V2X INC (VVX) Stock Fundamental Analysis
USA - NYSE:VVX - US92242T1016 - Common Stock
54.08 USD
-0.57 (-1.04%)
54.08 USD
0 (0%)
VVX gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 69 industry peers in the Aerospace & Defense industry. While VVX is still in line with the averages on profitability rating, there are concerns on its financial health. VVX may be a bit undervalued, certainly considering the very reasonable score on growth
1. Profitability
1.1 Basic Checks
In the past year VVX was profitable.
VVX had a positive operating cash flow in the past year.
The reported net income has been mixed in the past 5 years: VVX reported negative net income in multiple years.
In the past 5 years VVX always reported a positive cash flow from operatings.
1.2 Ratios
VVX's Return On Assets of 2.24% is in line compared to the rest of the industry. VVX outperforms 50.00% of its industry peers.
The Return On Equity of VVX (6.62%) is comparable to the rest of the industry.
With a decent Return On Invested Capital value of 7.46%, VVX is doing good in the industry, outperforming 70.59% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for VVX is below the industry average of 8.22%.
The 3 year average ROIC (4.94%) for VVX is below the current ROIC(7.46%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.24% | ||
| ROE | 6.62% | ||
| ROIC | 7.46% |
ROA(3y)-0.03%
ROA(5y)1.88%
ROE(3y)-0.11%
ROE(5y)4.97%
ROIC(3y)4.94%
ROIC(5y)6.45%
1.3 Margins
With a Profit Margin value of 1.63%, VVX perfoms like the industry average, outperforming 47.06% of the companies in the same industry.
VVX's Profit Margin has declined in the last couple of years.
The Operating Margin of VVX (4.35%) is comparable to the rest of the industry.
In the last couple of years the Operating Margin of VVX has remained more or less at the same level.
Looking at the Gross Margin, with a value of 8.60%, VVX is doing worse than 77.94% of the companies in the same industry.
In the last couple of years the Gross Margin of VVX has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 4.35% | ||
| PM (TTM) | 1.63% | ||
| GM | 8.6% |
OM growth 3Y1.95%
OM growth 5Y0.53%
PM growth 3Y-32.09%
PM growth 5Y-19.69%
GM growth 3Y-4.08%
GM growth 5Y-3.04%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so VVX is destroying value.
The number of shares outstanding for VVX has been increased compared to 1 year ago.
VVX has more shares outstanding than it did 5 years ago.
The debt/assets ratio for VVX has been reduced compared to a year ago.
2.2 Solvency
VVX has an Altman-Z score of 2.27. This is not the best score and indicates that VVX is in the grey zone with still only limited risk for bankruptcy at the moment.
VVX has a worse Altman-Z score (2.27) than 67.65% of its industry peers.
The Debt to FCF ratio of VVX is 5.26, which is a neutral value as it means it would take VVX, 5.26 years of fcf income to pay off all of its debts.
With a decent Debt to FCF ratio value of 5.26, VVX is doing good in the industry, outperforming 70.59% of the companies in the same industry.
VVX has a Debt/Equity ratio of 1.02. This is a high value indicating a heavy dependency on external financing.
With a Debt to Equity ratio value of 1.02, VVX is not doing good in the industry: 77.94% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.02 | ||
| Debt/FCF | 5.26 | ||
| Altman-Z | 2.27 |
ROIC/WACC0.66
WACC11.26%
2.3 Liquidity
A Current Ratio of 1.20 indicates that VVX should not have too much problems paying its short term obligations.
Looking at the Current ratio, with a value of 1.20, VVX is doing worse than 76.47% of the companies in the same industry.
VVX has a Quick Ratio of 1.15. This is a normal value and indicates that VVX is financially healthy and should not expect problems in meeting its short term obligations.
VVX has a Quick ratio of 1.15. This is in the lower half of the industry: VVX underperforms 61.76% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.2 | ||
| Quick Ratio | 1.15 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 664.10% over the past year.
The earnings per share for VVX have been decreasing by -18.59% on average. This is quite bad
VVX shows a small growth in Revenue. In the last year, the Revenue has grown by 5.07%.
The Revenue has been growing by 25.61% on average over the past years. This is a very strong growth!
EPS 1Y (TTM)664.1%
EPS 3Y-34.65%
EPS 5Y-18.59%
EPS Q2Q%433.33%
Revenue 1Y (TTM)5.07%
Revenue growth 3Y34.32%
Revenue growth 5Y25.61%
Sales Q2Q%0.57%
3.2 Future
VVX is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 50.48% yearly.
VVX is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 4.49% yearly.
EPS Next Y203.56%
EPS Next 2Y90.09%
EPS Next 3Y65.59%
EPS Next 5Y50.48%
Revenue Next Year4.62%
Revenue Next 2Y5.08%
Revenue Next 3Y4.31%
Revenue Next 5Y4.49%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 24.58 indicates a rather expensive valuation of VVX.
Compared to the rest of the industry, the Price/Earnings ratio of VVX indicates a rather cheap valuation: VVX is cheaper than 82.35% of the companies listed in the same industry.
When comparing the Price/Earnings ratio of VVX to the average of the S&P500 Index (27.30), we can say VVX is valued inline with the index average.
Based on the Price/Forward Earnings ratio of 13.86, the valuation of VVX can be described as correct.
Compared to the rest of the industry, the Price/Forward Earnings ratio of VVX indicates a rather cheap valuation: VVX is cheaper than 95.59% of the companies listed in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 22.73, VVX is valued a bit cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 24.58 | ||
| Fwd PE | 13.86 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, VVX is valued cheaper than 100.00% of the companies in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of VVX indicates a rather cheap valuation: VVX is cheaper than 100.00% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 8.15 | ||
| EV/EBITDA | 8.75 |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
A more expensive valuation may be justified as VVX's earnings are expected to grow with 65.59% in the coming years.
PEG (NY)0.12
PEG (5Y)N/A
EPS Next 2Y90.09%
EPS Next 3Y65.59%
5. Dividend
5.1 Amount
VVX does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
54.08
-0.57 (-1.04%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryAerospace & Defense
Earnings (Last)
Earnings (Next)
Inst Owners60.06%
Inst Owner ChangeN/A
Ins Owners0.9%
Ins Owner Change0.65%
Market Cap1.71B
Analysts78.67
Price Target65.37 (20.88%)
Short Float %2.3%
Short Ratio1.48
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)36.33%
Min EPS beat(2)-38.43%
Max EPS beat(2)111.09%
EPS beat(4)3
Avg EPS beat(4)32.05%
Min EPS beat(4)-38.43%
Max EPS beat(4)111.09%
EPS beat(8)4
Avg EPS beat(8)206.58%
EPS beat(12)5
Avg EPS beat(12)102.35%
EPS beat(16)6
Avg EPS beat(16)70.81%
Revenue beat(2)1
Avg Revenue beat(2)-0.34%
Min Revenue beat(2)-2.41%
Max Revenue beat(2)1.73%
Revenue beat(4)3
Avg Revenue beat(4)1.11%
Min Revenue beat(4)-2.41%
Max Revenue beat(4)4.58%
Revenue beat(8)7
Avg Revenue beat(8)2%
Revenue beat(12)10
Avg Revenue beat(12)3.43%
Revenue beat(16)14
Avg Revenue beat(16)3.84%
PT rev (1m)2.17%
PT rev (3m)2.17%
EPS NQ rev (1m)11.19%
EPS NQ rev (3m)15.68%
EPS NY rev (1m)69.36%
EPS NY rev (3m)23.27%
Revenue NQ rev (1m)-0.26%
Revenue NQ rev (3m)-1.38%
Revenue NY rev (1m)0.07%
Revenue NY rev (3m)0.13%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 24.58 | ||
| Fwd PE | 13.86 | ||
| P/S | 0.4 | ||
| P/FCF | 8.15 | ||
| P/OCF | 7.84 | ||
| P/B | 1.61 | ||
| P/tB | N/A | ||
| EV/EBITDA | 8.75 |
EPS(TTM)2.2
EY4.07%
EPS(NY)3.9
Fwd EY7.22%
FCF(TTM)6.64
FCFY12.27%
OCF(TTM)6.9
OCFY12.76%
SpS136.67
BVpS33.61
TBVpS-27.41
PEG (NY)0.12
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.24% | ||
| ROE | 6.62% | ||
| ROCE | 8.35% | ||
| ROIC | 7.46% | ||
| ROICexc | 8.13% | ||
| ROICexgc | 123.26% | ||
| OM | 4.35% | ||
| PM (TTM) | 1.63% | ||
| GM | 8.6% | ||
| FCFM | 4.86% |
ROA(3y)-0.03%
ROA(5y)1.88%
ROE(3y)-0.11%
ROE(5y)4.97%
ROIC(3y)4.94%
ROIC(5y)6.45%
ROICexc(3y)5.33%
ROICexc(5y)7.04%
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)5.53%
ROCE(5y)7.22%
ROICexcg growth 3YN/A
ROICexcg growth 5YN/A
ROICexc growth 3Y-13.68%
ROICexc growth 5Y-10.3%
OM growth 3Y1.95%
OM growth 5Y0.53%
PM growth 3Y-32.09%
PM growth 5Y-19.69%
GM growth 3Y-4.08%
GM growth 5Y-3.04%
F-Score8
Asset Turnover1.38
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.02 | ||
| Debt/FCF | 5.26 | ||
| Debt/EBITDA | 3.63 | ||
| Cap/Depr | 7.53% | ||
| Cap/Sales | 0.2% | ||
| Interest Coverage | 2.21 | ||
| Cash Conversion | 72.7% | ||
| Profit Quality | 298.09% | ||
| Current Ratio | 1.2 | ||
| Quick Ratio | 1.15 | ||
| Altman-Z | 2.27 |
F-Score8
WACC11.26%
ROIC/WACC0.66
Cap/Depr(3y)17.47%
Cap/Depr(5y)33.47%
Cap/Sales(3y)0.44%
Cap/Sales(5y)0.44%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)664.1%
EPS 3Y-34.65%
EPS 5Y-18.59%
EPS Q2Q%433.33%
EPS Next Y203.56%
EPS Next 2Y90.09%
EPS Next 3Y65.59%
EPS Next 5Y50.48%
Revenue 1Y (TTM)5.07%
Revenue growth 3Y34.32%
Revenue growth 5Y25.61%
Sales Q2Q%0.57%
Revenue Next Year4.62%
Revenue Next 2Y5.08%
Revenue Next 3Y4.31%
Revenue Next 5Y4.49%
EBIT growth 1Y60.88%
EBIT growth 3Y36.94%
EBIT growth 5Y26.27%
EBIT Next Year99.38%
EBIT Next 3Y31.65%
EBIT Next 5Y22.16%
FCF growth 1Y59.88%
FCF growth 3Y67.6%
FCF growth 5Y84.31%
OCF growth 1Y43.98%
OCF growth 3Y60.67%
OCF growth 5Y55.91%