Latest Ratios: P/E Ratio 46.4x · EV/EBITDA 18.7x · ROE 4.4%. (1996–2025 historical series)
Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Market Cap | $4.8B | $3.7B | $1.7B | $916M | $601M | $770M | $425M | $420M | $327M | $526M | $421M |
| Enterprise Value | $5.1B | $3.9B | $2.2B | $1.4B | $910M | $1.1B | $702M | $718M | $508M | $719M | $657M |
| P/E Ratio → | 46.40 | 68.56 | 55.94 | 23.41 | 21.41 | 96.73 | — | 11.36 | 9.32 | 13.45 | 15.72 |
| P/S Ratio | 3.00 | 3.30 | 1.58 | 1.07 | 0.90 | 1.03 | 0.64 | 0.56 | 0.47 | 0.69 | 0.61 |
| P/B Ratio | 2.55 | 2.55 | 1.73 | 1.49 | 1.34 | 1.84 | 1.19 | 1.16 | 1.00 | 1.80 | 1.65 |
| P/FCF | 176.57 | 642.39 | — | — | — | — | 13.55 | 50.23 | 20.78 | 11.28 | 10.35 |
| P/OCF | 179.64 | 135.88 | — | — | 74.70 | — | 11.88 | 23.35 | 17.35 | 10.44 | 8.91 |
P/E links to full P/E history page with 30-year chart
Enterprise-value multiples — capital-structure-neutral measures of total business value
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| EV / Revenue | — | 3.54 | 2.00 | 1.59 | 1.36 | 1.45 | 1.06 | 0.95 | 0.73 | 0.95 | 0.95 |
| EV / EBITDA | 18.73 | 23.90 | 16.47 | 11.88 | 11.63 | 23.07 | 8.71 | 8.02 | 6.49 | 8.96 | 8.47 |
| EV / EBIT | 40.98 | 43.98 | 26.60 | 15.55 | 16.97 | 50.51 | 50.44 | 11.91 | 9.37 | 13.23 | 12.75 |
| EV / FCF | — | 690.28 | — | — | — | — | 22.41 | 85.79 | 32.28 | 15.40 | 16.16 |
Margins and return-on-capital ratios measuring operating efficiency
Full margin charts and quarterly trend are on the Earnings History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross Margin | 11.9% | 11.9% | 10.0% | 11.1% | 8.6% | 3.3% | 8.7% | 8.6% | 8.1% | 7.5% | 8.4% |
| Operating Margin | 11.2% | 11.2% | 9.5% | 10.7% | 8.0% | 2.9% | 8.5% | 8.3% | 7.6% | 7.1% | 7.4% |
| Net Profit Margin | 4.8% | 4.8% | 2.8% | 4.5% | 4.2% | 1.1% | -0.8% | 4.9% | 5.0% | 5.1% | 3.9% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| ROE | 4.4% | 4.4% | 3.8% | 7.3% | 6.5% | 2.1% | -1.4% | 10.7% | 11.3% | 14.3% | 11.1% |
| ROA | 2.8% | 2.8% | 2.0% | 3.3% | 2.9% | 0.9% | -0.6% | 5.0% | 5.5% | 6.1% | 4.2% |
| ROIC | 5.9% | 5.9% | 6.1% | 7.5% | 5.4% | 2.4% | 6.6% | 8.0% | 8.0% | 8.3% | 7.9% |
| ROCE | 7.7% | 7.7% | 8.2% | 10.0% | 7.1% | 3.1% | 8.5% | 10.3% | 10.1% | 10.6% | 9.9% |
Solvency and debt-coverage ratios — lower is generally safer
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Debt / Equity | 0.24 | 0.24 | 0.49 | 0.74 | 0.69 | 0.76 | 0.78 | 0.82 | 0.55 | 0.66 | 0.93 |
| Debt / EBITDA | 2.08 | 2.08 | 3.69 | 3.99 | 3.95 | 6.74 | 3.45 | 3.33 | 2.31 | 2.41 | 3.05 |
| Net Debt / Equity | — | 0.19 | 0.46 | 0.73 | 0.69 | 0.76 | 0.78 | 0.82 | 0.55 | 0.66 | 0.93 |
| Net Debt / EBITDA | 1.66 | 1.66 | 3.47 | 3.92 | 3.94 | 6.73 | 3.44 | 3.32 | 2.31 | 2.40 | 3.04 |
| Debt / FCF | — | 47.90 | — | — | — | — | 8.86 | 35.56 | 11.50 | 4.12 | 5.81 |
| Interest Coverage | 4.36 | 4.36 | 2.33 | 2.83 | 3.00 | 1.78 | 1.03 | 4.36 | 6.04 | 5.88 | 5.23 |
Short-term solvency ratios and asset-utilisation metrics
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Current Ratio | 3.76 | 3.76 | 3.10 | 2.70 | 2.44 | 2.58 | 2.55 | 2.16 | 2.68 | 2.18 | 1.74 |
| Quick Ratio | 1.43 | 1.43 | 1.06 | 0.95 | 0.75 | 0.79 | 0.73 | 0.83 | 1.09 | 1.02 | 0.82 |
| Cash Ratio | 0.29 | 0.29 | 0.10 | 0.03 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.01 | 0.00 |
| Asset Turnover | — | 0.55 | 0.62 | 0.64 | 0.67 | 0.82 | 0.85 | 0.89 | 1.09 | 1.21 | 1.05 |
| Inventory Turnover | 1.77 | 1.77 | 1.69 | 1.53 | 1.61 | 2.25 | 2.38 | 3.15 | 3.85 | 5.30 | 4.65 |
| Days Sales Outstanding | — | 76.20 | 76.89 | 57.69 | 53.44 | 54.10 | 44.43 | 56.70 | 53.01 | 47.22 | 53.40 |
Earnings, FCF, buyback, and dividend yields — total returns to shareholders
Full dividend history and growth charts are on the Dividend History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Dividend Yield | 0.2% | 0.2% | 0.4% | 0.6% | 0.8% | 0.6% | 0.9% | 0.9% | 1.0% | 0.5% | 0.6% |
| Payout Ratio | 15.4% | 15.4% | 23.1% | 13.9% | 18.2% | 55.6% | — | 10.1% | 9.3% | 7.2% | 9.3% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings Yield | 2.2% | 1.5% | 1.8% | 4.3% | 4.7% | 1.0% | — | 8.8% | 10.7% | 7.4% | 6.4% |
| FCF Yield | 0.6% | 0.2% | — | — | — | — | 7.4% | 2.0% | 4.8% | 8.9% | 9.7% |
| Buyback Yield | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 0.2% | 0.2% | 0.0% | 0.1% | 0.1% |
| Total Shareholder Yield | 0.2% | 0.2% | 0.4% | 0.6% | 0.8% | 0.6% | 1.1% | 1.1% | 1.0% | 0.6% | 0.7% |
| Shares Outstanding | — | $21M | $18M | $14M | $13M | $13M | $11M | $11M | $11M | $11M | $11M |
Includes 30+ ratios · 30 years · Updated daily
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Quick answers to the most common questions about buying VSEC stock.
VSE Corporation's current P/E ratio is 46.4x. The historical average is 20.8x. This places it at the 89th percentile of its historical range.
VSE Corporation's current EV/EBITDA is 18.7x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 8.4x.
VSE Corporation's return on equity (ROE) is 4.4%. The historical average is 11.8%.
Based on historical data, VSE Corporation is trading at a P/E of 46.4x. This is at the 89th percentile of its historical P/E range. Compare with industry peers and growth rates for a complete picture.
VSE Corporation's current dividend yield is 0.23% with a payout ratio of 15.4%.
VSE Corporation has 11.9% gross margin and 11.2% operating margin. Operating margin between 10-20% is typical for established companies.
VSE Corporation's Debt/EBITDA ratio is 2.1x, indicating moderate leverage. A ratio between 2-4x is manageable but warrants monitoring.
Key Metrics
Top Statement Risk
Acquisition-driven ratio distortion
Metrics are mathematically derived from official filings.
Premium Multiples Price in Unverified Growth
According to the reported figures, VSEC trades at 68.6x trailing earnings and 31.1x trailing EV/EBITDA, multiples that sit well above the 23.9x to 37.3x P/E range of profitable peers and imply a growth trajectory not yet visible in the 3.0% trailing revenue rate.
The forward P/E of 25.5x and forward EV/EBITDA of 19.5x suggest the market is capitalizing a substantial earnings recovery rather than current run-rate profitability. Because the trailing 4.8% net margin and 4.4% ROE do not yet support a premium multiple, valuation appears to rest on management's organic growth claims and expected integration benefits, which investors should monitor against the next filing. The 849x price-to-free-cash-flow multiple further indicates that current cash generation provides little valuation support.
Margin Expansion Masked by Earnings Gap
Based on reported quarterly figures, gross margin expanded from 10.0% in 2024Q2 to 17.9% in 2026Q3 and operating margin reached 14.3%, yet net margin of 8.7% and the 2026Q3 EPS miss suggest meaningful below-the-line drag.
Operating margin improvement across the ten quarters is directionally encouraging, but the persistent spread between operating and net margin implies interest expense, amortization, or tax effects are absorbing a material share of operating profit. Relative to TransDigm's roughly 23.5% net margin and Kadant's 9.7%, VSEC's earnings power remains structurally thinner, consistent with a distribution-weighted model. Investors should treat the 14.3% operating margin as the more representative indicator of underlying earning power until the reconciliation between operating and net income is clarified.
Low Debt Ratios Mask Acquisition Leverage
As reported in financial statements, VSEC's debt-to-equity of 0.35 and interest coverage of 5.5x in 2026Q3 appear comfortable, yet total debt rose from $417M to $1.0B over the period, a step-change that the ratio averages may understate.
The debt-to-EBITDA ratio of 9.6x in 2026Q3, down from 14.2x in 2025Q1, indicates that leverage relative to earnings has been elevated and is only now normalizing as trailing EBITDA catches up with acquired debt. Coverage has fluctuated widely, from 0.26x in 2024Q2 to 23.4x in 2026Q1, so the trend is unstable rather than improving in a linear way. Refinancing and covenant terms are not disclosed in the supplied data, so the adequacy of this debt load cannot be fully assessed.
Working Capital Stretch Lengthens Cash Cycle
According to the reported figures, VSEC's cash conversion cycle widened from 187 days in 2025Q2 to 207 days in 2026Q1, driven by days inventory rising to 182 and days payable to 41, pointing to a working capital build that absorbed cash.
A cash conversion cycle near 200 days, with inventory sitting above 180 days, suggests the Aviation parts business carries heavy inventory against slow-moving demand, a profile consistent with the working capital drains noted in the cash flow analysis. The compression to 196 days in 2026Q3 is a favorable turn but is not yet long enough to confirm a durable improvement. Supplier financing via payables at roughly 41 days provides limited offset relative to the inventory burden.
Misapplied P/E in Acquisition-Driven Growth
The trailing P/E ratio is most commonly misapplied to VSEC because reported earnings are distorted by acquisition accounting, amortization, and integration costs, which can make a 68.6x multiple look expensive or cheap depending on the period chosen.
Trailing P/E obscures the fact that net income is depressed by non-cash amortization and one-time deal costs, while the quarterly EPS miss against a $1.83 consensus shows how sensitive the figure is to timing. A more informative lens is EV/EBITDA adjusted for acquired-intangible amortization, or free cash flow to equity normalized for working capital swings. Analysts should reconcile these adjusted measures before relying on any single multiple to judge valuation.