Should I Buy VSEC? VSEC 2026 Analysis

Should You Buy VSE Corp (VSEC) Today? Analysis, Price Targets, and 2026 Outlook.

Conclusion

Hold

Latest Price

217.590

1 Day change

-0.02%

52 Week Range

224.560

Analysis Updated At

2026/01/26

VSE Corp (VSEC) is not a strong buy at the moment for a beginner investor with a long-term strategy. While the stock has positive long-term growth potential supported by analyst ratings and sector trends, the recent financial performance, lack of strong trading signals, and neutral sentiment from hedge funds and insiders suggest waiting for more favorable conditions or clearer catalysts before investing.

Technical Analysis

The technical indicators are mixed. The MACD is positive and contracting, indicating a potential bullish trend. The RSI is neutral at 48.474, showing no clear overbought or oversold conditions. Moving averages are bullish (SMA_5 > SMA_20 > SMA_200), but the stock is trading below the pivot level of 209.318, with key support at 202.368 and resistance at 216.269. This suggests limited upside in the short term.

Options Data

Bullish

Open Interest Put-Call Ratio

Bullish

Option Volume Put-Call Ratio

Technical Summary

Sell

Buy

Positive Catalysts

Analysts have raised price targets recently, with Truist setting a target of $222 and Citi initiating coverage with a $215 target, citing strong sector trends and growth potential.
The Aerospace & Defense sector is expected to benefit from rising aircraft production and sustained aftermarket demand.
The acquisition of Aero 3 is expected to be accretive to 2026 EPS and EBITDA margins, providing cross-selling opportunities.

Neutral/Negative Catalysts

Recent financial performance shows a significant drop in net income (-66.42% YoY) and EPS (-69.84% YoY), despite revenue growth.
Lack of recent news or event-driven catalysts to drive immediate price action.
Neutral sentiment from hedge funds and insiders, indicating no strong buying interest.

Financial Performance

In Q3 2025, VSE Corp reported a 38.92% YoY increase in revenue to $282.9M. However, net income dropped by 66.42% YoY to $3.91M, and EPS fell by 69.84% YoY to $0.19. Gross margin improved slightly to 12.04%, up 11.69% YoY, but the significant decline in profitability metrics raises concerns.

Growth

Profitability

Efficiency

Analyst Ratings and Price Target Trends

Analysts are broadly bullish on VSE Corp, with multiple firms raising price targets and maintaining Buy ratings. Truist raised its target to $222, and Citi initiated coverage with a $215 target. Analysts highlight strong sector trends, the accretive Aero 3 acquisition, and above-market growth potential into 2026.

7 Analyst Rating

Wall Street analysts forecast VSEC stock price to fall over the next 12 months. According to Wall Street analysts, the average 1-year price target for VSEC is 206.5 USD with a low forecast of 195 USD and a high forecast of 222 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.

7 Buy

0 Hold

0 Sell

Strong Buy

Current: 217.640

Low

195

Averages

206.5

High

222

Current: 217.640

Low

195

Averages

206.5

High

222

Truist

NULL -> Buy

maintain

$201 -> $222

AI Analysis

2026-01-09

Reason

Truist

Price Target

$201 -> $222

AI Analysis

2026-01-09

maintain

NULL -> Buy

Reason

Truist raised the firm's price target on VSE Corp. to $222 from $201 and keeps a Buy rating on the shares. Despite a strong 2025, the Aerospace & Defense sector remains broadly bullish for 2026, with rising aircraft production and sustained aftermarket demand supporting both OE and AM segments, the analyst tells investors in a research note. Defense may see fewer catalysts, but recapitalization, geopolitical tensions, and replenishment needs should sustain demand, making stock selection critical amid elevated valuations, particularly for SMID defense tech names, the firm adds.

Citi

initiated

$215

2025-12-11

Reason

Citi

Price Target

$215

2025-12-11

initiated

Reason

Citi initiated coverage of VSE Corp. with a Buy rating and $215 price target. The firm launched coverage on 24 stocks in the aerospace and defense sector, saying the group faces a "number of megatrends" across commercial aerospace, defense, shipbuilding, and space. Citi sees these trends creating at least one trillion-dollar market cap company in the coming years. GE Aerospace could get there in as little as five years, Citi contends. The firm calls RTX "the Marquee Megatrend stock" and believes Boeing is an "unusually attractive mega-cap turnaround" story. The analyst expects improving trends in Q4 and continued momentum in Q1 for the sector.

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VSEC Should I Buy

VSEC Should I Buy

Should You Buy VSE Corp (VSEC) Today? Analysis, Price Targets, and 2026 Outlook.

Technical Analysis

Options Data

Technical Summary

Positive Catalysts

Neutral/Negative Catalysts

Financial Performance

Growth

Profitability

Efficiency

Analyst Ratings and Price Target Trends

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