V2X (NYSE:VVX) Shares Gap Up After Better-Than-Expected Earnings

Key Points

• V2X, Inc. shares surged from a close of $48.50 to an opening price of $54.75 following a strong earnings report, beating EPS estimates by $0.33 with $1.33 reported.
• Analysts have updated their price targets for V2X, with Stifel Nicolaus raising their target from $55.00 to $63.00 and others offering varying ratings, resulting in a consensus rating of "Moderate Buy."
• Institutional investors now hold 95.18% of V2X's shares, indicating strong institutional support for the company following notable trading activity during recent quarters.

V2X, Inc. (NYSE:VVX - Get Free Report) shares gapped up prior to trading on Tuesday following a stronger than expected earnings report. The stock had previously closed at $48.50, but opened at $54.75. V2X shares last traded at $53.64, with a volume of 77,995 shares.

The company reported $1.33 earnings per share for the quarter, topping the consensus estimate of $1.00 by $0.33. V2X had a return on equity of 15.28% and a net margin of 1.63%. The company had revenue of $1.08 billion during the quarter, compared to analysts' expectations of $1.06 billion. During the same period in the prior year, the firm earned $0.83 earnings per share. V2X's revenue for the quarter was up .6% compared to the same quarter last year.

Wall Street Analysts Forecast Growth

Several brokerages recently commented on VVX. Stifel Nicolaus set a $63.00 price target on V2X and gave the company a "buy" rating in a research report on Tuesday. Truist Financial dropped their price objective on V2X from $68.00 to $55.00 and set a "buy" rating on the stock in a research note on Monday, April 14th. Wall Street Zen upgraded V2X from a "hold" rating to a "buy" rating in a research note on Saturday. Finally, Morgan Stanley initiated coverage on V2X in a research note on Wednesday, April 16th. They issued an "underweight" rating and a $51.00 price objective on the stock. Two equities research analysts have rated the stock with a sell rating, one has given a hold rating, eight have given a buy rating and one has given a strong buy rating to the stock. Based on data from MarketBeat, the stock has a consensus rating of "Moderate Buy" and an average target price of $63.60.

Insider Buying and Selling at V2X

In other news, SVP Richard L. Jr. Caputo sold 4,000 shares of the stock in a transaction that occurred on Thursday, June 5th. The stock was sold at an average price of $44.43, for a total transaction of $177,720.00. Following the transaction, the senior vice president owned 15,869 shares in the company, valued at approximately $705,059.67. This trade represents a 20.13% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. Company insiders own 1.10% of the company's stock.

Institutional Inflows and Outflows

Several hedge funds have recently made changes to their positions in VVX. FMR LLC boosted its stake in V2X by 23.8% during the 4th quarter. FMR LLC now owns 3,712,196 shares of the company's stock valued at $177,554,000 after purchasing an additional 714,722 shares during the last quarter. Vanguard Group Inc. boosted its stake in shares of V2X by 2.8% in the 1st quarter. Vanguard Group Inc. now owns 923,334 shares of the company's stock worth $45,290,000 after buying an additional 25,222 shares during the last quarter. Dimensional Fund Advisors LP boosted its stake in shares of V2X by 12.5% in the 4th quarter. Dimensional Fund Advisors LP now owns 878,820 shares of the company's stock worth $42,035,000 after buying an additional 97,399 shares during the last quarter. Simcoe Capital Management LLC boosted its stake in shares of V2X by 252.8% in the 4th quarter. Simcoe Capital Management LLC now owns 732,940 shares of the company's stock worth $35,057,000 after buying an additional 525,204 shares during the last quarter. Finally, Victory Capital Management Inc. boosted its stake in shares of V2X by 61.1% in the 1st quarter. Victory Capital Management Inc. now owns 469,724 shares of the company's stock worth $23,040,000 after buying an additional 178,136 shares during the last quarter. 95.18% of the stock is owned by institutional investors.

V2X Price Performance

The business has a 50 day moving average price of $47.60 and a two-hundred day moving average price of $48.30. The stock has a market cap of $1.61 billion, a PE ratio of 23.10, a P/E/G ratio of 0.58 and a beta of 0.27. The company has a debt-to-equity ratio of 1.02, a quick ratio of 1.16 and a current ratio of 1.20.

V2X Company Profile

V2X, Inc provides critical mission solutions and support services to defense clients worldwide. It offers a suite of integrated solutions across the operations and logistics, aerospace, training, and technology markets to national security, defense, civilian, and international clients. The company was incorporated in 2014 and is headquartered in Mclean, Virginia.