V2X (NYSE:VVX) Releases Quarterly Earnings Results, Beats Expectations By $0.20 EPS

V2X (NYSE:VVX) issued its quarterly earnings results on Monday. The company reported $1.64 EPS for the quarter, topping the consensus estimate of $1.44 by $0.20, FiscalAI reports. V2X had a net margin of 1.88% and a return on equity of 17.70%. The business had revenue of $1.26 billion for the quarter, compared to analysts’ expectations of $1.21 billion. During the same quarter last year, the company posted $1.33 earnings per share. The company’s quarterly revenue was up 16.5% compared to the same quarter last year. V2X updated its FY 2026 guidance to 5.900-6.300 EPS.

Here are the key takeaways from V2X’s conference call:

• Guidance was raised after a strong quarter: 2026 revenue is now expected at $4.875–$5.025 billion, adjusted EBITDA at $347.5–$362.5 million, and adjusted diluted EPS at $5.90–$6.30.
• Second-quarter revenue increased 17% to $1.26 billion, while adjusted EBITDA rose 9% to $89.8 million and adjusted diluted EPS climbed 23% to $1.64. Adjusted operating cash flow improved 23% year over year to $71.8 million.
• V2X reported approximately $1 billion in recent awards spanning modernization, training, aerospace, and mission readiness, with management saying the awards should improve the margin profile of its backlog. The awards were received after quarter-end and therefore were not included in second-quarter bookings.
• Funded backlog increased 10% sequentially to $2.5 billion, and management expects adjusted operating cash flow of $160–$180 million for 2026, driving net leverage to approximately 2 times or below by year-end. The company also reduced borrowing costs through a term-loan repricing.
• The Kuwait logistics activity is expected to fall sharply in the second half, from approximately $180 million of first-half revenue to $20–$30 million, creating an estimated $150 million sequential headwind. Middle East revenue is consequently expected to be flat to down for the full year, although other programs and national-security activity are expected to offset much of the decline.

V2X Trading Down 7.5%

NYSE:VVX opened at $79.91 on Wednesday. The firm has a market cap of $2.50 billion, a price-to-earnings ratio of 28.64, a P/E/G ratio of 0.69 and a beta of 0.21. V2X has a 12 month low of $49.59 and a 12 month high of $93.98. The company has a quick ratio of 1.25, a current ratio of 1.25 and a debt-to-equity ratio of 0.96. The company’s 50 day moving average is $80.96 and its 200-day moving average is $73.17.

Analysts Set New Price Targets

Several equities analysts recently issued reports on VVX shares. Robert W. Baird restated a “neutral” rating and set a $94.00 price objective on shares of V2X in a research note on Tuesday. Morgan Stanley lifted their price target on V2X from $80.00 to $90.00 and gave the company an “equal weight” rating in a report on Tuesday. Citizens Jmp increased their price target on V2X from $90.00 to $102.00 and gave the stock a “market outperform” rating in a research note on Tuesday, July 28th. Royal Bank Of Canada increased their price target on V2X from $70.00 to $75.00 and gave the company a “sector perform” rating in a research note on Tuesday, May 5th. Finally, Noble Financial reissued an “outperform” rating on shares of V2X in a research note on Tuesday, June 2nd. One investment analyst has rated the stock with a Strong Buy rating, six have issued a Buy rating, six have issued a Hold rating and one has given a Sell rating to the company’s stock. According to MarketBeat.com, the company currently has an average rating of “Moderate Buy” and an average price target of $86.90.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently made changes to their positions in VVX. Comerica Bank lifted its position in V2X by 79.1% in the third quarter. Comerica Bank now owns 480 shares of the company’s stock worth $28,000 after purchasing an additional 212 shares during the period. Larson Financial Group LLC raised its position in V2X by 207.3% in the third quarter. Larson Financial Group LLC now owns 759 shares of the company’s stock worth $44,000 after purchasing an additional 512 shares in the last quarter. Osaic Holdings Inc. lifted its stake in V2X by 140.0% during the second quarter. Osaic Holdings Inc. now owns 1,068 shares of the company’s stock worth $52,000 after purchasing an additional 623 shares during the period. Tower Research Capital LLC TRC boosted its holdings in V2X by 336.0% during the second quarter. Tower Research Capital LLC TRC now owns 2,590 shares of the company’s stock valued at $126,000 after purchasing an additional 1,996 shares in the last quarter. Finally, State of Wyoming acquired a new stake in V2X during the fourth quarter valued at approximately $131,000. Institutional investors own 95.18% of the company’s stock.

V2X News Summary

Here are the key news stories impacting V2X this week:

• Positive Sentiment: V2X won an $87 million firm-fixed-price contract to improve the performance and mission readiness of SUU-79 pylons used on U.S. Navy F/A-18 Super Hornet and EA-18G Growler aircraft. The award adds to the company’s defense backlog and supports recurring military sustainment demand. V2X Wins $87 Million Contract Supporting F/A-18 Mission Readiness
• Positive Sentiment: V2X was awarded a U.S. Air Force C-12 aircraft sustainment contract with a potential ceiling of $500 million through 2031. Although an indefinite-delivery/indefinite-quantity ceiling is not guaranteed revenue, the award strengthens the company’s long-term position in defense logistics. V2X Awarded $500 Million U.S. Air Force C-12 Sustainment Contract
• Positive Sentiment: Noble Financial raised its FY2026 EPS forecast to $6.16 from $5.95 and increased its fourth-quarter estimate to $1.58 from $1.54. The firm maintained an Outperform rating.
• Positive Sentiment: V2X reported second-quarter revenue of $1.26 billion, up 16.5% year over year, while adjusted EPS of $1.64 exceeded estimates near $1.44–$1.45. Adjusted net income rose 22%, and management increased its full-year revenue, adjusted EBITDA and adjusted EPS guidance, including an EPS range of $5.90–$6.30.
• Neutral Sentiment: Morgan Stanley raised its price target to $90 from $80 but retained an Equal Weight rating. Baird reaffirmed its Neutral rating with a $94 target, indicating analysts see additional value but limited conviction at current valuation levels.
• Neutral Sentiment: Management is reportedly pursuing acquisitions, which could expand V2X’s capabilities and backlog but may also introduce integration, financing and execution risks.
• Negative Sentiment: Baird downgraded V2X on valuation after the stock’s major rally. That caution appears to be the main immediate headwind, as investors take profits despite strong earnings, upgraded guidance and new contract awards.

V2X Company Profile

V2X, Inc provides critical mission solutions and support services to defense clients worldwide. It offers a suite of integrated solutions across the operations and logistics, aerospace, training, and technology markets to national security, defense, civilian, and international clients. The company was incorporated in 2014 and is headquartered in Mclean, Virginia.