The Analyst Landscape: 5 Takes On Vulcan Materials

Vulcan Materials VMC underwent analysis by 5 analysts in the last quarter, revealing a spectrum of viewpoints from bullish to bearish.

In the table below, you'll find a summary of their recent ratings, revealing the shifting sentiments over the past 30 days and comparing them to the previous months.

The 12-month price targets, analyzed by analysts, offer insights with an average target of $237.6, a high estimate of $279.00, and a low estimate of $208.00. A 1.0% drop is evident in the current average compared to the previous average price target of $240.00.

Breaking Down Analyst Ratings: A Detailed Examination

In examining recent analyst actions, we gain insights into how financial experts perceive Vulcan Materials. The following summary 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: Offering a comprehensive view, analysts assess stocks qualitatively, spanning 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.

Assessing these analyst evaluations alongside crucial financial indicators can provide a comprehensive overview of Vulcan Materials's market position. Stay informed and make well-judged decisions with the assistance of 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.

Vulcan Materials: A Financial Overview

Market Capitalization Analysis: The company's market capitalization is above the industry average, indicating that it is relatively larger in size compared to peers. This may suggest a higher level of investor confidence and market recognition.

Positive Revenue Trend: Examining Vulcan Materials's financials over 3 months reveals a positive narrative. The company achieved a noteworthy revenue growth rate of 4.67% as of 30 September, 2023, showcasing a substantial increase in 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 averages, indicating potential challenges in maintaining strong profitability. With a net margin of 12.65%, the company may face hurdles in effective cost management.

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 is below industry averages, indicating potential challenges in efficiently utilizing assets. With an ROA of 1.91%, the company may face hurdles in achieving optimal financial returns.

Debt Management: Vulcan Materials's debt-to-equity ratio surpasses industry norms, standing at 0.59. This suggests the company carries a substantial amount of debt, posing potential financial challenges.

The Significance of Analyst Ratings Explained

Ratings come from analysts, or specialists within banking and financial systems that report for specific stocks or defined sectors (typically once per quarter for each stock). Analysts usually derive their information from company conference calls and meetings, financial statements, and conversations with important insiders to reach their decisions.

Beyond their standard evaluations, some analysts contribute predictions for metrics like growth estimates, earnings, and revenue, furnishing investors with additional guidance. Users of analyst ratings should be mindful that this specialized advice is shaped by human perspectives and may be subject to variability.

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