Vectrus
Market Cap
US$653.9m
Last Updated
2020/01/25 01:24 UTC
Data Sources
Company Financials +
Executive Summary
Vectrus, Inc. provides facility and logistics, and information technology and network communication services to the U.S.
Rewards
Risk Analysis
Snowflake Analysis
Flawless balance sheet and undervalued.
Similar Companies
Share Price & News
How has Vectrus's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: VEC has not had significant price volatility in the past 3 months.
Market Performance
7 Day Return
-0.4%
VEC
0.3%
US Aerospace & Defense
-1.3%
US Market
1 Year Return
132.2%
VEC
35.0%
US Aerospace & Defense
22.0%
US Market
Return vs Industry: VEC exceeded the US Aerospace & Defense industry which returned 37.9% over the past year.
Return vs Market: VEC exceeded the US Market which returned 24.7% over the past year.
Shareholder returns
| VEC | Industry | Market | |
|---|---|---|---|
| 7 Day | -0.4% | 0.3% | -1.3% |
| 30 Day | 11.9% | 6.1% | 1.8% |
| 90 Day | 23.1% | 9.9% | 9.3% |
| 1 Year | 132.2%132.2% | 37.5%35.0% | 24.6%22.0% |
| 3 Year | 147.5%147.5% | 60.2%51.6% | 49.2%39.6% |
| 5 Year | 104.1%104.1% | 107.0%87.3% | 77.9%58.3% |
Price Volatility Vs. Market
How volatile is Vectrus's share price compared to the market and industry in the last 5 years?
Simply Wall St News
1 week ago | Simply Wall St
Here's Why Vectrus (NYSE:VEC) Can Manage Its Debt Responsibly1 month ago | Simply Wall St
Should You Worry About Vectrus, Inc.'s (NYSE:VEC) CEO Pay Cheque?1 month ago | Simply Wall St
Are Vectrus, Inc.’s (NYSE:VEC) Returns Worth Your While?Valuation
Is Vectrus undervalued compared to its fair value and its price relative to the market?
>50%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: VEC ($57.51) is trading below our estimate of fair value ($248.81)
Significantly Below Fair Value: VEC is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: VEC is good value based on its PE Ratio (19.1x) compared to the Aerospace & Defense industry average (20.7x).
PE vs Market: VEC is poor value based on its PE Ratio (18.8x) compared to the US market (18.8x).
Price to Earnings Growth Ratio
PEG Ratio: VEC is good value based on its PEG Ratio (0.8x)
Price to Book Ratio
PB vs Industry: VEC is good value based on its PB Ratio (2.7x) compared to the US Aerospace & Defense industry average (2.7x).
Next Steps
Future Growth
How is Vectrus forecast to perform in the next 1 to 3 years based on estimates from 3 analysts?
23.5%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: VEC's forecast earnings growth (23.5% per year) is above the savings rate (1.7%).
Earnings vs Market: VEC's earnings (23.5% per year) are forecast to grow faster than the US market (14.3% per year).
High Growth Earnings: earnings are expected to grow significantly over the next 3 years.
Revenue vs Market: VEC's revenue (12.7% per year) is forecast to grow faster than the US market (7.5% per year).
High Growth Revenue: VEC's revenue (12.7% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: Insufficient data to determine if VEC's Return on Equity is forecast to be high in 3 years time
Next Steps
Past Performance
How has Vectrus performed over the past 5 years?
14.3%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: VEC has high quality earnings.
Growing Profit Margin: VEC's current net profit margins (2.5%) are lower than last year (5.4%).
Past Earnings Growth Analysis
Earnings Trend: VEC's earnings have grown by 14.3% per year over the past 5 years.
Accelerating Growth: VEC's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: VEC had negative earnings growth (-48.7%) over the past year, making it difficult to compare to the Aerospace & Defense industry average (13.9%).
Return on Equity
High ROE: VEC's Return on Equity (13.8%) is considered low.
Return on Assets
Return on Capital Employed
Next Steps
Financial Health
How is Vectrus's financial position?
Financial Position Analysis
Short Term Liabilities: VEC's short term assets ($318.4M) exceed its short term liabilities ($250.7M).
Long Term Liabilities: VEC's short term assets ($318.4M) exceed its long term liabilities ($136.4M).
Debt to Equity History and Analysis
Debt Level: VEC's debt to equity ratio (29.5%) is considered satisfactory.
Reducing Debt: VEC's debt to equity ratio has reduced from 206.6% to 29.5% over the past 5 years.
Debt Coverage: VEC's debt is well covered by operating cash flow (81.7%).
Interest Coverage: VEC's interest payments on its debt are well covered by EBIT (8.3x coverage).
Balance Sheet
Inventory Level: VEC has a low level of unsold assets or inventory.
Debt Coverage by Assets: VEC's debt is covered by short term assets (assets are 4.3x debt).
Next Steps
Dividend
What is Vectrus's current dividend yield, its reliability and sustainability?
Dividend Yield vs Market
Current dividend yield vs market & industry
Notable Dividend: Unable to evaluate VEC's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.
High Dividend: Unable to evaluate VEC's dividend yield against the top 25% of dividend payers, as the company has not reported any payouts.
Stability and Growth of Payments
Stable Dividend: Insufficient data to determine if VEC's dividends per share have been stable in the past.
Growing Dividend: Insufficient data to determine if VEC's dividend payments have been increasing.
Current Payout to Shareholders
Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: No need to calculate the sustainability of VEC's dividend in 3 years as they are not forecast to pay a notable one for the US market.
Next Steps
Management
What is the CEO of Vectrus's salary, the management and board of directors tenure and is there insider trading?
2.8yrs
Average management tenure
CEO
Chuck Prow (60yo)
3.1yrs
Tenure
US$3,157,296
Compensation
Mr. Charles L. Prow, also known as Chuck, serves as a Principal of Sterling Capital Group Partners. Mr. Prow serves as the President of CPS-Professional Services. He has been the Chief Executive Officer an ...
CEO Compensation Analysis
Compensation vs Market: Chuck's total compensation ($USD3.16M) is about average for companies of similar size in the US market ($USD2.53M).
Compensation vs Earnings: Chuck's compensation has increased by more than 20% whilst company earnings have fallen more than 20% in the past year.
Management Age and Tenure
2.8yrs
Average Tenure
53yo
Average Age
Experienced Management: VEC's management team is considered experienced (2.8 years average tenure).
Board Age and Tenure
6.0yrs
Average Tenure
65yo
Average Age
Experienced Board: VEC's board of directors are considered experienced (6 years average tenure).
Insider Trading
Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
| Entity | Individual |
| Role | Member of the Board of Directors Independent Director |
| Shares | 1,000 |
| Max Price | US$41.43 |
Ownership Breakdown
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Management Team
Kevin Boyle (50yo)
Senior VP
- Tenure: 1.3yrs
Susan Lynch (57yo)
Senior VP & CFO
- Tenure: 0.4yrs
Mike Smith
Vice President of Corporate Development & Investor Relations
- Tenure: 5yrs
Bill Noon (54yo)
Corporate VP & Chief Accounting Officer
- Tenure: 3.4yrs
Chuck Prow (60yo)
President
- Tenure: 3.1yrs
- Compensation: US$3.16m
Francis Peloso (49yo)
Senior VP & Chief Human Resources Officer
- Tenure: 5.3yrs
Kevin Leonard (61yo)
Senior VP of Army & Expeditionary Programs
- Tenure: 2.8yrs
- Compensation: US$677.77k
Sue Deagle (50yo)
Senior VP & Chief Growth Officer
- Tenure: 2.7yrs
- Compensation: US$788.27k
David Hathaway (52yo)
Senior Vice President of Programs
- Tenure: 2.3yrs
- Compensation: US$887.32k
Mario Coracides
Senior Vice President of Enterprise Vectrus Operations
- Tenure: 0.5yrs
Board Members
Steve Waechter (68yo)
Independent Director
- Tenure: 6yrs
- Compensation: US$214.99k
Mary Howell (66yo)
Independent Director
- Tenure: 6yrs
- Compensation: US$209.99k
Bill Murdy (77yo)
Independent Director
- Tenure: 6yrs
- Compensation: US$199.99k
Brad Boston (65yo)
Independent Director
- Tenure: 6yrs
- Compensation: US$209.99k
Louis Giuliano (73yo)
Non-Executive Chairman
- Compensation: US$300.01k
Eric Pillmore (65yo)
Independent Director
- Tenure: 6yrs
- Compensation: US$209.99k
Phil Widman (64yo)
Independent Director
- Tenure: 6yrs
- Compensation: US$199.99k
Mel Parker (51yo)
Independent Director
- Tenure: 6yrs
- Compensation: US$199.99k
Chuck Prow (60yo)
President
- Tenure: 3.1yrs
- Compensation: US$3.16m
Company Information
Vectrus, Inc.'s company bio, employee growth, exchange listings and data sources
Key Information
- Name: Vectrus, Inc.
- Ticker: VEC
- Exchange: NYSE
- Founded: 2014
- Industry: Aerospace and Defense
- Sector: Capital Goods
- Market Cap: US$653.946m
- Shares outstanding: 11.51m
- Website: https://www.vectrus.com
Number of Employees
Location
- Vectrus, Inc.
- 2424 Garden of the Gods Road
- Colorado Springs
- Colorado
- 80919
- United States
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| VEC | NYSE (New York Stock Exchange) | Yes | Common Stock | US | USD | Sep 2014 |
| 1V1 | DB (Deutsche Boerse AG) | Yes | Common Stock | DE | EUR | Sep 2014 |
Biography
Vectrus, Inc. provides facility and logistics, and information technology and network communication services to the U.S. government worldwide. The company offers facility and logistics services, such as airfield management, ammunition management, civil engineering, communications, emergency services, life support activities, public works, security, transportation operations, warehouse management and distribution, and equipment maintenance, repair, and services for U.S. Army, Air Force, Navy, and Marines. It also provides information technology and network communication services, including sustainment of communications systems, network security, systems installation, and full life cycle management of information technology systems, system-of-systems engineering and software development, and mission support for the Department of Defense. The company was incorporated in 2014 and is headquartered in Colorado Springs, Colorado.
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2020/01/25 01:24 |
| End of Day Share Price | 2020/01/24 00:00 |
| Earnings | 2019/09/27 |
| Annual Earnings | 2018/12/31 |
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.