John L. Schwietz, Executive VP and CFO of Valmont Industries, Inc. (VMI -0.50%), executed a direct purchase of 208 shares of common stock on July 23, 2026. SEC Form 4 filing.
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Transaction summaryMetricValueTransaction value~$101,119Shares purchased (direct)208Post-transaction shares (directly held)2,992Post-transaction value$1.46 millionTransaction value based on SEC Form 4 weighted average purchase price ($486.15); post-transaction value based on July 23, 2026 market close ($488.60).
Key questionsWhat was the magnitude of the purchase relative to the executive's total direct position?
The purchase of 208 shares expanded John L. Schwietz's direct stake by 7%, increasing his total holdings to 2,992 shares of common stock.How does the total market value of the current holdings compare to the transaction cost?
The CFO's total direct position is valued at $1.46 million as of the July 23, 2026 market close, following an investment of approximately $101,119 at $486.15 per share.In what market context did this insider purchase occur?
The transaction was executed as Valmont Industries shares have recorded a 36% total return over the 12-month period ending July 23, 2026, while the company maintains a market capitalization of $9.4 billion.Company OverviewMetricValueShare Price (as of market close 2026-07-23)$488.60Market Capitalization$9.4 billionRevenue (TTM)$4.2 billionNet Income (TTM)$505.7 millionCompany SnapshotValmont Industries designs, manufactures, and distributes engineered metal, steel, aluminum, and composite structures, including poles, towers, and infrastructure components, through its Infrastructure segment, while also providing agricultural irrigation systems and equipment through its Agriculture segment.The company generates revenue through the design and production of engineered products for infrastructure applications and agricultural irrigation solutions, operating a capital-intensive manufacturing model with global distribution capabilities across North America, Australia, Brazil, Denmark, and other international markets.Valmont serves utility companies, telecommunications providers, renewable energy developers, and agricultural producers worldwide, positioning itself as a critical supplier of infrastructure components and irrigation technology to support global energy transmission, communications networks, and agricultural productivity.Valmont Industries is a diversified industrial conglomerate with approximately $4.2 billion in trailing twelve-month (TTM) revenue and a market capitalization of $9.4 billion, demonstrating significant scale in engineered products and infrastructure solutions. The company operates a dual-segment business model spanning Infrastructure and Agriculture, leveraging its manufacturing expertise and global footprint to serve essential end markets. With a net profit margin of approximately 11.8% on TTM results, Valmont exhibits operational efficiency and competitive positioning in capital-intensive industrial markets characterized by long-term infrastructure and agricultural investment cycles.
What this transaction means for investorsThere are many reasons an insider may sell stock in a company, not all of which have to do with his or her feelings about the direction of the stock price, such as having to pay a large personal expense.
There is only one reason an insider buys: they believe the stock price is going up.
Through that prism, Schwietz’s purchase of $100,000 worth of Valmont shares is bullish. Even more so when you consider that studies show an insider purchase predicts the share price being higher in 30 days more often than not.
Schwietz was appointed CFO in April after serving as an executive in various capacities throughout the business since 2009. He knows Valmont inside and out. That he is voting with his wallet on shares is a good sign.
Also, a positive signal for investors: strong second quarter fiscal 2026 earnings. Earlier this week, the company reported that Q2 sales rose 6.5% to $1.12 billion, with the company swinging to net income of nearly $120 million after posting a small net loss a year prior. Management also projected full-year sales should rise more than 6% with much better earnings per share.
A relatively small share purchase by CFO Schwietz is not by itself a full-throated call to buy Valmont Industry shares, but taken as part of a mosaic of information about the business, it’s a positive signal for investors.
Growth investors focus on stocks that are seeing above-average financial growth, as this feature helps these securities garner the market's attention and deliver solid returns. But finding a growth stock that can live up to its true potential can be a tough task.
That's because, these stocks usually carry above-average risk and volatility. In fact, betting on a stock for which the growth story is actually over or nearing its end could lead to significant loss.
However, the Zacks Growth Style Score (part of the Zacks Style Scores system), which looks beyond the traditional growth attributes to analyze a company's real growth prospects, makes it pretty easy to find cutting-edge growth stocks.
Our proprietary system currently recommends Valmont Industries (VMI - Free Report) as one such stock. This company not only has a favorable Growth Score, but also carries a top Zacks Rank.
Research shows that stocks carrying the best growth features consistently beat the market. And for stocks that have a combination of a Growth Score of A or B and a Zacks Rank #1 (Strong Buy) or 2 (Buy), returns are even better.
Here are three of the most important factors that make the stock of this infrastructure equipment maker a great growth pick right now.
Earnings GrowthArguably nothing is more important than earnings growth, as surging profit levels is what most investors are after. And for growth investors, double-digit earnings growth is definitely preferable, and often an indication of strong prospects (and stock price gains) for the company under consideration.
While the historical EPS growth rate for Valmont is 14.7%, investors should actually focus on the projected growth. The company's EPS is expected to grow 20.3% this year, crushing the industry average, which calls for EPS growth of 10.1%.
Impressive Asset Utilization RatioGrowth investors often overlook asset utilization ratio, also known as sales-to-total-assets (S/TA) ratio, but it is an important feature of a real growth stock. This metric exhibits how efficiently a firm is utilizing its assets to generate sales.
Right now, Valmont has an S/TA ratio of 1.24, which means that the company gets $1.24 in sales for each dollar in assets. Comparing this to the industry average of 0.98, it can be said that the company is more efficient.
While the level of efficiency in generating sales matters a lot, so does the sales growth of a company. And Valmont looks attractive from a sales growth perspective as well. The company's sales are expected to grow 6% this year versus the industry average of 0%.
Promising Earnings Estimate RevisionsSuperiority of a stock in terms of the metrics outlined above can be further validated by looking at the trend in earnings estimate revisions. A positive trend is of course favorable here. Empirical research shows that there is a strong correlation between trends in earnings estimate revisions and near-term stock price movements.
There have been upward revisions in current-year earnings estimates for Valmont. The Zacks Consensus Estimate for the current year has surged 0.6% over the past month.
Bottom LineValmont has not only earned a Growth Score of B based on a number of factors, including the ones discussed above, but it also carries a Zacks Rank #2 because of the positive earnings estimate revisions.
You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here.
This combination indicates that Valmont is a potential outperformer and a solid choice for growth investors.
Valmont Industries (VMI - Free Report) has been beaten down lately with too much selling pressure. While the stock has lost 16.3% over the past four weeks, there is light at the end of the tunnel as it is now in oversold territory and Wall Street analysts expect the company to report better earnings than they predicted earlier.
We use Relative Strength Index (RSI), one of the most commonly used technical indicators, for spotting whether a stock is oversold. This is a momentum oscillator that measures the speed and change of price movements.
RSI oscillates between zero and 100. Usually, a stock is considered oversold when its RSI reading falls below 30.
Technically, every stock oscillates between being overbought and oversold irrespective of the quality of their fundamentals. And the beauty of RSI is that it helps you quickly and easily check if a stock's price is reaching a point of reversal.
So, by this measure, if a stock has gotten too far below its fair value just because of unwarranted selling pressure, investors may start looking for entry opportunities in the stock for benefiting from the inevitable rebound.
However, like every investing tool, RSI has its limitations, and should not be used alone for making an investment decision.
Why a Trend Reversal is Due for VMIThe RSI reading of 28.64 for VMI is an indication that the heavy selling could be in the process of exhausting itself, so the stock could bounce back in a quest for reaching the old equilibrium of supply and demand.
The RSI value is not the only factor that indicates a potential turnaround for the stock in the near term. On the fundamental side, there has been strong agreement among the sell-side analysts covering the stock in raising earnings estimates for the current year. Over the last 30 days, the consensus EPS estimate for VMI has increased 0.6%. And an upward trend in earnings estimate revisions usually translates into price appreciation in the near term.
Moreover, VMI currently has a Zacks Rank #2 (Buy), which means it is in the top 20% of more than 4,000 stocks that we rank based on trends in earnings estimate revisions and EPS surprises. This is a more conclusive indication of the stock's potential turnaround in the near term. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>> .
A downtrend has been apparent in Valmont Industries (VMI - Free Report) lately. While the stock has lost 9.3% over the past week, it could witness a trend reversal as a hammer chart pattern was formed in its last trading session. This could mean that the bulls have been able to counteract the bears to help the stock find support.
While the formation of a hammer pattern is a technical indication of nearing a bottom with potential exhaustion of selling pressure, rising optimism among Wall Street analysts about the future earnings of this infrastructure equipment maker is a solid fundamental factor that enhances the prospects of a trend reversal for the stock.
What is a Hammer Chart and How to Trade It?This is one of the popular price patterns in candlestick charting. A minor difference between the opening and closing prices forms a small candle body, and a higher difference between the low of the day and the open or close forms a long lower wick (or vertical line). The length of the lower wick being at least twice the length of the real body, the candle resembles a 'hammer.'
In simple terms, during a downtrend, with bears having absolute control, a stock usually opens lower compared to the previous day's close, and again closes lower. On the day the hammer pattern is formed, maintaining the downtrend, the stock makes a new low. However, after eventually finding support at the low of the day, some amount of buying interest emerges, pushing the stock up to close the session near or slightly above its opening price.
When it occurs at the bottom of a downtrend, this pattern signals that the bears might have lost control over the price. And, the success of bulls in stopping the price from falling further indicates a potential trend reversal.
Hammer candles can occur on any timeframe -- such as one-minute, daily, weekly -- and are utilized by both short-term as well as long-term investors.
Like every technical indicator, the hammer chart pattern has its limitations. Particularly, as the strength of a hammer depends on its placement on the chart, it should always be used in conjunction with other bullish indicators.
Here's What Increases the Odds of a Turnaround for VMIAn upward trend in earnings estimate revisions that VMI has been witnessing lately can certainly be considered a bullish indicator on the fundamental side. That's because empirical research shows that trends in earnings estimate revisions are strongly correlated with near-term stock price movements.
Over the last 30 days, the consensus EPS estimate for the current year has increased 0.6%. What it means is that the sell-side analysts covering VMI are majorly in agreement that the company will report better earnings than they predicted earlier.
If this is not enough, you should note that VMI currently has a Zacks Rank #2 (Buy), which means it is in the top 20% of more than 4,000 stocks that we rank based on trends in earnings estimate revisions and EPS surprises. And stocks carrying a Zacks Rank #1 or 2 usually outperform the market. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>> .
Moreover, the Zacks Rank has proven to be an excellent timing indicator, helping investors identify precisely when a company's prospects are beginning to improve. So, for the shares of Valmont, a Zacks Rank of 2 is a more conclusive fundamental indication of a potential turnaround.
Bank of New York Mellon Corp lowered its stake in shares of Valmont Industries, Inc. (NYSE:VMI – Free Report) by 1.8% in the 1st quarter, according to the company in its most recent disclosure with the SEC. The firm owned 153,379 shares of the industrial products company’s stock after selling 2,871 shares during the quarter. Bank of New York Mellon Corp owned approximately 0.79% of Valmont Industries worth $61,286,000 as of its most recent SEC filing.
A number of other large investors have also added to or reduced their stakes in VMI. Invesco Ltd. grew its position in shares of Valmont Industries by 8.3% during the 3rd quarter. Invesco Ltd. now owns 422,997 shares of the industrial products company’s stock valued at $164,009,000 after acquiring an additional 32,382 shares during the period. Geode Capital Management LLC lifted its stake in Valmont Industries by 3.5% in the fourth quarter. Geode Capital Management LLC now owns 369,059 shares of the industrial products company’s stock valued at $148,509,000 after purchasing an additional 12,480 shares during the last quarter. Sei Investments Co. grew its holdings in Valmont Industries by 3.1% during the third quarter. Sei Investments Co. now owns 290,948 shares of the industrial products company’s stock valued at $112,809,000 after purchasing an additional 8,715 shares during the period. AQR Capital Management LLC grew its holdings in Valmont Industries by 118.8% during the third quarter. AQR Capital Management LLC now owns 282,610 shares of the industrial products company’s stock valued at $108,884,000 after purchasing an additional 153,418 shares during the period. Finally, Vaughan Nelson Investment Management L.P. increased its position in Valmont Industries by 3.7% in the first quarter. Vaughan Nelson Investment Management L.P. now owns 252,605 shares of the industrial products company’s stock worth $100,933,000 after buying an additional 9,130 shares during the last quarter. Hedge funds and other institutional investors own 87.84% of the company’s stock.
Analyst Ratings Changes A number of equities research analysts recently issued reports on the company. Wall Street Zen upgraded Valmont Industries from a “buy” rating to a “strong-buy” rating in a research note on Saturday, July 18th. Zacks Research lowered shares of Valmont Industries from a “strong-buy” rating to a “hold” rating in a research report on Monday. Stifel Nicolaus lifted their target price on shares of Valmont Industries from $645.00 to $678.00 and gave the stock a “buy” rating in a research note on Monday. JPMorgan Chase & Co. boosted their price target on shares of Valmont Industries from $600.00 to $620.00 and gave the company an “overweight” rating in a research report on Wednesday. Finally, Oppenheimer set a $600.00 price target on shares of Valmont Industries and gave the company an “outperform” rating in a research note on Thursday, May 28th. Four investment analysts have rated the stock with a Buy rating and two have given a Hold rating to the stock. According to data from MarketBeat.com, Valmont Industries has a consensus rating of “Moderate Buy” and an average target price of $587.00.
Get Our Latest Stock Report on VMI
Valmont Industries Trading Down 3.4% Valmont Industries stock opened at $487.94 on Thursday. The company has a debt-to-equity ratio of 0.42, a quick ratio of 1.59 and a current ratio of 2.35. Valmont Industries, Inc. has a fifty-two week low of $352.60 and a fifty-two week high of $585.71. The stock has a market cap of $9.47 billion, a P/E ratio of 19.00, a PEG ratio of 1.17 and a beta of 1.33. The firm’s fifty day moving average price is $539.13 and its 200-day moving average price is $477.68.
Valmont Industries (NYSE:VMI – Get Free Report) last posted its earnings results on Tuesday, July 21st. The industrial products company reported $6.14 EPS for the quarter, topping the consensus estimate of $5.80 by $0.34. Valmont Industries had a return on equity of 25.57% and a net margin of 11.70%.The business had revenue of $1.12 billion during the quarter, compared to analysts’ expectations of $1.09 billion. During the same period in the previous year, the business earned $4.88 earnings per share. The firm’s revenue was up 6.5% on a year-over-year basis. Equities research analysts forecast that Valmont Industries, Inc. will post 22.82 earnings per share for the current fiscal year.
Valmont Industries Announces Dividend The business also recently announced a quarterly dividend, which was paid on Wednesday, July 15th. Investors of record on Friday, June 26th were paid a $0.77 dividend. This represents a $3.08 dividend on an annualized basis and a yield of 0.6%. The ex-dividend date of this dividend was Friday, June 26th. Valmont Industries’s dividend payout ratio (DPR) is currently 17.10%.
Insider Transactions at Valmont Industries In other Valmont Industries news, Director Mogens C. Bay sold 17,500 shares of Valmont Industries stock in a transaction that occurred on Friday, April 24th. The shares were sold at an average price of $492.34, for a total transaction of $8,615,950.00. Following the completion of the sale, the director directly owned 112,309 shares in the company, valued at $55,294,213.06. The trade was a 13.48% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available through this hyperlink. 1.42% of the stock is currently owned by insiders.
Key Stories Impacting Valmont Industries Here are the key news stories impacting Valmont Industries this week:
Positive Sentiment: Valmont posted stronger-than-expected Q2 results, with EPS of $6.14 versus the consensus near $5.80 and revenue of $1.12 billion above estimates. Article: Valmont Industries (VMI) Tops Q2 Earnings and Revenue Estimates Positive Sentiment: Management raised its full-year 2026 sales and earnings outlook, helped by strength in utilities and coatings, which supports the longer-term investment case. Article: VMI Q2 Earnings Beat Estimates on Utility Strength, FY26 View Raised Neutral Sentiment: Analyst sentiment remains constructive overall, with JPMorgan raising its price target to $620 and keeping an overweight rating, suggesting Wall Street still sees upside from current levels. Article: JPMorgan Raises Valmont Industries Price Target Neutral Sentiment: However, Zacks Research downgraded Valmont to hold, reflecting a more cautious stance after the earnings move. Article: Zacks Research Downgrades Valmont Industries Negative Sentiment: Investors are still weighing weakness in agriculture and softer telecom demand, which may be tempering enthusiasm despite the earnings beat and guidance increase. Article: Valmont Industries slips as investors weigh a modest guidance raise against lingering weak spots Valmont Industries Profile (Free Report)
Valmont Industries, Inc (NYSE: VMI) is a diversified industrial manufacturer specializing in infrastructure and agricultural products. Headquartered in Omaha, Nebraska, the company engages in the design, production and distribution of engineered products that support water management, power transmission, lighting and traffic infrastructure. Valmont’s solutions range from center-pivot and lateral-move irrigation systems to utility poles, transmission towers, lighting structures and highway traffic signal support structures.
The company operates through several core business segments.
Further Reading Five stocks we like better than Valmont Industries Could Truth API Become Trump Media’s First Meaningful Revenue Driver? Small Caps Are Crushing the S&P 500—3 Stocks Still Worth Buying Moog Is More Than a Missile Maker, and Wall Street Is Noticing A Boring Dividend Growth Strategy Becomes a Solid Defensive Play Want to see what other hedge funds are holding VMI? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for Valmont Industries, Inc. (NYSE:VMI – Free Report).
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Valmont Industries (NYSE:VMI) reported higher second-quarter 2026 sales and earnings, driven by strength in its Infrastructure segment, particularly North America Utility and Coatings, while Agriculture remained pressured by weaker equipment demand and delayed projects in the Middle East.
President and CEO Avner Applbaum said the company delivered “a strong second quarter” reflecting execution of its strategy. He cited a 6.5% increase in net sales, a 130-basis-point expansion in adjusted operating margin and a 25.8% increase in adjusted earnings per share. Based on the results, Valmont raised its full-year sales and earnings outlook.
“Infrastructure delivered another high-quality quarter, led by 34% growth in North America Utility and 17% growth in Coatings,” Applbaum said. He added that commercial execution, pricing discipline and investments in capacity and throughput helped convert customer demand into profitable growth.
Infrastructure Strength Drives Revenue Growth Executive Vice President and CFO John Schwietz said consolidated net sales rose 6.5% year over year to $1.12 billion. Operating income increased to $166.1 million, while operating margin expanded to 14.8%. Diluted earnings per share rose 25.8% to $6.14. Schwietz said the tax rate remained steady at approximately 26%.
Infrastructure sales increased 14.8% year over year to $879 million. North America Utility sales rose 33.9%, driven by higher pricing and volume growth. Applbaum said demand in Utility continues to be supported by investment in grid modernization, power demand, data centers and electrification, adding that customer discussions suggest the market is in the early stages of a multiyear investment cycle.
North America Coatings sales increased 16.6%, supported by infrastructure and data center demand. Applbaum said the Coatings business is benefiting from higher internal volumes and growing third-party infrastructure demand, supported by Valmont’s galvanizing network.
North America Lighting and Transportation sales declined 2.4% due to lower volumes. Applbaum said Transportation markets remain healthy, while Lighting is being affected by softer residential and commercial construction activity. North America Telecom sales fell 26.1% as carrier spending slowed following the peak of the 5G deployment cycle.
International Infrastructure sales increased 7.4%, helped by favorable foreign exchange and a slight increase in volume. Applbaum said Valmont is pursuing initiatives to strengthen its international businesses, though he described the process as still in its early stages.
Agriculture Margins Improve Despite Lower Sales Agriculture sales declined 15.8% year over year to $244 million. North America sales decreased 2.3%, with reduced volumes partly offset by favorable pricing. International Agriculture sales dropped 28.9%, primarily due to lower Middle East volumes. Schwietz said that outside the Middle East, international Agriculture sales were relatively flat.
Despite the sales decline, Agriculture operating margin improved 90 basis points to 16.5%. Schwietz attributed the improvement to disciplined cost and risk management, and said the actions taken position the segment to expand margins when agricultural markets recover.
Applbaum said global agriculture market conditions remain challenging. In North America, tighter farm economics continue to constrain capital spending. In Brazil, a recently announced government crop plan reduced financing rates for irrigation equipment, but total funding allocated to irrigation is below last year’s level. In the Middle East, the ongoing conflict is causing delays in certain customer projects.
Valmont said it is focusing on higher-value opportunities within Agriculture, including aftermarket and technology solutions. Applbaum said aftermarket parts sales grew approximately 6% in the quarter, while technology services increased 7%, despite softer equipment demand.
Company Raises 2026 Outlook Valmont raised its full-year 2026 net sales guidance to a range of $4.3 billion to $4.45 billion. At the midpoint, Schwietz said that represents approximately 6.7% revenue growth for the year. The company increased its Infrastructure sales outlook to a range of $3.4 billion to $3.5 billion, while maintaining its Agriculture outlook.
The company also raised its diluted earnings per share outlook to a range of $22.25 to $23.50. At the midpoint, Schwietz said the guidance represents nearly 20% growth in adjusted EPS. He said the higher earnings outlook reflects continued strength in North America Utility and Coatings, supported by volume growth and favorable pricing.
Schwietz said raw material and freight costs are expected to remain elevated through the rest of the year, but pricing actions and operational execution are expected to support Infrastructure operating margins at levels consistent with the first half of 2026. In Agriculture, he said margins are expected to moderate in the second half due to normal seasonality.
Valmont maintained its capital expenditure outlook of $170 million to $200 million, with spending weighted toward the second half of the year as it continues investing in capacity expansion.
Cash Flow and Capital Allocation Valmont generated operating cash flow of $148 million in the quarter and ended the period with approximately $139 million in cash. Schwietz said net debt leverage remained close to one times.
The company invested $36 million in capital expenditures during the quarter, primarily to support Utility capacity expansion. It also repaid the remaining $60 million outstanding on its revolving credit facility and returned $75 million to shareholders, including $60 million of share repurchases and $15 million in dividends. At quarter end, approximately $451 million remained available under Valmont’s share repurchase authorization.
Management Addresses Telecom, Inflation and Utility Demand During the question-and-answer portion of the call, CJS Securities analyst Chris Moore asked about visibility in Telecom following the segment’s weaker quarter. Applbaum said Telecom is a quick-turn business with limited backlog visibility and that Valmont did not anticipate the second-quarter softness at the start of the year. He said carriers have shifted spending and are being more disciplined with capital allocation. Valmont now expects Telecom to be down in the teens for the year.
Asked about Agriculture in the Middle East, Applbaum said Valmont manufactures from its Dubai facility and has a flexible model to scale for projects. However, he said regional activity is currently minimal due to the conflict, with customers delaying projects. He said the long-term demand for food security in the region remains compelling.
Stifel analyst Nathan Jones asked whether Valmont was seeing signs of improvement in Agriculture. Applbaum said he would not characterize the market as showing “green shoots,” but said the company is seeing stabilization outside the Middle East. Schwietz said a 16% margin is sustainable for a second quarter in Agriculture, though margins are expected to move into the low teens in the back half of the year due to seasonality.
In response to questions about Infrastructure margins, Schwietz said sequential growth in Infrastructure was driven mostly by price, with a volume component. He said material cost inflation accelerated in the second quarter and is expected to affect the third quarter as well. Later, he said steel was up 27% to 30% year to date and diesel was up 45% year to date, depending on the measure used.
Applbaum said the inflationary pressure is manageable and does not change customer demand, Valmont’s competitive position or its long-term margin trajectory. He also said demand remains strong across transmission, distribution and substations in the Utility business, with capacity constraints more important than demand limitations in determining growth.
About Valmont Industries (NYSE:VMI) Valmont Industries, Inc (NYSE: VMI) is a diversified industrial manufacturer specializing in infrastructure and agricultural products. Headquartered in Omaha, Nebraska, the company engages in the design, production and distribution of engineered products that support water management, power transmission, lighting and traffic infrastructure. Valmont’s solutions range from center-pivot and lateral-move irrigation systems to utility poles, transmission towers, lighting structures and highway traffic signal support structures.
The company operates through several core business segments.
Key Takeaways Valmont's Q2 EPS rose 25.8% to $6.14, while revenues climbed 6.5% to $1.12 billion.Infrastructure sales jumped 14.8% on North America Utility and Coatings strength, offsetting telecom weakness.VMI raised 2026 sales guidance to $4.3-$4.45 billion and lifted the EPS floor to $22.25. Valmont Industries, Inc. (VMI - Free Report) reported second-quarter 2026 earnings of $6.14 per share, up 25.8% from adjusted earnings of $4.88 a year ago. The figure beat the Zacks Consensus Estimate of $5.41.
Revenues increased 6.5% year over year to $1.12 billion and surpassed the consensus mark of $1.09 billion by 2.3%. Strong North America Utility and Coatings sales more than offset continued weakness in Agriculture.
The company ended the quarter with a total backlog of $1.67 billion. Gross profit rose 6.1% year over year to $340.8 million. Selling, general and administrative expenses declined to $174.7 million from $191.7 million, supporting the improvement in operating profitability.
VMI's Segment Performance in Q2Infrastructure revenues increased 14.8% year over year to $878.9 million, beating our estimate of $808.2 million and accounting for 78.4% of total sales. Growth reflected favorable pricing and higher volumes in North America Utility and Coatings, along with positive foreign-currency effects on international sales. Lower North America Telecommunications volumes, caused by moderating carrier spending, partly offset these gains.
Agriculture revenues fell 15.8% to $243.7 million, lagging our estimate of $284.2 million. North America irrigation sales declined 2.3% because of lower volumes amid persistent agricultural market softness, partly offset by favorable pricing. International Agriculture sales decreased 28.9%, primarily due to disruptions associated with the Middle East conflict.
VMI's FinancialsValmont ended the quarter with cash and cash equivalents of $139.1 million. Cash provided by operating activities totaled $148.1 million during the quarter. The company returned $74.9 million to its shareholders during the quarter, including $60 million through share repurchases and $14.9 million in dividends. Capital expenditures totaled $35.9 million, primarily supporting capacity investments in North America Utility.
Valmont's Outlook for 2026VMI raised its full-year 2026 net sales outlook to $4.3-$4.45 billion from the earlier $4.2-$4.4 billion. Infrastructure revenues are now projected at $3.4-$3.5 billion, up from the prior forecast of $3.3-$3.45 billion. The Agriculture sales outlook remains unchanged at $900-$950 million.
The company lifted the lower end of its earnings guidance to $22.25 per share from $21.50 while retaining the upper end at $23.50. Capital expenditures are still expected between $170 million and $200 million. The effective tax rate is projected at approximately 26%.
VMI’s Stock Price PerformanceVMI’s shares have gained 41% in the past year compared with the industry’s growth of 45.7%.
Image Source: Zacks Investment Research
VMI’s Zacks Rank & Key PicksVMI currently carries a Zacks Rank #3 (Hold).
Better-ranked stocks in the basic materials space include Carpenter Technology Corporation (CRS - Free Report) ,Kronos Worldwide, Inc. (KRO - Free Report) and Avient Corporation (AVNT - Free Report) .
Carpenter Technology is slated to report fourth-quarter 2026 results on July 30. The Zacks Consensus Estimate for earnings is pegged at $10.58 per share, indicating 41.44% year-over-year growth. CRS sports a Zacks Rank #1 (Strong Buy) at present. You can see the complete list of today’s Zacks #1 Rank stocks here.
Kronos is scheduled to report second-quarter fiscal 2026 results on Aug. 5. The Zacks Consensus Estimate for KRO’s second-quarter loss per share is pegged at 33 cents, indicating 65.63% year-over-year growth. KRO flaunts a Zacks Rank #1 at present.
Avient is slated to report second-quarter 2026 results on Aug. 6. The consensus estimate for AVNT’s earnings per share is pegged at $3.08. AVNT presently carries a Zacks Rank #2 (Buy).
On July 21, 2026, Valmont Industries Inc (VMI) shares fell 3.9% to a current price of $505.35. This drop is part of a broader trend, with the stock declining 11
MarketBeat Week in Review – 04/20 - 04/24Valmont Industries NYSE: VMI reported higher second-quarter 2026 sales and earnings, driven by strength in its Infrastructure segment, particularly North America Utility and Coatings, while Agriculture remained pressured by weaker equipment demand and delayed projects in the Middle East.
President and CEO Avner Applbaum said the company delivered “a strong second quarter” reflecting execution of its strategy. He cited a 6.5% increase in net sales, a 130-basis-point expansion in adjusted operating margin and a 25.8% increase in adjusted earnings per share. Based on the results, Valmont raised its full-year sales and earnings outlook.
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1 Stock Is Powering the AI Boom and the Next Farm Supercycle“Infrastructure delivered another high-quality quarter, led by 34% growth in North America Utility and 17% growth in Coatings,” Applbaum said. He added that commercial execution, pricing discipline and investments in capacity and throughput helped convert customer demand into profitable growth.
Infrastructure Strength Drives Revenue Growth Executive Vice President and CFO John Schwietz said consolidated net sales rose 6.5% year over year to $1.12 billion. Operating income increased to $166.1 million, while operating margin expanded to 14.8%. Diluted earnings per share rose 25.8% to $6.14. Schwietz said the tax rate remained steady at approximately 26%.
Investing in Sustainable Solutions: 2 Top Water Tech StocksInfrastructure sales increased 14.8% year over year to $879 million. North America Utility sales rose 33.9%, driven by higher pricing and volume growth. Applbaum said demand in Utility continues to be supported by investment in grid modernization, power demand, data centers and electrification, adding that customer discussions suggest the market is in the early stages of a multiyear investment cycle.
North America Coatings sales increased 16.6%, supported by infrastructure and data center demand. Applbaum said the Coatings business is benefiting from higher internal volumes and growing third-party infrastructure demand, supported by Valmont’s galvanizing network.
North America Lighting and Transportation sales declined 2.4% due to lower volumes. Applbaum said Transportation markets remain healthy, while Lighting is being affected by softer residential and commercial construction activity. North America Telecom sales fell 26.1% as carrier spending slowed following the peak of the 5G deployment cycle.
International Infrastructure sales increased 7.4%, helped by favorable foreign exchange and a slight increase in volume. Applbaum said Valmont is pursuing initiatives to strengthen its international businesses, though he described the process as still in its early stages.
Agriculture Margins Improve Despite Lower Sales Agriculture sales declined 15.8% year over year to $244 million. North America sales decreased 2.3%, with reduced volumes partly offset by favorable pricing. International Agriculture sales dropped 28.9%, primarily due to lower Middle East volumes. Schwietz said that outside the Middle East, international Agriculture sales were relatively flat.
Despite the sales decline, Agriculture operating margin improved 90 basis points to 16.5%. Schwietz attributed the improvement to disciplined cost and risk management, and said the actions taken position the segment to expand margins when agricultural markets recover.
Applbaum said global agriculture market conditions remain challenging. In North America, tighter farm economics continue to constrain capital spending. In Brazil, a recently announced government crop plan reduced financing rates for irrigation equipment, but total funding allocated to irrigation is below last year’s level. In the Middle East, the ongoing conflict is causing delays in certain customer projects.
Valmont said it is focusing on higher-value opportunities within Agriculture, including aftermarket and technology solutions. Applbaum said aftermarket parts sales grew approximately 6% in the quarter, while technology services increased 7%, despite softer equipment demand.
Company Raises 2026 Outlook Valmont raised its full-year 2026 net sales guidance to a range of $4.3 billion to $4.45 billion. At the midpoint, Schwietz said that represents approximately 6.7% revenue growth for the year. The company increased its Infrastructure sales outlook to a range of $3.4 billion to $3.5 billion, while maintaining its Agriculture outlook.
The company also raised its diluted earnings per share outlook to a range of $22.25 to $23.50. At the midpoint, Schwietz said the guidance represents nearly 20% growth in adjusted EPS. He said the higher earnings outlook reflects continued strength in North America Utility and Coatings, supported by volume growth and favorable pricing.
Schwietz said raw material and freight costs are expected to remain elevated through the rest of the year, but pricing actions and operational execution are expected to support Infrastructure operating margins at levels consistent with the first half of 2026. In Agriculture, he said margins are expected to moderate in the second half due to normal seasonality.
Valmont maintained its capital expenditure outlook of $170 million to $200 million, with spending weighted toward the second half of the year as it continues investing in capacity expansion.
Cash Flow and Capital Allocation Valmont generated operating cash flow of $148 million in the quarter and ended the period with approximately $139 million in cash. Schwietz said net debt leverage remained close to one times.
The company invested $36 million in capital expenditures during the quarter, primarily to support Utility capacity expansion. It also repaid the remaining $60 million outstanding on its revolving credit facility and returned $75 million to shareholders, including $60 million of share repurchases and $15 million in dividends. At quarter end, approximately $451 million remained available under Valmont’s share repurchase authorization.
Management Addresses Telecom, Inflation and Utility Demand During the question-and-answer portion of the call, CJS Securities analyst Chris Moore asked about visibility in Telecom following the segment’s weaker quarter. Applbaum said Telecom is a quick-turn business with limited backlog visibility and that Valmont did not anticipate the second-quarter softness at the start of the year. He said carriers have shifted spending and are being more disciplined with capital allocation. Valmont now expects Telecom to be down in the teens for the year.
Asked about Agriculture in the Middle East, Applbaum said Valmont manufactures from its Dubai facility and has a flexible model to scale for projects. However, he said regional activity is currently minimal due to the conflict, with customers delaying projects. He said the long-term demand for food security in the region remains compelling.
Stifel analyst Nathan Jones asked whether Valmont was seeing signs of improvement in Agriculture. Applbaum said he would not characterize the market as showing “green shoots,” but said the company is seeing stabilization outside the Middle East. Schwietz said a 16% margin is sustainable for a second quarter in Agriculture, though margins are expected to move into the low teens in the back half of the year due to seasonality.
In response to questions about Infrastructure margins, Schwietz said sequential growth in Infrastructure was driven mostly by price, with a volume component. He said material cost inflation accelerated in the second quarter and is expected to affect the third quarter as well. Later, he said steel was up 27% to 30% year to date and diesel was up 45% year to date, depending on the measure used.
Applbaum said the inflationary pressure is manageable and does not change customer demand, Valmont’s competitive position or its long-term margin trajectory. He also said demand remains strong across transmission, distribution and substations in the Utility business, with capacity constraints more important than demand limitations in determining growth.
About Valmont Industries (NYSE:VMI)Valmont Industries, Inc NYSE: VMI is a diversified industrial manufacturer specializing in infrastructure and agricultural products. Headquartered in Omaha, Nebraska, the company engages in the design, production and distribution of engineered products that support water management, power transmission, lighting and traffic infrastructure. Valmont's solutions range from center-pivot and lateral-move irrigation systems to utility poles, transmission towers, lighting structures and highway traffic signal support structures.
The company operates through several core business segments.
This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected].
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Valmont Industries (VMI - Free Report) came out with quarterly earnings of $6.14 per share, beating the Zacks Consensus Estimate of $5.76 per share. This compares to earnings of $4.88 per share a year ago. These figures are adjusted for non-recurring items.
This quarterly report represents an earnings surprise of +6.60%. A quarter ago, it was expected that this infrastructure equipment maker would post earnings of $4.72 per share when it actually produced earnings of $5.51, delivering a surprise of +16.74%.
Over the last four quarters, the company has surpassed consensus EPS estimates three times.
Valmont, which belongs to the Zacks Steel - Pipe and Tube industry, posted revenues of $1.12 billion for the quarter ended June 2026, surpassing the Zacks Consensus Estimate by 2.32%. This compares to year-ago revenues of $1.05 billion. The company has topped consensus revenue estimates three times over the last four quarters.
The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call.
Valmont shares have added about 30.7% since the beginning of the year versus the S&P 500's gain of 8.7%.
What's Next for Valmont?While Valmont has outperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock?
There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately.
Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions.
Ahead of this earnings release, the estimate revisions trend for Valmont was mixed. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #3 (Hold) for the stock. So, the shares are expected to perform in line with the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here.
It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $5.78 on $1.1 billion in revenues for the coming quarter and $22.82 on $4.31 billion in revenues for the current fiscal year.
Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Steel - Pipe and Tube is currently in the top 41% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1.
Another stock from the broader Zacks Industrial Products sector, Emerson Electric (EMR - Free Report) , has yet to report results for the quarter ended June 2026. The results are expected to be released on August 4.
This maker of process controls systems, valves and analytical instruments is expected to post quarterly earnings of $1.68 per share in its upcoming report, which represents a year-over-year change of +10.5%. The consensus EPS estimate for the quarter has been revised 0.1% lower over the last 30 days to the current level.
Emerson Electric's revenues are expected to be $4.79 billion, up 5.3% from the year-ago quarter.
For the quarter ended June 2026, Valmont Industries (VMI - Free Report) reported revenue of $1.12 billion, up 6.5% over the same period last year. EPS came in at $6.14, compared to $4.88 in the year-ago quarter.
The reported revenue compares to the Zacks Consensus Estimate of $1.09 billion, representing a surprise of +2.32%. The company delivered an EPS surprise of +6.6%, with the consensus EPS estimate being $5.76.
While investors scrutinize revenue and earnings changes year-over-year and how they compare with Wall Street expectations to determine their next move, some key metrics always offer a more accurate picture of a company's financial health.
Since these metrics play a crucial role in driving the top- and bottom-line numbers, comparing them with the year-ago numbers and what analysts estimated about them helps investors better project a stock's price performance.
Here is how Valmont performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts:
Total Sales by Product Line- North America Utility: $456.74 million versus the two-analyst average estimate of $431.65 million.Total Sales by Product Line- North America Lighting and Transportation: $130.5 million compared to the $130.9 million average estimate based on two analysts.Total Sales by Product Line- International Infrastructure and Solar: $165.68 million compared to the $162.25 million average estimate based on two analysts.Total Sales by Product Line- North America Telecommunications: $56.99 million versus $75.4 million estimated by two analysts on average.Total Sales by Product Line- North America Coatings: $66.81 million compared to the $65.25 million average estimate based on two analysts.Total Sales- Intersegment: $-3.95 million versus the two-analyst average estimate of $-3.99 million. The reported number represents a year-over-year change of -10.1%.Net Sales- Agriculture: $241.97 million versus $236.23 million estimated by two analysts on average. Compared to the year-ago quarter, this number represents a -15.8% change.Total Sales- Infrastructure: $878.94 million versus $835.09 million estimated by two analysts on average. Compared to the year-ago quarter, this number represents a +14.8% change.Total Sales- Agriculture: $243.7 million compared to the $264.59 million average estimate based on two analysts. The reported number represents a change of -15.8% year over year.Net Sales- Infrastructure: $876.72 million compared to the $861.94 million average estimate based on two analysts. The reported number represents a change of +14.9% year over year.Operating income- Corporate: $-28.15 million compared to the $-24.81 million average estimate based on four analysts.Operating income- Infrastructure: $154.38 million versus the four-analyst average estimate of $154.09 million.View all Key Company Metrics for Valmont here>>>
Shares of Valmont have returned -9.8% over the past month versus the Zacks S&P 500 composite's -0.6% change. The stock currently has a Zacks Rank #3 (Hold), indicating that it could perform in line with the broader market in the near term.
OMAHA, Neb.--(BUSINESS WIRE)--Valmont® Industries, Inc. (NYSE: VMI), a global leader that provides products and solutions to support vital infrastructure and advance agricultural productivity, today reported financial results for the second quarter ended June 27, 2026. President and Chief Executive Officer Avner M. Applbaum commented, “Valmont delivered solid second quarter results, demonstrating the execution of our strategy and the strength of our market-leading businesses. In North America U.
Investors might want to bet on Valmont Industries (VMI - Free Report) , as it has been recently upgraded to a Zacks Rank #1 (Strong Buy). This upgrade is essentially a reflection of an upward trend in earnings estimates -- one of the most powerful forces impacting stock prices.
The sole determinant of the Zacks rating is a company's changing earnings picture. The Zacks Consensus Estimate -- the consensus of EPS estimates from the sell-side analysts covering the stock -- for the current and following years is tracked by the system.
Since a changing earnings picture is a powerful factor influencing near-term stock price movements, the Zacks rating system is very useful for individual investors. They may find it difficult to make decisions based on rating upgrades by Wall Street analysts, as these are mostly driven by subjective factors that are hard to see and measure in real time.
Therefore, the Zacks rating upgrade for Valmont basically reflects positivity about its earnings outlook that could translate into buying pressure and an increase in its stock price.
Most Powerful Force Impacting Stock PricesThe change in a company's future earnings potential, as reflected in earnings estimate revisions, and the near-term price movement of its stock are proven to be strongly correlated. The influence of institutional investors has a partial contribution to this relationship, as these big professionals use earnings and earnings estimates to calculate the fair value of a company's shares. An increase or decrease in earnings estimates in their valuation models simply results in higher or lower fair value for a stock, and institutional investors typically buy or sell it. Their transaction of large amounts of shares then leads to price movement for the stock.
For Valmont, rising earnings estimates and the consequent rating upgrade fundamentally mean an improvement in the company's underlying business. And investors' appreciation of this improving business trend should push the stock higher.
Harnessing the Power of Earnings Estimate RevisionsAs empirical research shows a strong correlation between trends in earnings estimate revisions and near-term stock movements, tracking such revisions for making an investment decision could be truly rewarding. Here is where the tried-and-tested Zacks Rank stock-rating system plays an important role, as it effectively harnesses the power of earnings estimate revisions.
The Zacks Rank stock-rating system, which uses four factors related to earnings estimates to classify stocks into five groups, ranging from Zacks Rank #1 (Strong Buy) to Zacks Rank #5 (Strong Sell), has an impressive externally-audited track record, with Zacks Rank #1 stocks generating an average annual return of +25% since 1988. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here >>>> .
Earnings Estimate Revisions for ValmontThis infrastructure equipment maker is expected to earn $22.83 per share for the fiscal year ending December 2026, which represents no year-over-year change.
Analysts have been steadily raising their estimates for Valmont. Over the past three months, the Zacks Consensus Estimate for the company has increased 4.2%.
Bottom LineUnlike the overly optimistic Wall Street analysts whose rating systems tend to be weighted toward favorable recommendations, the Zacks rating system maintains an equal proportion of "buy" and "sell" ratings for its entire universe of more than 4,000 stocks at any point in time. Irrespective of market conditions, only the top 5% of the Zacks-covered stocks get a "Strong Buy" rating and the next 15% get a "Buy" rating. So, the placement of a stock in the top 20% of the Zacks-covered stocks indicates its superior earnings estimate revision feature, making it a solid candidate for producing market-beating returns in the near term.
You can learn more about the Zacks Rank here >>>
The upgrade of Valmont to a Zacks Rank #1 positions it in the top 5% of the Zacks-covered stocks in terms of estimate revisions, implying that the stock might move higher in the near term.
In its upcoming report, Valmont Industries (VMI - Free Report) is predicted by Wall Street analysts to post quarterly earnings of $5.76 per share, reflecting an increase of 18% compared to the same period last year. Revenues are forecasted to be $1.09 billion, representing a year-over-year increase of 4.1%.
The current level reflects no revision in the consensus EPS estimate for the quarter over the past 30 days. This demonstrates how the analysts covering the stock have collectively reappraised their initial projections over this period.
Prior to a company's earnings announcement, it is crucial to consider revisions to earnings estimates. This serves as a significant indicator for predicting potential investor actions regarding the stock. Empirical research has consistently demonstrated a robust correlation between trends in earnings estimate revision and the short-term price performance of a stock.
While it's common for investors to rely on consensus earnings and revenue estimates for assessing how the business may have performed during the quarter, exploring analysts' forecasts for key metrics can yield valuable insights.
In light of this perspective, let's dive into the average estimates of certain Valmont metrics that are commonly tracked and forecasted by Wall Street analysts.
The average prediction of analysts places 'Net Sales- Agriculture' at $236.23 million. The estimate indicates a year-over-year change of -17.8%.
The combined assessment of analysts suggests that 'Total Sales- Infrastructure' will likely reach $835.09 million. The estimate suggests a change of +9.1% year over year.
Analysts forecast 'Total Sales- Agriculture' to reach $264.59 million. The estimate indicates a year-over-year change of -8.6%.
The consensus estimate for 'Net Sales- Infrastructure' stands at $861.94 million. The estimate indicates a year-over-year change of +13%.
View all Key Company Metrics for Valmont here>>>
Shares of Valmont have experienced a change of -3.7% in the past month compared to the +0.5% move of the Zacks S&P 500 composite. With a Zacks Rank #1 (Strong Buy), VMI is expected to outperform the overall market in the near future. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>> .
Key Takeaways Valmont gained 64.6% as utility infrastructure demand strengthened performance.Brownfield expansions added about $95 million in annual capacity and supported a $1.65 billion backlog.Automation, restructuring and lower expenses drove margin expansion and earnings growth. Valmont Industries, Inc. (VMI - Free Report) shares have rallied 64.6% in the past year. The company has also outperformed the Zacks Steel - Pipe and Tube industry’s 53.5% growth over the same time frame. The rally has been driven by robust demand in utility infrastructure and optimization of operational cost structure and manufacturing efficiency. The restructuring initiatives have widened margins, reinforcing investor outlook.
Let’s take a look at the factors that are driving VMI stock.
Valmont's strong performance over the past year has been driven by the momentum in its Infrastructure business and the successful implementation of operational improvement initiatives. Robust demand for grid modernization, electrification, data centers, AI-driven requirements and infrastructure supported Valmont.
Following this, the company focused more on brownfield capacity expansions to increase production capabilities and optimized manufacturing efficiency, adding roughly $95 million in annual revenue capacity. These investments supported higher volumes, favorable pricing and margin expansion while helping Valmont build a strong backlog of approximately $1.65 billion. Management expects industry demand to continue, positioning the company to benefit from a multi-year utility investment cycle.
At the same time, Valmont strengthened profitability through disciplined execution and continuous operational improvement initiatives. The company streamlined its structure, optimized resource allocation and lowered corporate expenses while undertaking restructuring plans.
Manufacturing efficiency improved through automation, AI-enabled scheduling and planning tools, workflow redesign and productivity enhancements across multiple facilities, driving consistent margin expansion and earnings growth. It also continued investing in its Agriculture business by expanding its AgSense digital irrigation solutions and launching the ICON+ control system to broaden revenue opportunities. Strategic acquisitions, including the remaining stake in ConcealFab, further enhanced its digital irrigation and telecommunications segment. Disciplined capital allocation, share repurchases and higher earnings guidance during the year reinforced investor confidence in Valmont's long-term growth prospects.
VMI’s Zacks Rank & Other Key Picks
VMI currently carries a Zacks Rank #2 (Buy).
Some other top-ranked stocks in the Basic Materials space are Kronos Worldwide, Inc. (KRO - Free Report) , Carpenter Technology Corporation (CRS - Free Report) and Albemarle Corporation (ALB - Free Report) .
While KRO sports a Zacks Rank #1 (Strong Buy) at present, CRS and ALB carry a Zacks Rank #2 (Buy) each. You can see the complete list of today’s Zacks #1 Rank stocks here.
The Zacks Consensus Estimate for KRO’s 2026 loss is pinned at 33 cents per share, indicating a 65.63% year-over-year increase. Its earnings beat the Zacks Consensus Estimate in one of the trailing four quarters and missed the rest. KRO’sshares have gained 1% over the past year.
The Zacks Consensus Estimate for CRS’ 2026 earnings is pegged at $10.56 per share, indicating a rise of 41.18% year over year. Its earnings beat the Zacks Consensus Estimate in each of the trailing four quarters, with an average surprise of 8.95%.
The Zacks Consensus Estimate for ALB’s current fiscal-year earnings is pinned at $13.06 per share, indicating a 1,753.16% year-over-year increase. Its earnings beat the Zacks Consensus Estimate in three of the trailing four quarters while missing it one, with an average surprise of 74.5%. ALB’sshares have gained 82.8% over the past year.
Analyst’s Disclosure: I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.
Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.
Key Takeaways Valmont Industries is benefiting from strong utility infrastructure demand and multi-year grid investments.VMI improved margins through restructuring, AI-enabled planning and added capacity, boosting efficiency.VMI raised 2026 earnings guidance and Infrastructure revenue outlook on stronger execution and demand. Valmont Industries, Inc.’s (VMI - Free Report) shares have rallied 34.1% year to date. While the company has underperformed the Zacks Steel - Pipe and Tube industry's rise of 40.1%, it topped the S&P 500's gain of 10.4%.
The rally has been driven by Valmont’s successful implementation of operational improvement strategy, robust demand in the Utility end-market, increased 2026 earnings guidance and upward revisions in earnings estimates that have strengthened the company’s long-term growth outlook.
Image Source: Zacks Investment Research
Let’s take a look at the factors that are driving VMI stock.
Robust Utility Demand and Margin Gains Drive VMI's UpsideValmont Industries' rally has been primarily driven by robust utility infrastructure demand and the company's operational improvement initiatives. The Infrastructure segment continues to benefit from a multi-year investment cycle supported by grid modernization, electrification and rising electricity demand from AI-driven data centers.
Management expects approximately $1.4 trillion of U.S. grid investments through 2030, creating a strong pipeline for transmission, distribution and substation projects. This resulted in healthy backlog growth, improving revenue visibility and higher confidence in sustained demand.
At the same time, VMI has significantly strengthened profitability through restructuring, productivity improvements and strategic capacity expansion. Corporate expenses declined as restructuring initiatives streamlined operations.
Brownfield expansion projects added approximately $95 million in annual revenue capacity. The company has also removed production bottlenecks, implemented AI-enabled scheduling and planning tools, and continued operational excellence initiatives that have improved manufacturing efficiency. These efforts have driven some of the strongest Infrastructure segment margins in recent years while positioning the company to capitalize on rising utility demand.
Reflecting the combined benefits of demand trends and improved execution, management raised its 2026 earnings guidance and increased Infrastructure segment revenue expectations. With expanding capacity, higher operating efficiency, improving margins and sustained exposure to long-term utility infrastructure investments, VMI remains well positioned to deliver higher revenue and earnings growth over the coming years.
VMI’s Zacks Rank & Other Key PicksVMI currently carries a Zacks Rank #2 (Buy).
Some other top-ranked stocks in the Basic Materials space are Albemarle Corporation (ALB - Free Report) , Carpenter Technology Corporation (CRS - Free Report) and Avino Silver & Gold Mines Ltd. (ASM - Free Report) .
While ALB sports a Zacks Rank #1 (Strong Buy) at present, CRS and ASM carry a Zacks Rank #2 each. You can see the complete list of today’s Zacks #1 Rank stocks here.
The Zacks Consensus Estimate for ALB’s 2026 earnings is pinned at $12.98 per share, indicating a 1,743.04% year-over-year increase. Its earnings beat the Zacks Consensus Estimate in three of the trailing four quarters and missed one, with an average surprise of 74.5%. ALB’s shares have jumped 90.5% over the past year.
The Zacks Consensus Estimate for CRS’ 2026 earnings is pegged at $10.56 per share, indicating a rise of 41.18% year over year. Its earnings beat the Zacks Consensus Estimate in each of the trailing four quarters, with an average surprise of 8.95%.
The Zacks Consensus Estimate for ASM’s current fiscal-year earnings is pinned at 34 cents per share, indicating a 17.24% year-over-year increase. Its earnings beat the Zacks Consensus Estimate in each of the trailing four quarters, with an average surprise of 125%. ASM’sshares have gained 86.4% over the past year.
Most of us have heard the dictum "the trend is your friend." And this is undeniably the key to success when it comes to short-term investing or trading. But it isn't easy to ensure the sustainability of a trend and profit from it.
The trend often reverses before exiting the trade, leading to a short-term capital loss for investors. So, for a profitable trade, one should confirm factors such as sound fundamentals, positive earnings estimate revisions, etc. that could keep the momentum in the stock alive.
Our "Recent Price Strength" screen, which is created on a unique short-term trading strategy, could be pretty useful in this regard. This predefined screen makes it really easy to shortlist the stocks that have enough fundamental strength to maintain their recent uptrend. Also, the screen passes only the stocks that are trading in the upper portion of their 52-week high-low range, which is usually an indicator of bullishness.
Valmont Industries (VMI - Free Report) is one of the several suitable candidates that passed through the screen. Here are the key reasons why it could be a profitable bet for "trend" investors.
A solid price increase over a period of 12 weeks reflects investors' continued willingness to pay more for the potential upside in a stock. VMI is quite a good fit in this regard, gaining 40.3% over this period.
However, it's not enough to look at the price change for around three months, as it doesn't reflect any trend reversal that might have happened in a shorter time frame. It's important for a potential winner to maintain the price trend. A price increase of 6.3% over the past four weeks ensures that the trend is still in place for the stock of this infrastructure equipment maker.
Moreover, VMI is currently trading at 96.9% of its 52-week High-Low Range, hinting that it can be on the verge of a breakout.
Looking at the fundamentals, the stock currently carries a Zacks Rank #2 (Buy), which means it is in the top 20% of more than the 4,000 stocks that we rank based on trends in earnings estimate revisions and EPS surprises -- the key factors that impact a stock's near-term price movements.
The Zacks Rank stock-rating system, which uses four factors related to earnings estimates to classify stocks into five groups, ranging from Zacks Rank #1 (Strong Buy) to Zacks Rank #5 (Strong Sell), has an impressive externally-audited track record, with Zacks Rank #1 stocks generating an average annual return of +25% since 1988. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>>
Another factor that confirms the company's fundamental strength is its Average Broker Recommendation of #1 (Strong Buy). This indicates that the brokerage community is highly optimistic about the stock's near-term price performance.
So, the price trend in VMI may not reverse anytime soon.
In addition to VMI, there are several other stocks that currently pass through our "Recent Price Strength" screen. You may consider investing in them and start looking for the newest stocks that fit these criteria.
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OMAHA, Neb.--(BUSINESS WIRE)--Valmont® Industries, Inc. (NYSE: VMI), a global leader that provides products and solutions to support vital infrastructure and advance agricultural productivity, will release its second quarter 2026 financial results before the market opens on Tuesday, July 21, 2026. Following the earnings release, Avner M. Applbaum, President and Chief Executive Officer, and John Schwietz, Chief Financial Officer, will host a webcast and conference call at 8:00 a.m. CT on Tuesday.
Key Takeaways BTSG, KNSA, ATI and VMI were selected for strong net profit margins.Each stock has witnessed upward EPS estimate revisions for the current fiscal year.All four picks have a Zacks Rank of 1 or 2 and solid VGM Scores, suggesting further upside potential. Net profit, also referred to as the bottom line, is one of the key tools to determine the financial health of an enterprise. The metric demonstrates a company’s ability to convert per-dollar sales into profits.
A low profit margin indicates higher risks, implying that a revenue drop might dampen profits, pushing a company into the red. However, BrightSpring Health Services, Inc. (BTSG - Free Report) , Kiniksa Pharmaceuticals International, plc (KNSA - Free Report) , ATI Inc. (ATI - Free Report) and Valmont Industries, Inc. (VMI - Free Report) boast solid net profit margins.
Net Profit Margin = Net profit/Sales * 100
In simple terms, net profit is the amount a company retains after deducting all costs, interest, depreciation, taxes and other expenses. In fact, net profit margin can turn out to be a potent point of reference to gauge the strength of a company’s operations and its cost-control measures.
Also, higher net profit is essential for rewarding stakeholders. Further, strength in the metric not only attracts investors but also draws well-skilled employees who eventually enhance business value.
Moreover, a higher net profit margin compared with peers provides a company with a competitive edge.
Pros and ConsNet profit margin helps investors gain clarity on a company’s business model in terms of pricing policy, cost structure and manufacturing efficiency. Hence, a strong net profit margin is preferred by all classes of investors.
However, net profit margin, as an investment criterion, has its share of pitfalls. The metric varies widely from industry to industry. While net income is a key metric for investment measurement in traditional industries, it is not that important for technology companies.
In addition, the difference in accounting treatment of various items — especially non-cash expenses like depreciation and stock-based compensation — makes comparison a daunting task.
Furthermore, for companies preferring to grow with debt instead of equity funding, higher interest expenses usually weigh on net profit. In such cases, the measure is rendered ineffective while analyzing a company’s performance.
The Winning StrategyA healthy net profit margin and solid EPS growth are the two most sought-after elements in a business model.
Apart from these, we have added a few criteria to ensure maximum returns from this strategy.
Screening ParametersNet Margin 12 months – Most Recent (%) greater than equal to 0: A high net profit margin indicates solid profitability.
Percentage Change in EPS F(0)/(F-1) greater than equal to 0: It indicates earnings growth.
Average Broker Rating (1-5) equal to 1: A rating of #1 indicates brokers’ extreme bullishness on the stock.
Zacks Rank less than or equal to 2: Stocks with a Zacks Rank #1 (Strong Buy) or 2 (Buy) generally perform better than their peers in all types of market environments.
VGM Score of A or B: Our research shows that stocks with a VGM Score of A or B, when combined with a Zacks Rank #1 or 2, offer the best upside potential.
Here we discuss our four picks from the 11 stocks that qualified the screen:
BrightSpring Health Services provides complementary home and community-based pharmacy and health solutions. The stock sports a Zacks Rank #1 and has a VGM Score of B. You can see the complete list of today’s Zacks #1 Rank stocks here.
The Zacks Consensus Estimate for BrightSpring Health Services’ 2026 earnings has moved upward by 16 cents to $1.67 per share over the past 60 days. BTSG outpaced the Zacks Consensus Estimate thrice in the trailing four quarters while missing the same on one occasion, with the average surprise being 14.61%.
Kiniksa Pharmaceuticals is a biopharmaceutical company developing and commercializing novel therapies for diseases with unmet need, with a focus on cardiovascular indications. The stock currently sports a Zacks Rank of 1 and has a VGM Score of B.
The Zacks Consensus Estimate for Kiniksa Pharmaceuticals’ 2026 earnings has been revised upward by 13.8% over the past 60 days to $1.24 per share. KNSA beat the Zacks Consensus Estimate twice in the trailing four quarters while missing on two occasions, the average surprise being 1.53%.
ATI is a diversified specialty materials producer. It has two main business segments, High Performance Materials & Components, and Advanced Alloys & Solutions. The stock currently carries a Zacks Rank of 2 and has a VGM Score of B.
The Zacks Consensus Estimate for ATI’s 2026 earnings has been revised upward to $4.43 per share from $4.20 in the past 60 days. ATI outperformed the Zacks Consensus Estimate in each of the trailing four quarters, the average surprise being 8.56%.
Valmont Industries is primarily engaged in the production of fabricated metal products, metal and concrete pole and tower structures, and mechanized irrigation systems in the United States and abroad. The stock currently carries a Zacks Rank of 2 and has a VGM Score of B.
The Zacks Consensus Estimate for Valmont Industries’ 2026 earnings has moved upward by 5 cents to $22.83 per share over the past 30 days. VMI outpaced the Zacks Consensus Estimate thrice in the trailing four quarters while missing the same on one occasion, with the average surprise being 6.71%.
OMAHA, Neb.--(BUSINESS WIRE)--Valmont® Industries, Inc. (NYSE: VMI), a global leader that provides products and solutions to support vital infrastructure and advance agricultural productivity, today released its 2026 Sustainability Report.
"At Valmont, sustainability is embedded in the way we serve our customers and communities around the world," said Avner Applbaum, President and CEO. “Every day, our teams help strengthen critical infrastructure, support agricultural productivity, and design solutions to perform reliably for generations. Our purpose – Conserving Resources. Improving Life.® – continues to guide how we operate and where we focus our efforts. This report highlights the progress we continue to make across our sustainability priorities and provides transparency into the goals and commitments that guide our work. As we look ahead, we remain focused on operating responsibly, improving efficiency, and managing risk to create long-term value for our stakeholders."
The report can be accessed at Sustainability | Valmont.
About Valmont Industries, Inc.
For more than 80 years, Valmont has been a global leader that provides products and solutions to support vital infrastructure and advance agricultural productivity. We are committed to customer-focused innovation that delivers lasting value. Learn more about how we’re Conserving Resources. Improving Life.® at valmont.com.
Concerning Forward-Looking Statements
This release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These statements are based on assumptions made by management, considering its experience in the industries where Valmont operates, perceptions of historical trends, current conditions, expected future developments, and other relevant factors. It is important to note that these statements are not guarantees of future performance or results. They involve risks, uncertainties (some of which are beyond Valmont’s control), and assumptions. Forward-looking statements may be accompanied by words such as “opportunities,” “estimate,” “outlook,” “clear path,” “target,” “expect,” “plan” and similar expressions. While management believes these forward-looking statements are based on reasonable assumptions as of the date made, numerous factors could cause actual results to differ materially from those anticipated. These factors include, among other things, risks described in Valmont’s reports to the Securities and Exchange Commission (“SEC”), the Company’s actual cash flows and net income, future economic and market circumstances, industry conditions, company performance and financial results, operational efficiencies, availability and price of raw materials, availability and market acceptance of new products, product pricing, domestic and international competitive environments, geopolitical risks, and actions and policy changes by domestic and foreign governments, including tariffs. The Company cautions that any forward-looking statements in this release are made as of its publication date and does not undertake to update these statements, except as required by law.
The Company may provide certain non-GAAP financial measures (adjusted diluted earnings per share and adjusted effective tax rate) on a forward-looking basis from time to time. These measures are typically calculated by excluding the impact of items such as foreign exchange, acquisitions, divestitures, realignment or restructuring expenses, goodwill or intangible asset impairment, changes in tax laws or rates, change in redemption value of redeemable noncontrolling interests, and other non-recurring items. To the extent the Company provide forward-looking non-GAAP financial measures, reconciliations to the most directly comparable GAAP financial measures are not provided, as the Company cannot do so without unreasonable effort due to the inherent uncertainty and difficulty in predicting the timing and financial impact of such items. For the same reasons, the Company cannot assess the likely significance of unavailable information, which could be material to future results.
Website and Social Media Disclosure
The Company uses its website and social media channels, as identified on its website, to distribute company information. Posts on these channels may contain material information. Therefore, investors should monitor these channels alongside the Company’s press releases, SEC filings, and public conference calls and webcasts. The contents of the Company’s website and social media channels are not considered part of this press release.
Valmont Industries, Inc. (NYSE: VMI), a global leader that provides products and solutions to support vital infrastructure and advance agricultural productiv
Key Takeaways VMI shares surged 69% in the past year, outpacing the industry's 62% rise.VMI is benefiting from utility infrastructure demand, backlog growth and operational improvements.Capacity additions, AI-enabled tools and higher 2026 guidance support VMI's growth outlook. Valmont Industries, Inc. (VMI - Free Report) shares have surged 69% over the past year, outperforming the Zacks Steel - Pipe and Tube industry’s rise of 62%. It has been benefiting from demands in utility infrastructure and growth actions led by restructuring and productivity enhancement initiatives toward expanding profitability. Multi-year investment in utility also indicates better growth momentum in the near future.
We are positive about VMI’s prospects and believe that the time is right for you to add the stock to the portfolio, as it looks promising and is poised to carry the momentum ahead.
Image Source: Zacks Investment Research
Let's see what makes VMI stock an attractive investment option at the moment.
Positive Analyst Sentiment for VMI StockEarnings estimates for VMI have been going up over the past 30 days. The Zacks Consensus Estimate for 2026 has increased by 5 cents. The consensus estimate for the second quarter of 2026 has also been revised upward by 3 cents over the same time frame. The favorable estimate revisions instill investor confidence in the stock.
VMI’s Strong Growth ProspectsThe Zacks Consensus Estimate for VMI’s 2026 earnings is pegged at $22.83, suggesting a 19.59% increase from the previous year’s tally. Earnings are projected to increase by 18.03% in the second quarter of 2026.
Superior Return on Equity (ROE) for VMIROE is a measure of a company’s efficiency in utilizing shareholders’ funds. ROE for the trailing 12 months for VMI is 24.94%, above the industry’s level of 11.57%.
Image Source: Zacks Investment Research
VMI Gains on Strong Utility Demand and Strategic ExpansionValmont is well-positioned to benefit from multi-year investments in utility infrastructure, supported by electrification, grid modernization and rapidly growing power demand from data centers. The company’s Infrastructure segment continues to emerge as its primary growth engine, with management highlighting that U.S. utilities are expected to invest roughly $1.4 trillion through 2030 to upgrade and expand the electrical grid.
Strong backlog growth has improved revenue visibility and reinstated confidence in sustained demand for VMI’s distribution and substation structures, and continued strategic investments, which position the company to capture increasing utility spending and higher project volumes. In addition to favorable end-market trends, VMI is executing well on operational initiatives aimed at enhancing profitability. The company has implemented restructuring and productivity programs, removed production bottlenecks and upgraded manufacturing capacities, driving some of the strongest Infrastructure segment margins in recent years.
Brownfield expansion projects have added approximately $95 million in annual revenue capacity, while the deployment of AI-enabled scheduling and planning tools is improving efficiency and supporting further margin expansion.
Reflecting these positive fundamentals, management raised its 2026 earnings guidance and increased Infrastructure segment revenue expectations, underscoring confidence in its performance. With strong backlog growth, expanding capacity, improving operational efficiency and exposure to long-term utility investment trends, VMI remains well positioned to deliver sustained revenue growth, margin expansion and earnings growth over the coming years.
VMI’s Zacks Rank & Other Key PicksVMI currently carries a Zacks Rank #2 (Buy).
Some other top-ranked stocks in the Basic Materials space are Nucor Corporation (NUE - Free Report) , Newmont Corporation (NEM - Free Report) and Avino Silver & Gold Mines Ltd. (ASM - Free Report) .
While NUE and NEM sport a Zacks Rank #1 (Strong Buy) each at present, ASM carries a Zacks Rank #2. You can see the complete list of today’s Zacks #1 Rank stocks here.
The Zacks Consensus Estimate for NUE’s 2026 earnings is pinned at $16.34 per share, indicating a 111.93% year-over-year increase. Its earnings beat the Zacks Consensus Estimate in two of the trailing four quarters and missed the remaining two, with an average surprise of 8.10%. NUE’s shares have jumped 84.2% over the past year.
The Zacks Consensus Estimate for NEM’s 2026 earnings is pegged at $9.91 per share, indicating a rise of 43.83% year over year. Its earnings beat the Zacks Consensus Estimate in each of the trailing four quarters. NEM’sshares have gained 58.8% over the past year.
The Zacks Consensus Estimate for ASM’s current fiscal-year earnings is pinned at 34 cents per share, indicating a 17.24% year-over-year increase. Its earnings beat the Zacks Consensus Estimate in each of the trailing four quarters, with an average surprise of 125%.
Investors seek growth stocks to capitalize on above-average growth in financials that help these securities grab the market's attention and produce exceptional returns. However, it isn't easy to find a great growth stock.
In addition to volatility, these stocks carry above-average risk by their very nature. Also, one could end up losing from a stock whose growth story is actually over or nearing its end.
However, the Zacks Growth Style Score (part of the Zacks Style Scores system), which looks beyond the traditional growth attributes to analyze a company's real growth prospects, makes it pretty easy to find cutting-edge growth stocks.
Our proprietary system currently recommends Valmont Industries (VMI - Free Report) as one such stock. This company not only has a favorable Growth Score, but also carries a top Zacks Rank.
Research shows that stocks carrying the best growth features consistently beat the market. And returns are even better for stocks that possess the combination of a Growth Score of A or B and a Zacks Rank #1 (Strong Buy) or 2 (Buy).
Here are three of the most important factors that make the stock of this infrastructure equipment maker a great growth pick right now.
Earnings GrowthEarnings growth is arguably the most important factor, as stocks exhibiting exceptionally surging profit levels tend to attract the attention of most investors. For growth investors, double-digit earnings growth is highly preferable, as it is often perceived as an indication of strong prospects (and stock price gains) for the company under consideration.
While the historical EPS growth rate for Valmont is 14.7%, investors should actually focus on the projected growth. The company's EPS is expected to grow 19.6% this year, crushing the industry average, which calls for EPS growth of 9.9%.
Impressive Asset Utilization RatioAsset utilization ratio -- also known as sales-to-total-assets (S/TA) ratio -- is often overlooked by investors, but it is an important indicator in growth investing. This metric exhibits how efficiently a firm is utilizing its assets to generate sales.
Right now, Valmont has an S/TA ratio of 1.23, which means that the company gets $1.23 in sales for each dollar in assets. Comparing this to the industry average of 0.98, it can be said that the company is more efficient.
While the level of efficiency in generating sales matters a lot, so does the sales growth of a company. And Valmont looks attractive from a sales growth perspective as well. The company's sales are expected to grow 5% this year versus the industry average of 0%.
Promising Earnings Estimate RevisionsSuperiority of a stock in terms of the metrics outlined above can be further validated by looking at the trend in earnings estimate revisions. A positive trend is of course favorable here. Empirical research shows that there is a strong correlation between trends in earnings estimate revisions and near-term stock price movements.
There have been upward revisions in current-year earnings estimates for Valmont. The Zacks Consensus Estimate for the current year has surged 0.2% over the past month.
Bottom LineValmont has not only earned a Growth Score of A based on a number of factors, including the ones discussed above, but it also carries a Zacks Rank #2 because of the positive earnings estimate revisions.
You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here.
This combination indicates that Valmont is a potential outperformer and a solid choice for growth investors.
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What are the Zacks Style Scores? The Zacks Style Scores is a unique set of guidelines that rates stocks based on three popular investing types, and were developed as complementary indicators for the Zacks Rank. This combination helps investors choose securities with the highest chances of beating the market over the next 30 days.
Each stock is given an alphabetic rating of A, B, C, D or F based on their value, growth, and momentum qualities. With this system, an A is better than a B, a B is better than a C, and so on, meaning the better the score, the better chance the stock will outperform.
The Style Scores are broken down into four categories:
Value ScoreFor value investors, it's all about finding good stocks at good prices, and discovering which companies are trading under their true value before the broader market catches on. The Value Style Score utilizes ratios like P/E, PEG, Price/Sales, Price/Cash Flow, and a host of other multiples to help pick out the most attractive and discounted stocks.
Growth ScoreGrowth investors are more concerned with a stock's future prospects, and the overall financial health and strength of a company. Thus, the Growth Style Score analyzes characteristics like projected and historic earnings, sales, and cash flow to find stocks that will see sustainable growth over time.
Momentum ScoreMomentum trading is all about taking advantage of upward or downward trends in a stock's price or earnings outlook, and these investors live by the saying "the trend is your friend." The Momentum Style Score can pinpoint good times to build a position in a stock, using factors like one-week price change and the monthly percentage change in earnings estimates.
VGM ScoreIf you like to use all three kinds of investing, then the VGM Score is for you. It's a combination of all Style Scores, and is an important indicator to use with the Zacks Rank. The VGM Score rates each stock on their shared weighted styles, narrowing down the companies with the most attractive value, best growth forecast, and most promising momentum.
How Style Scores Work with the Zacks Rank The Zacks Rank is a proprietary stock-rating model that harnesses the power of earnings estimate revisions, or changes to a company's earnings expectations, to help investors build a successful portfolio.
#1 (Strong Buy) stocks have produced an unmatched +24% average annual return since 1988, which is more than double the S&P 500's performance over the same time frame. However, the Zacks Rank examines a ton of stocks, and there can be more than 200 companies with a Strong Buy rank, and another 600 with a #2 (Buy) rank, on any given day.
With more than 800 top-rated stocks to choose from, it can certainly feel overwhelming to pick the ones that are right for you and your investing journey.
That's where the Style Scores come in.
To maximize your returns, you want to buy stocks with the highest probability of success. This means picking stocks with a Zacks Rank #1 or #2 that also have Style Scores of A or B. If you find yourself looking at stocks with a #3 (Hold) rank, make sure they have Scores of A or B as well to ensure as much upside potential as possible.
The direction of a stock's earnings estimate revisions should always be a key factor when choosing which stocks to buy, since the Scores were created to work together with the Zacks Rank.
Here's an example: a stock with a #4 (Sell) or #5 (Strong Sell) rating, even one with Style Scores of A and B, still has a downward-trending earnings outlook, and a bigger chance its share price will decrease too.
Thus, the more stocks you own with a #1 or #2 Rank and Scores of A or B, the better.
Stock to Watch: Valmont Industries (VMI - Free Report) Headquartered in Omaha, NE, Valmont Industries, Inc. is primarily engaged in the production of fabricated metal products, metal and concrete pole and tower structures and mechanized irrigation systems in the United States and abroad.
VMI is a #2 (Buy) on the Zacks Rank, with a VGM Score of B.
Additionally, the company could be a top pick for growth investors. VMI has a Growth Style Score of A, forecasting year-over-year earnings growth of 19.6% for the current fiscal year.
One analyst revised their earnings estimate higher in the last 60 days for fiscal 2026, while the Zacks Consensus Estimate has increased $0.27 to $22.83 per share. VMI also boasts an average earnings surprise of +6.7%.
With a solid Zacks Rank and top-tier Growth and VGM Style Scores, VMI should be on investors' short list.
OMAHA, Neb.--(BUSINESS WIRE)--Valmont® Industries, Inc. (NYSE: VMI), a global leader that provides products and solutions to support vital infrastructure and advance agricultural productivity, today will host its 2026 Investor Day in New York City.
Avner M. Applbaum, President and Chief Executive Officer, and John Schwietz, Executive Vice President and Chief Financial Officer, will be joined by additional members of the Company’s leadership team to provide an in-depth review of the company and present a refreshed strategy with updated long-term financial targets.
Mr. Applbaum commented, “It’s an exciting time to be with Valmont, and our Investor Day will demonstrate how we are positioned to deliver our next phase of profitable growth and shareholder value creation. As we celebrate our 80th anniversary as a company, we’re introducing a three-pillar strategy: to Capture above-market growth in Utility, to Strengthen efficiency and performance across the portfolio, and to Enable the business with disciplined capital and resource deployment. Today, our experienced business leaders will discuss the specific opportunities and value drivers translating to profitable growth, margin expansion and a clear path to deliver $35 Earnings per Share (EPS) by the end of 2029.”
In conjunction with today's event, Valmont is introducing new long-term financial targets:
2029E Financial Outlook
Net Sales (organic) of $5.4B Operating Margin of 17% EPS of $35 Return on Invested Capital (ROIC) of >21% Event Webcast Details
A live webcast of the presentations, including two question and answer sessions, will begin at 8:30 a.m. Eastern Time and will be approximately a half-day event. As previously announced, the live webcast will be available at the start of the event. Virtual registration can be accessed here: Registration | Valmont 2026 Investor Day. Presentation materials are available on the Company’s Investor Relations website at investors.valmont.com and a replay of the webcast will be accessible after the conclusion of the event.
About Valmont Industries, Inc.
For more than 80 years, Valmont has been a global leader that provides products and solutions to support vital infrastructure and advance agricultural productivity. We are committed to customer-focused innovation that delivers lasting value. Learn more about how we’re Conserving Resources. Improving Life.® at valmont.com.
Concerning Forward-Looking Statements
This release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These statements are based on assumptions made by management, considering its experience in the industries where Valmont operates, perceptions of historical trends, current conditions, expected future developments, and other relevant factors. It is important to note that these statements are not guarantees of future performance or results. They involve risks, uncertainties (some of which are beyond Valmont’s control), and assumptions. Forward-looking statements may be accompanied by words such as “opportunities,” “estimate,” “outlook,” “clear path,” “target,” “expect,” “plan” and similar expressions. While management believes these forward-looking statements are based on reasonable assumptions as of the date made, numerous factors could cause actual results to differ materially from those anticipated. These factors include, among other things, risks described in Valmont’s reports to the Securities and Exchange Commission (“SEC”), the Company’s actual cash flows and net income, future economic and market circumstances, industry conditions, company performance and financial results, operational efficiencies, availability and price of raw materials, availability and market acceptance of new products, product pricing, domestic and international competitive environments, geopolitical risks, and actions and policy changes by domestic and foreign governments, including tariffs. The Company cautions that any forward-looking statements in this release are made as of its publication date and does not undertake to update these statements, except as required by law.
The Company may provide certain non-GAAP financial measures (adjusted diluted earnings per share and adjusted effective tax rate) on a forward-looking basis from time to time. These measures are typically calculated by excluding the impact of items such as foreign exchange, acquisitions, divestitures, realignment or restructuring expenses, goodwill or intangible asset impairment, changes in tax laws or rates, change in redemption value of redeemable noncontrolling interests, and other non-recurring items. To the extent the Company provide forward-looking non-GAAP financial measures, reconciliations to the most directly comparable GAAP financial measures are not provided, as the Company cannot do so without unreasonable effort due to the inherent uncertainty and difficulty in predicting the timing and financial impact of such items. For the same reasons, the Company cannot assess the likely significance of unavailable information, which could be material to future results.
Website and Social Media Disclosure
The Company uses its website and social media channels, as identified on its website, to distribute company information. Posts on these channels may contain material information. Therefore, investors should monitor these channels alongside the Company’s press releases, SEC filings, and public conference calls and webcasts. The contents of the Company’s website and social media channels are not considered part of this press release.
Key Takeaways VMI shares surged 32.2% in three months, topping its industry and the S&P 500.Infrastructure gains stem from capacity expansion moves and strong demand.VMI raised fiscal 2026 EPS guidance on utility demand, grid upgrades and stronger backlog visibility. Valmont Industries, Inc.’s (VMI - Free Report) shares have gained 32.2% over the past three months. The company has also outperformed the Zacks Steel - Pipe and Tube industry’s 16% rise and the S&P 500’s roughly 10.7% increase over the same period.
Let’s take a look at the factors that are driving VMI stock.
Image Source: Zacks Investment Research
Infrastructure Expansion and Robust Utility Demand Aid VMIThe company has been improving efficiency through restructuring, productivity initiatives, and making strategic investments in capacity expansion, leading to strong operating margins in its Infrastructure segment. Cost-saving measures, along with efforts to remove production bottlenecks and upgrade facilities, are expected to support stronger earnings growth.
Brownfield expansion projects have added approximately $95 million to annual revenues, while AI-enabled scheduling and planning tools are being deployed to further enhance operational efficiency.
Growth prospects remain strong, supported by expanding Infrastructure operations and ongoing investments in distribution and substation structures to meet rising utility demand. Strong backlog growth has improved multi-year revenue visibility.
The Utility segment is positioned for expansion, driven by electrification, grid modernization, and increasing data-center power needs. Per VMI, U.S. utilities are expected to invest about $1.4 trillion through 2030, making this segment a key growth driver.
Expressing confidence in future performance, VMI raised its 2026 earnings per share guidance in its first-quarter call. It projects net sales of $4.2-$4.4 billion with higher Infrastructure segment revenue expectations. VMI expects earnings per share of $21.5-$23.5, up from $20.5-$23.5 projected earlier.
VMI’s Zacks Rank & Other Key PicksVMI currently carries a Zacks Rank #2 (Buy).
Some other top-ranked stocks in the Basic Materials space are Albemarle Corporation (ALB - Free Report) , Dow Inc. (DOW - Free Report) and Avino Silver & Gold Mines Ltd. (ASM - Free Report) .
While ALB and DOW sport a Zacks Rank #1 (Strong Buy) each at present, ASM carries a Zacks Rank #2. You can see the complete list of today’s Zacks #1 Rank stocks here.
The Zacks Consensus Estimate for ALB’s 2026 earnings is pinned at $12.39 per share, indicating a 1,668.35% year-over-year increase. Its earnings beat the Zacks Consensus Estimate in three of the trailing four quarters and missed once, with an average surprise of 74.5%. ALB’s shares have jumped 183% over the past year.
The Zacks Consensus Estimate for DOW’s 2026 earnings is pegged at $2.61 per share, indicating a rise of 377.66% year over year. Its earnings beat the Zacks Consensus Estimate in three of the trailing four quarters. DOWshares have gained 12.8% over the past year.
The Zacks Consensus Estimate for ASM’s current fiscal-year earnings is pinned at 39 cents per share, indicating a 34.48% year-over-year increase. Its earnings beat the Zacks Consensus Estimate in each of the trailing four quarters, with an average surprise of 125%.
Most of us have heard the dictum "the trend is your friend." And this is undeniably the key to success when it comes to short-term investing or trading. But it isn't easy to ensure the sustainability of a trend and profit from it.
Often, the direction of a stock's price movement reverses quickly after taking a position in it, making investors incur a short-term capital loss. So, it's important to ensure that there are enough factors -- such as sound fundamentals, positive earnings estimate revisions, etc. -- that could keep the momentum in the stock going.
Our "Recent Price Strength" screen, which is created on a unique short-term trading strategy, could be pretty useful in this regard. This predefined screen makes it really easy to shortlist the stocks that have enough fundamental strength to maintain their recent uptrend. Also, the screen passes only the stocks that are trading in the upper portion of their 52-week high-low range, which is usually an indicator of bullishness.
There are several stocks that passed through the screen and Valmont Industries (VMI - Free Report) is one of them. Here are the key reasons why this stock is a solid choice for "trend" investing.
A solid price increase over a period of 12 weeks reflects investors' continued willingness to pay more for the potential upside in a stock. VMI is quite a good fit in this regard, gaining 39.5% over this period.
However, it's not enough to look at the price change for around three months, as it doesn't reflect any trend reversal that might have happened in a shorter time frame. It's important for a potential winner to maintain the price trend. A price increase of 7.9% over the past four weeks ensures that the trend is still in place for the stock of this infrastructure equipment maker.
Moreover, VMI is currently trading at 99.1% of its 52-week High-Low Range, hinting that it can be on the verge of a breakout.
Looking at the fundamentals, the stock currently carries a Zacks Rank #2 (Buy), which means it is in the top 20% of more than the 4,000 stocks that we rank based on trends in earnings estimate revisions and EPS surprises -- the key factors that impact a stock's near-term price movements.
The Zacks Rank stock-rating system, which uses four factors related to earnings estimates to classify stocks into five groups, ranging from Zacks Rank #1 (Strong Buy) to Zacks Rank #5 (Strong Sell), has an impressive externally-audited track record, with Zacks Rank #1 stocks generating an average annual return of +25% since 1988. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>>
Another factor that confirms the company's fundamental strength is its Average Broker Recommendation of #1 (Strong Buy). This indicates that the brokerage community is highly optimistic about the stock's near-term price performance.
So, the price trend in VMI may not reverse anytime soon.
In addition to VMI, there are several other stocks that currently pass through our "Recent Price Strength" screen. You may consider investing in them and start looking for the newest stocks that fit these criteria.
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Valmont (VMI) witnessed a jump in share price last session on above-average trading volume. The latest trend in earnings estimate revisions for the stock suggests that there could be more strength down the road.
Growth stocks are attractive to many investors, as above-average financial growth helps these stocks easily grab the market's attention and produce exceptional returns. However, it isn't easy to find a great growth stock.
By their very nature, these stocks carry above-average risk and volatility. Moreover, if a company's growth story is over or nearing its end, betting on it could lead to significant loss.
However, the task of finding cutting-edge growth stocks is made easy with the help of the Zacks Growth Style Score (part of the Zacks Style Scores system), which looks beyond the traditional growth attributes to analyze a company's real growth prospects.
Valmont Industries (VMI - Free Report) is on the list of such stocks currently recommended by our proprietary system. In addition to a favorable Growth Score, it carries a top Zacks Rank.
Research shows that stocks carrying the best growth features consistently beat the market. And for stocks that have a combination of a Growth Score of A or B and a Zacks Rank #1 (Strong Buy) or 2 (Buy), returns are even better.
Here are three of the most important factors that make the stock of this infrastructure equipment maker a great growth pick right now.
Earnings GrowthArguably nothing is more important than earnings growth, as surging profit levels is what most investors are after. And for growth investors, double-digit earnings growth is definitely preferable, and often an indication of strong prospects (and stock price gains) for the company under consideration.
While the historical EPS growth rate for Valmont is 15.6%, investors should actually focus on the projected growth. The company's EPS is expected to grow 18.2% this year, crushing the industry average, which calls for EPS growth of 6.6%.
Impressive Asset Utilization RatioAsset utilization ratio -- also known as sales-to-total-assets (S/TA) ratio -- is often overlooked by investors, but it is an important indicator in growth investing. This metric shows how efficiently a firm is utilizing its assets to generate sales.
Right now, Valmont has an S/TA ratio of 1.23, which means that the company gets $1.23 in sales for each dollar in assets. Comparing this to the industry average of 1, it can be said that the company is more efficient.
In addition to efficiency in generating sales, sales growth plays an important role. And Valmont looks attractive from a sales growth perspective as well. The company's sales are expected to grow 4.5% this year versus the industry average of 0%.
Promising Earnings Estimate RevisionsBeyond the metrics outlined above, investors should consider the trend in earnings estimate revisions. A positive trend is a plus here. Empirical research shows that there is a strong correlation between trends in earnings estimate revisions and near-term stock price movements.
There have been upward revisions in current-year earnings estimates for Valmont. The Zacks Consensus Estimate for the current year has surged 4.8% over the past month.
Bottom LineWhile the overall earnings estimate revisions have made Valmont a Zacks Rank #1 stock, it has earned itself a Growth Score of B based on a number of factors, including the ones discussed above.
You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here.
This combination positions Valmont well for outperformance, so growth investors may want to bet on it.
Abacus FCF Advisors LLC increased its stake in Valmont Industries, Inc. (NYSE:VMI – Free Report) by 15.9% in the fourth quarter, according to the company in its most recent Form 13F filing with the Securities & Exchange Commission. The fund owned 16,823 shares of the industrial products company’s stock after buying an additional 2,307 shares during the quarter. Abacus FCF Advisors LLC owned about 0.09% of Valmont Industries worth $6,768,000 as of its most recent SEC filing.
Several other institutional investors and hedge funds also recently bought and sold shares of the company. Sanctuary Advisors LLC lifted its stake in shares of Valmont Industries by 2.2% during the 4th quarter. Sanctuary Advisors LLC now owns 2,651 shares of the industrial products company’s stock worth $1,066,000 after acquiring an additional 56 shares during the last quarter. Segment Wealth Management LLC bought a new stake in shares of Valmont Industries during the fourth quarter worth $282,000. Chicago Partners Investment Group LLC boosted its stake in shares of Valmont Industries by 6.7% during the fourth quarter. Chicago Partners Investment Group LLC now owns 1,504 shares of the industrial products company’s stock valued at $662,000 after purchasing an additional 94 shares during the period. HB Wealth Management LLC grew its stake in Valmont Industries by 18.5% in the 4th quarter. HB Wealth Management LLC now owns 640 shares of the industrial products company’s stock worth $257,000 after acquiring an additional 100 shares in the last quarter. Finally, M&T Bank Corp grew its stake in Valmont Industries by 1,220.4% in the 4th quarter. M&T Bank Corp now owns 7,896 shares of the industrial products company’s stock worth $3,177,000 after acquiring an additional 7,298 shares in the last quarter. 87.84% of the stock is owned by hedge funds and other institutional investors.
Wall Street Analysts Forecast Growth A number of brokerages have weighed in on VMI. Wall Street Zen lowered Valmont Industries from a “buy” rating to a “hold” rating in a research report on Saturday, February 28th. Stifel Nicolaus raised their target price on shares of Valmont Industries from $497.00 to $541.00 and gave the company a “buy” rating in a research report on Wednesday. Weiss Ratings restated a “hold (c+)” rating on shares of Valmont Industries in a report on Friday, March 27th. JPMorgan Chase & Co. upped their price target on shares of Valmont Industries from $480.00 to $510.00 and gave the stock an “overweight” rating in a research report on Wednesday, February 18th. Finally, DA Davidson increased their price objective on shares of Valmont Industries from $415.00 to $450.00 and gave the company a “neutral” rating in a research note on Wednesday, February 18th. One investment analyst has rated the stock with a Strong Buy rating, two have assigned a Buy rating and two have given a Hold rating to the company. According to data from MarketBeat.com, Valmont Industries presently has a consensus rating of “Moderate Buy” and an average price target of $500.33.
Check Out Our Latest Research Report on Valmont Industries
Valmont Industries Stock Performance Shares of VMI stock opened at $498.33 on Friday. The business has a fifty day moving average of $429.37 and a 200 day moving average of $423.62. Valmont Industries, Inc. has a 1 year low of $286.50 and a 1 year high of $499.40. The company has a debt-to-equity ratio of 0.47, a current ratio of 2.38 and a quick ratio of 1.58. The firm has a market capitalization of $9.74 billion, a price-to-earnings ratio of 27.67 and a beta of 1.24.
Valmont Industries (NYSE:VMI – Get Free Report) last posted its quarterly earnings results on Tuesday, April 21st. The industrial products company reported $5.51 earnings per share for the quarter, beating the consensus estimate of $4.72 by $0.79. Valmont Industries had a return on equity of 24.94% and a net margin of 8.91%.The business had revenue of $1.03 billion for the quarter, compared to the consensus estimate of $994.85 million. During the same quarter in the previous year, the business earned $4.32 EPS. The company’s quarterly revenue was up 6.2% compared to the same quarter last year. As a group, research analysts expect that Valmont Industries, Inc. will post 22.93 earnings per share for the current year.
Valmont Industries Increases Dividend The firm also recently disclosed a quarterly dividend, which was paid on Wednesday, April 15th. Stockholders of record on Friday, March 27th were issued a $0.77 dividend. This is an increase from Valmont Industries’s previous quarterly dividend of $0.68. The ex-dividend date of this dividend was Friday, March 27th. This represents a $3.08 annualized dividend and a dividend yield of 0.6%. Valmont Industries’s payout ratio is currently 17.10%.
Valmont Industries Profile (Free Report)
Valmont Industries, Inc (NYSE: VMI) is a diversified industrial manufacturer specializing in infrastructure and agricultural products. Headquartered in Omaha, Nebraska, the company engages in the design, production and distribution of engineered products that support water management, power transmission, lighting and traffic infrastructure. Valmont’s solutions range from center-pivot and lateral-move irrigation systems to utility poles, transmission towers, lighting structures and highway traffic signal support structures.
The company operates through several core business segments.
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Valmont Industries (VMI +1.86%) stock bounded higher in this week's trading. The industrials company's share price jumped 20.9% higher across the stretch. Meanwhile, the S&P 500 index's level climbed 0.5% over the same period, and the Nasdaq Composite index's level rose 1.5%.
On April 21, Valmont published results for the first quarter of its current fiscal year -- which ended March 28. The company reported sales and earnings that beat the average Wall Street analyst estimates, and the company also increased elements of its forward guidance.
Image source: Getty Images.
Valmont stock surged on strong fiscal Q1 print Valmont reported earnings per share of $5.51 in fiscal Q1, crushing the average analyst estimate's target for per-share earnings of $4.67 in the period. Meanwhile, revenue for the period increased roughly 6.3% year over year to come in at $1.03 billion -- beating the average Wall Street analyst target by roughly $34.2 million. The company benefited from sales volume growth and margin expansion for its North America Utility segment in the period, and it also issued encouraging forward guidance.
Today's Change
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What's next for Valmont? With its recent fiscal Q1 report, Valmont reiterated guidance for sales to come in between $4.2 billion and $4.4 billion. On the other hand, the company raised its forecast for infrastructure sales to $3.3 billion to $3.45 billion -- up from its previous target for sales between $3.25 billion and $3.4 billion. On the other hand, it lowered its target for agriculture sales to between $0.9 billion and $0.95 billion -- down from its previous forecast for sales between $0.95 billion and $1 billion.
While the company's segment sales guidance adjustments were effectively a wash, the company raised its guidance for diluted earnings per share from between $20.50 and $23.50 to between $21.50 and $23.50. With the company raising the floor of its earnings forecast, investors bought into the stock over the past week.
Keith Noonan has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Valmont Industries. The Motley Fool has a disclosure policy.
OMAHA, Neb.--(BUSINESS WIRE)--Valmont® Industries, Inc. (NYSE: VMI), a global leader that provides products and solutions to support vital infrastructure and advance agricultural productivity, today announced that management will participate in Gabelli’s 17th Annual Value Investor Conference in Omaha, NE.
Avner M. Applbaum, President and Chief Executive Officer and Renee Campbell, Senior Vice President, Capital Markets and Risk, will participate in a fireside chat at 10:30 AM CT on Friday, May 1, 2026. Investors interested in accessing the Company’s presentation may register to access the live event here. All registrants will receive a link to the event upon registration.
About Valmont Industries, Inc.
For more than 80 years, Valmont has been a global leader that provides products and solutions to support vital infrastructure and advance agricultural productivity. We are committed to customer-focused innovation that delivers lasting value. Learn more about how we’re Conserving Resources. Improving Life.® at valmont.com.
Concerning Forward-Looking Statements
This release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These statements are based on assumptions made by management, considering its experience in the industries where Valmont operates, perceptions of historical trends, current conditions, expected future developments, and other relevant factors. It is important to note that these statements are not guarantees of future performance or results. They involve risks, uncertainties (some of which are beyond Valmont’s control), and assumptions. While management believes these forward-looking statements are based on reasonable assumptions, numerous factors could cause actual results to differ materially from those anticipated. These factors include, among other things, risks described in Valmont’s reports to the Securities and Exchange Commission (“SEC”), the Company’s actual cash flows and net income, future economic and market circumstances, industry conditions, company performance and financial results, operational efficiencies, availability and price of raw materials, availability and market acceptance of new products, product pricing, domestic and international competitive environments, geopolitical risks, and actions and policy changes by domestic and foreign governments, including tariffs. The Company cautions that any forward-looking statements in this release are made as of its publication date and does not undertake to update these statements, except as required by law.
The Company may provide certain non-GAAP financial measures (adjusted diluted earnings per share and adjusted effective tax rate) on a forward-looking basis from time to time. These measures are typically calculated by excluding the impact of items such as foreign exchange, acquisitions, divestitures, realignment or restructuring expenses, goodwill or intangible asset impairment, changes in tax laws or rates, change in redemption value of redeemable noncontrolling interests, and other non-recurring items. To the extent the Company provide forward-looking non-GAAP financial measures, reconciliations to the most directly comparable GAAP financial measures are not provided, as the Company cannot do so without unreasonable effort due to the inherent uncertainty and difficulty in predicting the timing and financial impact of such items. For the same reasons, the Company cannot assess the likely significance of unavailable information, which could be material to future results.
Website and Social Media Disclosure
The Company uses its website and social media channels, as identified on its website, to distribute company information. Posts on these channels may contain material information. Therefore, investors should monitor these channels alongside the Company’s press releases, SEC filings, and public conference calls and webcasts. The contents of the Company’s website and social media channels are not considered part of this press release.
Most of us have heard the dictum "the trend is your friend." And this is undeniably the key to success when it comes to short-term investing or trading. But it isn't easy to ensure the sustainability of a trend and profit from it.
The trend often reverses before exiting the trade, leading to a short-term capital loss for investors. So, for a profitable trade, one should confirm factors such as sound fundamentals, positive earnings estimate revisions, etc. that could keep the momentum in the stock alive.
Our "Recent Price Strength" screen, which is created on a unique short-term trading strategy, could be pretty useful in this regard. This predefined screen makes it really easy to shortlist the stocks that have enough fundamental strength to maintain their recent uptrend. Also, the screen passes only the stocks that are trading in the upper portion of their 52-week high-low range, which is usually an indicator of bullishness.
There are several stocks that passed through the screen and Valmont Industries (VMI - Free Report) is one of them. Here are the key reasons why this stock is a solid choice for "trend" investing.
A solid price increase over a period of 12 weeks reflects investors' continued willingness to pay more for the potential upside in a stock. VMI is quite a good fit in this regard, gaining 12% over this period.
However, it's not enough to look at the price change for around three months, as it doesn't reflect any trend reversal that might have happened in a shorter time frame. It's important for a potential winner to maintain the price trend. A price increase of 27.3% over the past four weeks ensures that the trend is still in place for the stock of this infrastructure equipment maker.
Moreover, VMI is currently trading at 99.8% of its 52-week High-Low Range, hinting that it can be on the verge of a breakout.
Looking at the fundamentals, the stock currently carries a Zacks Rank #1 (Strong Buy), which means it is in the top 5% of more than the 4,000 stocks that we rank based on trends in earnings estimate revisions and EPS surprises -- the key factors that impact a stock's near-term price movements.
The Zacks Rank stock-rating system, which uses four factors related to earnings estimates to classify stocks into five groups, ranging from Zacks Rank #1 (Strong Buy) to Zacks Rank #5 (Strong Sell), has an impressive externally-audited track record, with Zacks Rank #1 stocks generating an average annual return of +25% since 1988. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>>
Another factor that confirms the company's fundamental strength is its Average Broker Recommendation of #1 (Strong Buy). This indicates that the brokerage community is highly optimistic about the stock's near-term price performance.
So, the price trend in VMI may not reverse anytime soon.
In addition to VMI, there are several other stocks that currently pass through our "Recent Price Strength" screen. You may consider investing in them and start looking for the newest stocks that fit these criteria.
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Momentum investing revolves around the idea of following a stock's recent trend in either direction. In "long context," investors will be essentially be "buying high, but hoping to sell even higher." With this methodology, taking advantage of trends in a stock's price is key; once a stock establishes a course, it is more than likely to continue moving that way. The goal is that once a stock heads down a fixed path, it will lead to timely and profitable trades.
Even though momentum is a popular stock characteristic, it can be tough to define. Debate surrounding which are the best and worst metrics to focus on is lengthy, but the Zacks Momentum Style Score, part of the Zacks Style Scores, helps address this issue for us.
Below, we take a look at Valmont Industries (VMI - Free Report) , a company that currently holds a Momentum Style Score of A. We also talk about price change and earnings estimate revisions, two of the main aspects of the Momentum Style Score.
It's also important to note that Style Scores work as a complement to the Zacks Rank, our stock rating system that has an impressive track record of outperformance. Valmont Industries currently has a Zacks Rank of #1 (Strong Buy). Our research shows that stocks rated Zacks Rank #1 (Strong Buy) and #2 (Buy) and Style Scores of "A or B" outperform the market over the following one-month period.
You can see the current list of Zacks #1 Rank Stocks here >>>
Set to Beat the Market?Let's discuss some of the components of the Momentum Style Score for VMI that show why this infrastructure equipment maker shows promise as a solid momentum pick.
Looking at a stock's short-term price activity is a great way to gauge if it has momentum, since this can reflect both the current interest in a stock and if buyers or sellers have the upper hand at the moment. It's also helpful to compare a security to its industry; this can show investors the best companies in a particular area.
For VMI, shares are up 20.92% over the past week while the Zacks Steel - Pipe and Tube industry is up 4.22% over the same time period. Shares are looking quite well from a longer time frame too, as the monthly price change of 27.26% compares favorably with the industry's 8.99% performance as well.
While any stock can see its price increase, it takes a real winner to consistently beat the market. That is why looking at longer term price metrics -- such as performance over the past three months or year -- can be useful as well. Over the past quarter, shares of Valmont Industries have risen 11.98%, and are up 70.36% in the last year. In comparison, the S&P 500 has only moved 3.87% and 32.07%, respectively.
Investors should also take note of VMI's average 20-day trading volume. Volume is a useful item in many ways, and the 20-day average establishes a good price-to-volume baseline; a rising stock with above average volume is generally a bullish sign, whereas a declining stock on above average volume is typically bearish. Right now VMI is averaging 241,566 shares for the last 20 days..
Earnings OutlookThe Zacks Momentum Style Score also takes into account trends in estimate revisions, in addition to price changes. Please note that estimate revision trends remain at the core of Zacks Rank as well. A nice path here can help show promise, and we have recently been seeing that with VMI.
Over the past two months, 4 earnings estimates moved higher compared to none lower for the full year. These revisions helped boost VMI's consensus estimate, increasing from $21.71 to $22.56 in the past 60 days. Looking at the next fiscal year, 5 estimates have moved upwards while there have been no downward revisions in the same time period.
Bottom LineTaking into account all of these elements, it should come as no surprise that VMI is a #1 (Strong Buy) stock with a Momentum Score of A. If you've been searching for a fresh pick that's set to rise in the near-term, make sure to keep Valmont Industries on your short list.
OMAHA, Neb.--(BUSINESS WIRE)--Valmont® Industries, Inc. (NYSE: VMI), a global leader that provides products and solutions to support vital infrastructure and advance agricultural productivity, today announced that its Board of Directors has declared a quarterly dividend of $0.77 per share payable on July 15, 2026, to shareholders of record on June 26, 2026. The dividend indicates an annual rate of $3.08 per share. About Valmont Industries, Inc. For more than 80 years, Valmont has been a global.
Key Takeaways GormanRupp (GRC), Valmont and Eni pass a screen for strong efficiency and profit potential.Stocks show high receivables turnover, asset use, inventory turnover and operating margins.GormanRupp posts 17.6% avg surprise; Valmont 6.7% and Eni 6.1% over four quarters. Efficiency measures how well a company turns inputs into outputs and is a key indicator of its profit-generating potential. A company with a high efficiency level is expected to provide stellar returns, as it is believed to be positively correlated with price performance.
However, at times, it becomes difficult to measure the efficiency level of a company. This is why one must consider popular efficiency ratios while selecting stocks.
GormanRupp (GRC - Free Report) , Valmont Industries (VMI - Free Report) and Eni (E - Free Report) made it through the screening process.
The efficiency ratios are:
Receivables Turnover: This is the ratio of 12-month sales to four-quarter average receivables. It shows a company’s potential to extend its credit and collect debt in terms of that credit. A high receivables turnover ratio, or the “accounts receivable turnover ratio” or “debtor’s turnover ratio” is desirable as it shows that the company is capable of collecting its accounts receivables or that it has quality customers.
Asset Utilization: This ratio indicates a company’s capability to convert assets into output and is thus a widely known measure of efficiency level. It is calculated by dividing total sales over the past 12 months by the last four-quarter average of total assets. Like the above ratios, high asset utilization may indicate that a company is efficient.
Inventory Turnover: The ratio of the 12-month cost of goods sold (COGS) to a four-quarter average inventory is considered one of the most popular efficiency ratios. It indicates a company’s ability to maintain a suitable inventory position. While a high value indicates that the company has a relatively low inventory level compared to COGS, a low value indicates that the company is facing declining sales, which has resulted in excess inventory.
Operating Margin: This efficiency measure is the ratio of operating income over the past 12 months to sales over the same period. It measures a company’s ability to control operating expenses. Hence, a high value of the ratio may indicate that the company manages its operating expenses more efficiently than its peers.
Screening CriteriaIn addition to the above-mentioned ratios, we have added a favorable Zacks Rank — Zacks Rank #1 (Strong Buy) — to the screen to make this strategy more profitable. You can see the complete list of today’s Zacks #1 Rank stocks here.
Inventory Turnover, Receivables Turnover, Asset Utilization, and Operating Margin greater than the industry average
(Values of these ratios higher than industry averages may indicate that the efficiency level of the company is higher than its peers.)
The use of these few criteria has narrowed down the universe of over 7,906 stocks to 11.
Our Choices
Here are the top three stocks that made it through the screen:
GormanRupp
GormanRupp designs, manufactures and sells pumps and related equipment. GRC has an average four-quarter earnings surprise of 17.6%.
Valmont Industries
Valmont Industries is primarily engaged in the production of fabricated metal products, metal and concrete pole and tower structures and mechanized irrigation systems in the United States and abroad. VMI has an average four-quarter earnings surprise of 6.7%.
Eni
Eni is among the leading integrated energy players in the world. E has an average four-quarter earnings surprise of 6.1%.
Investors seek growth stocks to capitalize on above-average growth in financials that help these securities grab the market's attention and produce exceptional returns. But finding a growth stock that can live up to its true potential can be a tough task.
In addition to volatility, these stocks carry above-average risk by their very nature. Also, one could end up losing from a stock whose growth story is actually over or nearing its end.
However, the task of finding cutting-edge growth stocks is made easy with the help of the Zacks Growth Style Score (part of the Zacks Style Scores system), which looks beyond the traditional growth attributes to analyze a company's real growth prospects.
Valmont Industries (VMI - Free Report) is one such stock that our proprietary system currently recommends. The company not only has a favorable Growth Score, but also carries a top Zacks Rank.
Research shows that stocks carrying the best growth features consistently beat the market. And returns are even better for stocks that possess the combination of a Growth Score of A or B and a Zacks Rank #1 (Strong Buy) or 2 (Buy).
While there are numerous reasons why the stock of this infrastructure equipment maker is a great growth pick right now, we have highlighted three of the most important factors below:
Earnings GrowthArguably nothing is more important than earnings growth, as surging profit levels is what most investors are after. For growth investors, double-digit earnings growth is highly preferable, as it is often perceived as an indication of strong prospects (and stock price gains) for the company under consideration.
While the historical EPS growth rate for Valmont is 14.7%, investors should actually focus on the projected growth. The company's EPS is expected to grow 19.3% this year, crushing the industry average, which calls for EPS growth of 8.4%.
Impressive Asset Utilization RatioGrowth investors often overlook asset utilization ratio, also known as sales-to-total-assets (S/TA) ratio, but it is an important feature of a real growth stock. This metric exhibits how efficiently a firm is utilizing its assets to generate sales.
Right now, Valmont has an S/TA ratio of 1.23, which means that the company gets $1.23 in sales for each dollar in assets. Comparing this to the industry average of 1, it can be said that the company is more efficient.
While the level of efficiency in generating sales matters a lot, so does the sales growth of a company. And Valmont is well positioned from a sales growth perspective too. The company's sales are expected to grow 4.9% this year versus the industry average of 0%.
Promising Earnings Estimate RevisionsSuperiority of a stock in terms of the metrics outlined above can be further validated by looking at the trend in earnings estimate revisions. A positive trend is of course favorable here. Empirical research shows that there is a strong correlation between trends in earnings estimate revisions and near-term stock price movements.
The current-year earnings estimates for Valmont have been revising upward. The Zacks Consensus Estimate for the current year has surged 3.8% over the past month.
Bottom LineWhile the overall earnings estimate revisions have made Valmont a Zacks Rank #2 stock, it has earned itself a Growth Score of B based on a number of factors, including the ones discussed above.
You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here.
This combination positions Valmont well for outperformance, so growth investors may want to bet on it.
It doesn't matter your age or experience: taking full advantage of the stock market and investing with confidence are common goals for all investors. Luckily, Zacks Premium offers several different ways to do both.
The popular research service can help you become a smarter, more self-assured investor, giving you access to daily updates of the Zacks Rank and Zacks Industry Rank, the Zacks #1 Rank List, Equity Research reports, and Premium stock screens.
Zacks Premium includes access to the Zacks Style Scores as well.
What are the Zacks Style Scores? Developed alongside the Zacks Rank, the Zacks Style Scores are a group of complementary indicators that help investors pick stocks with the best chances of beating the market over the next 30 days.
Based on their value, growth, and momentum characteristics, each stock is assigned a rating of A, B, C, D, or F. The better the score, the better chance the stock will outperform; an A is better than a B, a B is better than a C, and so on.
The Style Scores are broken down into four categories:
Value ScoreFor value investors, it's all about finding good stocks at good prices, and discovering which companies are trading under their true value before the broader market catches on. The Value Style Score utilizes ratios like P/E, PEG, Price/Sales, Price/Cash Flow, and a host of other multiples to help pick out the most attractive and discounted stocks.
Growth ScoreWhile good value is important, growth investors are more focused on a company's financial strength and health, and its future outlook. The Growth Style Score takes projected and historic earnings, sales, and cash flow into account to uncover stocks that will see long-term, sustainable growth.
Momentum ScoreMomentum trading is all about taking advantage of upward or downward trends in a stock's price or earnings outlook, and these investors live by the saying "the trend is your friend." The Momentum Style Score can pinpoint good times to build a position in a stock, using factors like one-week price change and the monthly percentage change in earnings estimates.
VGM ScoreIf you like to use all three kinds of investing, then the VGM Score is for you. It's a combination of all Style Scores, and is an important indicator to use with the Zacks Rank. The VGM Score rates each stock on their shared weighted styles, narrowing down the companies with the most attractive value, best growth forecast, and most promising momentum.
How Style Scores Work with the Zacks Rank A proprietary stock-rating model, the Zacks Rank utilizes the power of earnings estimate revisions, or changes to a company's earnings outlook, to help investors create a successful portfolio.
It's highly successful, with #1 (Strong Buy) stocks producing an unmatched +23.7% average annual return since 1988. That's more than double the S&P 500. But because of the large number of stocks we rate, there are over 200 companies with a Strong Buy rank, plus another 600 with a #2 (Buy) rank, on any given day.
This totals more than 800 top-rated stocks, and it can be overwhelming to try and pick the best stocks for you and your portfolio.
That's where the Style Scores come in.
To have the best chance of big returns, you'll want to always consider stocks with a Zacks Rank #1 or #2 that also have Style Scores of A or B, which will give you the highest probability of success. If you're looking at stocks with a #3 (Hold) rank, it's important they have Scores of A or B as well to ensure as much upside potential as possible.
As mentioned above, the Scores are designed to work with the Zacks Rank, so any change to a company's earnings outlook should be a deciding factor when picking which stocks to buy.
A stock with a #4 (Sell) or #5 (Strong Sell) rating, for instance, even one with Scores of A and B, will still have a declining earnings forecast, and a greater chance its share price will fall too.
Thus, the more stocks you own with a #1 or #2 Rank and Scores of A or B, the better.
Stock to Watch: Valmont Industries (VMI - Free Report) Headquartered in Omaha, NE, Valmont Industries, Inc. is primarily engaged in the production of fabricated metal products, metal and concrete pole and tower structures and mechanized irrigation systems in the United States and abroad.
VMI is a #2 (Buy) on the Zacks Rank, with a VGM Score of B.
Additionally, the company could be a top pick for growth investors. VMI has a Growth Style Score of B, forecasting year-over-year earnings growth of 19.3% for the current fiscal year.
Four analysts revised their earnings estimate upwards in the last 60 days for fiscal 2026. The Zacks Consensus Estimate has increased $0.84 to $22.78 per share. VMI boasts an average earnings surprise of +6.7%.
With a solid Zacks Rank and top-tier Growth and VGM Style Scores, VMI should be on investors' short list.
A month has gone by since the last earnings report for Valmont Industries (VMI - Free Report) . Shares have added about 7.8% in that time frame, outperforming the S&P 500.
But investors have to be wondering, will the recent positive trend continue leading up to its next earnings release, or is Valmont due for a pullback? Well, first let's take a quick look at its latest earnings report in order to get a better handle on the recent catalysts for Valmont Industries, Inc. before we dive into how investors and analysts have reacted as of late.
Valmont's Q1 Earnings and Revenues Beat Estimates, Rise Y/YValmont reported first-quarter 2026 profit of $108 million or $5.51 per share. This compares to profit of $87.3 million or $4.32 per share in the year-ago quarter. The bottom line beat the Zacks Consensus Estimate of $4.72.
The company’s revenues were $1,029.2 million in the quarter, up 6.2% year over year. The top line outpaced the Zacks Consensus Estimate of $996.8 million.
Segment ReviewFirst-quarter revenues in the Infrastructure segment rose about 14.1% year over year to $805.9 million, beating our estimate of $735.5 million. Sales were driven by favorable pricing and higher volumes. International sales increased due to favorable foreign exchange.
North America Utility sales increased 27.4% while North America Coatings sales increased 13.3%. The growth was offset by lower volumes in North America Lighting and Transportation and North America Telecommunications.
Agriculture revenues declined about 15.1% year over year to $227 million. The metric underperformed our estimate of $262.7 million. The decline was primarily due to a decrease in international sales due to lower volumes in Brazil and the Middle East conflict, causing operational disruptions.
FinancialsThe company ended the quarter with cash and cash equivalents of $160.2 million. For the 13 weeks ended March 28, 2026, cash provided by operating activities was $103.5 million, up around 59% year over year. Valmont returned $70.8 million to shareholders through dividends and share repurchases in the reported quarter. The company invested $34.6 million as capital expenditure to support capacity investments for the North America Utility product line.
2026 Outlook UpdatedValmont raised its full-year 2026 earnings per share guidance. The company anticipates net sales of approximately $4.2-$4.4 billion, with infrastructure-segment revenues of roughly $3.3-$3.45 billion, up from the previous guidance of $3.25-$3.4 billion. It expects agriculture-segment revenues of around $0.9-$0.95 billion, compared with the previously expected range of $0.95-$1 billion.
For earnings per share, the guidance was revised from $20.5-$23.50 to $21.5-$23.5. VMI anticipates capital expenditure in the $170-$200 million range. The company also expects its effective tax rate for the year to approximate 26%.
How Have Estimates Been Moving Since Then?In the past month, investors have witnessed a upward trend in fresh estimates.
The consensus estimate has shifted 5.06% due to these changes.
VGM ScoresAt this time, Valmont has a great Growth Score of A, though it is lagging a lot on the Momentum Score front with an F. However, the stock has a score of C on the value side, putting it in the middle 20% for value investors.
Overall, the stock has an aggregate VGM Score of B. If you aren't focused on one strategy, this score is the one you should be interested in.
OutlookEstimates have been trending upward for the stock, and the magnitude of these revisions looks promising. It comes with little surprise Valmont has a Zacks Rank #2 (Buy). We expect an above average return from the stock in the next few months.
While "the trend is your friend" when it comes to short-term investing or trading, timing entries into the trend is a key determinant of success. And increasing the odds of success by making sure the sustainability of a trend isn't easy.
Often, the direction of a stock's price movement reverses quickly after taking a position in it, making investors incur a short-term capital loss. So, it's important to ensure that there are enough factors -- such as sound fundamentals, positive earnings estimate revisions, etc. -- that could keep the momentum in the stock going.
Investors looking to make a profit from stocks that are currently on the move may find our "Recent Price Strength" screen pretty useful. This predefined screen comes handy in spotting stocks that are on an uptrend backed by strength in their fundamentals, and trading in the upper portion of their 52-week high-low range, which is usually an indicator of bullishness.
There are several stocks that passed through the screen and Valmont Industries (VMI - Free Report) is one of them. Here are the key reasons why this stock is a solid choice for "trend" investing.
A solid price increase over a period of 12 weeks reflects investors' continued willingness to pay more for the potential upside in a stock. VMI is quite a good fit in this regard, gaining 19.9% over this period.
However, it's not enough to look at the price change for around three months, as it doesn't reflect any trend reversal that might have happened in a shorter time frame. It's important for a potential winner to maintain the price trend. A price increase of 3.3% over the past four weeks ensures that the trend is still in place for the stock of this infrastructure equipment maker.
Moreover, VMI is currently trading at 95.3% of its 52-week High-Low Range, hinting that it can be on the verge of a breakout.
Looking at the fundamentals, the stock currently carries a Zacks Rank #2 (Buy), which means it is in the top 20% of more than the 4,000 stocks that we rank based on trends in earnings estimate revisions and EPS surprises -- the key factors that impact a stock's near-term price movements.
The Zacks Rank stock-rating system, which uses four factors related to earnings estimates to classify stocks into five groups, ranging from Zacks Rank #1 (Strong Buy) to Zacks Rank #5 (Strong Sell), has an impressive externally-audited track record, with Zacks Rank #1 stocks generating an average annual return of +25% since 1988. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>>
Another factor that confirms the company's fundamental strength is its Average Broker Recommendation of #1 (Strong Buy). This indicates that the brokerage community is highly optimistic about the stock's near-term price performance.
So, the price trend in VMI may not reverse anytime soon.
In addition to VMI, there are several other stocks that currently pass through our "Recent Price Strength" screen. You may consider investing in them and start looking for the newest stocks that fit these criteria.
This is not the only screen that could help you find your next winning stock pick. Based on your personal investing style, you may choose from over 45 Zacks Premium Screens that are strategically created to beat the market.
However, keep in mind that the key to a successful stock-picking strategy is to ensure that it produced profitable results in the past. You could easily do that with the help of the Zacks Research Wizard. In addition to allowing you to backtest the effectiveness of your strategy, the program comes loaded with some of our most successful stock-picking strategies.
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For new and old investors, taking full advantage of the stock market and investing with confidence are common goals. Zacks Premium provides lots of different ways to do both.
Featuring daily updates of the Zacks Rank and Zacks Industry Rank, full access to the Zacks #1 Rank List, Equity Research reports, and Premium stock screens, the research service can help you become a smarter, more self-assured investor.
It also includes access to the Zacks Style Scores.
What are the Zacks Style Scores? Developed alongside the Zacks Rank, the Zacks Style Scores are a group of complementary indicators that help investors pick stocks with the best chances of beating the market over the next 30 days.
Each stock is given an alphabetic rating of A, B, C, D or F based on their value, growth, and momentum qualities. With this system, an A is better than a B, a B is better than a C, and so on, meaning the better the score, the better chance the stock will outperform.
The Style Scores are broken down into four categories:
Value ScoreFinding good stocks at good prices, and discovering which companies are trading under their true value, are what value investors like to focus on. So, the Value Style Score takes into account ratios like P/E, PEG, Price/Sales, Price/Cash Flow, and a host of other multiples to highlight the most attractive and discounted stocks.
Growth ScoreGrowth investors, on the other hand, are more concerned with a company's financial strength and health, and its future outlook. The Growth Style Score examines things like projected and historic earnings, sales, and cash flow to find stocks that will experience sustainable growth over time.
Momentum ScoreMomentum investors, who live by the saying "the trend is your friend," are most interested in taking advantage of upward or downward trends in a stock's price or earnings outlook. Utilizing one-week price change and the monthly percentage change in earnings estimates, among other factors, the Momentum Style Score can help determine favorable times to buy high-momentum stocks.
VGM ScoreWhat if you like to use all three types of investing? The VGM Score is a combination of all Style Scores, making it one of the most comprehensive indicators to use with the Zacks Rank. It rates each stock on their combined weighted styles, which helps narrow down the companies with the most attractive value, best growth forecast, and most promising momentum.
How Style Scores Work with the Zacks Rank A proprietary stock-rating model, the Zacks Rank utilizes the power of earnings estimate revisions, or changes to a company's earnings outlook, to help investors create a successful portfolio.
It's highly successful, with #1 (Strong Buy) stocks producing an unmatched +23.7% average annual return since 1988. That's more than double the S&P 500. But because of the large number of stocks we rate, there are over 200 companies with a Strong Buy rank, plus another 600 with a #2 (Buy) rank, on any given day.
With more than 800 top-rated stocks to choose from, it can certainly feel overwhelming to pick the ones that are right for you and your investing journey.
That's where the Style Scores come in.
To have the best chance of big returns, you'll want to always consider stocks with a Zacks Rank #1 or #2 that also have Style Scores of A or B, which will give you the highest probability of success. If you're looking at stocks with a #3 (Hold) rank, it's important they have Scores of A or B as well to ensure as much upside potential as possible.
Since the Scores were created to work together with the Zacks Rank, the direction of a stock's earnings estimate revisions should be a key factor when choosing which stocks to buy.
A stock with a #4 (Sell) or #5 (Strong Sell) rating, for instance, even one with Scores of A and B, will still have a declining earnings forecast, and a greater chance its share price will fall too.
Thus, the more stocks you own with a #1 or #2 Rank and Scores of A or B, the better.
Stock to Watch: Valmont Industries (VMI - Free Report) Headquartered in Omaha, NE, Valmont Industries, Inc. is primarily engaged in the production of fabricated metal products, metal and concrete pole and tower structures and mechanized irrigation systems in the United States and abroad.
VMI is a #2 (Buy) on the Zacks Rank, with a VGM Score of B.
Additionally, the company could be a top pick for growth investors. VMI has a Growth Style Score of A, forecasting year-over-year earnings growth of 19.3% for the current fiscal year.
Four analysts revised their earnings estimate upwards in the last 60 days for fiscal 2026. The Zacks Consensus Estimate has increased $0.77 to $22.78 per share. VMI boasts an average earnings surprise of +6.7%.
With a solid Zacks Rank and top-tier Growth and VGM Style Scores, VMI should be on investors' short list.
For new and old investors, taking full advantage of the stock market and investing with confidence are common goals. Zacks Premium provides lots of different ways to do both.
The popular research service can help you become a smarter, more self-assured investor, giving you access to daily updates of the Zacks Rank and Zacks Industry Rank, the Zacks #1 Rank List, Equity Research reports, and Premium stock screens.
It also includes access to the Zacks Style Scores.
What are the Zacks Style Scores? The Zacks Style Scores is a unique set of guidelines that rates stocks based on three popular investing types, and were developed as complementary indicators for the Zacks Rank. This combination helps investors choose securities with the highest chances of beating the market over the next 30 days.
Each stock is given an alphabetic rating of A, B, C, D or F based on their value, growth, and momentum qualities. With this system, an A is better than a B, a B is better than a C, and so on, meaning the better the score, the better chance the stock will outperform.
The Style Scores are broken down into four categories:
Value ScoreValue investors love finding good stocks at good prices, especially before the broader market catches on to a stock's true value. Utilizing ratios like P/E, PEG, Price/Sales, Price/Cash Flow, and many other multiples, the Value Style Score identifies the most attractive and most discounted stocks.
Growth ScoreGrowth investors are more concerned with a stock's future prospects, and the overall financial health and strength of a company. Thus, the Growth Style Score analyzes characteristics like projected and historic earnings, sales, and cash flow to find stocks that will see sustainable growth over time.
Momentum ScoreMomentum trading is all about taking advantage of upward or downward trends in a stock's price or earnings outlook, and these investors live by the saying "the trend is your friend." The Momentum Style Score can pinpoint good times to build a position in a stock, using factors like one-week price change and the monthly percentage change in earnings estimates.
VGM ScoreIf you want a combination of all three Style Scores, then the VGM Score will be your friend. It rates each stock on their combined weighted styles, helping you find the companies with the most attractive value, best growth forecast, and most promising momentum. It's also one of the best indicators to use with the Zacks Rank.
How Style Scores Work with the Zacks Rank The Zacks Rank, which is a proprietary stock-rating model, employs earnings estimate revisions, or changes to a company's earnings expectations, to make building a winning portfolio easier.
Investors can count on the Zacks Rank's success, with #1 (Strong Buy) stocks producing an unmatched +23.7% average annual return since 1988, more than double the S&P 500's performance. But the model rates a large number of stocks, and there are over 200 companies with a Strong Buy rank, plus another 600 with a #2 (Buy) rank, on any given day.
But it can feel overwhelming to pick the right stocks for you and your investing goals with over 800 top-rated stocks to choose from.
That's where the Style Scores come in.
To have the best chance of big returns, you'll want to always consider stocks with a Zacks Rank #1 or #2 that also have Style Scores of A or B, which will give you the highest probability of success. If you're looking at stocks with a #3 (Hold) rank, it's important they have Scores of A or B as well to ensure as much upside potential as possible.
Since the Scores were created to work together with the Zacks Rank, the direction of a stock's earnings estimate revisions should be a key factor when choosing which stocks to buy.
For instance, a stock with a #4 (Sell) or #5 (Strong Sell) rating, even one that boasts Scores of A and B, still has a downward-trending earnings forecast, and a much greater likelihood its share price will decline as well.
Thus, the more stocks you own with a #1 or #2 Rank and Scores of A or B, the better.
Stock to Watch: Valmont Industries (VMI - Free Report) Headquartered in Omaha, NE, Valmont Industries, Inc. is primarily engaged in the production of fabricated metal products, metal and concrete pole and tower structures and mechanized irrigation systems in the United States and abroad.
VMI is a #2 (Buy) on the Zacks Rank, with a VGM Score of A.
Momentum investors should take note of this Industrial Products stock. VMI has a Momentum Style Score of B, and shares are up 4.9% over the past four weeks.
Four analysts revised their earnings estimate upwards in the last 60 days for fiscal 2026. The Zacks Consensus Estimate has increased $0.82 to $22.83 per share. VMI boasts an average earnings surprise of +6.7%.
With a solid Zacks Rank and top-tier Momentum and VGM Style Scores, VMI should be on investors' short list.
Key Takeaways VMI shares set a new 52-week high at $548.9, closing at $547.14.VMI Q1 profit rose 27.5% to $108M and revenue grew 6.2% to $1,029.2M.VMI lifted 2026 EPS guidance to $21.5-$23.5 as Infrastructure expansion plans stay on track. Valmont Industries, Inc. (VMI - Free Report) shares touched a new 52-week high of $548.9 on yesterday, before closing the session at $547.14.
Valmont shares have gained 69.8% over the last year compared with the industry’s rise of 82%. It carries a Zacks Rank #2 (Buy) at present.
Image Source: Zacks Investment Research
What’s Driving VMI?VMI reported a profit of $108 million or $5.51 per share in the first quarter, up 27.5% year over year.It also witnessed an increase in its revenue of 6.2% year over year to$1,029.2 million.
The company has been undertaking restructuring and productivity initiatives to streamline operations. Its major segment, Infrastructure’s operating margins, reached some of the strongest levels in recent years. The cost savings are expected to translate to higher earnings growth in the near future. In addition to realigning cost structures, the company is also removing production bottlenecks and upgrading existing capacities.
The brownfield capacity expansions have increased annual revenues by $95 million. VMI is also deploying artificial intelligence (AI)-enabled scheduling and planning tools to enhance efficiency. The company is confident in the expansion of its Infrastructure operations and continues to invest strategically in capacity increment through distribution and substation structures. This will further support higher utility volumes. The expansion plans remain on track.
As strong backlog growth emerges, multi-year revenue visibility also becomes clearer. The Utility segment is poised for robust growth due to higher demands from electrification, grid modernization and data center demand. Per VMI, U.S. utilities are planning roughly $1.4 trillion of investment through 2030, and this segment steadily becomes VMI’s primary growth driver. Infrastructure is also supported by demand growth as the need to expand the electrical grid to support data centers and the need to replace aging assets arises.
VMI, on its first-quarter call, raised its full-year 2026 earnings per share guidance. The company anticipates net sales of approximately $4.2-$4.4 billion, with infrastructure-segment revenues of roughly $3.3-$3.45 billion, up from the previous guidance of $3.25-$3.4 billion. It expects agriculture-segment revenues of around $0.9-$0.95 billion compared with the previously expected range of $0.95-$1 billion.
For earnings per share, the guidance was revised from $20.5-$23.50 to $21.5-$23.5.
Other Stocks to ConsiderSome other top-ranked stocks in the Basic Materials space are CF Industries Holdings, Inc. (CF - Free Report) , Albemarle Corporation (ALB - Free Report) and Avino Silver & Gold Mines Ltd. (ASM - Free Report) .
While CF and ALB sport a Zacks Rank #1 (Strong Buy) each at present, ASM carries a Zacks Rank #2. You can see the complete list of today’s Zacks #1 Rank stocks here.
The Zacks Consensus Estimate for CF’s 2026 earnings is pegged at $17.57 per share, indicating a rise of 87.51% year over year. Its earnings beat the Zacks Consensus Estimate in each of the trailing four quarters, with an average surprise of 11.42%. CF’s shares have soared 21.8% over the past year.
The Zacks Consensus Estimate for ALB’s 2026 earnings is pinned at $12.39 per share, indicating a 1,668.35% year-over-year increase. Its earnings beat the Zacks Consensus Estimate in three of the trailing four quarters, while missing it in one, with an average surprise of 74.5%. ALB’s shares have jumped 210.7% over the past year.
The Zacks Consensus Estimate for ASM’s current fiscal-year earnings is pinned at 39 cents per share, indicating a 34.48% year-over-year increase. Its earnings beat the Zacks Consensus Estimate in each of the four trailing quarters, with an average earnings surprise of 118.3%.
Momentum investing is all about the idea of following a stock's recent trend, which can be in either direction. In the "long context," investors will essentially be "buying high, but hoping to sell even higher." And for investors following this methodology, taking advantage of trends in a stock's price is key; once a stock establishes a course, it is more than likely to continue moving in that direction. The goal is that once a stock heads down a fixed path, it will lead to timely and profitable trades.
While many investors like to look for momentum in stocks, this can be very tough to define. There is a lot of debate surrounding which metrics are the best to focus on and which are poor quality indicators of future performance. The Zacks Momentum Style Score, part of the Zacks Style Scores, helps address this issue for us.
Below, we take a look at Valmont Industries (VMI - Free Report) , a company that currently holds a Momentum Style Score of B. We also talk about price change and earnings estimate revisions, two of the main aspects of the Momentum Style Score.
It's also important to note that Style Scores work as a complement to the Zacks Rank, our stock rating system that has an impressive track record of outperformance. Valmont Industries currently has a Zacks Rank of #2 (Buy). Our research shows that stocks rated Zacks Rank #1 (Strong Buy) and #2 (Buy) and Style Scores of "A or B" outperform the market over the following one-month period.
You can see the current list of Zacks #1 Rank Stocks here >>>
Set to Beat the Market? In order to see if VMI is a promising momentum pick, let's examine some Momentum Style elements to see if this infrastructure equipment maker holds up.
Looking at a stock's short-term price activity is a great way to gauge if it has momentum, since this can reflect both the current interest in a stock and if buyers or sellers have the upper hand at the moment. It's also helpful to compare a security to its industry; this can show investors the best companies in a particular area.
For VMI, shares are up 1.24% over the past week while the Zacks Steel - Pipe and Tube industry is up 0.62% over the same time period. Shares are looking quite well from a longer time frame too, as the monthly price change of 4.65% compares favorably with the industry's 1.27% performance as well.
While any stock can see its price increase, it takes a real winner to consistently beat the market. That is why looking at longer term price metrics -- such as performance over the past three months or year -- can be useful as well. Shares of Valmont Industries have increased 27.18% over the past quarter, and have gained 70.07% in the last year. On the other hand, the S&P 500 has only moved 11.07% and 27.78%, respectively.
Investors should also pay attention to VMI's average 20-day trading volume. Volume is a useful item in many ways, and the 20-day average establishes a good price-to-volume baseline; a rising stock with above average volume is generally a bullish sign, whereas a declining stock on above average volume is typically bearish. VMI is currently averaging 202,528 shares for the last 20 days.
Earnings OutlookThe Zacks Momentum Style Score encompasses many things, including estimate revisions and a stock's price movement. Investors should note that earnings estimates are also significant to the Zacks Rank, and a nice path here can be promising. We have recently been noticing this with VMI.
Over the past two months, 4 earnings estimates moved higher compared to none lower for the full year. These revisions helped boost VMI's consensus estimate, increasing from $22.01 to $22.83 in the past 60 days. Looking at the next fiscal year, 5 estimates have moved upwards while there have been no downward revisions in the same time period.
Bottom LineTaking into account all of these elements, it should come as no surprise that VMI is a #2 (Buy) stock with a Momentum Score of B. If you've been searching for a fresh pick that's set to rise in the near-term, make sure to keep Valmont Industries on your short list.
Growth stocks are attractive to many investors, as above-average financial growth helps these stocks easily grab the market's attention and produce exceptional returns. However, it isn't easy to find a great growth stock.
By their very nature, these stocks carry above-average risk and volatility. Moreover, if a company's growth story is over or nearing its end, betting on it could lead to significant loss.
However, the Zacks Growth Style Score (part of the Zacks Style Scores system), which looks beyond the traditional growth attributes to analyze a company's real growth prospects, makes it pretty easy to find cutting-edge growth stocks.
Our proprietary system currently recommends Valmont Industries (VMI - Free Report) as one such stock. This company not only has a favorable Growth Score, but also carries a top Zacks Rank.
Studies have shown that stocks with the best growth features consistently outperform the market. And for stocks that have a combination of a Growth Score of A or B and a Zacks Rank #1 (Strong Buy) or 2 (Buy), returns are even better.
While there are numerous reasons why the stock of this infrastructure equipment maker is a great growth pick right now, we have highlighted three of the most important factors below:
Earnings GrowthEarnings growth is arguably the most important factor, as stocks exhibiting exceptionally surging profit levels tend to attract the attention of most investors. And for growth investors, double-digit earnings growth is definitely preferable, and often an indication of strong prospects (and stock price gains) for the company under consideration.
While the historical EPS growth rate for Valmont is 14.7%, investors should actually focus on the projected growth. The company's EPS is expected to grow 19.6% this year, crushing the industry average, which calls for EPS growth of 9.9%.
Impressive Asset Utilization RatioGrowth investors often overlook asset utilization ratio, also known as sales-to-total-assets (S/TA) ratio, but it is an important feature of a real growth stock. This metric shows how efficiently a firm is utilizing its assets to generate sales.
Right now, Valmont has an S/TA ratio of 1.23, which means that the company gets $1.23 in sales for each dollar in assets. Comparing this to the industry average of 1, it can be said that the company is more efficient.
While the level of efficiency in generating sales matters a lot, so does the sales growth of a company. And Valmont is well positioned from a sales growth perspective too. The company's sales are expected to grow 5% this year versus the industry average of 0%.
Promising Earnings Estimate RevisionsSuperiority of a stock in terms of the metrics outlined above can be further validated by looking at the trend in earnings estimate revisions. A positive trend is of course favorable here. Empirical research shows that there is a strong correlation between trends in earnings estimate revisions and near-term stock price movements.
The current-year earnings estimates for Valmont have been revising upward. The Zacks Consensus Estimate for the current year has surged 0.2% over the past month.
Bottom LineValmont has not only earned a Growth Score of A based on a number of factors, including the ones discussed above, but it also carries a Zacks Rank #2 because of the positive earnings estimate revisions.
You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here.
This combination positions Valmont well for outperformance, so growth investors may want to bet on it.
