Vulcan Materials (VMC) AI Stock Analysis

• Market Cap: $37.96B
• Dividend Yield: 0.68%
• Average Volume (3M): 982.41K
• Price to Earnings (P/E): 34.1
• Beta (1Y): 0.76
• Revenue Growth: 6.54%
• EPS Growth: 32.48%
• Country: US
• Employees: 11,971
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Construction Materials
• EPS (TTM): 2.84
• Shares Outstanding: 132,130,900
• 10 Day Avg. Volume: 1,544,437
• 30 Day Avg. Volume: 982,407
• PEG Ratio: -20.15
• Price to Book (P/B): 4.19
• Price to Sales (P/S): 4.59
• P/FCF Ratio: 42.22
• Enterprise Value/Market Cap: 1.20
• Enterprise Value/Revenue: 5.80
• Enterprise Value/Gross Profit: 20.59
• Enterprise Value/Ebitda: 19.75
• 1Y Price Target: $327.00
• Price Target Upside: 13.82% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 10
• EPS Forecast (FY): 8.42
• Revenue Forecast (FY): $8.00B

• Rating: 72 Outperform
• Price Target: $322.00 ▲(12.08% Upside)

Vulcan Materials' overall stock score is driven by strong financial performance and a positive earnings call, highlighting robust growth in public construction and improved profitability. However, technical analysis indicates potential bearish momentum, and the high valuation suggests limited upside. The company's strategic focus on infrastructure projects positions it well for future growth, but careful cash flow management is crucial.

Positive Factors

Revenue Growth

Vulcan's revenue growth surpassing expectations indicates strong market demand and effective business execution, supporting long-term expansion.

Public Infrastructure Growth

Increased public infrastructure spending, supported by legislative funding, provides a stable demand base for Vulcan's aggregates, ensuring future growth.

Leadership Transition

The planned CEO transition to Ronnie Pruitt ensures continuity in strategic direction, leveraging his experience to drive future growth and innovation.

Negative Factors

Residential Construction Weakness

Weakness in residential construction due to affordability challenges could limit demand for Vulcan's products, impacting revenue from this segment.

Free Cash Flow Decline

Declining free cash flow growth may constrain Vulcan's ability to invest in future opportunities, impacting long-term financial flexibility.

Weather Impact on Shipments

Weather-related disruptions can significantly affect Vulcan's operational efficiency and revenue, posing a recurring risk to business stability.

Vulcan Materials Business Overview & Revenue Model

Company Description

Vulcan Materials Company (VMC) is a leading producer of construction aggregates in the United States, primarily engaged in the production and sale of crushed stone, sand, and gravel. The company operates in two main segments: the Aggregates segment, which includes the extraction and processing of raw materials, and the Concrete and Asphalt segment, which provides ready-mixed concrete and asphalt products. Vulcan serves various markets including infrastructure, commercial, and residential construction, positioning itself as a critical supplier in the construction industry.

How the Company Makes Money

Vulcan Materials generates revenue primarily through the sale of construction aggregates, which account for a significant portion of its income. The company has a diversified customer base that includes contractors, government agencies, and industrial customers, allowing for stable demand across various sectors. Additional revenue is derived from its Concrete and Asphalt segment, which complements its aggregates business. Vulcan also engages in strategic partnerships and acquisitions to expand its market presence and operational efficiency. Factors contributing to its earnings include infrastructure spending, housing market trends, and regional economic growth, as well as the company's ability to leverage its extensive network of production facilities and distribution channels.

Vulcan Materials Financial Statement Overview

Summary

Vulcan Materials demonstrates solid financial health with strong revenue growth and profitability. The balance sheet reflects a stable capital structure with improved leverage ratios. However, the decline in free cash flow growth suggests potential challenges in cash generation. Overall, the company is well-positioned in the construction materials industry, but careful management of cash flow is essential for sustaining growth.

Income Statement

Vulcan Materials shows strong revenue growth with a TTM increase of 3.79%. The gross profit margin improved to 28.23%, indicating efficient cost management. Net profit margin also increased to 14.19%, reflecting enhanced profitability. However, the EBIT margin slightly decreased to 14.08%, suggesting some operational cost pressures. Overall, the income statement reflects a positive growth trajectory and solid profitability.

Balance Sheet

The company's debt-to-equity ratio improved to 0.56, indicating a healthier leverage position. Return on equity increased to 13.40%, showcasing effective use of equity to generate profits. The equity ratio stands at 51.44%, reflecting a stable capital structure. While the balance sheet shows strength in equity utilization, the total debt remains significant, which could pose risks if not managed carefully.

Cash Flow

Operating cash flow increased, with a strong coverage ratio of 1.68. However, free cash flow growth is negative at -3.95%, which could impact future investments. The free cash flow to net income ratio is 0.62, indicating a moderate conversion of profits into cash. While cash flow from operations is robust, the decline in free cash flow growth warrants attention.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	7.87B	7.42B	7.78B	7.32B	5.55B	4.86B
Gross Profit	2.22B	2.00B	1.95B	1.56B	1.37B	1.28B
EBITDA	2.31B	1.98B	2.04B	1.53B	1.47B	1.28B
Net Income	1.12B	911.90M	933.20M	575.60M	670.80M	584.50M
Balance Sheet
Total Assets	16.98B	17.10B	14.55B	14.23B	13.68B	11.69B
Cash, Cash Equivalents and Short-Term Investments	191.30M	559.70M	931.10M	161.40M	235.00M	1.20B
Total Debt	4.93B	5.83B	4.39B	4.52B	4.52B	3.69B
Total Liabilities	8.22B	8.96B	7.04B	7.28B	7.11B	5.66B
Stockholders Equity	8.73B	8.12B	7.48B	6.93B	6.54B	6.03B
Cash Flow
Free Cash Flow	1.05B	806.10M	664.20M	535.60M	560.60M	708.16M
Operating Cash Flow	1.71B	1.41B	1.54B	1.15B	1.01B	1.07B
Investing Cash Flow	-2.62B	-2.81B	-163.50M	-1.05B	-1.87B	-381.51M
Financing Cash Flow	674.80M	1.06B	-585.60M	-175.20M	-94.30M	234.66M

Vulcan Materials Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 287.30
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For VMC, the sentiment is Neutral. The current price of 287.3 is below the 20-day moving average (MA) of 293.83, below the 50-day MA of 296.23, and above the 200-day MA of 269.31, indicating a neutral trend. The MACD of -2.87 indicates Positive momentum. The RSI at 40.95 is Neutral, neither overbought nor oversold. The STOCH value of 36.19 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for VMC.

Vulcan Materials Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
CRH	79 Outperform	£78.92B	24.52	15.21%	1.27%	4.28%	0.39%
CX	78 Outperform	$15.45B	11.01	7.10%	0.84%	-6.34%	210.97%
VMC	72 Outperform	$37.96B	34.15	13.56%	0.68%	6.54%	32.48%
MLM	68 Neutral	$36.83B	32.17	11.63%	0.52%	1.99%	-41.08%
EXP	67 Neutral	$6.64B	15.28	30.10%	0.48%	1.50%	-4.44%
KNF	67 Neutral	$3.75B	25.42	9.71%	―	5.52%	-25.56%
Sector *	61 Neutral	$10.43B	7.12	-0.05%	2.87%	2.86%	-36.73%

Vulcan Materials Corporate Events

Vulcan Materials Announces CEO Transition Plan

On October 10, 2025, Vulcan Materials Company announced that Ronnie A. Pruitt, currently the Chief Operating Officer, will become the Chief Executive Officer effective January 1, 2026, succeeding J. Thomas Hill, who will transition to Executive Chairman of the Board. This leadership change is part of a comprehensive succession plan, with Pruitt bringing over three decades of experience in the building materials industry. The transition aims to ensure continuity in Vulcan’s strategic direction and continued growth, with Pruitt’s leadership expected to drive innovation and value creation for shareholders, customers, and employees.

The most recent analyst rating on (VMC) stock is a Hold with a $311.00 price target. To see the full list of analyst forecasts on Vulcan Materials stock, see the VMC Stock Forecast page.

Vulcan Materials’ Earnings Call Highlights Strong Performance

The recent earnings call of Vulcan Materials Company revealed a strong financial performance, characterized by significant improvements in adjusted EBITDA and cash flow, despite weather-related challenges impacting shipments. The sentiment during the call was optimistic, with promising future demand driven by substantial highway contract awards and data center projects. However, the company acknowledged ongoing challenges in the residential construction and private non-residential sectors.

Vulcan Materials Reports Strong Q2 2025 Results

Vulcan Materials Company, headquartered in Birmingham, Alabama, is the largest producer of construction aggregates in the United States, specializing in crushed stone, sand, gravel, and aggregates-based construction materials such as asphalt and ready-mixed concrete.