VSE Corporation (NASDAQ:VSEC) Sees Large Increase in Short Interest

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) saw a large increase in short interest in the month of July. As of July 15th, there was short interest totaling 1,690,000 shares, anincreaseof1,689,900.0% from the June 30th total of 100 shares. Based on an average trading volume of 224,000 shares, the short-interest ratio is currently 7.5 days. Based on an average trading volume of 224,000 shares, the short-interest ratio is currently 7.5 days.

Analyst Upgrades and Downgrades

Several research analysts have issued reports on the stock. Truist Financial lifted their target price on shares of VSE from $130.00 to $140.00 and gave the stock a "buy" rating in a report on Thursday, May 8th. Royal Bank Of Canada lifted their target price on shares of VSE from $150.00 to $180.00 and gave the stock an "outperform" rating in a report on Friday. Finally, B. Riley lifted their target price on shares of VSE from $145.00 to $150.00 and gave the stock a "buy" rating in a report on Thursday, May 8th. One research analyst has rated the stock with a sell rating and four have given a buy rating to the company's stock. Based on data from MarketBeat, VSE presently has a consensus rating of "Moderate Buy" and a consensus target price of $145.00.

VSE Stock Performance

Shares of VSEC traded down $0.23 during mid-day trading on Tuesday, hitting $156.62. 100,599 shares of the company traded hands, compared to its average volume of 243,715. 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 stock has a 50-day moving average price of $133.58 and a two-hundred day moving average price of $120.60. VSE has a 1 year low of $76.77 and a 1 year high of $161.60. The stock has a market cap of $3.24 billion, a price-to-earnings ratio of 141.02 and a beta of 1.33.

VSE (NASDAQ:VSEC - Get Free Report) last released its quarterly earnings data on Wednesday, July 30th. The construction company reported $0.97 earnings per share for the quarter, beating the consensus estimate of $0.69 by $0.28. VSE had a net margin of 1.94% and a return on equity of 7.37%. The firm had revenue of $272.14 million during the quarter, compared to analysts' expectations of $267.39 million. During the same period in the previous year, the company earned $0.47 earnings per share. The firm's quarterly revenue was up 41.1% on a year-over-year basis. Equities analysts anticipate that VSE will post 2.96 earnings per share for the current year.

VSE Announces Dividend

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

Insider Transactions at VSE

In related news, Director Anita D. Britt sold 2,869 shares of VSE stock in a transaction dated Friday, May 9th. The shares were sold at an average price of $129.38, for a total transaction of $371,191.22. Following the completion of the transaction, the director directly 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 sale was disclosed in a legal filing with the SEC, which is available at this hyperlink. 14.60% of the stock is currently owned by company insiders.

Institutional Trading of VSE

Several large investors have recently added to or reduced their stakes in VSEC. T. Rowe Price Investment Management Inc. grew its position in 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 valued at $192,689,000 after buying an additional 698,642 shares during the period. Neuberger Berman Group LLC boosted its position in shares of VSE by 100.5% in the first quarter. Neuberger Berman Group LLC now owns 755,461 shares of the construction company's stock worth $90,648,000 after purchasing an additional 378,661 shares during the period. Ameriprise Financial Inc. boosted its position in shares of VSE by 48.5% in the first quarter. Ameriprise Financial Inc. now owns 1,063,832 shares of the construction company's stock worth $127,654,000 after purchasing an additional 347,664 shares during the period. Capital Research Global Investors lifted its holdings in shares of VSE by 16.8% in the fourth quarter. Capital Research Global Investors now owns 1,794,069 shares of the construction company's stock worth $170,616,000 after buying an additional 258,674 shares in the last quarter. Finally, Fred Alger Management LLC purchased a new position in shares of VSE in the fourth quarter worth $24,530,000. 91.54% of the stock is currently owned by institutional investors.

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.