward Earnings ratio of VSTS indicates a somewhat cheap valuation: VSTS is cheaper than 72.84% of the companies listed in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 23.40, VSTS is valued at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 35.32 | ||
| Fwd PE | 20.01 |
4.2 Price Multiples
VSTS's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. VSTS is cheaper than 67.90% of the companies in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of VSTS is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 153.38 | ||
| EV/EBITDA | 9.53 |
4.3 Compensation for Growth
VSTS's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
A more expensive valuation may be justified as VSTS's earnings are expected to grow with 57.30% in the coming years.
PEG (NY)0.46
PEG (5Y)N/A
EPS Next 2Y61.75%
EPS Next 3Y57.3%
5. Dividend
5.1 Amount
VSTS has a Yearly Dividend Yield of 2.08%. Purely for dividend investing, there may be better candidates out there.
VSTS's Dividend Yield is rather good when compared to the industry average which is at 0.89. VSTS pays more dividend than 86.42% of the companies in the same industry.
Compared to an average S&P500 Dividend Yield of 2.00, VSTS has a dividend comparable with the average S&P500 company.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.08% |
5.2 History
VSTS has paid a dividend for less than 5 years, so there is no long track record yet.
Dividend Growth(5Y)N/A
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
The earnings of VSTS are negative and hence is the payout ratio. VSTS will probably not be able to sustain this dividend level.
DP-34.36%
EPS Next 2Y61.75%
EPS Next 3Y57.3%
6.71
+0.16 (+2.44%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCommercial & Professional Services
GICS IndustryCommercial Services & Supplies
Earnings (Last)
Earnings (Next)
Inst Owners102.55%
Inst Owner Change-4.17%
Ins Owners1.49%
Ins Owner Change32.66%
Market Cap884.85M
Revenue(TTM)2.73B
Net Income(TTM)-40.22M
Analysts52.31
Price Target6.32 (-5.81%)
Short Float %12.13%
Short Ratio6.23
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.08% |
Yearly Dividend0.11
Dividend Growth(5Y)N/A
DP-34.36%
Div Incr Years1
Div Non Decr Years1
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-24.18%
Min EPS beat(2)-48.25%
Max EPS beat(2)-0.12%
EPS beat(4)1
Avg EPS beat(4)-43.07%
Min EPS beat(4)-134.35%
Max EPS beat(4)10.43%
EPS beat(8)2
Avg EPS beat(8)-23.49%
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)0.46%
Min Revenue beat(2)-1.99%
Max Revenue beat(2)2.91%
Revenue beat(4)1
Avg Revenue beat(4)-1.81%
Min Revenue beat(4)-5.48%
Max Revenue beat(4)2.91%
Revenue beat(8)1
Avg Revenue beat(8)-2.31%
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)9.09%
PT rev (3m)7.21%
EPS NQ rev (1m)-9.54%
EPS NQ rev (3m)-9.54%
EPS NY rev (1m)9.5%
EPS NY rev (3m)13.78%
Revenue NQ rev (1m)-1.02%
Revenue NQ rev (3m)-1.02%
Revenue NY rev (1m)-2.45%
Revenue NY rev (3m)-2.2%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 35.32 | ||
| Fwd PE | 20.01 | ||
| P/S | 0.32 | ||
| P/FCF | 153.38 | ||
| P/OCF | 13.78 | ||
| P/B | 1.02 | ||
| P/tB | N/A | ||
| EV/EBITDA | 9.53 |
EPS(TTM)0.19
EY2.83%
EPS(NY)0.34
Fwd EY5%
FCF(TTM)0.04
FCFY0.65%
OCF(TTM)0.49
OCFY7.26%
SpS20.74
BVpS6.56
TBVpS-2.16
PEG (NY)0.46
PEG (5Y)N/A
Graham Number5.3
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -1.38% | ||
| ROE | -4.65% | ||
| ROCE | 3.33% | ||
| ROIC | 2.18% | ||
| ROICexc | 2.21% | ||
| ROICexgc | 4.13% | ||
| OM | 3.04% | ||
| PM (TTM) | N/A | ||
| GM | 26.5% | ||
| FCFM | 0.21% |
ROA(3y)2.03%
ROA(5y)2.6%
ROE(3y)7.32%
ROE(5y)6.24%
ROIC(3y)3.96%
ROIC(5y)3.76%
ROICexc(3y)4.01%
ROICexc(5y)3.8%
ROICexgc(3y)7.43%
ROICexgc(5y)7.03%
ROCE(3y)6.04%
ROCE(5y)5.74%
ROICexgc growth 3Y-21.4%
ROICexgc growth 5YN/A
ROICexc growth 3Y-22.01%
ROICexc growth 5YN/A
OM growth 3Y-24.82%
OM growth 5Y-12.25%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-0.91%
GM growth 5Y-0.73%
F-Score3
Asset Turnover0.94
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.49 | ||
| Debt/FCF | 229.06 | ||
| Debt/EBITDA | 5.69 | ||
| Cap/Depr | 40.88% | ||
| Cap/Sales | 2.14% | ||
| Interest Coverage | 0.89 | ||
| Cash Conversion | 28.4% | ||
| Profit Quality | N/A | ||
| Current Ratio | 2.08 | ||
| Quick Ratio | 1.64 | ||
| Altman-Z | 1.45 |
F-Score3
WACC7.6%
ROIC/WACC0.29
Cap/Depr(3y)51.32%
Cap/Depr(5y)55.68%
Cap/Sales(3y)2.57%
Cap/Sales(5y)2.84%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-69.35%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-72.73%
EPS Next Y76.53%
EPS Next 2Y61.75%
EPS Next 3Y57.3%
EPS Next 5YN/A
Revenue 1Y (TTM)-2.53%
Revenue growth 3Y0.59%
Revenue growth 5Y1.31%
Sales Q2Q%4.05%
Revenue Next Year-2.17%
Revenue Next 2Y-0.24%
Revenue Next 3Y1.18%
Revenue Next 5YN/A
EBIT growth 1Y-49.05%
EBIT growth 3Y-24.37%
EBIT growth 5Y-11.1%
EBIT Next Year131.76%
EBIT Next 3Y40.76%
EBIT Next 5YN/A
FCF growth 1Y-98.53%
FCF growth 3Y-66.71%
FCF growth 5Y-49.36%
OCF growth 1Y-86.39%
OCF growth 3Y-34.9%
OCF growth 5Y-22.61%
VESTIS CORP / VSTS FAQ
What is the fundamental rating for VSTS stock?
ChartMill assigns a fundamental rating of 3 / 10 to VSTS.
Can you provide the valuation status for VESTIS CORP?
ChartMill assigns a valuation rating of 4 / 10 to VESTIS CORP (VSTS). This can be considered as Fairly Valued.
How profitable is VESTIS CORP (VSTS) stock?
VESTIS CORP (VSTS) has a profitability rating of 3 / 10.
Can you provide the PE and PB ratios for VSTS stock?
The Price/Earnings (PE) ratio for VESTIS CORP (VSTS) is 35.32 and the Price/Book (PB) ratio is 1.02.
Is the dividend of VESTIS CORP sustainable?
The dividend rating of VESTIS CORP (VSTS) is 3 / 10 and the dividend payout ratio is -34.36%.