Vulcan Materials Co (VMC) Stock Analysis
Verdict: WATCH (do not buy)
VMC's aggregate pricing power is offset by extreme valuation (P/E 28.6x vs EXP 14.0x) and insider selling near multi-year lows.
Investment score: 46/100
Analysis as of
Is Vulcan Materials Co stock worth reviewing? The TradeMates thesis
The model sees Vulcan Materials as a high-quality infrastructure play facing valuation compression. While gross margins of 27.5% and 2025 FCF of $1.14B reflect high pricing power, a P/E of 28.6x and technical breakdown toward the $241.77 52-week low suggest waiting for better valuation support near $214.01 before new allocation.
7-factor investment score
- Valuation: 35/100 (weight 20%)
- Financial Health: 75/100 (weight 15%)
- Technical Momentum: 25/100 (weight 15%)
- Earnings Quality: 60/100 (weight 15%)
- Insider Sentiment: 20/100 (weight 10%)
- Analyst Consensus: 65/100 (weight 10%)
- Risk-Adjusted Return: 45/100 (weight 15%)
Vulcan Materials Co opportunities and risks
What speaks for VMC
- High pricing power in aggregates driving margin retention
What speaks against VMC
- Severe valuation premium relative to direct heavy-materials peers
Peers and competitors
| Ticker | P/E | P/S | EV/EBITDA | Gross margin | Net margin | FCF yield |
|---|---|---|---|---|---|---|
| VMC | 28.6x | 3.9x | 14.1x | 27.4% | 13.8% | 3.3% |
| MLM | 12.1x | 4.4x | 17.0x | 28.2% | 36.8% | 2.7% |
| EXP | 14.0x | 2.4x | 9.5x | 27.0% | 17.3% | 3.1% |
| USLM | 24.8x | 8.9x | 15.6x | 48.5% | 35.7% | 2.7% |
| KNF | 22.2x | 0.9x | 10.8x | 17.9% | 4.2% | 1.4% |
| Peer median | 18.1x | 3.4x | 13.2x | 27.6% | 26.5% | 2.7% |
Frequently asked questions about Vulcan Materials Co (VMC)
Is VMC stock a good investment?
The TradeMates model rates Vulcan Materials Co as WATCH (do not buy) with an investment score of 46/100. The model sees Vulcan Materials as a high-quality infrastructure play facing valuation compression. While gross margins of 27.5% and 2025 FCF of $1.14B reflect high pricing power, a P/E of 28.6x and technical breakdown toward the $241.77 52-week low suggest waiting for better valuation support near $214.01 before new allocation. This is algorithmic model output, not personal investment advice.
Is VMC stock a buy?
The TradeMates model verdict for VMC is WATCH (do not buy) with an investment score of 46/100. Treat this as a model signal to review, not a personal buy recommendation.