Short Interest in VSE Corporation (NASDAQ:VSEC) Increases By 1,689,900.0%

Key Points

• Short interest for VSE Corporation surged dramatically in July, rising by 1,689,900.0% to a total of 1,690,000 shares, leading to a days-to-cover ratio of 7.5 days.
• Analysts have raised their price targets for VSE, with Royal Bank of Canada increasing it from $150 to $180, resulting in an average target of $136 and a stock rating of "Moderate Buy."
• VSE announced a quarterly dividend of $0.10 per share, with a 50.00% payout ratio, which will be paid on October 29th to stockholders of record on October 15th.

VSE Corporation (NASDAQ:VSEC - Get Free Report) was the recipient of a large growth in short interest in the month of July. As of July 15th, there was short interest totaling 1,690,000 shares, agrowthof1,689,900.0% from the June 30th total of 100 shares. Based on an average daily volume of 224,000 shares, the days-to-cover ratio is currently 7.5 days. Based on an average daily volume of 224,000 shares, the days-to-cover ratio is currently 7.5 days.

Analysts Set New Price Targets

VSEC has been the topic of several recent research reports. Truist Financial lifted their price target on VSE from $130.00 to $140.00 and gave the company a "buy" rating in a research note on Thursday, May 8th. Royal Bank Of Canada raised their price objective on VSE from $150.00 to $180.00 and gave the company an "outperform" rating in a report on Friday. Finally, B. Riley raised their price objective on VSE from $145.00 to $150.00 and gave the company a "buy" rating in a report on Thursday, May 8th. One analyst has rated the stock with a sell rating and four have issued a buy rating to the company. According to data from MarketBeat, the stock currently has a consensus rating of "Moderate Buy" and an average price target of $145.00.

Insider Activity

In other VSE news, Director Anita D. Britt sold 2,869 shares of VSE stock in a transaction dated Friday, May 9th. The stock was sold at an average price of $129.38, for a total value of $371,191.22. Following the sale, the director owned 3,837 shares of the company's stock, valued at $496,431.06. This trade represents a 42.78% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available through the SEC website. 14.60% of the stock is owned by corporate insiders.

Hedge Funds Weigh In On VSE

A number of hedge funds and other institutional investors have recently bought and sold shares of VSEC. T. Rowe Price Investment Management Inc. boosted its holdings in shares of VSE by 52.6% during the fourth quarter. T. Rowe Price Investment Management Inc. now owns 2,026,164 shares of the construction company's stock worth $192,689,000 after acquiring an additional 698,642 shares during the period. Neuberger Berman Group LLC boosted its holdings in shares of VSE by 100.5% during the first quarter. Neuberger Berman Group LLC now owns 755,461 shares of the construction company's stock worth $90,648,000 after acquiring an additional 378,661 shares during the period. Ameriprise Financial Inc. boosted its holdings in shares of VSE by 48.5% during the first quarter. Ameriprise Financial Inc. now owns 1,063,832 shares of the construction company's stock worth $127,654,000 after acquiring an additional 347,664 shares during the period. Capital Research Global Investors boosted its holdings in shares of VSE by 16.8% during the fourth quarter. Capital Research Global Investors now owns 1,794,069 shares of the construction company's stock worth $170,616,000 after acquiring an additional 258,674 shares during the period. Finally, Fred Alger Management LLC bought a new stake in shares of VSE during the fourth quarter worth approximately $24,530,000. Institutional investors own 91.54% of the company's stock.

VSE Stock Performance

VSE stock traded down $10.27 during midday trading on Friday, reaching $146.27. 312,210 shares of the company's stock were exchanged, compared to its average volume of 168,697. VSE has a 52 week low of $73.36 and a 52 week high of $158.11. The company has a debt-to-equity ratio of 0.47, a quick ratio of 2.12 and a current ratio of 3.90. The firm has a market cap of $3.02 billion, a price-to-earnings ratio of 130.60 and a beta of 1.33. The stock's 50-day simple moving average is $132.97 and its 200 day simple moving average is $120.10.

VSE (NASDAQ:VSEC - Get Free Report) last posted its quarterly earnings results on Wednesday, July 30th. The construction company reported $0.97 EPS for the quarter, topping analysts' consensus estimates of $0.69 by $0.28. VSE had a return on equity of 7.37% and a net margin of 1.94%. The business had revenue of $272.14 million during the quarter, compared to analysts' expectations of $267.39 million. During the same quarter last year, the company posted $0.47 earnings per share. VSE's quarterly revenue was up 41.1% on a year-over-year basis. On average, analysts expect that VSE will post 2.96 earnings per share for the current fiscal year.

VSE Dividend Announcement

The firm also recently declared a quarterly dividend, which will be paid on Wednesday, October 29th. Investors of record on Wednesday, October 15th will be issued a dividend of $0.10 per share. The ex-dividend date is Wednesday, October 15th. This represents a $0.40 dividend on an annualized basis and a yield of 0.3%. VSE's dividend payout ratio (DPR) is presently 35.71%.

About VSE

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.