Village Super Market (VLGEA) AI Stock Analysis

• Market Cap: $563.62M
• Dividend Yield: 2.63%
• Average Volume (3M): 44.44K
• Price to Earnings (P/E): 7.3
• Beta (1Y): 0.36
• Revenue Growth: 3.88%
• EPS Growth: 7.71%
• Country: US
• Employees: 2,190
• Sector: Consumer Defensive
• Sector Strength: 42
• Industry: Grocery Stores
• EPS (TTM): 1.21
• Shares Outstanding: 10,626,925
• 10 Day Avg. Volume: 54,359
• 30 Day Avg. Volume: 44,444
• PEG Ratio: 8.89
• Price to Book (P/B): 1.08
• Price to Sales (P/S): 0.23
• P/FCF Ratio: 15.39
• Enterprise Value/Market Cap: 1.41
• Enterprise Value/Revenue: 0.33
• Enterprise Value/Gross Profit: 1.20
• Enterprise Value/Ebitda: 6.80
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 76 Outperform
• Price Target: $47.00 ▲(35.92% Upside)
• Action: Reiterated Date: 03/13/26
• Date: Action: Reiterated 03/13/26

The score is driven primarily by improving fundamentals (growth, higher margins vs. earlier years, and meaningful deleveraging) and strong technical trend confirmation (price above key moving averages with positive momentum). Valuation is a further tailwind given the low P/E and dividend yield, while corporate events are a smaller positive offset by compliance and structure-related risks.

Positive Factors

Steady revenue growth

Consistent top-line growth from $2.03B (FY2021) to $2.39B (TTM) with improving margins indicates durable customer demand and better mix control. Scale supports reinvestment in stores and operations, helping sustain revenue and margin improvements over the next several quarters.

Meaningful deleveraging

Material reduction in leverage strengthens the company’s financial flexibility and reduces interest burden. Improved debt ratios create capacity to fund capex, pay dividends, or absorb shocks without immediate refinancing pressure, improving resilience across economic cycles.

Improving cash generation

Rising operating and free cash flow enhances ability to self-fund maintenance and selective growth, sustain dividends, and accelerate debt paydown. Stronger cash generation provides durable internal financing that supports strategic options over the medium term.

Negative Factors

Structurally thin margins

Grocery’s inherently low margins leave limited room to absorb cost inflation, wage pressure, or increased promotional activity. Small gross- or operating-margin erosions can disproportionately reduce net income, making earnings volatile if input costs or competitive pricing intensify.

Sizable absolute debt

Although leverage ratios improved, a ~$329M nominal debt load keeps interest and refinancing exposure meaningful. High absolute debt can constrain capital allocation, raise financial risk if sales weaken, and limit flexibility for opportunistic investments or weathering downturns.

NMTC compliance & related-party risk

New Markets Tax Credit financing lowers capital cost but creates a seven-year compliance obligation and potential indemnity if credits are recaptured. The related-party JV with the CEO raises governance and contingent-liability risk, which could lead to financial or reputational costs if compliance issues arise.

Village Super Market Business Overview & Revenue Model

Company Description

Village Super Market, Inc. operates a chain of supermarkets in the United States. Its stores feature specialty departments, such as an on-site bakery, an expanded delicatessen; and various natural and organic foods, ethnic and international foods, prepared foods, and pharmacies. The company operates a chain of twenty-nine ShopRite supermarkets, five Fairway Markets, and three Gourmet Garage specialty markets located in New Jersey, New York, Pennsylvania, and Maryland. Village Super Market, Inc. was founded in 1937 and is based in Springfield, New Jersey.

How the Company Makes Money

Village Super Market primarily generates revenue from retail sales of consumer goods through its supermarkets. Its key revenue stream is product sales across major grocery categories (center-store packaged goods and perishables such as produce, meat/seafood, deli, bakery, and prepared foods), as well as non-food items (e.g., health and beauty care and general merchandise). The company’s earnings are influenced by the mix between higher-margin departments (often fresh and prepared foods) and lower-margin, price-competitive categories (many branded packaged goods), along with private-label and promotional activity where applicable. It also earns money through complementary supermarket services that typically include in-store offerings such as pharmacy and other customer services; details on specific service lines, fees, or their contribution to revenue are not available in the provided context (null). The company operates in connection with the ShopRite brand and related cooperative/wholesale infrastructure (commonly associated with Wakefern Food Corp.); however, specific contractual terms, rebates, or partnership economics are not available in the provided context (null).

Village Super Market Financial Statement Overview

Summary

Financials show steady revenue growth (FY2021 $2.03B to FY2025 $2.32B; TTM $2.39B) and improved profitability (net margin ~1.0% to ~2.4% in FY2025/TTM). Deleveraging is notable (debt/equity ~1.17x to ~0.64x TTM) with stable ROE (~11–12%). Offsetting factors are structurally thin grocery margins and uneven cash conversion (TTM FCF ~56% of net income), which can raise risk during inflation or demand softness.

Income Statement

VLGEA shows steady top-line expansion, with revenue rising from $2.03B (FY2021) to $2.32B (FY2025) and $2.39B in TTM (Trailing-Twelve-Months). Profitability has improved versus earlier years (net margin ~1.0% in FY2021 to ~2.4% in FY2025 and ~2.4% in TTM), indicating better cost control and/or mix. However, the business remains structurally low-margin (typical for grocery), and TTM gross margin dipped versus FY2024–FY2025, which is a key risk if pricing or labor/food inflation pressures persist.

Balance Sheet

Leverage has trended meaningfully better, with debt relative to equity improving from ~1.17x (FY2021) to ~0.69x (FY2025) and ~0.64x in TTM (Trailing-Twelve-Months), alongside rising equity over time. Returns on equity are healthy and stable around ~11–12% from FY2023 through TTM, reflecting consistent profitability. The main weakness is that debt is still sizable in absolute terms (TTM total debt ~$329M), leaving the company more exposed than a low-debt peer if operating conditions weaken.

Cash Flow

Cash generation is solid and improving: operating cash flow increased to ~$111M in TTM (Trailing-Twelve-Months) from ~$93M in FY2025, and free cash flow jumped to ~$62M in TTM from ~$34M in FY2025 (strong growth off a lower base). That said, cash flow conversion is not consistently strong—free cash flow is only ~56% of net income in TTM (and ~37% in FY2025), and operating cash flow covered only ~58% of net income in TTM—suggesting working-capital swings and/or elevated reinvestment needs can dampen near-term cash conversion.

Breakdown	TTM	Jul 2025	Jul 2024	Jul 2023	Jul 2022	Jul 2021
Income Statement
Total Revenue	2.39B	2.32B	2.24B	2.17B	2.06B	2.03B
Gross Profit	658.98M	662.97M	641.98M	616.45M	579.67M	565.04M
EBITDA	116.69M	110.23M	112.31M	112.66M	77.68M	68.50M
Net Income	56.55M	56.38M	50.46M	49.72M	26.83M	19.99M
Balance Sheet
Total Assets	1.03B	1.00B	981.66M	967.71M	924.45M	889.00M
Cash, Cash Equivalents and Short-Term Investments	160.10M	110.70M	117.26M	140.91M	134.83M	116.31M
Total Debt	329.14M	340.55M	371.68M	392.58M	403.58M	399.84M
Total Liabilities	510.58M	511.75M	534.11M	557.54M	552.34M	547.53M
Stockholders Equity	516.67M	491.96M	447.56M	410.17M	372.11M	341.47M
Cash Flow
Free Cash Flow	62.12M	34.46M	17.74M	58.11M	36.35M	27.46M
Operating Cash Flow	111.05M	93.22M	80.85M	104.51M	79.63M	52.69M
Investing Cash Flow	-65.19M	-75.58M	-78.01M	-88.43M	-46.42M	-26.37M
Financing Cash Flow	-18.58M	-24.21M	-26.48M	-10.01M	-14.69M	-21.69M

Village Super Market Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 34.58
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For VLGEA, the sentiment is Positive. The current price of 34.58 is below the 20-day moving average (MA) of 39.69, below the 50-day MA of 37.32, and below the 200-day MA of 36.14, indicating a bullish trend. The MACD of 0.90 indicates Negative momentum. The RSI at 63.67 is Neutral, neither overbought nor oversold. The STOCH value of 72.71 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for VLGEA.

Village Super Market Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
VLGEA	76 Outperform	$563.62M	7.26	11.37%	2.63%	3.88%	7.71%
DDL	67 Neutral	$567.94M	17.51	23.09%	―	8.34%	40.20%
NGVC	66 Neutral	$589.65M	12.71	23.11%	1.99%	7.19%	35.90%
Sector *	62 Neutral	$20.33B	14.63	-3.31%	3.23%	1.93%	-12.26%
IMKTA	60 Neutral	$1.65B	11.86	5.29%	0.93%	-5.42%	-20.80%
WMK	58 Neutral	$1.63B	17.84	6.83%	2.06%	3.11%	6.54%
GO	45 Neutral	$628.18M	-4.43	-19.78%	―	7.22%	-108.99%

Village Super Market Corporate Events

Village Super Market Declares Quarterly Cash Dividends

On March 13, 2026, Village Super Market, Inc. announced that its board declared quarterly cash dividends of $0.25 per Class A common share and $0.1625 per Class B common share. The dividends are scheduled to be paid on April 23, 2026 to shareholders of record as of the close of business on April 2, 2026, underscoring the company’s ongoing capital return to investors and signaling continued confidence in its financial position.

The most recent analyst rating on (VLGEA) stock is a Buy with a $46.00 price target. To see the full list of analyst forecasts on Village Super Market stock, see the VLGEA Stock Forecast page.

Village Super Market secures NMTC financing for new store

On December 19, 2025, Village Super Market, Inc. entered into a New Markets Tax Credit financing transaction with Valley National Bank’s community investment fund to help fund the construction and opening costs of a replacement store in East Orange, New Jersey, a qualified low-income community. Through a layered structure involving an investment fund and a community development entity, approximately $5.6 million in low-interest, long-term financing was provided to a Village subsidiary, with the company expecting to recognize a $1.1 million pretax benefit over the seven-year NMTC compliance period, while bearing obligations to maintain program compliance and potentially indemnify Valley Bank if tax credits are recaptured. The company also formed a joint venture, VSM New Markets II LLC, with CEO John J. Sumas as a related party to act as the leverage lender; Sumas contributed a $0.2 million loan under a promissory note at 7% interest and the remaining leverage funds were provided by the company, with the related party terms reviewed and approved by the board’s audit committee.

The most recent analyst rating on (VLGEA) stock is a Buy with a $39.00 price target. To see the full list of analyst forecasts on Village Super Market stock, see the VLGEA Stock Forecast page.