VMT
ConstructionValuation Breakdown
Construction and industrial firms have characteristics of both cyclical businesses (lumpy project-based revenue) and growth companies (expanding order books). This model blends two approaches 50/50: EV/EBITDA valuation (captures current earning power relative to peers) and FCF-based DCF (captures future cash generation potential). If EV/EBITDA produces a negative value (debt exceeds enterprise value), only DCF is used.
Valuation Track Record
Retroactive intrinsic value vs actual close price — VMT
Earnings Quality
Fiscal year 2024
Financial Forensics
Beneish M-Score · 2024
VMT exhibits several concerning financial metrics, particularly with a Beneish M-Score of -3.4856, indicating a low likelihood of earnings manipulation. However, the earnings quality score of 43.4/100, driven by poor receivables and revenue metrics, raises red flags regarding the sustainability of reported earnings.
- Beneish M-Score of -3.4856 suggests low risk of manipulation, but an Earnings Quality Score of 43.4/100 indicates potential issues with revenue recognition.
- Receivables quality at 12.5/100 and revenue quality at 0.0/100 highlight significant concerns about the company's ability to convert sales into cash.
- SGA (Selling, General and Administrative Expenses) Index at 1.3505 indicates that expenses are growing faster than sales, which could pressure margins.
- Cash conversion score of 100.0/100 suggests strong cash flow generation despite lower earnings quality.
- DSRI of 0.9654 indicates that the company is managing its inventory effectively relative to sales.
The ownership structure is heavily concentrated among institutional shareholders, with the top four institutions holding a combined 70.2%. This concentration could lead to governance risks if interests diverge from minority shareholders.
Investors should closely monitor VMT's cash flow and earnings quality metrics while considering a cautious approach due to elevated risks. A deeper analysis of operational efficiency and revenue recognition practices is advisable before making significant investment decisions.
Generated by AI based on quantitative data. Not financial advice.
Quantitative Scores
Key Ratios
Company Overview
// OWNERSHIP_NETWORK
> mapping common ownership for VMT — hover nodes for intel, click to navigate