VSE (NASDAQ:VSEC) Lowered to Sell at Zacks Investment Research

Zacks Investment Research lowered shares of VSE (NASDAQ:VSEC) from a hold rating to a sell rating in a research report released on Thursday, Zacks.com reports.

According to Zacks, “VSE Corporation is a diversified Federal Services company of choice for solving issues of global significance with integrity, agility, and value. The company serves as a centralized management and consolidating entity for the Company’s business operations. VSE is dedicated to making its clients successful by delivering talented people and innovative solutions for consulting and program management, logistics, equipment and vehicle/vessel refurbishment, engineering, information technology, energy consulting, and construction program management. VSE has three wholly-owned subsidiaries: Energetics Incorporated, Integrated Concepts and Research Corporation (ICRC), and G&B Solutions, Inc. “

A number of other research firms have also recently issued reports on VSEC. Royal Bank of Canada upped their price target on shares of VSE from $65.00 to $70.00 and gave the company an outperform rating in a report on Friday, November 19th. upped their price target on shares of VSE from $62.00 to $72.00 and gave the company a buy rating in a report on Friday, November 12th. Finally, TheStreet raised shares of VSE from a c rating to a b rating in a research report on Thursday, October 28th. One analyst has rated the stock with a sell rating and five have given a buy rating to the company’s stock. Based on data from MarketBeat.com, the stock presently has an average rating of Buy and an average target price of $67.25.

Shares of NASDAQ:VSEC opened at $57.86 on Thursday. The stock has a market capitalization of $735.52 million, a PE ratio of 82.66 and a beta of 1.49. VSE has a 1 year low of $34.03 and a 1 year high of $65.42. The firm has a fifty day moving average price of $59.44 and a 200 day moving average price of $52.86. The company has a current ratio of 2.76, a quick ratio of 0.87 and a debt-to-equity ratio of 0.68.

VSE (NASDAQ:VSEC) last released its quarterly earnings results on Wednesday, October 27th. The construction company reported $0.76 earnings per share (EPS) for the quarter, beating the Zacks’ consensus estimate of $0.73 by $0.03. VSE had a net margin of 1.13% and a return on equity of 7.21%. The company had revenue of $200.58 million during the quarter, compared to analysts’ expectations of $186.15 million. During the same period in the prior year, the company earned $0.62 earnings per share. On average, sell-side analysts forecast that VSE will post 2.63 earnings per share for the current fiscal year.

The firm also recently declared a quarterly dividend, which will be paid on Wednesday, February 9th. Investors of record on Wednesday, January 26th will be given a $0.10 dividend. This represents a $0.40 annualized dividend and a yield of 0.69%. The ex-dividend date is Tuesday, January 25th. This is a positive change from VSE’s previous quarterly dividend of $0.09. VSE’s dividend payout ratio is 51.43%.

A number of large investors have recently bought and sold shares of VSEC. New York State Common Retirement Fund raised its position in VSE by 9.3% in the second quarter. New York State Common Retirement Fund now owns 10,383 shares of the construction company’s stock worth $514,000 after purchasing an additional 883 shares in the last quarter. Russell Investments Group Ltd. raised its position in VSE by 14.9% in the second quarter. Russell Investments Group Ltd. now owns 24,274 shares of the construction company’s stock worth $1,201,000 after purchasing an additional 3,147 shares in the last quarter. BlackRock Inc. raised its position in VSE by 1.3% in the second quarter. BlackRock Inc. now owns 704,449 shares of the construction company’s stock worth $34,878,000 after purchasing an additional 9,094 shares in the last quarter. The Manufacturers Life Insurance Company raised its position in VSE by 9.0% in the second quarter. The Manufacturers Life Insurance Company now owns 6,617 shares of the construction company’s stock worth $328,000 after purchasing an additional 547 shares in the last quarter. Finally, State of Wisconsin Investment Board acquired a new position in VSE in the second quarter worth about $302,000. 79.34% of the stock is owned by hedge funds and other institutional investors.

About VSE

VSE Corp. is a logistics and services company, which engages in the provision of engineering and technical support services. It operates through the following segments: Aviation, Fleet, and Federal & Defense. The Aviation segment provides international parts supply and distribution, supply chain solutions, and component and engine accessory maintenance, repair and overhaul services supporting global aftermarket commercial and business, and general aviation customers.

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