Latest news with #VulcanMaterialsCompany
Yahoo
01-05-2025
- Business
- Yahoo
Vulcan Materials reports 5.6% increase in Q1 2025 total revenues
Vulcan Materials Company, a US-based supplier of construction aggregates, has reported total revenues of $1.63bn in the first quarter (Q1) ended 31 March 2025, an increase of 5.6% compared to Q1 2024. Net earnings attributable to the company were $129m in Q1 2025, compared to $103m in Q1 2024. The company's gross profit was reported to be $365m in the first quarter of 2025, as against $305m in Q1 2024. Vulcan Materials chair and CEO Tom Hill said: "The combination of our aggregates-led business and our consistent focus on our Vulcan Way of Selling and Vulcan Way of Operating disciplines resulted in strong earnings growth and margin expansion in the first quarter. 'Adjusted EBITDA [earnings before interest, taxes, depreciation, and amortisation] increased 27%, and adjusted EBITDA margin expanded 420 basis points over the prior year. Aggregates cash gross profit per ton improved 20% with widespread improvements across our footprint. Our commercial and operational execution support our full-year outlook to deliver another year of earnings growth in 2025." The company's aggregates segment saw an 18% increase in gross profit to $357m, equivalent to $7.48 per ton, with a gross profit margin expansion of 320 basis points to 26.7%. Cash gross profit per ton increased 20% to $10.63 per ton, owing to geographically widespread pricing growth and ongoing improvement in operational efficiencies. The asphalt and concrete segments also reported positive results. The asphalt segment's gross profit was $5m, with a 24% improvement in cash gross profit of $17m over the same quarter of the previous year. The concrete segment's gross profit stood at $3m, with cash gross profit at $19m. Selling, administrative, and general expenses were reported at $138m in Q1 2025 as against $130m in Q1 2024. Vulcan Materials' capital allocation included $105m spent on maintenance and growth projects in the first quarter, and the company anticipates full-year expenditure of $750m to $800m. The company also returned $104m to shareholders via $66m of dividends and $38m of stock repurchases and redeemed its 2025 notes using $400m of cash on hand. Commenting on the outlook, Hill said: "Our execution in the first quarter was strong, and we reiterate our full-year outlook to deliver $2.35 to $2.55bn of adjusted EBITDA. We continue to monitor the impact on overall economic activity from the uncertainty surrounding trade policy and the trajectory of interest rates. "As always, we are focused on the things we can control. Our continued execution of our strategic disciplines has and will continue to lead to attractive cash generation and value creation for our shareholders regardless of external headwinds." "Vulcan Materials reports 5.6% increase in Q1 2025 total revenues" was originally created and published by World Construction Network, a GlobalData owned brand. The information on this site has been included in good faith for general informational purposes only. It is not intended to amount to advice on which you should rely, and we give no representation, warranty or guarantee, whether express or implied as to its accuracy or completeness. You must obtain professional or specialist advice before taking, or refraining from, any action on the basis of the content on our site. Sign in to access your portfolio
Yahoo
26-04-2025
- Business
- Yahoo
Vulcan Materials Company (VMC): Among the Best Materials Stocks to Buy According to Hedge Funds
We recently compiled a list of the . In this article, we are going to take a look at where Vulcan Materials Company (NYSE:VMC) stands against the other material stocks. Materials stocks are those companies that produce chemicals, construction materials, and paper products. Businesses involved in the exploration and processing of commodities are also included in this sector. Materials demand is cyclical, rendering sector players extremely vulnerable to economic fluctuations. The demand for basic materials tends to drop when economic conditions deteriorate, which lowers prices and impacts the profitability of material producers. However, the materials sector can be impacted by a variety of factors, including the economic cycle. Supply chain challenges, legislation, and inflation are just a few of the many factors that could impact demand, prices, and industry profitability in the materials industry. After Russia invaded Ukraine in 2022, a new challenge arose in the industry. The region provides essential metals for steel production and exports minerals for fertilizer, such as potash; therefore, the war caused disruptions in the worldwide supply chain for resources. Most basic materials' costs increased due to supply constraints, which had a significant impact on both the industry and the overall economy. Looking forward, a cautiously positive view for the materials sector in 2025 has been strengthened by long-term structural demand and improved macroeconomic conditions. Persistent economic concerns in the United States and a noticeable slowdown in China, two important markets for industrial materials, burdened the sector in 2024. However, according to Fidelity, the situation seems more favorable for growth in 2025 as China implements economic stimulus measures and central banks in major economies currently lean toward monetary easing. Some subsectors stand to benefit from both a short-term cyclical recovery and advantageous long-term supply-demand imbalances, especially those related to copper and other crucial inputs for infrastructure and electrification. Furthermore, the sector's rate-sensitive industries, such as chemicals, may gain from lower interest rates, while more robust, high-quality firms may provide defensive strength. The sector is positioned for a potentially better performance in 2025 due to a combination of financial assistance, a possible recovery in Chinese demand, and strategic exposure to growth-linked materials. Currently, according to a strategist for equity derivatives at Barclays, Stefano Pascale, options traders are undervaluing the risks associated with materials stocks because the sector's predicted volatility is close to historic lows, making downside protection cheap. Steel and paper companies are among the materials stocks that are susceptible to tariffs because of their dependence on international supply chains, and additional tariffs are anticipated to be announced soon by President Trump. Despite this, Pascale commented: "The volatility market is giving you an exceptionally good opportunity here of cheap materials puts. Even if you didn't have a trade war, this would be, historically speaking, a very attractive trade." Materials underperformed in 2018 due to Trump's tariffs, and similar drops may be seen this year, with the Dow down 7%. According to statistics provided by Bloomberg Intelligence, sell-side analysts have lowered their expectations for the material sector, anticipating earnings to climb 5.9% this year, down from an estimate of 16% in January. However, traders must consider liquidity risks, as the bid-ask spread for materials options is $0.20, as opposed to $0.04 for broader market options. We sifted through the Materials ETFs and online rankings to form an initial list of the 25 materials stocks. From the resultant dataset, we chose 11 stocks with the highest number of hedge fund investors, using Insider Monkey's database of 1009 hedge funds in Q4 2024 to gauge hedge fund sentiment for stocks. Why are we interested in the stocks that hedge funds pile into? The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter's strategy selects 14 small-cap and large-cap stocks every quarter and has returned 373.4% since May 2014, beating its benchmark by 218 percentage points (). A construction site with a truck and crane unloading the company's materials. Number of Hedge Fund Holders: 57 A major force in the construction materials sector, Vulcan Materials Company (NYSE:VMC) specializes in aggregates for vital infrastructure projects like roads, bridges, tunnels, and airports, including asphalt, ready-mix concrete, and crushed stone. Texas, California, Virginia, Tennessee, Georgia, Florida, North Carolina, and Alabama are among its biggest markets. The firm sold 3.6 million cubic yards of ready-mix, 13.6 million tons of asphalt mix, and 219.9 million tons of aggregates in 2024. The company's aggregate reserves were close to 16 billion tons as of December 31, 2023. VMC is ranked ninth on our list of the best materials stocks. Vulcan Materials Company (NYSE:VMC), which has a market capitalization of $30 billion and an enterprise value of $34.8 billion, runs local monopolies in 23 states. The Gulf Coast market accounts for almost half of its revenue. Through programs like "Build America," which sustain demand for building materials, the business is positioned as a major beneficiary of federal infrastructure expenditure. The firm's anticipated 17% EPS growth for 2026 shows that, despite recent market volatility and a 19% drop from its 30-day high, it is still an earnings compounder with strong pricing power. Following a beat in Q4 earnings, RBC Capital increased its price objective for Vulcan Materials Company (NYSE:VMC) from $269 to $286 and maintained a Sector Perform rating on the shares. According to the analyst's research note, the business continues to benefit from a favorable price/cost setup and internal cost control in FY25, even though the organic volume prediction was weaker and pricing was somewhat restrained. The company announced a positive Q4 result and FY25 guide. Overall, VMC ranks 9th on our list of the best materials stocks to buy according to hedge funds. While we acknowledge the potential of VMC as an investment, our conviction lies in the belief that AI stocks hold greater promise for delivering higher returns, and doing so within a shorter time frame. There is an AI stock that went up since the beginning of 2025, while popular AI stocks lost around 25%. If you are looking for an AI stock that is more promising than VMC but that trades at less than 5 times its earnings, check out our report about this . READ NEXT: 20 Best AI Stock To Buy Now and 30 Best Stocks to Buy Now According to Billionaires. Disclosure: None. This article is originally published at . Sign in to access your portfolio
Yahoo
22-04-2025
- Business
- Yahoo
Maryville quarry to add sound screening: How it affects you
MARYVILLE, Tenn. (WATE) — Vulcan Materials Company plans to update their quarry in Maryville to add visual and sound screening among other improvements, they said. The company plans to invest $12.5 million to update the quarry originally built in the 1940s. The update would include a landscaped berm, which they say would add visual and sound screening for the areas around Shannondale, Trotwood Farms and Montvale Road. It would also centralize mining away from Jarvis Park, the sports fields and Windsor Park homes, and create a 300-foot southern buffer to screen Trotwood Farms. The Vietnam War 50 years later: A timeline of events Additionally, the company says they will reconfigure and restrict overburden (a type of material) storage to a specific height, and increase the safe blasting and sound monitoring network. They also plan to add requirements for low-sound backup alarms on mobile equipment in certain areas. Maryville Site Plan Handout – low resDownload 'We believe in doing the right thing, the right way, at the right time,' said Brian Williamson, vice president of Vulcan Materials Company. 'For nearly 20 years, our site plan has responsibly served both our neighbors and the community. The Optimization and Benefits Plan allows us to build on the safety, environmental, and community commitments we uphold every day.' East Tennessee model train company fears industry shutdown amid tariff war People wanting to comment on the new plan can come by the open house between 3 and 7 p.m. on Tuesday at the Alumni Gym at Maryville College. Learn more, by clicking here. For those unable to attend, Vulcan says they can email their questions to Maryville@ or call 629-910-7627. Copyright 2025 Nexstar Media, Inc. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.
Yahoo
10-04-2025
- Business
- Yahoo
VULCAN ANNOUNCES FIRST QUARTER 2025 CONFERENCE CALL
BIRMINGHAM, Ala., April 10, 2025 /PRNewswire/ -- Vulcan Materials Company (NYSE: VMC) will host its first quarter 2025 earnings conference call on Wednesday, April 30, 2025 at 9:00 a.m. CT (10:00 a.m. ET). Financial results will be released before the NYSE market opens. The Company invites investors and other interested parties to listen to the live webcast of the conference call at To participate by phone, call 800-343-4136 approximately 10 minutes before the scheduled start. For international calls, the number is 203-518-9843. The conference ID is 4926462. A replay of the webcast will be available after the call at the Company's website. Vulcan Materials Company, a member of the S&P 500 index with headquarters in Birmingham, Alabama, is the nation's largest supplier of construction aggregates – primarily crushed stone, sand and gravel – and a major producer of aggregates-based construction materials, including asphalt and ready-mixed concrete. For additional information about Vulcan, go to Investor Contact: Mark Warren (205) 298-3220Media Contact: Jack Bonnikson (205) 298-3220 View original content to download multimedia: SOURCE Vulcan Materials Company Sign in to access your portfolio
Yahoo
07-03-2025
- Business
- Yahoo
Is It Smart To Buy Vulcan Materials Company (NYSE:VMC) Before It Goes Ex-Dividend?
Regular readers will know that we love our dividends at Simply Wall St, which is why it's exciting to see Vulcan Materials Company (NYSE:VMC) is about to trade ex-dividend in the next two days. The ex-dividend date is one business day before a company's record date, which is the date on which the company determines which shareholders are entitled to receive a dividend. The ex-dividend date is important as the process of settlement involves a full business day. So if you miss that date, you would not show up on the company's books on the record date. Therefore, if you purchase Vulcan Materials' shares on or after the 10th of March, you won't be eligible to receive the dividend, when it is paid on the 24th of March. The company's next dividend payment will be US$0.49 per share, and in the last 12 months, the company paid a total of US$1.84 per share. Looking at the last 12 months of distributions, Vulcan Materials has a trailing yield of approximately 0.8% on its current stock price of US$235.17. Dividends are an important source of income to many shareholders, but the health of the business is crucial to maintaining those dividends. So we need to check whether the dividend payments are covered, and if earnings are growing. See our latest analysis for Vulcan Materials Dividends are typically paid from company earnings. If a company pays more in dividends than it earned in profit, then the dividend could be unsustainable. That's why it's good to see Vulcan Materials paying out a modest 26% of its earnings. Yet cash flows are even more important than profits for assessing a dividend, so we need to see if the company generated enough cash to pay its distribution. Fortunately, it paid out only 30% of its free cash flow in the past year. It's positive to see that Vulcan Materials's dividend is covered by both profits and cash flow, since this is generally a sign that the dividend is sustainable, and a lower payout ratio usually suggests a greater margin of safety before the dividend gets cut. Click here to see the company's payout ratio, plus analyst estimates of its future dividends. Stocks in companies that generate sustainable earnings growth often make the best dividend prospects, as it is easier to lift the dividend when earnings are rising. If business enters a downturn and the dividend is cut, the company could see its value fall precipitously. With that in mind, we're encouraged by the steady growth at Vulcan Materials, with earnings per share up 8.1% on average over the last five years. Management have been reinvested more than half of the company's earnings within the business, and the company has been able to grow earnings with this retained capital. Organisations that reinvest heavily in themselves typically get stronger over time, which can bring attractive benefits such as stronger earnings and dividends. Many investors will assess a company's dividend performance by evaluating how much the dividend payments have changed over time. In the past 10 years, Vulcan Materials has increased its dividend at approximately 25% a year on average. We're glad to see dividends rising alongside earnings over a number of years, which may be a sign the company intends to share the growth with shareholders. Should investors buy Vulcan Materials for the upcoming dividend? Earnings per share growth has been growing somewhat, and Vulcan Materials is paying out less than half its earnings and cash flow as dividends. This is interesting for a few reasons, as it suggests management may be reinvesting heavily in the business, but it also provides room to increase the dividend in time. We would prefer to see earnings growing faster, but the best dividend stocks over the long term typically combine significant earnings per share growth with a low payout ratio, and Vulcan Materials is halfway there. It's a promising combination that should mark this company worthy of closer attention. In light of that, while Vulcan Materials has an appealing dividend, it's worth knowing the risks involved with this stock. In terms of investment risks, we've identified 1 warning sign with Vulcan Materials and understanding them should be part of your investment process. If you're in the market for strong dividend payers, we recommend checking our selection of top dividend stocks. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. Sign in to access your portfolio
