Valvoline Inc. (VVV) Valuation

Valuation

Model-based estimates, not advice. The DCF is the discounted-cash-flow value per share; compare it with the price, not as a target.

DCF fair value

-1.5%

$33.75

vs $34.27 price

Levered DCF

$3.45

After debt service

Piotroski score

4 / 9

Average

Altman Z-score

1.77

Distress zone

Rating

C+

Overall 2 / 5

Ratios by fiscal year

Margins and yields are shares of revenue, equity or price; multiples are ×.

Metric	FY2025	FY2024	FY2023	FY2022	FY2021	FY2020	FY2019	FY2018
P/E	21.76×	25.67×	3.67×	10.69×	13.56×	11.2×	20.03×	24.76×
P/B	13.57×	29.34×	25.64×	14.8×	42.31×	-46.85×	-16.14×	-11.45×
P/S	2.69×	3.36×	3.61×	3.67×	5.49×	4.9×	1.74×	1.79×
EV / EBITDA	12.16×	14.82×	18.64×	23.38×	17.75×	19.9×	14.14×	11.96×
Gross margin	38.5%	38.2%	37.7%	38.5%	41.7%	41.4%	33.9%	35.3%
Operating margin	22.8%	22.7%	17.1%	17.8%	23.1%	22.0%	16.7%	17.3%
Net margin	12.3%	13.1%	98.4%	34.3%	40.5%	43.5%	8.7%	7.3%
Current ratio	0.7×	0.72×	2.59×	1.76×	1.82×	3.24×	1.88×	1.76×
Debt / equity	4.93×	8.76×	10.21×	6.99×	15.42×	-30.25×	-5.41×	-3.82×
Interest coverage	5.27×	5.11×	6.45×	3.18×	2.22×	2.16×	5.45×	6.27×
Dividend yield	0.0%	0.0%	0.4%	2.0%	1.6%	2.4%	1.9%	1.4%
Payout ratio	0.0%	0.0%	1.5%	21.0%	21.6%	26.6%	38.5%	34.9%

Key metrics by fiscal year

Metric	FY2025	FY2024	FY2023	FY2022	FY2021	FY2020	FY2019	FY2018
Return on equity	62.2%	114.0%	698.7%	138.4%	312.5%	-416.6%	-80.6%	-46.4%
Return on invested capital	12.0%	12.9%	8.0%	6.2%	6.9%	3.4%	18.9%	13.4%
Return on assets	7.9%	8.7%	49.1%	12.4%	13.2%	10.4%	10.1%	9.0%
Free cash flow yield	0.8%	0.7%	-4.2%	3.4%	5.3%	7.8%	5.2%	5.5%
Earnings yield	4.6%	3.9%	27.2%	9.3%	7.4%	8.9%	5.0%	4.1%
Enterprise value	$6.2B	$7B	$6.9B	$6.7B	$7.6B	$5.1B	$5.4B	$5.4B
Net debt / EBITDA	3.16×	3.3×	4.51×	7.45×	4.53×	6×	3.24×	2.84×
Cash conversion cycle (days)	-7	-9	-14	12	16	226	67	65