VSE (NASDAQ:VSEC) Stock Price Up 9.2% on Better-Than-Expected Earnings

Key Points

Error: Response status code does not indicate success: 429 (Too Many Requests).

VSE Corporation (NASDAQ:VSEC - Get Free Report) shot up 9.2% during mid-day trading on Thursday after the company announced better than expected quarterly earnings. The stock traded as high as $157.29 and last traded at $154.45. 134,549 shares traded hands during mid-day trading, a decline of 44% from the average session volume of 240,417 shares. The stock had previously closed at $141.48.

The construction company reported $0.97 EPS 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 analyst estimates of $267.39 million. During the same quarter in the prior year, the firm earned $0.47 EPS. The business's revenue for the quarter was up 41.1% compared to the same quarter last year.

VSE Announces Dividend

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

Analyst Ratings Changes

Several research firms have recently commented on VSEC. Truist Financial upped their price target on shares of VSE from $130.00 to $140.00 and gave the company a "buy" rating in a research report on Thursday, May 8th. B. Riley raised their price objective on VSE from $145.00 to $150.00 and gave the stock a "buy" rating in a research note on Thursday, May 8th. Finally, Royal Bank Of Canada raised their price objective on VSE from $150.00 to $180.00 and gave the stock an "outperform" rating in a research note on Friday. One research analyst has rated the stock with a sell rating and five have issued a buy rating to the company's stock. According to data from MarketBeat, VSE presently has a consensus rating of "Moderate Buy" and a consensus price target of $136.00.

Insider Activity at VSE

In other news, Director Anita D. Britt sold 2,869 shares of the firm's 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 transaction, 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 ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink. 14.60% of the stock is owned by company insiders.

Institutional Trading of VSE

Several institutional investors and hedge funds have recently added to or reduced their stakes in VSEC. T. Rowe Price Investment Management Inc. raised its stake in VSE by 52.6% during the 4th 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 purchasing an additional 698,642 shares during the period. Neuberger Berman Group LLC raised its stake in VSE by 100.5% during the 1st quarter. Neuberger Berman Group LLC now owns 755,461 shares of the construction company's stock valued at $90,648,000 after purchasing an additional 378,661 shares during the period. Ameriprise Financial Inc. raised its stake in VSE by 48.5% during the 1st quarter. Ameriprise Financial Inc. now owns 1,063,832 shares of the construction company's stock valued at $127,654,000 after purchasing an additional 347,664 shares during the period. Capital Research Global Investors raised its stake in VSE by 16.8% during the 4th quarter. Capital Research Global Investors now owns 1,794,069 shares of the construction company's stock valued at $170,616,000 after purchasing an additional 258,674 shares during the period. Finally, Fred Alger Management LLC bought a new stake in VSE during the 4th quarter valued at approximately $24,530,000. Institutional investors own 91.54% of the company's stock.

VSE Price Performance

The firm has a 50 day moving average of $132.97 and a 200-day moving average of $119.96. The company has a market cap of $3.02 billion, a P/E ratio of 130.60 and a beta of 1.26. The company has a current ratio of 3.90, a quick ratio of 2.12 and a debt-to-equity ratio of 0.47.

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.