Recent News
On June 1, the company published its June 2026 investor conference schedule, noting management participation in multiple investor conferences in early June.
On August 6, the board declared a regular quarterly cash dividend of $0.10 per share, payable October 29, 2026, to holders of record as of October 15, 2026.
On August 13, VSE announced an August 2026 investor conference appearance (virtual), listing senior management attendees and engagement logistics.
Technical Analysis
ADX at 18.73 indicates no established trend; with the company valued as over-valued, the low ADX heightens the importance of short-term momentum and mean-reversion dynamics rather than trend-following moves.
Directional indicators show DI+ has completed a dip-and-reverse, a bullish directional inflection, while DI- sits at 22.71 and is increasing — the combination points to renewed short-term buying pressure that remains contested by rising negative-direction momentum.
MACD registered a dip-and-reversal, signaling improving momentum; however, MACD (4.17) remains below its signal line (5.31), so momentum has recovered from a low but has not yet produced a bullish MACD-signal-line crossover.
MRO reads 16.16 and the MRO trend shows a peak-and-reversal, which implies the current price sits above a model target and carries downside potential as the oscillator rolls over; this structural over-extension aligns with the over-valued WMDST classification.
RSI at 53.41 with a dip-and-reversal indicates renewed buying interest without overbought conditions, supporting a window for intermittent upside while momentum indicators remain non-confirmatory.
Price sits at $226.90, below the 20-day average ($228.40) but above the 50-day ($215.07) and 200-day ($196.30) averages; the 12-day EMA shows a peak-and-reversal, which signals short-term pressure despite longer-term moving-average support. Bollinger bands place the mid-to-upper trading range near $241; current price nearer the middle band suggests limited immediate volatility expansion.
Fundamental Analysis
Second-quarter 2026 reported revenue totaled $449.1 million, up 65.0% year-over-year; GAAP net income from continuing operations reached $28.5 million and adjusted EBITDA improved to $86.0 million with an adjusted EBITDA margin near 19.2%, and management raised full-year revenue and adjusted-EBITDA-margin guidance.
Operating and profitability metrics: operating margin equals 10.90% and EBIT margin equals 9.905%. Both sit below the industry peer mean (operating/EBIT margin industry peer mean approximately 24% for the provided comparator). The company reported operating income of $48.96 million and EBIT of $44,485,000 for the period; YoY and QoQ margin expansions reflect integration of higher-margin repair and product mix following acquisitions. (All margins shown as percentages.)
EPS and earnings quality: adjusted diluted EPS reported $1.75 versus an estimate of $0.93, producing an EPS surprise of $0.82 and an EPS surprise ratio of 88.17%. Forward EPS stands at $2.00 and forward P/E reads roughly 107.88x; trailing P/E at 114.15x. The magnitude of the EPS beat and elevated P/E multiples indicate investor expectations of continued earnings accretion tied to acquisition synergies and margin expansion.
Balance sheet and capital: total debt equals $1,025,600,000 with net debt of $871,597,000 and interest coverage near 8.51x. Current ratio measures 3.768 and quick ratio 1.303, both above the industry peer mean for current ratio. Free cash flow totaled $19,980,000 with a free-cash-flow yield of 0.356%. Cash conversion cycle days near 235 days exceed the industry peer mean noted, driven by inventory levels ($867,124,000) and extended inventory days.
Valuation context: price-to-book equals 1.91, below the industry peer mean book multiple of 2.82 and below the industry peer median of 3.64; price-to-sales sits at 12.48 and far exceeds the industry peer mean of 4.80. Enterprise multiple registers at 95.75x while enterprise value equals $6.55 billion. WMDST values the stock as over-valued, reflecting a premium multiple structure versus revenue and cash-flow yields despite accelerating margins and integration-driven earnings growth.
MOST-RECENT QUARTERLY REPORT
| REPORT PERIOD ENDING: | 2026-06-30 |
| REPORT DATE: | 2026-08-05 |
| NEXT REPORT DATE: | 2026-11-04 |
| CASH FLOW | Begin Period Cash Flow | $ 1.2 B |
| Operating Cash Flow | $ 27.6 M | |
| Capital Expenditures | $ -7.58 M | |
| Change In Working Capital | $ -37.89 M | |
| Dividends Paid | $ -2.81 M | |
| Cash Flow Delta | $ -1.16 B | |
| End Period Cash Flow | $ 75.4 M | |
| INCOME STATEMENT | REVENUE | |
| Total Revenue | $ 449.1 M | |
| Forward Revenue | $ 221.2 M | |
| COSTS | ||
| Cost Of Revenue | $ 391.1 M | |
| Depreciation | $ 24.0 M | |
| Depreciation and Amortization | $ 24.0 M | |
| Research and Development | — | |
| Total Operating Expenses | $ 400.2 M | |
| PROFITABILITY | ||
| Gross Profit | $ 58.0 M | |
| EBITDA | $ 68.5 M | |
| EBIT | $ 44.5 M | |
| Operating Income | $ 49.0 M | |
| Interest Income | — | |
| Interest Expense | $ 5.2 M | |
| Net Interest Income | $ -5.23 M | |
| Income Before Tax | $ 39.3 M | |
| Tax Provision | $ 10.7 M | |
| Tax Rate | 27.339 % | |
| Net Income | $ 28.5 M | |
| Net Income From Continuing Operations | $ 28.5 M | |
| EARNINGS | ||
| EPS Estimate | $ 0.93 | |
| EPS Actual | $ 1.75 | |
| EPS Difference | $ 0.82 | |
| EPS Surprise | 88.172 % | |
| Forward EPS | $ 2.00 | |
| BALANCE SHEET | ASSETS | |
| Total Assets | $ 4.4 B | |
| Intangible Assets | $ 2.8 B | |
| Net Tangible Assets | $ 170.9 M | |
| Total Current Assets | $ 1.3 B | |
| Cash and Short-Term Investments | $ 75.4 M | |
| Cash | $ 75.4 M | |
| Net Receivables | $ 274.6 M | |
| Inventory | $ 867.1 M | |
| Long-Term Investments | $ 22.1 M | |
| LIABILITIES | ||
| Accounts Payable | $ 187.1 M | |
| Short-Term Debt | $ 32.0 M | |
| Total Current Liabilities | $ 351.8 M | |
| Net Debt | $ 871.6 M | |
| Total Debt | $ 1.0 B | |
| Total Liabilities | $ 1.5 B | |
| EQUITY | ||
| Total Equity | $ 2.9 B | |
| Retained Earnings | $ 447.6 M | |
| VALUATION & PER-SHARE METRICS | EQUITY & PER-SHARE METRICS | |
| Book Value Per-Share | $ 104.56 | |
| Shares Outstanding | 28.056 M | |
| Revenue Per-Share | $ 16.01 | |
| VALUATION | Market Capitalization | $ 5.6 B |
| Enterprise Value | $ 6.6 B | |
| Enterprise Multiple | 95.748 | |
| Enterprise Multiple QoQ | -5.411 % | |
| Enterprise Multiple YoY | -9.838 % | |
| Enterprise Multiple IPRWA | VSEC: 95.748 high: 90.591 median: 90.591 mean: 68.36 low: 3.625 |
|
| EV/R | 14.594 | |
| CAPITAL STRUCTURE | ||
| Asset To Equity | 1.499 | |
| Asset To Liability | 3.004 | |
| Debt To Capital | 0.259 | |
| Debt To Assets | 0.233 | |
| Debt To Assets QoQ | 91.817 % | |
| Debt To Assets YoY | -10.486 % | |
| Debt To Assets IPRWA | high: 0.715 median: 0.257 mean: 0.236 VSEC: 0.233 low: 0.006 |
|
| Debt To Equity | 0.35 | |
| Debt To Equity QoQ | 131.567 % | |
| Debt To Equity YoY | -17.957 % | |
| Debt To Equity IPRWA | high: 4.864 mean: 0.576 median: 0.526 VSEC: 0.35 low: -2.499 |
|
| PRICE-BASED VALUATION | ||
| Price To Book (P/B) | 1.911 | |
| Price To Book QoQ | -6.396 % | |
| Price To Book YoY | -37.897 % | |
| Price To Book IPRWA | high: 5.087 median: 3.636 mean: 2.822 VSEC: 1.911 low: -2.624 |
|
| Price To Earnings (P/E) | 114.153 | |
| Price To Earnings QoQ | -38.797 % | |
| Price To Earnings YoY | -86.691 % | |
| Price To Earnings IPRWA | high: 139.848 median: 130.551 VSEC: 114.153 mean: 105.561 low: 5.27 |
|
| PE/G Ratio | 2.303 | |
| Price To Sales (P/S) | 12.479 | |
| Price To Sales QoQ | -25.575 % | |
| Price To Sales YoY | 12.69 % | |
| Price To Sales IPRWA | VSEC: 12.479 high: 8.925 mean: 4.803 median: 3.837 low: 0.992 |
|
| FORWARD MULTIPLES | ||
| Forward P/E | 107.877 | |
| Forward PE/G | 2.176 | |
| Forward P/S | 28.276 | |
| EFFICIENCY | OPERATIONAL | |
| Operating Leverage | 0.934 | |
| ASSET & SALES | ||
| Asset Turnover Ratio | 0.117 | |
| Asset Turnover Ratio QoQ | -4.145 % | |
| Asset Turnover Ratio YoY | -28.591 % | |
| Asset Turnover Ratio IPRWA | high: 0.419 median: 0.28 mean: 0.222 VSEC: 0.117 low: 0.083 |
|
| Receivables Turnover | 1.829 | |
| Receivables Turnover Ratio QoQ | 14.738 % | |
| Receivables Turnover Ratio YoY | 18.535 % | |
| Receivables Turnover Ratio IPRWA | high: 3.541 mean: 1.919 median: 1.875 VSEC: 1.829 low: 1.095 |
|
| Inventory Turnover | 0.524 | |
| Inventory Turnover Ratio QoQ | 8.202 % | |
| Inventory Turnover Ratio YoY | -1.69 % | |
| Inventory Turnover Ratio IPRWA | high: 33.715 mean: 4.841 median: 0.835 VSEC: 0.524 low: 0.499 |
|
| Days Sales Outstanding (DSO) | 49.891 | |
| CASH CYCLE | ||
| Cash Conversion Cycle Days (CCC) | 234.844 | |
| Cash Conversion Cycle Days QoQ | 11.507 % | |
| Cash Conversion Cycle Days YoY | 28.175 % | |
| Cash Conversion Cycle Days IPRWA | VSEC: 234.844 high: 181.32 median: 129.608 mean: 70.991 low: -259.334 |
|
| CAPITAL DEPLOYMENT | ||
| Cash Conversion Ratio | 0.461 | |
| CapEx To Revenue | -0.017 | |
| CapEx To Depreciation | -0.316 | |
| CAPITAL, LIQUIDITY & COVERAGE | CAPITAL STRUCTURE | |
| Total Capital | $ 3.8 B | |
| Net Invested Capital | $ 3.9 B | |
| Invested Capital | $ 3.9 B | |
| Net Tangible Assets | $ 170.9 M | |
| Net Working Capital | $ 973.7 M | |
| LIQUIDITY | ||
| Cash Ratio | 0.214 | |
| Current Ratio | 3.768 | |
| Current Ratio QoQ | -57.076 % | |
| Current Ratio YoY | 1.01 % | |
| Current Ratio IPRWA | VSEC: 3.768 high: 3.111 mean: 1.489 median: 1.434 low: 0.69 |
|
| Quick Ratio | 1.303 | |
| Quick Ratio QoQ | -79.107 % | |
| Quick Ratio YoY | -9.356 % | |
| Quick Ratio IPRWA | high: 1.956 VSEC: 1.303 mean: 0.886 median: 0.793 low: 0.524 |
|
| COVERAGE & LEVERAGE | ||
| Debt To EBITDA | 14.981 | |
| Cost Of Debt | 0.532 % | |
| Interest Coverage Ratio | 8.506 | |
| Interest Coverage Ratio QoQ | -52.391 % | |
| Interest Coverage Ratio YoY | 143.501 % | |
| Interest Coverage Ratio IPRWA | high: 26.098 median: 26.098 mean: 16.901 VSEC: 8.506 low: -1.727 |
|
| Operating Cash Flow Ratio | -0.591 | |
| TIMING / LIQUIDITY | ||
| Days Payables Outstanding (DPO) | 53.507 | |
| DIVIDENDS | ||
| Dividend Coverage Ratio | 10.165 | |
| Dividend Payout Ratio | 0.098 | |
| Dividend Rate | $ 0.10 | |
| Dividend Yield | 0.001 | |
| PERFORMANCE | GROWTH | |
| Asset Growth Rate | 32.826 % | |
| Revenue Growth | 38.375 % | |
| Revenue Growth QoQ | 393.95 % | |
| Revenue Growth YoY | 510.484 % | |
| Revenue Growth IPRWA | VSEC: 38.375 % high: 28.397 % mean: 5.385 % median: 2.244 % low: -5.428 % |
|
| Earnings Growth | 49.573 % | |
| Earnings Growth QoQ | 709.752 % | |
| Earnings Growth YoY | -161.376 % | |
| Earnings Growth IPRWA | high: 142.857 % VSEC: 49.573 % mean: 13.759 % median: 1.613 % low: -32.353 % |
|
| MARGINS | ||
| Gross Margin | 12.911 % | |
| Gross Margin QoQ | 7.592 % | |
| Gross Margin YoY | 13.235 % | |
| Gross Margin IPRWA | high: 89.285 % median: 50.953 % mean: 49.428 % low: 17.714 % VSEC: 12.911 % |
|
| EBIT Margin | 9.905 % | |
| EBIT Margin QoQ | -1.824 % | |
| EBIT Margin YoY | 19.727 % | |
| EBIT Margin IPRWA | high: 37.531 % mean: 23.658 % median: 23.209 % VSEC: 9.905 % low: -10.144 % |
|
| Return On Sales (ROS) | 10.9 % | |
| Return On Sales QoQ | 8.038 % | |
| Return On Sales YoY | 31.754 % | |
| Return On Sales IPRWA | high: 37.531 % mean: 24.243 % median: 23.688 % VSEC: 10.9 % low: 2.829 % |
|
| CASH FLOW | ||
| Free Cash Flow (FCF) | $ 20.0 M | |
| Free Cash Flow Yield | 0.356 % | |
| Free Cash Flow Yield QoQ | -122.864 % | |
| Free Cash Flow Yield YoY | 70.335 % | |
| Free Cash Flow Yield IPRWA | high: 10.746 % mean: 1.58 % median: 0.87 % VSEC: 0.356 % low: -0.028 % |
|
| Free Cash Growth | -123.583 % | |
| Free Cash Growth QoQ | -66.993 % | |
| Free Cash Growth YoY | 9.627 % | |
| Free Cash Growth IPRWA | high: 769.536 % mean: 178.917 % median: 15.555 % VSEC: -123.583 % low: -489.75 % |
|
| Free Cash To Net Income | 0.7 | |
| Cash Flow Margin | -46.279 % | |
| Cash Flow To Earnings | -7.287 | |
| VALUE & RETURNS | ||
| Economic Value Added | $ 0.04 | |
| Return On Assets (ROA) | 0.74 % | |
| Return On Assets QoQ | -31.985 % | |
| Return On Assets YoY | 285.417 % | |
| Return On Assets IPRWA | high: 4.922 % median: 4.922 % mean: 3.693 % VSEC: 0.74 % low: -2.945 % |
|
| Return On Capital Employed (ROCE) | 1.1 % | |
| Return On Equity (ROE) | 0.01 | |
| Return On Equity QoQ | -10.826 % | |
| Return On Equity YoY | 198.16 % | |
| Return On Equity IPRWA | high: 0.143 median: 0.099 mean: 0.072 VSEC: 0.01 low: -0.058 |
|
| DuPont ROE | 1.019 % | |
| Return On Invested Capital (ROIC) | 0.833 % | |
| Return On Invested Capital QoQ | -9.457 % | |
| Return On Invested Capital YoY | -40.754 % | |
| Return On Invested Capital IPRWA | high: 7.279 % median: 7.021 % mean: 5.143 % VSEC: 0.833 % low: -1.275 % |
|