Manufactures and markets engine and automotive maintenance products. Supplies lubricants for passenger cars, light-duty, and heavy-duty vehicles. Now — the numbers.
That much dependence is a risk in itself: if this one line weakens, the whole company feels it directly.
This is an established company with proven profits.
Average growth of 13% a year over the last 4 years. Every year shown ended in profit.
Executives buying with their own money is usually read as confidence in the company’s future.
We compared this company with its own sector across five subjects.
A score of 50 means class average.
Profit indicators sit around the sector average.
Clearly below the class average.
Clearly below the class average.
Clearly above the class average — a step short of the very top.
Clearly below the class average.
Financial Strength: The cash-and-debt balance is thin; the buffer for hard times is slim.
Valuation: The stock trades at a price that looks expensive next to its earnings; that can cap future returns.
The stock trades 36% below its peak. The market has trimmed its expectations for the company.
Over the last 4 years, sales grew about 13% a year on average.
Over the last 12 months, company executives reported 79 buys and 55 sells. Management buying with its own money is usually read as a good sign.
The balance sheet offers little cushion against a rough stretch. Report-card grade: 23/100.
Today’s price already includes part of tomorrow’s optimism. Report-card grade: 30/100.
Buyers haven’t stepped back in yet; the price hasn’t found its footing. Report-card grade: 39/100. For a turnaround signal, the stock first needs to close the gap with the market.
On our five-subject report card, VVV sits in the middle of the class: some subjects shine, others don’t. The grade moves as the numbers move.
The takeaway: VVV is an established business that has proven its profits for years. The real debate isn’t the quality of the business — it’s whether the price paid for the stock is too high.
The total grade weighs these five subjects against the sector — it isn’t a simple average of the five.
Analysts’ average target sits above today’s price, yet the valuation grade (30/100) says the stock isn’t cheap.