Loading...
Back to narrative

VNT: Defence Clothing Contract Wins Will Support Margins And Future Stability

VNT: Recent Major Defence Contracts And Buybacks Will Shape Outlook

VNT logo
VNT
AnalystConsensusTarget
Not Invested
Published 24 Feb 2025

Update shared on 14 Dec 2025

Previous
n/a
n/a
AnalystConsensusTarget's Fair Value
n/a
Loading
1Y
72.2%
7D
-1.5%

Analysts have modestly raised their price target on Ventia Services Group to A$5.63 from A$5.63, reflecting slightly improved margin expectations and a marginally lower discount rate, despite largely unchanged growth assumptions.

What's in the News

  • Won a new Australian Defence Force Defence Clothing Services contract valued at approximately $935 million, commencing May 2026 with an initial seven year term and options to extend for up to a further 13 years (Client Announcements)
  • The new Defence Clothing Services contract aims to deliver more efficient and effective clothing capability, as well as a more contemporary customer experience for Defence personnel (Client Announcements)
  • The existing National Clothing Stores Services contract has been extended to ensure continuity of service during the transition to the new Defence Clothing Services contract (Client Announcements)
  • Ventia will act as the single industry partner accountable to Defence, coordinating specialist Australian organizations across clothing design and supply, warehousing, distribution, and clothing store services (Client Announcements)

Valuation Changes

  • Consensus Analyst Price Target: unchanged at A$5.63 per share, indicating no material revision to fair value.
  • Discount Rate: unchanged at 8.42 percent, indicating no change in the perceived risk profile.
  • Revenue Growth: unchanged at 5.49 percent, implying stable top line expectations.
  • Net Profit Margin: unchanged at 4.23 percent, indicating no change in expected profitability.
  • Future P/E: fallen marginally from 18.52x to 18.51x, suggesting a very small adjustment to valuation multiples.

Have other thoughts on Ventia Services Group?

Create your own narrative on this stock, and estimate its Fair Value using our Valuator tool.

Create Narrative

Disclaimer

AnalystConsensusTarget is a tool utilizing a Large Language Model (LLM) that ingests data on consensus price targets, forecasted revenue and earnings figures, as well as the transcripts of earnings calls to produce qualitative analysis. The narratives produced by AnalystConsensusTarget are general in nature and are based solely on analyst data and publicly-available material published by the respective companies. These scenarios are not indicative of the company's future performance and are exploratory in nature. Simply Wall St has no position in the company(s) mentioned. Simply Wall St may provide the securities issuer or related entities with website advertising services for a fee, on an arm's length basis. These relationships have no impact on the way we conduct our business, the content we host, or how our content is served to users. The price targets and estimates used are consensus data, and do not constitute a recommendation to buy or sell any stock, and they do not take account of your objectives, or your financial situation. Note that AnalystConsensusTarget's analysis may not factor in the latest price-sensitive company announcements or qualitative material.