Latest news with #VSECorporation
Yahoo
29-06-2025
- Business
- Yahoo
The 5 Most Interesting Analyst Questions From VSE Corporation's Q1 Earnings Call
VSE Corporation's first quarter results were shaped by the company's completed exit from fleet services and a sharp focus on aviation aftermarket growth. Management credited strong demand for aviation maintenance and distribution, alongside the integration of recent acquisitions, as primary drivers of performance. CEO John Cuomo described the quarter as a turning point, with the divestiture of the fleet segment allowing VSE to operate as a 'pure-play provider of aviation aftermarket parts and services.' The positive market reaction reflected optimism around these strategic shifts and the company's ability to execute on improved margins and operational focus. Is now the time to buy VSEC? Find out in our full research report (it's free). Revenue: $256 million vs analyst estimates of $274.3 million (57.7% year-on-year growth, 6.7% miss) Adjusted EPS: $0.78 vs analyst estimates of $0.58 (35.3% beat) Adjusted EBITDA: $40.35 million vs analyst estimates of $32.6 million (15.8% margin, 23.8% beat) Operating Margin: 9.6%, down from 14.9% in the same quarter last year Market Capitalization: $2.64 billion While we enjoy listening to the management's commentary, our favorite part of earnings calls are the analyst questions. Those are unscripted and can often highlight topics that management teams would rather avoid or topics where the answer is complicated. Here is what has caught our attention. Ken Herbert (RBC Capital Markets) asked about the sustainability of margin improvements and the impact of integration synergies. CFO Adam Cohn responded that Q1 is typically strong due to inventory mix, and incremental synergy benefits are expected throughout the year, but guidance remains appropriately conservative. Jeff Van Sinderen (B. Riley Securities) probed on the acceleration of acquisition integrations and the timeline for completion. CEO John Cuomo explained that while some integration steps are being prioritized for faster benefit, full integration will take up to 18 months. Michael Carroll (Truist) questioned which metrics best gauge demand trends and the impact of industry cycles. Cuomo emphasized traffic data and backlog with OEMs as the most reliable indicators, noting that any slowdown would likely be gradual rather than abrupt. Louie DiPalma (William Blair) inquired about the origin and potential expansion of the Eaton partnership. Cuomo described the deal as a result of close OEM collaboration and noted that successful execution could open further opportunities with Eaton. Josh Sullivan (Benchmark) asked about expanding component repair capacity at TCI and the importance of turn times. Cuomo stated that capacity expansion is underway and highlighted that competitive turn times are central to VSE's value proposition in engine services. In upcoming quarters, the StockStory team will focus on (1) the pace and effectiveness of acquisition integrations, especially the realization of cost and revenue synergies, (2) the scaling of new OEM programs like Eaton and Honeywell Fuel Control, and (3) the company's ability to maintain margins and manage inventory in the face of macro and tariff-related uncertainty. Progress on these fronts will be key markers for monitoring VSE's execution of its aviation-focused strategy. VSE Corporation currently trades at $126.07, up from $117.87 just before the earnings. At this price, is it a buy or sell? The answer lies in our full research report (it's free). Donald Trump's victory in the 2024 U.S. Presidential Election sent major indices to all-time highs, but stocks have retraced as investors debate the health of the economy and the potential impact of tariffs. While this leaves much uncertainty around 2025, a few companies are poised for long-term gains regardless of the political or macroeconomic climate, like our Top 9 Market-Beating Stocks. This is a curated list of our High Quality stocks that have generated a market-beating return of 183% over the last five years (as of March 31st 2025). Stocks that made our list in 2020 include now familiar names such as Nvidia (+1,545% between March 2020 and March 2025) as well as under-the-radar businesses like the once-small-cap company Comfort Systems (+782% five-year return). Find your next big winner with StockStory today. Sign in to access your portfolio
Yahoo
24-06-2025
- Business
- Yahoo
VSE Corporation (VSEC): A Bull Case Theory
We came across a bullish thesis on VSE Corporation (VSEC) on Hidden Market Gems' Substack. In this article, we will summarize the bulls' thesis on VSEC. VSEC Corporation (VSEC)'s share was trading at $138.28 as of 11th June. VSEC's trailing and forward P/E were 56.71 and 59.11 respectively according to Yahoo Finance. Jirat Teparaksa/ VSE Corporation is emerging as a hidden gem in the engineering and technical services, quietly building momentum despite being historically overlooked. Currently trading at $133.64, the stock has climbed more than 60% over the past year and remains significantly undervalued relative to its long-term potential, with a projected 2030 target of $314. While short-term headwinds such as shareholder dilution and modest profit margins have pressured sentiment, the company's fundamentals suggest a more promising future. Revenue has shown consistent annual growth from 2020 to 2024, reflecting operational resilience and execution. More importantly, VSE is now positioned at an inflection point where earnings are expected to expand meaningfully, underpinning a shift from mere consolidation to a clear growth trajectory. Forecast models support this bullish case, projecting steady gains through 2030 under the 'growth' scenario, far outpacing outcomes under consolidation or breakdown paths. This optimism is bolstered by recent market momentum and investor confidence, reflected in the stock's strong technical performance. Despite a previously discounted valuation of $100.01, far below its fair value estimate of $141.73, the company is now gaining traction with investors who recognize its turnaround potential. As a diversified industrial player operating in critical supply chain and logistics markets, VSE's underlying business remains robust and well-aligned with long-term infrastructure and defense trends. The market's prior underappreciation appears to be reversing, with the current rally suggesting a broader rerating is underway. For long-term investors, VSE represents a compelling opportunity to participate in an overlooked compounder with significant upside and a favorable risk/reward profile. We previously covered a on Lockheed Martin (LMT) by Steve Wagner, centered on its strong backlog and advanced defense pipeline despite near-term contract losses. Hidden Market Gems' thesis on VSE Corporation (VSEC) offers a contrasting small-cap angle—highlighting long-term compounding potential through logistics growth. Both appeal to defense-oriented investors, but at different scales and risk profiles. VSE Corporation (VSEC) is not on our list of the 30 Most Popular Stocks Among Hedge Funds. As per our database, 19 hedge fund portfolios held VSEC at the end of the first quarter which was 17 in the previous quarter. While we acknowledge the risk and potential of VSEC as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an extremely cheap AI stock that is also a major beneficiary of Trump tariffs and onshoring, see our free report on the best short-term AI stock. READ NEXT: 8 Best Wide Moat Stocks to Buy Now and 30 Most Important AI Stocks According to BlackRock. Disclosure: None. This article was originally published at Insider Monkey.
Yahoo
13-06-2025
- Business
- Yahoo
2 Growth Stocks with All-Star Potential and 1 to Ignore
Growth boosts valuation multiples, but it doesn't always last forever. Companies that cannot maintain it are often penalized with large declines in market value, a lesson ingrained in investors who lost money in tech stocks during 2022. The risks that can come from buying these assets is precisely why we started StockStory - to isolate the long-term winners from the losers so you can invest with confidence. On that note, here are two growth stocks with significant upside potential and one climbing an uphill battle. One-Year Revenue Growth: +31.2% With roots dating back to 1959 and a strategic focus on extending the life of transportation assets, VSE Corporation (NASDAQ:VSEC) provides aftermarket parts distribution and maintenance, repair, and overhaul services for aircraft and vehicle fleets in commercial and government markets. Why Do We Think Twice About VSEC? Gross margin of 12.3% reflects its high production costs Cash-burning history makes us doubt the long-term viability of its business model ROIC of 5% reflects management's challenges in identifying attractive investment opportunities At $141 per share, VSE Corporation trades at 38.3x forward P/E. Check out our free in-depth research report to learn more about why VSEC doesn't pass our bar. One-Year Revenue Growth: +21.6% Moving away from a low margin storage device management chips in one of the biggest semiconductor business model pivots of the past decade, Marvell Technology (NASDAQ: MRVL) is a fabless designer of special purpose data processing and networking chips used by data centers, communications carriers, enterprises, and autos. Why Do We Like MRVL? Market share has increased this cycle as its 18.9% annual revenue growth over the last five years was exceptional Exciting sales outlook for the upcoming 12 months calls for 31.9% growth, an acceleration from its two-year trend Additional sales over the last five years increased its profitability as the 23.5% annual growth in its earnings per share outpaced its revenue Marvell Technology is trading at $69.40 per share, or 23.5x forward P/E. Is now a good time to buy? See for yourself in our full research report, it's free. One-Year Revenue Growth: +22.4% Founded during the 2008 financial crisis to help address the mortgage market meltdown, PennyMac Financial Services (NYSE:PFSI) is a specialty financial services company that originates, services, and manages investments related to residential mortgage loans in the United States. Why Is PFSI a Top Pick? Incremental sales significantly boosted profitability as its annual earnings per share growth of 57.4% over the last two years outstripped its revenue performance Annual tangible book value per share growth of 20.5% over the past five years was outstanding, reflecting strong capital retention this cycle Capital strength is on track to rise over the next 12 months as its 20.5% projected tangible book value per share growth implies profitability will accelerate from its two-year trend PennyMac Financial Services's stock price of $98.52 implies a valuation ratio of 1.2x forward P/B. Is now the right time to buy? Find out in our full research report, it's free. Market indices reached historic highs following Donald Trump's presidential victory in November 2024, but the outlook for 2025 is clouded by new trade policies that could impact business confidence and growth. While this has caused many investors to adopt a "fearful" wait-and-see approach, we're leaning into our best ideas that can grow regardless of the political or macroeconomic climate. Take advantage of Mr. Market by checking out our Top 5 Strong Momentum Stocks for this week. This is a curated list of our High Quality stocks that have generated a market-beating return of 183% over the last five years (as of March 31st 2025). Stocks that made our list in 2020 include now familiar names such as Nvidia (+1,545% between March 2020 and March 2025) as well as under-the-radar businesses like the once-micro-cap company Kadant (+351% five-year return). Find your next big winner with StockStory today for free. Find your next big winner with StockStory today. Find your next big winner with StockStory today. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Business Wire
02-06-2025
- Business
- Business Wire
VSE Corporation Announces June 2025 Investor Conference Schedule
MIRAMAR, Fla.--(BUSINESS WIRE)--VSE Corporation ('VSE' or the 'Company') (NASDAQ: VSEC), a leading provider of aviation aftermarket distribution and repair services, announced today that VSE Corporation's senior management will participate in the following upcoming conferences. William Blair's Growth Stock Conference will be held in Chicago, Illinois, on Tuesday, June 3, 2025. John Cuomo, President and CEO, Adam Cohn, Chief Financial Officer, and Michael Perlman, VP of Investor Relations & Treasury will participate in one-on-one investor meetings throughout the event. John Cuomo will present at 2:00 PM Central Time. Stifel Cross Sector Insight Conference will be held in Boston, Massachusetts, on Wednesday, June 4, 2025. John Cuomo, Adam Cohn, and Michael Perlman will participate in one-on-one investor meetings throughout the event. The Wells Fargo Industrials Conference will be held in Chicago, Illinois, on Tuesday, June 10, 2025. John Cuomo will participate in a fireside chat at 1:30 PM Central Time. Management will also participate in one-on-one investor meetings throughout the event. For more information about this event or to schedule a meeting with VSE's senior management, please contact VSE's Investor Relations at investors@ ABOUT VSE CORPORATION VSE is a leading provider of aviation distribution and repair services for the commercial and business and general aviation (BG&A) aftermarkets. Headquartered in Miramar, Florida, VSE is focused on significantly enhancing the productivity and longevity of its customers' high-value, business-critical assets. VSE's aftermarket parts distribution and maintenance, repair, and overhaul (MRO) services support engine component and engine and airframe accessory part distribution and repair services for commercial and BG&A operators. For more detailed information, please visit VSE's website at This press release contains certain forward-looking statements. These forward-looking statements, which are included in accordance with the safe harbor provisions of the Private Securities Litigation Reform Act of 1995, may involve known and unknown risks, uncertainties and other factors that may cause VSE's actual results to vary materially from those indicated or anticipated by such statements. Many factors could cause actual results and performance to be materially different from any future results or performance, including, among others, the risk factors described in our reports filed or expected to be filed with the SEC. Any forward-looking statement or statement of belief speaks only as of the date of this press release. We undertake no obligation to update or revise forward-looking statements to reflect changed assumptions, the occurrence of unanticipated events or changes to future operating results.
Yahoo
02-06-2025
- Business
- Yahoo
VSE Corporation Announces June 2025 Investor Conference Schedule
MIRAMAR, Fla., June 02, 2025--(BUSINESS WIRE)--VSE Corporation ("VSE" or the "Company") (NASDAQ: VSEC), a leading provider of aviation aftermarket distribution and repair services, announced today that VSE Corporation's senior management will participate in the following upcoming conferences. William Blair's Growth Stock Conference will be held in Chicago, Illinois, on Tuesday, June 3, 2025. John Cuomo, President and CEO, Adam Cohn, Chief Financial Officer, and Michael Perlman, VP of Investor Relations & Treasury will participate in one-on-one investor meetings throughout the event. John Cuomo will present at 2:00 PM Central Time. Stifel Cross Sector Insight Conference will be held in Boston, Massachusetts, on Wednesday, June 4, 2025. John Cuomo, Adam Cohn, and Michael Perlman will participate in one-on-one investor meetings throughout the event. The Wells Fargo Industrials Conference will be held in Chicago, Illinois, on Tuesday, June 10, 2025. John Cuomo will participate in a fireside chat at 1:30 PM Central Time. Management will also participate in one-on-one investor meetings throughout the event. For more information about this event or to schedule a meeting with VSE's senior management, please contact VSE's Investor Relations at investors@ ABOUT VSE CORPORATION VSE is a leading provider of aviation distribution and repair services for the commercial and business and general aviation (BG&A) aftermarkets. Headquartered in Miramar, Florida, VSE is focused on significantly enhancing the productivity and longevity of its customers' high-value, business-critical assets. VSE's aftermarket parts distribution and maintenance, repair, and overhaul (MRO) services support engine component and engine and airframe accessory part distribution and repair services for commercial and BG&A operators. For more detailed information, please visit VSE's website at FORWARD-LOOKING STATEMENTS This press release contains certain forward-looking statements. These forward-looking statements, which are included in accordance with the safe harbor provisions of the Private Securities Litigation Reform Act of 1995, may involve known and unknown risks, uncertainties and other factors that may cause VSE's actual results to vary materially from those indicated or anticipated by such statements. Many factors could cause actual results and performance to be materially different from any future results or performance, including, among others, the risk factors described in our reports filed or expected to be filed with the SEC. Any forward-looking statement or statement of belief speaks only as of the date of this press release. We undertake no obligation to update or revise forward-looking statements to reflect changed assumptions, the occurrence of unanticipated events or changes to future operating results. View source version on Contacts INVESTOR RELATIONS CONTACT: Michael PerlmanVice President of Investor Relations and TreasuryPhone: (954) 547-0480Email: investors@
