VESTIS CORP (VSTS) Stock Fundamental Analysis
NYSE:VSTS - New York Stock Exchange, Inc. - US29430C1027 - Common Stock - Currency: USD
Overall VSTS gets a fundamental rating of 4 out of 10. We evaluated VSTS against 83 industry peers in the Commercial Services & Supplies industry. VSTS has only an average score on both its financial health and profitability. VSTS has a bad growth rate and is valued cheaply.
1. Profitability
1.1 Basic Checks
VSTS had positive earnings in the past year.
In the past year VSTS had a positive cash flow from operations.
Each year in the past 5 years VSTS has been profitable.
Each year in the past 5 years VSTS had a positive operating cash flow.
1.2 Ratios
VSTS has a Return On Assets of 0.33%. This is comparable to the rest of the industry: VSTS outperforms 42.17% of its industry peers.
VSTS's Return On Equity of 1.06% is in line compared to the rest of the industry. VSTS outperforms 46.99% of its industry peers.
VSTS has a Return On Invested Capital (4.42%) which is comparable to the rest of the industry.
VSTS had an Average Return On Invested Capital over the past 3 years of 5.26%. This is significantly below the industry average of 10.74%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.33% | ||
| ROE | 1.06% | ||
| ROIC | 4.42% |
ROA(3y)4%
ROA(5y)N/A
ROE(3y)10.89%
ROE(5y)N/A
ROIC(3y)5.26%
ROIC(5y)N/A
1.3 Margins
VSTS's Profit Margin of 0.34% is in line compared to the rest of the industry. VSTS outperforms 43.37% of its industry peers.
VSTS's Profit Margin has declined in the last couple of years.
VSTS has a Operating Margin (5.41%) which is comparable to the rest of the industry.
In the last couple of years the Operating Margin of VSTS has grown nicely.
VSTS has a Gross Margin (28.46%) which is comparable to the rest of the industry.
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 | 5.41% | ||
| PM (TTM) | 0.34% | ||
| GM | 28.46% |
OM growth 3Y14.13%
OM growth 5YN/A
PM growth 3Y-37.25%
PM growth 5YN/A
GM growth 3Y1.12%
GM growth 5YN/A
2. Health
2.1 Basic Checks
VSTS has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
VSTS has about the same amout of shares outstanding than it did 1 year ago.
VSTS has a better debt/assets ratio than last year.
2.2 Solvency
Based on the Altman-Z score of 1.59, we must say that VSTS is in the distress zone and has some risk of bankruptcy.
With a Altman-Z score value of 1.59, VSTS is not doing good in the industry: 62.65% of the companies in the same industry are doing better.
The Debt to FCF ratio of VSTS is 3.68, which is a good value as it means it would take VSTS, 3.68 years of fcf income to pay off all of its debts.
Looking at the Debt to FCF ratio, with a value of 3.68, VSTS is in the better half of the industry, outperforming 71.08% of the companies in the same industry.
VSTS has a Debt/Equity ratio of 1.39. This is a high value indicating a heavy dependency on external financing.
The Debt to Equity ratio of VSTS (1.39) is worse than 74.70% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.39 | ||
| Debt/FCF | 3.68 | ||
| Altman-Z | 1.59 |
ROIC/WACC0.64
WACC6.89%
2.3 Liquidity
A Current Ratio of 1.80 indicates that VSTS should not have too much problems paying its short term obligations.
The Current ratio of VSTS (1.80) is better than 66.27% of its industry peers.
A Quick Ratio of 1.43 indicates that VSTS should not have too much problems paying its short term obligations.
Looking at the Quick ratio, with a value of 1.43, VSTS is in line with its industry, outperforming 54.22% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.8 | ||
| Quick Ratio | 1.43 |
3. Growth
3.1 Past
The earnings per share for VSTS have decreased strongly by -95.77% in the last year.
Measured over the past years, VSTS shows a very negative growth in Earnings Per Share. The EPS has been decreasing by -34.65% on average per year.
Looking at the last year, VSTS shows a very negative growth in Revenue. The Revenue has decreased by -21.78% in the last year.
Measured over the past years, VSTS shows a small growth in Revenue. The Revenue has been growing by 4.53% on average per year.
EPS 1Y (TTM)-95.77%
EPS 3Y-34.65%
EPS 5YN/A
EPS Q2Q%-36.36%
Revenue 1Y (TTM)-21.78%
Revenue growth 3Y4.53%
Revenue growth 5YN/A
Sales Q2Q%-4.76%
3.2 Future
Based on estimates for the next years, VSTS will show a very strong growth in Earnings Per Share. The EPS will grow by 24.06% on average per year.
Based on estimates for the next years, VSTS will show a small growth in Revenue. The Revenue will grow by 3.32% on average per year.
EPS Next Y14.52%
EPS Next 2Y19.65%
EPS Next 3Y22.44%
EPS Next 5Y24.06%
Revenue Next Year0.35%
Revenue Next 2Y1.45%
Revenue Next 3Y2.45%
Revenue Next 5Y3.32%
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 decreasing.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 15.61, which indicates a correct valuation of VSTS.
74.70% of the companies in the same industry are more expensive than VSTS, based on the Price/Earnings ratio.
When comparing the Price/Earnings ratio of VSTS to the average of the S&P500 Index (28.33), we can say VSTS is valued slightly cheaper.
Based on the Price/Forward Earnings ratio of 9.50, the valuation of VSTS can be described as reasonable.
Based on the Price/Forward Earnings ratio, VSTS is valued cheaper than 89.16% of the companies in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 21.37, VSTS is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.61 | ||
| Fwd PE | 9.5 |
4.2 Price Multiples
74.70% of the companies in the same industry are more expensive than VSTS, based on the Enterprise Value to EBITDA ratio.
Based on the Price/Free Cash Flow ratio, VSTS is valued cheaply inside the industry as 98.80% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 3.2 | ||
| EV/EBITDA | 7.93 |
4.3 Compensation for Growth
VSTS's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
VSTS's earnings are expected to grow with 22.44% in the coming years. This may justify a more expensive valuation.
PEG (NY)1.07
PEG (5Y)N/A
EPS Next 2Y19.65%
EPS Next 3Y22.44%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 1.83%, VSTS has a reasonable but not impressive dividend return.
The stock price of VSTS dropped by -50.12% in the last 3 months. With lower prices the dividend yield is higher, but it may be a sign investors do not trust the long term dividend.
VSTS's Dividend Yield is rather good when compared to the industry average which is at 2.57. VSTS pays more dividend than 81.93% of the companies in the same industry.
VSTS's Dividend Yield is slightly below the S&P500 average, which is at 2.51.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.83% |
5.2 History
VSTS 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
VSTS pays out 155.51% of its income as dividend. This is not a sustainable payout ratio.
DP155.51%
EPS Next 2Y19.65%
EPS Next 3Y22.44%
NYSE:VSTS (4/23/2025, 9:36:09 AM)
8.43
+0.4 (+4.98%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCommercial & Professional Services
GICS IndustryCommercial Services & Supplies
Earnings (Last)
Earnings (Next)
Inst Owners104.14%
Inst Owner Change0.15%
Ins Owners0.59%
Ins Owner Change12.58%
Market Cap1.11B
Analysts75
Price Target15.63 (85.41%)
Short Float %5.21%
Short Ratio4.62
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.83% |
Yearly Dividend0.11
Dividend Growth(5Y)N/A
DP155.51%
Div Incr Years1
Div Non Decr Years1
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-4.36%
Min EPS beat(2)-19.15%
Max EPS beat(2)10.43%
EPS beat(4)2
Avg EPS beat(4)-1.2%
Min EPS beat(4)-41.99%
Max EPS beat(4)45.92%
EPS beat(8)N/A
Avg EPS beat(8)N/A
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)0
Avg Revenue beat(2)-3.03%
Min Revenue beat(2)-3.37%
Max Revenue beat(2)-2.69%
Revenue beat(4)0
Avg Revenue beat(4)-2.76%
Min Revenue beat(4)-4.31%
Max Revenue beat(4)-0.66%
Revenue beat(8)N/A
Avg Revenue beat(8)N/A
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)-6.13%
PT rev (3m)-5.92%
EPS NQ rev (1m)-2.92%
EPS NQ rev (3m)-4.31%
EPS NY rev (1m)-0.04%
EPS NY rev (3m)5.03%
Revenue NQ rev (1m)-0.13%
Revenue NQ rev (3m)-0.67%
Revenue NY rev (1m)-0.14%
Revenue NY rev (3m)-0.14%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.61 | ||
| Fwd PE | 9.5 | ||
| P/S | 0.4 | ||
| P/FCF | 3.2 | ||
| P/OCF | 2.62 | ||
| P/B | 1.23 | ||
| P/tB | N/A | ||
| EV/EBITDA | 7.93 |
EPS(TTM)0.54
EY6.41%
EPS(NY)0.89
Fwd EY10.53%
FCF(TTM)2.64
FCFY31.28%
OCF(TTM)3.22
OCFY38.18%
SpS21.04
BVpS6.83
TBVpS-2.04
PEG (NY)1.07
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.33% | ||
| ROE | 1.06% | ||
| ROCE | 6.12% | ||
| ROIC | 4.42% | ||
| ROICexc | 4.46% | ||
| ROICexgc | 8.58% | ||
| OM | 5.41% | ||
| PM (TTM) | 0.34% | ||
| GM | 28.46% | ||
| FCFM | 12.53% |
ROA(3y)4%
ROA(5y)N/A
ROE(3y)10.89%
ROE(5y)N/A
ROIC(3y)5.26%
ROIC(5y)N/A
ROICexc(3y)5.32%
ROICexc(5y)N/A
ROICexgc(3y)9.81%
ROICexgc(5y)N/A
ROCE(3y)7.28%
ROCE(5y)N/A
ROICexcg growth 3Y24.51%
ROICexcg growth 5YN/A
ROICexc growth 3Y23.06%
ROICexc growth 5YN/A
OM growth 3Y14.13%
OM growth 5YN/A
PM growth 3Y-37.25%
PM growth 5YN/A
GM growth 3Y1.12%
GM growth 5YN/A
F-Score4
Asset Turnover0.96
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.39 | ||
| Debt/FCF | 3.68 | ||
| Debt/EBITDA | 4.27 | ||
| Cap/Depr | 53.87% | ||
| Cap/Sales | 2.77% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 145.12% | ||
| Profit Quality | 3642.77% | ||
| Current Ratio | 1.8 | ||
| Quick Ratio | 1.43 | ||
| Altman-Z | 1.59 |
F-Score4
WACC6.89%
ROIC/WACC0.64
Cap/Depr(3y)56.65%
Cap/Depr(5y)55.98%
Cap/Sales(3y)2.8%
Cap/Sales(5y)2.87%
Profit Quality(3y)689.32%
Profit Quality(5y)486.14%
High Growth Momentum
Growth
EPS 1Y (TTM)-95.77%
EPS 3Y-34.65%
EPS 5YN/A
EPS Q2Q%-36.36%
EPS Next Y14.52%
EPS Next 2Y19.65%
EPS Next 3Y22.44%
EPS Next 5Y24.06%
Revenue 1Y (TTM)-21.78%
Revenue growth 3Y4.53%
Revenue growth 5YN/A
Sales Q2Q%-4.76%
Revenue Next Year0.35%
Revenue Next 2Y1.45%
Revenue Next 3Y2.45%
Revenue Next 5Y3.32%
EBIT growth 1Y-45.4%
EBIT growth 3Y19.3%
EBIT growth 5YN/A
EBIT Next Year71.87%
EBIT Next 3Y25.93%
EBIT Next 5Y23.39%
FCF growth 1Y119.36%
FCF growth 3Y36.58%
FCF growth 5YN/A
OCF growth 1Y83.59%
OCF growth 3Y24.53%
OCF growth 5YN/A