VSE (NASDAQ:VSEC) Shares Gap Up on Strong Earnings

Shares of VSE Co. (NASDAQ:VSEC) gapped up before the market opened on Thursday following a stronger than expected earnings report. The stock had previously closed at $101.00, but opened at $110.62. VSE shares last traded at $113.51, with a volume of 28,903 shares trading hands.

The construction company reported $0.90 earnings per share for the quarter, topping analysts’ consensus estimates of $0.73 by $0.17. VSE had a net margin of 1.36% and a return on equity of 7.26%. The company had revenue of $299.02 million during the quarter, compared to the consensus estimate of $289.97 million.

VSE Announces Dividend

The company also recently disclosed a quarterly dividend, which was paid on Thursday, February 6th. Shareholders of record on Thursday, January 23rd were issued a dividend of $0.10 per share. This represents a $0.40 annualized dividend and a yield of 0.34%. The ex-dividend date of this dividend was Thursday, January 23rd. VSE’s dividend payout ratio is 7.41%.

Analyst Upgrades and Downgrades

A number of equities research analysts have recently weighed in on the company. StockNews.com upgraded VSE to a “sell” rating in a research report on Wednesday, February 12th. Truist Financial cut their target price on shares of VSE from $133.00 to $129.00 and set a “buy” rating on the stock in a research report on Tuesday, January 14th. Royal Bank of Canada raised their target price on shares of VSE from $125.00 to $135.00 and gave the company an “outperform” rating in a research note on Friday, December 6th. Finally, B. Riley boosted their price target on shares of VSE from $120.00 to $132.00 and gave the stock a “buy” rating in a research note on Thursday, November 7th. One investment analyst has rated the stock with a sell rating and six have assigned a buy rating to the company’s stock. According to MarketBeat.com, the stock presently has an average rating of “Moderate Buy” and a consensus price target of $117.83.

Institutional Trading of VSE

A number of institutional investors and hedge funds have recently modified their holdings of VSEC. Sterling Capital Management LLC lifted its holdings in shares of VSE by 857.1% during the 4th quarter. Sterling Capital Management LLC now owns 469 shares of the construction company’s stock valued at $45,000 after purchasing an additional 420 shares in the last quarter. Quantbot Technologies LP bought a new stake in shares of VSE during the fourth quarter worth $47,000. Tower Research Capital LLC TRC raised its holdings in shares of VSE by 21.7% during the fourth quarter. Tower Research Capital LLC TRC now owns 1,449 shares of the construction company’s stock worth $138,000 after acquiring an additional 258 shares during the period. Sanctuary Advisors LLC bought a new stake in VSE in the 3rd quarter valued at $155,000. Finally, Summit Investment Advisors Inc. boosted its stake in VSE by 14.5% in the 4th quarter. Summit Investment Advisors Inc. now owns 1,842 shares of the construction company’s stock worth $175,000 after purchasing an additional 233 shares during the period. 91.54% of the stock is owned by institutional investors.

VSE Stock Performance

The stock has a fifty day simple moving average of $100.01 and a 200-day simple moving average of $99.38. The stock has a market cap of $2.40 billion, a P/E ratio of 21.82 and a beta of 1.61. The company has a debt-to-equity ratio of 0.53, a quick ratio of 1.15 and a current ratio of 3.69.

VSE Company Profile

VSE Corporation operates as a diversified aftermarket products and services company in the United States. The company operates through two segments, Aviation and Fleet. The Aviation segment provides aftermarket parts supply and distribution; maintenance, repair, and overhaul services for components and engine accessories supporting commercial, business, and general aviation operators.