Stock Price & Analysis

Based on the analysis of VMC stock, it is currently trading at $238.26 with a moderate buy rating and a price target suggesting upside potential. However, the stock has underperformed recently, and its technical indicators show mixed signals.

It is recommended to hold or wait for further confirmation before making a decision.

The price prediction for VMC stock in 2025 is expected to reach $285, driven by positive analyst sentiment and strong industry fundamentals. Analysts have set price targets ranging from $287 to $300, with JP Morgan and Stifel recently upgrading their ratings. The stock is well-positioned to benefit from the construction materials market's long-term growth.

The S1 support level for VMC Stock is $228.13 ,The R1 resistant level for VMC Stock is $243.78.

As of the end of day on 2025-04-01, the price of VMC Stock was $236.51.

The target price for VMC Stock according to analyst rating is 298.70, with the highest price target at 335.00 and the lowest at 285.00. Analysts have a Strong Buy rating on VMC Stock overall.

The market cap of VMC is $31.3B.

Analysis and Insights

Vulcan Materials Co (VMC) appears to be overvalued based on several key metrics:

1. High Valuation Multiples:

   • PE Ratio: 37.23 (trailing twelve months), significantly above the industry average, indicating high expectations baked into the stock price.
   • EV/EBITDA: 18.52, reflecting a premium valuation relative to earnings.
   • Price-to-Sales (PS): 4.38, much higher than historical norms for construction materials companies.
   • Price-to-Book (PB): 4.82, well above the industry average, suggesting investors are paying a premium for book value.

2. Dividend Yield:

   • The dividend yield of 0.72% is relatively low compared to peers, offering limited income appeal.

3. Analyst Sentiment:

   • While some analysts have upgraded VMC to "Buy" recently, price targets have been slightly reduced, indicating cautious optimism.

4. Market Position:

   • VMC is a large-cap stock with a market cap of $30.9 billion, but its high valuation multiples may not be justified unless the company can maintain strong growth in a cyclical industry.

Conclusion

VMC's elevated valuation metrics, combined with its low dividend yield and mixed analyst sentiment, suggest the stock is likely overvalued at current levels. Investors may want to exercise caution and consider waiting for a correction or more favorable entry point.

Vulcan Materials Company is a supplier of construction aggregates and producer of aggregates-based construction materials. Its segments include Aggregates, Asphalt, Concrete, and Calcium. Aggregates segment produces and sells aggregates, such as crushed stone, sand and gravel, sand, and other aggregates and related products and services. Asphalt segment produces and sells asphalt mix in Alabama, Arizona, California, New Mexico, Tennessee and Texas and provides asphalt construction paving services in Alabama, Tennessee and Texas. Concrete segment produces and sells ready-mixed concrete in California, Maryland, Oklahoma, Texas, Virginia. Calcium segment is composed of a single calcium operation in Brooksville, Florida. This facility produces calcium products for the animal feed, plastics and water treatment industries with calcium carbonate material mined at the Brooksville quarry. It provides the basic materials for the infrastructure delivered by trucks, ships, barges, and trains.

The predicted price for Vulcan Materials Co (VMC) stock by 2030 is $320 per share. This forecast is based on strong demand for construction materials, VMC's market leadership, and expected economic growth.

VMC has a total of 10382 employees.