Vontier (VNT) AI Stock Analysis

• Market Cap: $5.14B
• Dividend Yield: 0.26%
• Average Volume (3M): 1.29M
• Price to Earnings (P/E): 13.4
• Beta (1Y): 1.29
• Revenue Growth: 1.76%
• EPS Growth: 4.10%
• Country: US
• Employees: 8,000
• Sector: Technology
• Sector Strength: 88
• Industry: Hardware, Equipment & Parts
• EPS (TTM): 0.86
• Shares Outstanding: 141,600,000
• 10 Day Avg. Volume: 943,957
• 30 Day Avg. Volume: 1,289,531
• PEG Ratio: 37.07
• Price to Book (P/B): 4.38
• Price to Sales (P/S): 1.77
• P/FCF Ratio: 12.37
• Enterprise Value/Market Cap: 1.35
• Enterprise Value/Revenue: 2.25
• Enterprise Value/Gross Profit: 4.78
• Enterprise Value/Ebitda: 10.01
• 1Y Price Target: $49.40
• Price Target Upside: 36.09% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 6
• EPS Forecast (FY): 3.45
• Revenue Forecast (FY): $3.12B

• Rating: 72 Outperform
• Price Target: $40.00 ▲(10.19% Upside)
• Action: Reiterated Date: 03/03/26
• Date: Action: Reiterated 03/03/26

The score is driven primarily by solid financial quality and cash generation, supported by constructive technical positioning (price above key moving averages) and favorable 2026 guidance for margin expansion and strong FCF conversion. Offsetting factors are the still-elevated leverage profile and a modest dividend yield, with some near-term operational and order-intake headwinds noted on the call.

Positive Factors

Strong free cash flow conversion

Sustained, high FCF conversion means earnings reliably turn into cash, supporting capex, debt paydown, and buybacks without new financing. Over a 2-6 month horizon this underpins financial flexibility, funds margin initiatives, and reduces refinancing reliance even if revenue growth is modest.

Product momentum and recurring software wins

Double-digit organic growth at Invenco and new unified payment offerings indicate durable competitive differentiation in payments and software. Growing software/technology mix increases recurring revenue, deepens customer relationships, and supports higher lifetime value and cross-sell potential over coming quarters.

Improving leverage and shareholder returns

Material buybacks plus measurable deleveraging show disciplined capital allocation and an improving balance-sheet trajectory. Over the medium term this lowers financing vulnerability, creates optionality for strategic investment, and signals management confidence in cash generation and earnings durability.

Negative Factors

Elevated leverage and near-term refinancing

Material gross debt and a sizable bond maturity that requires short-term borrowing raise refinancing risk and increase interest costs with the Q2 step-up. Elevated leverage constrains strategic flexibility, slows net-debt reduction, and makes the company more sensitive to rate moves and weaker cash cycles.

Uneven end-market and order intake

Weakness in Repair Solutions and DRB plus sub‑1 book‑to‑bill indicate lumpy demand and limited visibility into sustainable revenue growth. Structural softness in service and software install cycles can delay margin recovery and reduce predictability of cash flows over the next several quarters.

Integration / inventory-related margin volatility

Inventory reserves and legacy integration issues create one-off hits but also reveal execution and inventory-management risk when scaling acquisitions. Such reserve-driven margin swings can recur with product transitions, making near-term margin sustainability and forecasting more volatile.

Vontier Business Overview & Revenue Model

Company Description

Vontier Corporation engages in the research and development, manufacture, sale, and distribution of technical equipment, components, software, and services for manufacturing, repairing, and servicing in the mobility infrastructure industry worldwide. The company offers a range of solutions, including environmental sensors, fueling equipment, field payment hardware, point-of sale, workflow and monitoring software, vehicle tracking and fleet management, software solutions for traffic light control, and vehicle mechanics', and technicians' equipment. Its mobility technologies products include solutions and services in the areas of fuel dispensing, remote fuel management, point-of-sale and payment systems, environmental compliance, vehicle tracking and fleet management, and traffic management; and diagnostics and repair technologies products comprise vehicle repair tools, toolboxes, automotive diagnostic equipment, and software, as well as wheel-service equipment for automotive tire installation and repair shops, including brake lathes, tire changers, wheel balancers, and wheel weights under the Ammco and Coats brands. The company markets its products and services to retail and commercial fueling operators, convenience store and in-bay car wash operators, tunnel car wash and commercial vehicle repair businesses, municipal governments, and public safety entities and fleet owners/operators through a network of franchised mobile distributors, as well as direct sales personnel and independent distributors. It serves customers in North America, the Asia Pacific, Europe, and Latin America. The company was incorporated in 2019 and is headquartered in Raleigh, North Carolina.

How the Company Makes Money

Vontier makes money primarily by selling equipment, software, and services used across the fueling and mobility ecosystem. A major revenue stream comes from its retail fueling and convenience channel, where it sells dispensing and forecourt equipment (e.g., fueling systems) and associated technology that enables merchants to accept payments and run site operations; revenue here is generated from equipment sales (including new installations and site upgrades), aftermarket parts, and service/maintenance work that supports the installed base over time. The company also generates revenue from software and technology offerings that support connected operations (such as site management, transactions, and operational analytics), which can be sold as licenses or subscriptions depending on the product; if a specific product’s licensing vs. subscription structure is not publicly specified for a given offering, null. In addition, Vontier serves commercial and fleet-oriented customers with hardware and software that support fleet fueling and related operational workflows, monetizing through system sales plus recurring service/support and, where applicable, software fees. Across the portfolio, a key economic driver is the recurring nature of aftermarket demand—customers that install Vontier-supported equipment often require ongoing parts replacement, compliance updates, and field service—helping produce repeat revenue beyond the initial sale. Significant partnerships or specific commercial terms are not consistently detailed at a company-wide level in public summaries; null.

Vontier Financial Statement Overview

Summary

Solid profitability and dependable free cash flow (FCF ~86% of net income in 2025, with a sharp FCF step-up), but leverage remains a material constraint (debt-to-equity ~1.7x) despite improvement. Margins softened in 2025 versus 2024, which slightly tempers the otherwise healthy earnings profile.

Income Statement

Revenue has been fairly stable with a modest rebound in 2025 (annual revenue up ~4% after two down years). Profitability is solid for the space, with gross margin holding in the mid-to-high 40% range and EBIT/EBITDA margins remaining strong, though both dipped in 2025 versus 2024. Net margin also softened in 2025, signaling some incremental cost pressure or mix headwinds, but overall earnings power remains healthy and consistent.

Balance Sheet

Leverage remains the key constraint: debt is still meaningfully higher than equity (debt-to-equity ~1.7x in 2025), though it has improved materially from very elevated levels earlier in the period. Equity has been building and return on equity is strong, but that strength is partly amplified by leverage. Overall, the balance sheet trend is improving, yet debt levels still reduce flexibility relative to a cleaner-capitalized peer set.

Cash Flow

Cash generation is a clear positive: free cash flow is consistently positive and in 2025 was ~86% of net income, indicating good earnings-to-cash conversion. Free cash flow also stepped up sharply in 2025 versus 2024, reflecting improved cash efficiency. A watch item is that operating cash flow relative to debt is moderate (coverage below ~0.5x in recent years), meaning deleveraging is possible but not rapid without sustained higher cash flow.

Breakdown	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	3.08B	2.98B	3.10B	3.18B	2.99B
Gross Profit	1.45B	1.42B	1.43B	1.43B	1.33B
EBITDA	686.80M	699.40M	702.20M	698.70M	683.60M
Net Income	406.10M	422.20M	376.90M	401.30M	413.00M
Balance Sheet
Total Assets	4.37B	4.31B	4.29B	4.34B	4.35B
Cash, Cash Equivalents and Short-Term Investments	492.20M	356.40M	340.90M	225.80M	572.60M
Total Debt	2.14B	2.20B	2.35B	2.64B	2.64B
Total Liabilities	3.12B	3.25B	3.40B	3.76B	3.78B
Stockholders Equity	1.24B	1.05B	890.40M	576.50M	569.90M
Cash Flow
Free Cash Flow	441.10M	344.80M	394.90M	261.20M	433.30M
Operating Cash Flow	511.00M	427.50M	455.00M	321.20M	481.10M
Investing Cash Flow	-20.70M	-11.40M	69.30M	-329.90M	-1.01B
Financing Cash Flow	-371.30M	-392.30M	-387.80M	-347.90M	725.50M

Vontier Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 36.30
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For VNT, the sentiment is Negative. The current price of 36.3 is below the 20-day moving average (MA) of 39.50, below the 50-day MA of 39.09, and below the 200-day MA of 39.14, indicating a bearish trend. The MACD of -0.82 indicates Positive momentum. The RSI at 31.44 is Neutral, neither overbought nor oversold. The STOCH value of 7.67 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for VNT.

Vontier Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
TDY	77 Outperform	$29.90B	27.35	8.65%	―	7.41%	-12.85%
JBL	73 Outperform	$27.24B	38.47	51.13%	0.14%	13.18%	-38.37%
VNT	72 Outperform	$5.14B	13.43	34.02%	0.26%	1.76%	4.10%
FLEX	72 Outperform	$23.70B	23.76	16.83%	―	0.77%	0.51%
COHR	69 Neutral	$46.38B	48.81	3.58%	―	20.80%	―
FTV	67 Neutral	$16.55B	30.16	6.90%	0.43%	-8.96%	-30.29%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%

Vontier Corporate Events

Vontier Announces Planned Board Transition as Director Retires

Vontier Corporation announced that Christopher J. Klein has chosen to retire from its Board of Directors, after assisting the company through its spin-off and the establishment of its new board processes. In a notice given on February 24, 2026, the company said Klein will not stand for re-election at the 2026 Annual Meeting of Shareholders and will retire effective on the date of that meeting, emphasizing that his departure reflects a planned transition rather than any disagreement over operations.

The move underscores a governance milestone for Vontier as it completes the post-spin transition to a fully independent board structure, suggesting stability and continuity for investors and other stakeholders. With Klein’s role in setting up the company’s governance framework largely complete, his retirement signals that Vontier’s board is shifting from its formation phase to a more steady-state oversight of the company’s strategy and operations.

The most recent analyst rating on (VNT) stock is a Buy with a $55.00 price target. To see the full list of analyst forecasts on Vontier stock, see the VNT Stock Forecast page.