VESTIS CORP (VSTS) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:VSTS - US29430C1027 - Common Stock
6.87 USD
-0.02 (-0.29%)
6.87 USD
0 (0%)
Taking everything into account, VSTS scores 3 out of 10 in our fundamental rating. VSTS was compared to 82 industry peers in the Commercial Services & Supplies industry. Both the profitability and financial health of VSTS have multiple concerns. 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.
VSTS had positive earnings in 4 of the past 5 years.
Each year in the past 5 years VSTS had a positive operating cash flow.
1.2 Ratios
VSTS has a Return On Assets (-1.38%) which is comparable to the rest of the industry.
VSTS has a Return On Equity (-4.65%) which is in line with its industry peers.
VSTS's Return On Invested Capital of 2.18% is in line compared to the rest of the industry. VSTS outperforms 43.90% of its industry peers.
VSTS had an Average Return On Invested Capital over the past 3 years of 3.96%. This is significantly below the industry average of 10.13%.
| 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 of 3.04%. This is comparable to the rest of the industry: VSTS outperforms 46.34% of its industry peers.
VSTS's Operating Margin has declined in the last couple of years.
VSTS has a Gross Margin (26.50%) 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 | 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
VSTS has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
The number of shares outstanding for VSTS has been increased compared to 1 year ago.
VSTS has a worse debt/assets ratio than last year.
2.2 Solvency
Based on the Altman-Z score of 1.46, we must say that VSTS is in the distress zone and has some risk of bankruptcy.
With a Altman-Z score value of 1.46, VSTS is not doing good in the industry: 67.07% of the companies in the same industry are doing better.
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 has a Debt to FCF ratio of 229.06. This is comparable to the rest of the industry: VSTS outperforms 45.12% 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.
Looking at the Debt to Equity ratio, with a value of 1.49, VSTS is doing worse than 76.83% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.49 | ||
| Debt/FCF | 229.06 | ||
| Altman-Z | 1.46 |
ROIC/WACC0.28
WACC7.69%
2.3 Liquidity
VSTS has a Current Ratio of 2.08. This indicates that VSTS is financially healthy and has no problem in meeting its short term obligations.
The Current ratio of VSTS (2.08) is better than 71.95% 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.
The Quick ratio of VSTS (1.64) is better than 67.07% 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.
Measured over the past years, VSTS shows a small growth in Revenue. The Revenue has been growing by 1.31% on average per year.
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
VSTS is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 63.89% yearly.
VSTS is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 2.11% yearly.
EPS Next Y61.21%
EPS Next 2Y59.42%
EPS Next 3Y63.89%
EPS Next 5YN/A
Revenue Next Year0.29%
Revenue Next 2Y1.67%
Revenue Next 3Y2.11%
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 accelerating.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 36.16 indicates a quite expensive valuation of VSTS.
VSTS's Price/Earnings ratio is in line with the industry average.
Compared to an average S&P500 Price/Earnings ratio of 26.38, VSTS is valued a bit more expensive.
Based on the Price/Forward Earnings ratio of 22.43, the valuation of VSTS can be described as rather expensive.
65.85% of the companies in the same industry are more expensive than VSTS, based on the Price/Forward Earnings ratio.
VSTS is valuated at similar levels of the S&P average 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 | 36.16 | ||
| Fwd PE | 22.43 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, VSTS is valued a bit cheaper than 65.85% of the companies in the same industry.
VSTS's Price/Free Cash Flow is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 157.04 | ||
| EV/EBITDA | 9.73 |
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 63.89% in the coming years.
PEG (NY)0.59
PEG (5Y)N/A
EPS Next 2Y59.42%
EPS Next 3Y63.89%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 2.13%, VSTS has a reasonable but not impressive dividend return.
VSTS's Dividend Yield is rather good when compared to the industry average which is at 0.93. VSTS pays more dividend than 85.37% of the companies in the same industry.
Compared to an average S&P500 Dividend Yield of 1.87, VSTS has a dividend comparable with the average S&P500 company.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.13% |
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
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 2Y59.42%
EPS Next 3Y63.89%
6.87
-0.02 (-0.29%)
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 Change31.75%
Market Cap905.95M
Revenue(TTM)2.73B
Net Income(TTM)-40.22M
Analysts52.31
Price Target6.32 (-8.01%)
Short Float %12.13%
Short Ratio6.23
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.13% |
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)-0.24%
EPS NQ rev (3m)-0.24%
EPS NY rev (1m)0%
EPS NY rev (3m)-1.96%
Revenue NQ rev (1m)-0.56%
Revenue NQ rev (3m)-0.56%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.25%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 36.16 | ||
| Fwd PE | 22.43 | ||
| P/S | 0.33 | ||
| P/FCF | 157.04 | ||
| P/OCF | 14.1 | ||
| P/B | 1.05 | ||
| P/tB | N/A | ||
| EV/EBITDA | 9.73 |
EPS(TTM)0.19
EY2.77%
EPS(NY)0.31
Fwd EY4.46%
FCF(TTM)0.04
FCFY0.64%
OCF(TTM)0.49
OCFY7.09%
SpS20.74
BVpS6.56
TBVpS-2.16
PEG (NY)0.59
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 | 1.46 |
F-Score3
WACC7.69%
ROIC/WACC0.28
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 Y61.21%
EPS Next 2Y59.42%
EPS Next 3Y63.89%
EPS Next 5YN/A
Revenue 1Y (TTM)-2.53%
Revenue growth 3Y0.59%
Revenue growth 5Y1.31%
Sales Q2Q%4.05%
Revenue Next Year0.29%
Revenue Next 2Y1.67%
Revenue Next 3Y2.11%
Revenue Next 5YN/A
EBIT growth 1Y-49.05%
EBIT growth 3Y-24.37%
EBIT growth 5Y-11.1%
EBIT Next Year130.57%
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 36.16 and the Price/Book (PB) ratio is 1.05.
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%.