Is VNT a high-quality business?

AlphaMadera's AlphaQuality grade scores Vontier Corporation on six pillars — profitability, capital efficiency, balance-sheet strength, growth durability, cash generation, and shareholder yield. The composite letter grade reflects how VNT compares to a Buffett-style quality bar.

What is Vontier Corporation's AlphaQuality grade?

AlphaQuality assigns a letter grade (A through F) to VNT based on a six-pillar quantitative model. The live page shows the composite grade plus each pillar's individual score with the underlying metrics.

What makes VNT a quality stock?

AlphaQuality looks at return on capital, free-cash-flow margins, debt-to-equity, revenue stability, dividend and buyback policy, and operating-margin trend. Stocks scoring well across all six pillars earn higher grades — the methodology favors compounders over cyclicals.

VNT - Vontier Corporation

Price: -- -- | CONSENSUS: Buy DETAILS | PRICE TARGET: $42.00 DETAILS

AlphaQuality

Quantitative six-pillar business-quality grade

Stable Earnings Power

AlphaQuality — archetype-weighted quantitative grade

B 71.3 / 100 composite

Composite Grade

Composite of six pillars weighted for stable earnings power businesses. Purely quantitative — no stock price or analyst input.

Profitability

Weight: 20%

B- 65.0

5yr Avg ROIC 13.7% 76/100
Operating Margin Trend -0.25 pp/yr 40/100

Capital Efficiency

Weight: 15%

A+ 98.7

5yr Avg ROE 32.5% 100/100
5yr Share-Count CAGR -3.5% 96/100

Growth Quality

Weight: 15%

D 38.2

5yr Revenue CAGR 0.7% 26/100
5yr EPS CAGR 3.2% 42/100
Revenue-Growth Years (5) 3/5 60/100

Cash Generation

Weight: 15%

A- 83.4

5yr FCF Margin 12.3% 75/100
5yr FCF/NI Conversion 0.93x 93/100

Balance Sheet

Weight: 20%

B 70.7

Net Debt / EBITDA 2.39x 62/100
Interest Coverage (EBIT/Int) 9.39x 83/100
Altman Z-Score 2.84 72/100

Stability

Weight: 15%

B 74.5

EPS Volatility (σ/μ) 0.13 80/100
Piotroski F-Score 7 78/100
Negative-Revenue Years (5) 2/5 60/100

3 of 3 gurus held; 2 added; 1 trimmed; 1 full exit.

Holders: 3
Avg Δ position: +89.5%
New buys: 0
Full exits: 1

Wood sold -100%
Greenblatt increased +265%
Cooperman increased +34%

How this is calculated

AlphaQuality grades six pillars from 0-100 and weights each by archetype:

Profitability (20%) — 5yr Avg ROIC, Operating Margin Trend
Capital Efficiency (15%) — 5yr Avg ROE, 5yr Share-Count CAGR
Growth Quality (15%) — 5yr Revenue CAGR, 5yr EPS CAGR, Revenue-Growth Years (5)
Cash Generation (15%) — 5yr FCF Margin, 5yr FCF/NI Conversion
Balance Sheet (20%) — Net Debt / EBITDA, Interest Coverage (EBIT/Int), Altman Z-Score
Stability (15%) — EPS Volatility (σ/μ), Piotroski F-Score, Negative-Revenue Years (5)

We deliberately ignore stock price, analyst targets, and consensus ratings so the grade is suitable for backtesting forward returns. A minimum of 5 fiscal years of audited statements is required; distressed and highly leveraged infrastructure businesses are declared ungradable rather than forced into a numeric score.