Head to Head Analysis: Arcadis (ARCAY) and VSE (VSEC)

Arcadis (OTCMKTS:ARCAY) and VSE (NASDAQ:VSEC) are both small-cap construction companies, but which is the superior stock? We will compare the two businesses based on the strength of their dividends, valuation, profitability, earnings, institutional ownership, analyst recommendations and risk.

Analyst Recommendations

This is a breakdown of current ratings and price targets for Arcadis and VSE, as reported by MarketBeat.com.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Arcadis 0 0 0 0 N/A
VSE 0 0 0 0 N/A

Dividends

Arcadis pays an annual dividend of $0.48 per share and has a dividend yield of 3.6%. VSE pays an annual dividend of $0.32 per share and has a dividend yield of 1.0%. VSE has raised its dividend for 14 consecutive years.

Insider & Institutional Ownership

73.3% of VSE shares are owned by institutional investors. 1.0% of Arcadis shares are owned by company insiders. Comparatively, 20.9% of VSE shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock will outperform the market over the long term.

Profitability

This table compares Arcadis and VSE’s net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
Arcadis N/A N/A N/A
VSE 6.07% 10.61% 5.14%

Volatility & Risk

Arcadis has a beta of 0.82, indicating that its share price is 18% less volatile than the S&P 500. Comparatively, VSE has a beta of 1.57, indicating that its share price is 57% more volatile than the S&P 500.

Earnings & Valuation

This table compares Arcadis and VSE’s top-line revenue, earnings per share and valuation.

Gross Revenue Price/Sales Ratio Net Income Earnings Per Share Price/Earnings Ratio
Arcadis $3.64 billion 0.32 $80.02 million N/A N/A
VSE $760.11 million 0.45 $39.09 million N/A N/A

Arcadis has higher revenue and earnings than VSE.

Summary

VSE beats Arcadis on 8 of the 11 factors compared between the two stocks.

About Arcadis

Arcadis NV operates as a design and consultancy firm for natural and built assets worldwide. The company operates through Europe & Middle East, the Americas, Asia Pacific, and CallisonRTKL segments. It offers design, consultancy, engineering, project, and management services for various sectors. The company provides architectural design, landscape architecture, and performance driven architecture services; business advisory services for asset strategy and performance, business transformation and resiliency, investment and finance, and technology and information; and construction management and site supervision, cost management, program management, and project management services. It also offers contract solutions for claims preparation and defense, dispute avoidance and resolution, expert witness, and strategic procurement and contract advice; cost and commercial management, strategic procurement and contract strategy, and whole lifecycle costing services; civil and structural engineering, asset management, electrical engineering, building information modelling, mechanical engineering, and tunneling and underground infrastructure services; and environmental solutions, such as site evaluation and restoration, strategic environmental consulting, environmental construction, and environmental planning services. In addition, the company provides sustainable urban development, transportation planning, and urban planning services; and water supply and treatment, water management, and industrial water treatment services. It serves natural resources, power, retail, transportation, water and utilities, public, and other industrial sectors, as well as cities, commercial developers, contractors, and financial institutions. The company was formerly known as Heidemij NV and changed its name to Arcadis N.V. in October 1997. Arcadis NV was founded in 1888 and is headquartered in Amsterdam, the Netherlands.

About VSE

VSE Corporation operates as a diversified services and supply company in the United States. The company operates through three segments: Supply Chain Management Group, Aviation Group, and Federal Services Group. The Supply Chain Management Group segment offers sourcing, acquisition, scheduling, transportation, shipping, logistics, data management, and other services to assist its clients with supply chain management. This segment supplies vehicle parts and mission critical supply chain support to the United States Postal Service (USPS) vehicle fleet and commercial truck fleets; and fleet management and sustainment solutions, and managed inventory services to the Department of Defense. The Aviation Group segment provides maintenance, repair, and overhaul (MRO) services; and parts supply and distribution for general aviation jet aircraft engines and engine accessories. This segment serves corporate and private aircraft owners, regional airlines, aviation manufacturers, aviation MRO providers, cargo transporters, and agricultural clients. The Federal Services Group segment offers foreign military sales services and refurbishment services to extend and enhance the life of existing vehicles and equipment; fleet-wide ship and aircraft support; aircraft sustainment and maintenance; and foreign military sales and other technical, management, engineering, logistics, maintenance, configuration management, prototyping, technology, and field support services to the U.S. Navy and Marine Corps, U.S. Army and Army Reserve, U.S. Air Force, and other U.S. and foreign military customers. This segment also provides IT and technical and consulting services primarily to the United States Department of Defense and other government agencies. VSE Corporation was founded in 1959 and is headquartered in Alexandria, Virginia.

Receive News & Ratings for Arcadis Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Arcadis and related companies with MarketBeat.com's FREE daily email newsletter.

Leave a Reply