Breaking Down Vulcan Materials: 5 Analysts Share Their Views

Providing a diverse range of perspectives from bullish to bearish, 5 analysts have published ratings on Vulcan Materials VMC in the last three months.

The table below provides a concise overview of recent ratings by analysts, offering insights into the changing sentiments over the past 30 days and drawing comparisons with the preceding months for a holistic perspective.

Analysts have set 12-month price targets for Vulcan Materials, revealing an average target of $242.4, a high estimate of $279.00, and a low estimate of $208.00. A decline of 2.13% from the prior average price target is evident in the current average.

Analyzing Analyst Ratings: A Detailed Breakdown

The standing of Vulcan Materials among financial experts is revealed through an in-depth exploration of recent analyst actions. The summary below outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.

Key Insights:

• Action Taken: Analysts frequently update their recommendations based on evolving market conditions and company performance. Whether they 'Maintain', 'Raise' or 'Lower' their stance, it reflects their reaction to recent developments related to Vulcan Materials. This information provides a snapshot of how analysts perceive the current state of the company.
• Rating: Analyzing trends, analysts offer qualitative evaluations, ranging from 'Outperform' to 'Underperform'. These ratings convey expectations for the relative performance of Vulcan Materials compared to the broader market.
• Price Targets: Delving into movements, analysts provide estimates for the future value of Vulcan Materials's stock. This analysis reveals shifts in analysts' expectations over time.

Capture valuable insights into Vulcan Materials's market standing by understanding these analyst evaluations alongside pertinent financial indicators. Stay informed and make strategic decisions with our Ratings Table.

Stay up to date on Vulcan Materials analyst ratings.

Delving into Vulcan Materials's Background

Vulcan Materials is the United States' largest producer of construction aggregates (crushed stone, sand, and gravel). Its largest markets include Texas, California, Virginia, Tennessee, Georgia, Florida, North Carolina, and Alabama. In 2022, Vulcan sold 263.4 million tons of aggregates, 12.2 million tons of asphalt mix, and 10.5 million cubic yards of ready-mix. As of Dec. 31, 2022, the company had nearly 16 billion tons of aggregates reserves.

Breaking Down Vulcan Materials's Financial Performance

Market Capitalization: Boasting an elevated market capitalization, the company surpasses industry averages. This signals substantial size and strong market recognition.

Revenue Growth: Over the 3 months period, Vulcan Materials showcased positive performance, achieving a revenue growth rate of 4.67% as of 30 September, 2023. This reflects a substantial increase in the company's top-line earnings. In comparison to its industry peers, the company trails behind with a growth rate lower than the average among peers in the Materials sector.

Net Margin: Vulcan Materials's net margin is below industry standards, pointing towards difficulties in achieving strong profitability. With a net margin of 12.65%, the company may encounter challenges in effective cost control.

Return on Equity (ROE): The company's ROE is below industry benchmarks, signaling potential difficulties in efficiently using equity capital. With an ROE of 3.78%, the company may need to address challenges in generating satisfactory returns for shareholders.

Return on Assets (ROA): Vulcan Materials's ROA falls below industry averages, indicating challenges in efficiently utilizing assets. With an ROA of 1.91%, the company may face hurdles in generating optimal returns from its assets.

Debt Management: With a high debt-to-equity ratio of 0.59, Vulcan Materials faces challenges in effectively managing its debt levels, indicating potential financial strain.

What Are Analyst Ratings?

Benzinga tracks 150 analyst firms and reports on their stock expectations. Analysts typically arrive at their conclusions by predicting how much money a company will make in the future, usually the upcoming five years, and how risky or predictable that company's revenue streams are.

Analysts attend company conference calls and meetings, research company financial statements, and communicate with insiders to publish their ratings on stocks. Analysts typically rate each stock once per quarter or whenever the company has a major update.

Analysts may enhance their evaluations by incorporating forecasts for metrics like growth estimates, earnings, and revenue, delivering additional guidance to investors. It is vital to acknowledge that, although experts in stocks and sectors, analysts are human and express their opinions when providing insights.

This article was generated by Benzinga's automated content engine and reviewed by an editor.