VSE (NASDAQ:VSEC) Reaches New 12-Month High Following Better-Than-Expected Earnings

VSE Corporation (NASDAQ:VSEC)’s share price hit a new 52-week high on Wednesday following a stronger than expected earnings report. The company traded as high as $231.60 and last traded at $221.06, with a volume of 33722 shares trading hands. The stock had previously closed at $224.16.

The construction company reported $1.16 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.88 by $0.28. VSE had a net margin of 1.84% and a return on equity of 8.49%. The business had revenue of $301.18 million during the quarter, compared to analysts’ expectations of $289.55 million. During the same period in the previous year, the company earned $0.63 EPS. The company’s revenue for the quarter was up 32.4% on a year-over-year basis.

VSE Dividend Announcement

The business also recently declared a quarterly dividend, which will be paid on Wednesday, April 29th. Investors of record on Wednesday, April 15th will be paid a dividend of $0.10 per share. This represents a $0.40 annualized dividend and a yield of 0.2%. The ex-dividend date is Wednesday, April 15th. VSE’s dividend payout ratio (DPR) is currently 44.94%.

Analyst Upgrades and Downgrades

Several equities research analysts have recently weighed in on the company. Truist Financial set a $222.00 price objective on VSE in a report on Friday, January 9th. Royal Bank Of Canada raised their price objective on shares of VSE from $200.00 to $225.00 and gave the stock an “outperform” rating in a research report on Thursday, February 5th. Citigroup lifted their price objective on shares of VSE from $215.00 to $233.00 and gave the company a “buy” rating in a research note on Tuesday, January 13th. Stifel Nicolaus upped their target price on shares of VSE from $209.00 to $250.00 and gave the company a “buy” rating in a report on Friday, January 30th. Finally, B. Riley Financial raised their price target on VSE from $208.00 to $258.00 and gave the stock a “buy” rating in a report on Monday, February 2nd. Seven investment analysts have rated the stock with a Buy rating and one has issued a Hold rating to the company’s stock. Based on data from MarketBeat, the stock has an average rating of “Moderate Buy” and a consensus target price of $224.71.

Hedge Funds Weigh In On VSE

Institutional investors and hedge funds have recently added to or reduced their stakes in the business. New York State Common Retirement Fund grew its holdings in VSE by 31.2% during the third quarter. New York State Common Retirement Fund now owns 247,417 shares of the construction company’s stock worth $41,131,000 after acquiring an additional 58,805 shares during the period. Handelsbanken Fonder AB purchased a new stake in shares of VSE during the 2nd quarter worth $498,000. Rhumbline Advisers grew its stake in shares of VSE by 29.8% during the 2nd quarter. Rhumbline Advisers now owns 32,625 shares of the construction company’s stock worth $4,273,000 after purchasing an additional 7,484 shares during the period. Argent Capital Management LLC purchased a new position in shares of VSE in the 3rd quarter valued at about $887,000. Finally, Emerald Mutual Fund Advisers Trust increased its holdings in shares of VSE by 86.4% in the 2nd quarter. Emerald Mutual Fund Advisers Trust now owns 132,416 shares of the construction company’s stock valued at $17,344,000 after purchasing an additional 61,392 shares in the last quarter. Institutional investors and hedge funds own 91.54% of the company’s stock.

VSE Price Performance

The company has a debt-to-equity ratio of 0.35, a current ratio of 3.94 and a quick ratio of 1.41. The company’s 50 day moving average is $201.92 and its 200 day moving average is $179.75. The stock has a market cap of $5.22 billion, a price-to-earnings ratio of 254.49, a PEG ratio of 2.50 and a beta of 1.35.

About VSE

VSE Corporation (NASDAQ: VSEC) is a provider of aftermarket distribution and supply chain management services serving both government and commercial markets. The company’s solutions span a wide range of industries, with particular emphasis on defense, aerospace and transportation. VSE’s core mission is to ensure mission readiness by delivering critical parts, maintenance and technical support for equipment throughout its lifecycle.

Through its Distribution Services segment, VSE sources, markets and distributes replacement parts and components for commercial truck, bus, rail and specialty vehicle applications.