Fact based stock research
VSE (NasdaqGS:VSEC)

US9182841000

How to read the free ranks

For every stock, we judge its performance against its peers and rank it on a scale of 1 to 100. The higher the rank, the better the stock performs than its peers. And, we do this for six investment strategies:
Value - shows how good of a value the stock is. Green is "inexpensive"; red is "expensive".

Growth - shows a company's growth potential. Green is "high growth" expected; red is "tough times ahead".

Safety - relates to the amount of debt a company has. Green is low debt level; red is high debt level.

Combined Financial - this isn't an average of the first three ranks but rather a consolidated view across several financial indicators. Green = good; red = tread carefully.

(NEW) Sentiment - quantifies professional analyst ratings and holdings as well as market pulse. Green = positive sentiment; red = skepticism (Only available to Premium Subscribers).

(NEW) 360° View - the ultimate rating with all financial and non-financial indicators.

VSE stock research in summary

vsecorp.com

ANALYSIS: With an Obermatt Combined Rank of 98 (better than 98% compared with investment alternatives), VSE (Diversified Support Services, USA) shares have much better financial characteristics than comparable stocks. Shares of VSE are a good value (attractively priced) with a consolidated Value Rank of 74 (better than 74% of alternatives), show above-average growth (Growth Rank of 93) but are riskily financed (Safety Rank of 46), which means above-average debt burdens. ...read more

RECOMMENDATION: A Combined Rank of 98, is a strong buy recommendation based on VSE's financial characteristics. As the company VSE's key financial metrics exhibit excellent performance in two areas, such as good value (Obermatt Value Rank of 74) and above-average growth (Obermatt Growth Rank of 93), it could be argued that the risk-taking in financing (Obermatt Safety Rank of only 46) indicates that the company is optimistic about the future and sees debt as an opportunity to boost returns. More debt means more shareholder returns if everything goes well. However, higher debt burdens are risky when interest rates rise or the business deteriorates in a crisis. If you believe the company's future is market-typical or even better, this could be an argument for a share purchase. Obermatt Premium subscribers can further check the stock’s Sentiment Ranks, which also flow into the Obermatt 360° View for investors. ...read more

Latest Obermatt Ranks


360° View^new
Sentiment Rank^new
Value Rank	74
Growth Rank	93
Safety Rank	46
Combined Rank	98

Country	USA
Industry	Diversified Support Services
Index	NASDAQ
Size class	Medium

14-Nov-2024. Stock data may be delayed. Log in or sign up to get the most recent research.

Further information

Multiple opinions. One number.

Analysts rarely agree on a stock’s future. So, who do you believe? Obermatt translates those collective views into a single Sentiment Rank. That plus the financial ranks give you the ultimate 360° View. Sign up to access them.

Why popular stocks have low ratings

It’s easier said than done. When your stock drops, it’s easy to want to sell it and find a better performer. Think twice, or even three times, before trading. Those fees (especially the hidden ones) can eat up your gains.

Review the performance ranks of the individual metrics that form each investment strategy.

Research History: VSE

RESEARCH HISTORY	2021	2022	2023	2024
VALUE
VALUE	63	75	86	74
GROWTH
GROWTH	29	100	91	93
SAFETY
SAFETY	37	88	86	46
SENTIMENT
SENTIMENT	n/a	81	67	^new
360° VIEW
360° VIEW	n/a	100	100	^new

Most recent update of the stock research: 14-Nov-2024. Financial reporting date used for calculating ranks: 30-Jun-2024. Stock research history is based on the Obermatt Method. The higher the rank, the better VSE is in the corresponding investment strategy.
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Combined financial peformance in Detail

RESEARCH HISTORY	2021	2022	2023	2024
VALUE
VALUE	63	75	86	74
GROWTH
GROWTH	29	100	91	93
SAFETY
SAFETY	37	88	86	46
COMBINED
COMBINED	27	98	100	98

Last update of combined financial performance: 14-Nov-2024. Stock analysis on combined financial performance: The higher the rank of VSE the better the performance.

Value Metrics in Detail

ANALYSIS: With an Obermatt Value Rank of 74 (better than 74% compared with alternatives), VSE shares are more attractively priced than the majority of comparable stocks. The Value Rank is based on consolidating four value indicators, where three out of four indicators are above average for VSE. Price-to-Sales (P/S) is 51 which means that the stock price compared with what market professionals expect for future sales is lower than for 51% of comparable companies, indicating a good value for VSE's revenue size. The same is valid for the Price-to-Book Capital ratio (also referred to as market-to-book ratio) with a Price-to-Capital Rank of 58. Finally, compared with other companies in the same industry, dividend yields of VSE are expected to be higher than for 61% of all competitors (a Dividend Yield rank of 61). The only low rank is for expected profits with a Price-to-Profit Rank of 43, indicating that the market expects the company's profit to be low despite a high dividend. ...read more

RECOMMENDATION: The overall picture with a consolidated Value Rank of 74, is a buy recommendation based on VSE's stock price compared with the company's operational size and dividend yields. The low Profit Rank could result from a one-off charge, for instance, for an accident, a legal settlement, or a restructuring project. If the company keeps its dividends high, the low expected profit may be transitory. If that is the case, the three good value ranks for Sales, Capital, and Dividends are reliable indicators for good stock price value, a low stock price. We recommend further analyzing the stock with Obermatt’s Value, Safety, and Sentiment Ranks, including the 360° View, before making an investment decision. ...read more

VALUE METRICS	2021	2022	2023	2024
PRICE VS. REVENUES (P/S)
PRICE VS. REVENUES (P/S)	70	56	58	51
PRICE VS. PROFITS (P/E)
PRICE VS. PROFITS (P/E)	23	72	66	43
PRICE VS. CAPITAL (Market-to-Book)
PRICE VS. CAPITAL (Market-to-Book)	71	82	82	58
DIVIDEND YIELD
DIVIDEND YIELD	49	58	56	61
CONSOLIDATED RANK: VALUE
CONSOLIDATED RANK: VALUE	63	75	86	74

Last update of Value Rank: 14-Nov-2024. Stock analysis on value ratios: The higher the rank, the lower the value ratio of VSE; except for dividend yield where the rank is higher, the higher the yield.

Growth Metrics in Detail

ANALYSIS: With an Obermatt Growth Rank of 93 (better than 93% compared with alternatives) for 2024, VSE shows one of the highest growth dynamics in its industry. Investors also speak of high momentum. The Growth Rank is based on consolidating four value indicators, with all but one indicator above average for VSE. Sales Growth has a rank of 90 which means that currently, professionals expect the company to grow more than 90% of its competitors. Both Profit Growth, with a rank of 75, and Stock Returns, with a rank of 95, are also above average. But Capital Growth only has a rank of 19, which means that, currently, professionals expect the company to grow its invested capital less than 81% of its competitors. ...read more

RECOMMENDATION: The overall picture with a consolidated Growth Rank of 93, is a buy recommendation for growth and momentum investors. That may be a good sign if the company is already well positioned and doesn't require more investments at this time. They may focus on growing the top (revenues) and bottom (profits) lines, recently rewarded with above-average stock returns for shareholders. But it may also be a sign of danger as the company is falling back with capital investment activities concerning competition. This requires further analysis of corporate communications. While momentum is a popular investment factor, the value aspect might be the more important one, in the longer term. We recommend analyzing the stock with Obermatt’s Value, Safety, and Sentiment Ranks to arrive at a 360° View of the stock purchase case. ...read more

GROWTH METRICS	2021	2022	2023	2024
REVENUE GROWTH
REVENUE GROWTH	29	80	100	90
PROFIT GROWTH
PROFIT GROWTH	4	100	66	75
CAPITAL GROWTH
CAPITAL GROWTH	n/a	97	60	19
STOCK RETURNS
STOCK RETURNS	78	91	69	95
CONSOLIDATED RANK: GROWTH
CONSOLIDATED RANK: GROWTH	29	100	91	93

Last update of Growth Rank: 14-Nov-2024. Stock analysis on growth metrics: The higher the rank, the higher the growth and returns of VSE.

Safety Metrics in Detail

ANALYSIS: With an Obermatt Safety Rank of 46 (better than 46% compared with alternatives), the company VSE has financing practices on the riskier side, which means that their overall debt burden is above the industry average. This doesn't mean that the business of VSE is also risky, it only means that the company is on the riskier side in respect to bankruptcy in case things turn sour, assuming that public reporting is correct. The Safety Rank is based on consolidating three financing indicators, with just one indicator above average for VSE and the other two below average. Refinancing is at 75, meaning the portion of the debt about to be refinanced is below average. It has less debt in the refinancing stage than 75% of its competitors. But Leverage is high with a rank of 45, meaning the company has an above-average debt-to-equity ratio. It has more debt than 55% of its competitors. Liquidity is also on the riskier side with a rank of 31, meaning the company generates less profit to service its debt than 69% of its competitors. ...read more

RECOMMENDATION: With a consolidated Safety Rank of 46 (worse than 54% compared with alternatives), VSE has a financing structure that is riskier than that of its competitors. A good Refinancing Rank means that the problems of the company may not be around the corner. But high Leverage is only good if things go well, and low Liquidity is a signal for caution. The financing signals for VSE are on the riskier side, requiring the company's future to be on the safer side. Investors may want to look at Growth and Sentiment ranks before making an investment decision. In the long-term, investors may have a debt challenge with VSE and should also compare Obermatt’s Value, Growth, and Sentiment Ranks before making a decision. ...read more

SAFETY METRICS	2021	2022	2023	2024
LEVERAGE
LEVERAGE	22	54	56	45
REFINANCING
REFINANCING	86	97	97	75
LIQUIDITY
LIQUIDITY	29	55	47	31
CONSOLIDATED RANK: SAFETY
CONSOLIDATED RANK: SAFETY	37	88	86	46

Last update of Safety Rank: 14-Nov-2024. Stock analysis on safety metrics: The higher the rank, the lower the leverage of VSE and the more cash is available to service its debt.

Sentiment Metrics in Detail

SENTIMENT	2021	2022	2023	2024
ANALYST OPINIONS
ANALYST OPINIONS	n/a	85	86	^new
OPINIONS CHANGE
OPINIONS CHANGE	n/a	50	50	^new
PRO HOLDINGS
PRO HOLDINGS	n/a	73	16	^new
MARKET PULSE
MARKET PULSE	n/a	36	87	^new
CONSOLIDATED RANK: SENTIMENT
CONSOLIDATED RANK: SENTIMENT	n/a	81	67	^new

Last update of Sentiment Rank: 14-Nov-2024. Stock analysis on sentiment metrics: The higher the rank, the more positive the sentiment for VSE.
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