AlphaMadera's AlphaVal page classifies VSE Corporation as a Cyclical & Capital-Intensive business and values it using Normalized Earnings × Cycle Multiple, then compares the result to the current market price to flag VSEC as undervalued, fairly valued, or overvalued.

What is VSE Corporation's fair value?

Fair value for VSEC comes from a Normalized Earnings × Cycle Multiple model -- the approach AlphaVal selected for this company's Cyclical & Capital-Intensive classification. The live AlphaVal page shows bear, base, and bull scenarios alongside the key assumption behind each.

How does AlphaMadera value VSEC?

AlphaVal routes each company to one of ten valuation archetypes based on its business model. VSEC was classified as Cyclical & Capital-Intensive and is valued using Normalized Earnings × Cycle Multiple, built from VSEC's most recent reported fundamentals.

VSEC - VSE Corporation

Price: -- -- | CONSENSUS: Buy DETAILS | PRICE TARGET: $265.00 DETAILS

AlphaVal

Deterministic, archetype-aware fair value

Cyclical & Capital-Intensive 80% confidence

Primary model: Normalized Earnings × Cycle Multiple

Valuation Signal Overvalued Strong

Trading 323.2% above fair value

Current Price $203.91

Bear Case $39.42 80.7% downside ($39.42 - $203.91) / $203.91 = -80.7% $2.19 × 18x

Fair Value $48.18 76.4% downside ($48.18 - $203.91) / $203.91 = -76.4% $2.19 × 22x

Bull Case $56.94 72.1% downside ($56.94 - $203.91) / $203.91 = -72.1% $2.19 × 26x

Adjust Assumptions

Cycle P/E Multiple

22.0x

Normalized EPS

2.19$

Key Value Driver

Through-cycle normalized EPS ($2.19)

Terminal Value % of EV

Implied Market Multiple 93.1x

Market is pricing in (growth)

Plain-Language Summary

Using 7-year normalized EPS of $2.19 at a 22x cycle multiple, the base-case value is $48.18 per share. P/TBV cross-check: 11.4x.

Analyst Consensus (External Reference)

Never blended into the bear/base/bull estimates above -- shown only as an outside comparison.

Average Target (12 analysts) $265.00

Analyst Range $230.00 – $290.00

Divergence from AlphaVal 82%

Warnings

⚠ This company has a built-in lending arm whose debt is mixed in with the main business. We capped the debt adjustment to avoid overstating what the core business owes.

⚠ Price-to-book value of 11.4x is above the normal range for this type of business (0.7x-2.0x). The stock may already price in a strong cycle.

ℹ Wall Street's average price target is $265.00 (from 12 analysts). Our estimate is 82% below the consensus -- consider that gap carefully.

Key Risks

Standard 10-year DCF produces unreliable terminal values for cyclicals
'Cheap' P/E at cycle peak is the most common value trap — normalize first
Captive finance subsidiaries have different risk profiles from manufacturing