V2X, Inc. (VVX) stock analysis

P/E below its 5-year median

V2X's P/E of 25.6 is below its own 5-year median of 26.8.

P/E above the industry

V2X's P/E of 25.6 is above the Management and Public Relations Services median of 25.4.

EV/EBITDA below its 5-year median

V2X's EV/EBITDA of 15.8 is below its 5-year median of 15.9.

P/B above the industry

V2X's price-to-book of 2.15 is above the Management and Public Relations Services median of 2.11.

Trading above fair value

The share price of $80.28 is above our fair value estimate of $73.71.

Margin of safety under 20%

The price is 8.9% above fair value, so there is no margin of safety.

Revenue growing 10%+ a year

Revenue grew 15.7% a year over the last three fiscal years.

EPS growth over 3 years

Needs positive EPS three years ago and today.

Earnings growth accelerating

Net income grew 23.8% over the last twelve months, against a 5-year average of 16.1% a year.

Growing faster than the industry

Revenue grew 13.2% over the last twelve months; the Management and Public Relations Services median is 7.2%.

Guidance raised

V2X raised its Updated 2026 Guidance Revenue outlook on Aug 3, 2026.

Gross margin slipping

Gross margin was 8.5% over the last twelve months, against 8.5% a year earlier.

Return on equity under 15%

Return on equity was 8.8% over the last twelve months and averaged 4.1% over five years; we look for 15% on both.

Return on capital under 10%

Return on invested capital was 8.2%, below the 10% that usually covers the cost of capital.

Return on equity above the industry

V2X's return on equity of 8.8% is above the Management and Public Relations Services median of 0.4%.

Earnings grew over 5 years

Net income grew 16.1% a year on average over the last five fiscal years.

Net margin above its 5-year average

Net margin was 2.0% over the last twelve months, against a 5-year average of 0.8%.

Net margin above the industry

V2X's net margin of 2.0% is above the Management and Public Relations Services median of 0.2%.

High debt

Debt is 89.8% of shareholders' equity, above the 40% we consider low.

Debt rising against equity

Debt to equity rose from 58.2% five years ago to 89.8%.

Debt not well covered by cash flow

Operating cash flow over the last twelve months equals 16.0% of total debt; we look for at least 20%.

Interest coverage

Interest expense is not reported separately.

Short-term assets cover short-term debts

Current assets are 1.36 times current liabilities.

Bankruptcy risk in the grey zone

The Altman Z-score is 2.81; above 3 is the safe zone and below 1.8 the distress zone.

No dividend

V2X has not paid a dividend in the last twelve months.

Yield against Treasuries

No dividend.

Yield against the market

No dividend.

Dividend stability

No dividend.

Earnings cover

No dividend.

Cash-flow cover

No dividend.