Market Cap
US$287.1m
Last Updated
2020/06/01 11:12 UTC
Data Sources
Company Financials +
Executive Summary
VSE Corporation operates as a diversified products and services aftermarket company in the United States.
Rewards
Risk Analysis
Snowflake Analysis
Adequate balance sheet and fair value.
Similar Companies
Share Price & News
How has VSE's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: VSEC's share price has been volatile over the past 3 months.
Market Performance
7 Day Return
11.7%
VSEC
4.9%
US Commercial Services
3.0%
US Market
1 Year Return
1.4%
VSEC
-2.5%
US Commercial Services
9.9%
US Market
Return vs Industry: VSEC exceeded the US Commercial Services industry which returned -1.9% over the past year.
Return vs Market: VSEC underperformed the US Market which returned 9.5% over the past year.
Shareholder returns
| VSEC | Industry | Market | |
|---|---|---|---|
| 7 Day | 11.7% | 4.9% | 3.0% |
| 30 Day | 30.0% | 10.1% | 8.2% |
| 90 Day | -2.4% | -6.3% | 0.4% |
| 1 Year | 2.8%1.4% | 1.0%-2.5% | 12.4%9.9% |
| 3 Year | -37.9%-39.6% | 34.2%25.6% | 31.0%22.3% |
| 5 Year | -7.3%-11.1% | 75.8%57.7% | 58.1%40.3% |
Price Volatility Vs. Market
How volatile is VSE's share price compared to the market and industry in the last 5 years?
Simply Wall St News
3 days ago | Simply Wall St
You Have To Love VSE Corporation's (NASDAQ:VSEC) Dividend1 week ago | Simply Wall St
A Rising Share Price Has Us Looking Closely At VSE Corporation's (NASDAQ:VSEC) P/E Ratio1 month ago | Simply Wall St
VSE Corporation (NASDAQ:VSEC) Passed Our Checks, And It's About To Pay A US$0.09 DividendValuation
Is VSE undervalued compared to its fair value and its price relative to the market?
8.46x
Price to Earnings (PE) ratio
Share Price vs. Fair Value
Below Fair Value: VSEC ($26) is trading above our estimate of fair value ($6.27)
Significantly Below Fair Value: VSEC is trading above our estimate of fair value.
Price To Earnings Ratio
PE vs Industry: VSEC is good value based on its PE Ratio (8.5x) compared to the Commercial Services industry average (19.2x).
PE vs Market: VSEC is good value based on its PE Ratio (8.5x) compared to the US market (15.8x).
Price to Earnings Growth Ratio
PEG Ratio: Insufficient data to calculate VSEC's PEG Ratio to determine if it is good value.
Price to Book Ratio
PB vs Industry: VSEC is good value based on its PB Ratio (0.8x) compared to the US Commercial Services industry average (1.4x).
Next Steps
Future Growth
How is VSE forecast to perform in the next 1 to 3 years based on estimates from 1 analyst?
-8.9%
Forecasted annual revenue growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: Insufficient data to determine if VSEC's forecast earnings growth is above the savings rate (2.2%).
Earnings vs Market: Insufficient data to determine if VSEC's earnings are forecast to grow faster than the US market
High Growth Earnings: Insufficient data to determine if earnings are expected to grow significantly over the next 3 years.
Revenue vs Market: VSEC's revenue is expected to decline over the next 3 years (-8.9% per year).
High Growth Revenue: VSEC's revenue is forecast to decline over the next 3 years (-8.9% per year).
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: Insufficient data to determine if VSEC's Return on Equity is forecast to be high in 3 years time
Next Steps
Past Performance
How has VSE performed over the past 5 years?
12.2%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: VSEC has high quality earnings.
Growing Profit Margin: VSEC's current net profit margins (4.4%) are lower than last year (5%).
Past Earnings Growth Analysis
Earnings Trend: VSEC's earnings have grown by 12.2% per year over the past 5 years.
Accelerating Growth: VSEC's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: VSEC had negative earnings growth (-2.6%) over the past year, making it difficult to compare to the Commercial Services industry average (5.8%).
Return on Equity
High ROE: VSEC's Return on Equity (9.2%) is considered low.
Next Steps
Financial Health
How is VSE's financial position?
Financial Position Analysis
Short Term Liabilities: VSEC's short term assets ($342.6M) exceed its short term liabilities ($130.2M).
Long Term Liabilities: VSEC's short term assets ($342.6M) exceed its long term liabilities ($314.8M).
Debt to Equity History and Analysis
Debt Level: VSEC's debt to equity ratio (74.4%) is considered high.
Reducing Debt: VSEC's debt to equity ratio has reduced from 115.5% to 74.4% over the past 5 years.
Debt Coverage: VSEC's debt is not well covered by operating cash flow (8.7%).
Interest Coverage: VSEC's interest payments on its debt are well covered by EBIT (4.6x coverage).
Balance Sheet
Next Steps
Dividend
What is VSE's current dividend yield, its reliability and sustainability?
1.38%
Current Dividend Yield
Upcoming Dividend Payment
Dividend Yield vs Market
Notable Dividend: VSEC's dividend (1.38%) isn’t notable compared to the bottom 25% of dividend payers in the US market (1.69%).
High Dividend: VSEC's dividend (1.38%) is low compared to the top 25% of dividend payers in the US market (4.52%).
Stability and Growth of Payments
Stable Dividend: VSEC's dividend payments have been volatile in the past 10 years.
Growing Dividend: VSEC's dividend payments have increased over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: With its low payout ratio (11.7%), VSEC's dividend payments are thoroughly covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: Insufficient data to determine if a dividend will be paid in 3 years and that it will be covered by earnings.
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
5.4yrs
Average management tenure
CEO
John Cuomo (45yo)
1.17yrs
Tenure
US$1,458,633
Compensation
Mr. John A. Cuomo has been Chief Executive Officer, President and Director of VSE Corporation since April 15, 2019. . Mr. Cuomo is the Interim president of VSE Aviation, Inc since May 1, 2020. Mr. Cuomo ha ...
CEO Compensation Analysis
Compensation vs Market: John's total compensation ($USD1.46M) is about average for companies of similar size in the US market ($USD1.38M).
Compensation vs Earnings: Insufficient data to compare John's compensation with company performance.
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| CEO, President & Director | 1.17yrs | US$1.46m | 0.25% $704.3k | |
| Executive VP & CFO | 18.25yrs | US$809.14k | 0.79% $2.3m | |
| VP, General Counsel & Secretary | 11.58yrs | US$696.39k | 0.34% $967.2k | |
| President & COO of Wheeler Bros Inc | 6.92yrs | US$723.12k | 0.11% $319.5k | |
| President & COO of VSE Aviation Inc. | 5.42yrs | US$640.66k | 0.060% $172.7k | |
| Chief Information Officer | 4.83yrs | no data | no data | |
| Director of Investor Relations & Assistant Corporate Secretary | no data | no data | no data | |
| Vice President of Human Resources | 10.42yrs | no data | no data | |
| Chief Human Resources Officer | 0.42yr | no data | no data | |
| President of Federal & Defense Services | 0.75yr | no data | 0.018% $50.9k |
5.4yrs
Average Tenure
51yo
Average Age
Experienced Management: VSEC's management team is seasoned and experienced (5.4 years average tenure).
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| CEO, President & Director | 1.17yrs | US$1.46m | 0.25% $704.3k | |
| Independent Director | 29.42yrs | US$160.27k | 1.18% $3.4m | |
| Independent Director | 16.67yrs | US$175.27k | 0.27% $764.4k | |
| Director | 28.42yrs | US$208.18k | 16.69% $47.9m | |
| Non-Executive Chairman | 0.92yr | US$197.35k | 0.30% $871.9k | |
| Independent Director | 6.42yrs | US$160.27k | 0.14% $400.4k | |
| Independent Director | 8.42yrs | US$167.77k | 0.18% $520.0k | |
| Independent Director | 2.5yrs | US$160.27k | 0.074% $213.2k |
7.4yrs
Average Tenure
64.5yo
Average Age
Experienced Board: VSEC's board of directors are considered experienced (7.4 years average tenure).
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: VSEC insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
Ownership Breakdown
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Top Shareholders
Company Information
VSE Corporation's company bio, employee growth, exchange listings and data sources
Key Information
- Name: VSE Corporation
- Ticker: VSEC
- Exchange: NasdaqGS
- Founded: 1959
- Industry: Diversified Support Services
- Sector: Commercial Services
- Market Cap: US$287.124m
- Shares outstanding: 11.04m
- Website: https://www.vsecorp.com
Number of Employees
Location
- VSE Corporation
- 6348 Walker Lane
- Alexandria
- Virginia
- 22310
- United States
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| VSEC | NasdaqGS (Nasdaq Global Select) | Yes | Common Stock | US | USD | Jan 1980 |
Biography
VSE Corporation operates as a diversified products and services aftermarket company in the United States. The company operates in three segments: Supply Chain Management Group, Aviation Group, and Federal Services Group. The Supply Chain Management Group segment offers sourcing, acquisition, scheduling, transportation, shipping, logistics, data management, and other services to assist its clients with supply chain management. It sells vehicle parts and mission critical supply chain services to support the United States Postal Service (USPS) vehicle fleet and commercial truck fleets; and fleet management and sustainment solutions, and managed inventory services to the Department of Defense (DoD). The Aviation Group segment provides maintenance, repair, and overhaul (MRO) services; and parts supply and distribution for commercial and general aviation jet aircraft engines and engine accessories. It serves commercial airlines, regional airlines, cargo transporters, MRO integrators and providers, aviation manufacturers, corporate and private aircraft owners, and agricultural clients. The Federal Services Group segment offers foreign military sales services and refurbishment services to extend and enhance the life of existing vehicles and equipment; fleet-wide ship and aircraft support; aircraft sustainment and maintenance; and other technical, management, engineering, logistics, maintenance, configuration management, prototyping, technology, and field support services to the U.S. Navy and Marine Corps, U.S. Army and Army Reserve, U.S. Air Force, and other customers. This segment also provides energy consulting services, and IT solutions and services for various DoD and federal civilian agencies. VSE Corporation was founded in 1959 and is headquartered in Alexandria, Virginia.
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2020/06/01 11:12 |
| End of Day Share Price | 2020/05/29 00:00 |
| Earnings | 2020/03/31 |
| Annual Earnings | 2019/12/31 |
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.