VGR Stock Overview
Vector Group Ltd., through its subsidiaries, manufactures and sells cigarettes in the United States.
Vector Group Competitors
Price History & Performance
|Historical stock prices|
|Current Share Price||US$11.92|
|52 Week High||US$17.39|
|52 Week Low||US$10.03|
|1 Month Change||-8.52%|
|3 Month Change||7.68%|
|1 Year Change||-17.39%|
|3 Year Change||39.69%|
|5 Year Change||-36.38%|
|Change since IPO||220.08%|
Recent News & Updates
Vector Group: Dividend Safety Looking Thin Without Douglas Elliman
Vector Group completed their Douglas Elliman spin-off at the end of 2021, thereby making their company tobacco-focused. Whilst tobacco is economically resilient, the loss of their Douglas Elliman operating cash flow makes the outlook for their dividend coverage worse and likely to see thin coverage at best. This spin-off also saw their cash balance decrease considerably more than their debt, thereby pushing their leverage higher. When utilizing their estimated underlying residual operating cash flow following their spin-off, it now appears that their leverage will be very high. These variables are toxic for dividend safety, which offsets the desirability of their high yield and thus I believe that maintaining my hold rating is appropriate.
|VGR||US Tobacco||US Market|
Return vs Industry: VGR exceeded the US Tobacco industry which returned -75.1% over the past year.
Return vs Market: VGR underperformed the US Market which returned -12.3% over the past year.
|VGR Average Weekly Movement||7.9%|
|Tobacco Industry Average Movement||15.2%|
|Market Average Movement||7.8%|
|10% most volatile stocks in US Market||16.8%|
|10% least volatile stocks in US Market||2.9%|
Stable Share Price: VGR is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 8% a week.
Volatility Over Time: VGR's weekly volatility (8%) has been stable over the past year.
About the Company
Vector Group Ltd., through its subsidiaries, manufactures and sells cigarettes in the United States. It operates in two segments, Tobacco and Real Estate. The company produces cigarettes in 100 combinations under the EAGLE 20’s, Pyramid, Montego, Grand Prix, Liggett Select, Eve, and USA brand names, as well as various partner and private label brands.
Vector Group Fundamentals Summary
|VGR fundamental statistics|
Is VGR overvalued?See Fair Value and valuation analysis
Earnings & Revenue
|VGR income statement (TTM)|
|Cost of Revenue||US$364.39m|
Last Reported Earnings
Mar 31, 2022
Next Earnings Date
|Earnings per share (EPS)||0.98|
|Net Profit Margin||18.81%|
How did VGR perform over the long term?See historical performance and comparison
6.7%Current Dividend Yield
Is Vector Group undervalued compared to its fair value and its price relative to the market?
Valuation Score 3/6
Below Fair Value
Significantly Below Fair Value
PE vs Industry
PE vs Market
PB vs Industry
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: VGR ($11.92) is trading below our estimate of fair value ($41.63)
Significantly Below Fair Value: VGR is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: VGR's Price-To-Earnings Ratio (12.1x) is in line with the Global Tobacco industry average.
PE vs Market: VGR is good value based on its Price-To-Earnings Ratio (12.1x) compared to the US market (15.1x).
Price to Earnings Growth Ratio
PEG Ratio: Insufficient data to calculate VGR's PEG Ratio to determine if it is good value.
Price to Book Ratio
PB vs Industry: VGR has negative assets, so we can't compare its Price-To-Book Ratio to the US Tobacco industry average.
How is Vector Group forecast to perform in the next 1 to 3 years based on estimates from 1 analyst?
Future Growth Score2/6
Future Growth Score 2/6
Earnings vs Savings Rate
Earnings vs Market
High Growth Earnings
Revenue vs Market
High Growth Revenue
Forecasted annual revenue growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: Insufficient data to determine if VGR's forecast earnings growth is above the savings rate (1.9%).
Earnings vs Market: Insufficient data to determine if VGR'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: VGR's revenue (21.6% per year) is forecast to grow faster than the US market (7.8% per year).
High Growth Revenue: VGR's revenue (21.6% per year) is forecast to grow faster than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: Insufficient data to determine if VGR's Return on Equity is forecast to be high in 3 years time
How has Vector Group performed over the past 5 years?
Past Performance Score2/6
Past Performance Score 2/6
Growing Profit Margin
Earnings vs Industry
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: VGR has high quality earnings.
Growing Profit Margin: VGR's current net profit margins (18.8%) are lower than last year (24.9%).
Past Earnings Growth Analysis
Earnings Trend: VGR's earnings have grown significantly by 26.6% per year over the past 5 years.
Accelerating Growth: VGR's earnings growth over the past year (2.1%) is below its 5-year average (26.6% per year).
Earnings vs Industry: VGR earnings growth over the past year (2.1%) underperformed the Tobacco industry 9.4%.
Return on Equity
High ROE: VGR's liabilities exceed its assets, so it is difficult to calculate its Return on Equity.
How is Vector Group's financial position?
Financial Health Score1/6
Financial Health Score 1/6
Short Term Liabilities
Long Term Liabilities
Financial Position Analysis
Short Term Liabilities: VGR has negative shareholder equity, which is a more serious situation than short term assets not covering short term liabilities.
Long Term Liabilities: VGR has negative shareholder equity, which is a more serious situation than short term assets not covering long term liabilities.
Debt to Equity History and Analysis
Debt Level: VGR has negative shareholder equity, which is a more serious situation than a high debt level.
Reducing Debt: VGR's has negative shareholder equity, so we do not need to check if its debt has reduced over time.
Debt Coverage: VGR's debt is not well covered by operating cash flow (18%).
Interest Coverage: VGR's interest payments on its debt are well covered by EBIT (3.2x coverage).
What is Vector Group current dividend yield, its reliability and sustainability?
Dividend Score 3/6
Future Dividend Coverage
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: VGR's dividend (6.71%) is higher than the bottom 25% of dividend payers in the US market (1.57%).
High Dividend: VGR's dividend (6.71%) is in the top 25% of dividend payers in the US market (4.05%)
Stability and Growth of Payments
Stable Dividend: VGR's dividend payments have been volatile in the past 10 years.
Growing Dividend: VGR's dividend payments have fallen over the past 10 years.
Earnings Payout to Shareholders
Earnings Coverage: At its current payout ratio (80.2%), VGR's payments are covered by earnings.
Cash Payout to Shareholders
Cash Flow Coverage: With its reasonable cash payout ratio (51.9%), VGR's dividend payments are covered by cash flows.
Discover strong dividend paying companies
How experienced are the management team and are they aligned to shareholders interests?
Average management tenure
Howard Lorber (72 yo)
Mr. Howard M. Lorber serves as Chairman, President and Chief Executive Officer of Douglas Elliman Inc. since December 2021. Mr. Lorber serves as Executive Chairman of its subsidiary Douglas Elliman Realty,...
CEO Compensation Analysis
Compensation vs Market: Howard's total compensation ($USD17.87M) is above average for companies of similar size in the US market ($USD5.43M).
Compensation vs Earnings: Howard's compensation has been consistent with company performance over the past year.
Experienced Management: VGR's management team is considered experienced (2.3 years average tenure).
Experienced Board: VGR's board of directors are seasoned and experienced ( 14.3 years average tenure).
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: VGR insiders have sold more shares than they have bought in the past 3 months.
Recent Insider Transactions
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Vector Group Ltd.'s employee growth, exchange listings and data sources
- Name: Vector Group Ltd.
- Ticker: VGR
- Exchange: NYSE
- Founded: 1873
- Industry: Tobacco
- Sector: Food, Beverage & Tobacco
- Implied Market Cap: US$1.847b
- Shares outstanding: 154.94m
- Website: https://www.vectorgroupltd.com
Number of Employees
- Vector Group Ltd.
- 4400 Biscayne Boulevard
- United States
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2022/05/24 00:00|
|End of Day Share Price||2022/05/24 00:00|
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.