Valmont Industries, Inc. VMI

Competitive advantage analysis · industrials

Corporate Default
Overall moat score
71/100
Moderate

About Valmont Industries, Inc.

Valmont Industries, Inc. operates as a manufacturer of products and services for infrastructure and agriculture markets in the United States, Australia, Brazil, and internationally. The company operates in two segments, Infrastructure and Agriculture. It manufactures and distributes steel, pre-stressed concrete, composite structures for electrical transmission, substation, and distribution applications; and designs, engineers, and manufactures metal, steel, wood, aluminum, and composite … Full VMI analysis →

Competitive advantage assessment

Key strengths

  • Strong Interest Coverage & Conservative Leverage Debt serviceability is strong (score 0.86), with robust interest coverage.
  • Consistent Cash Generation Cash generation is strong and consistent (score 0.78).

The dashed ring is the peer median. Defense scores are percentile ranks against peers, so 50 is roughly the typical company in this group.

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Pricing Power

Moderate
67

Where VMI ranks in Conglomerates

Valmont Industries, Inc. ranks #3 of 27 scored companies in Conglomerates by moat score — the top 11%. The widest moat in the group is Steel Partners Holdings LP LTD (SPLP) at 79/100.

Moat scores for companies ranked near VMI in Conglomerates
# Company Moat score Rating
1 Steel Partners Holdings LP LTD SPLP 79/100 Strong
2 Honeywell International Inc. HON 78/100 Strong
3 Valmont Industries, Inc. VMI 71/100 Moderate
4 Deluxe Corporation DLX 69/100 Moderate
5 3M Company MMM 68/100 Moderate
6 Griffon Corporation GFF 66/100 Moderate
7 RCM Technologies, Inc. RCMT 66/100 Moderate
8 Cresud S.A.C.I.F. y A. Warrant CRESW 62/100 Moderate
9 Cresud S.A.C.I.F. y A. CRESY 62/100 Moderate

See every General Corporate company ranked by moat score →

How VMI scores on the Corporate Default defenses

Pricing Power

Score 67 · 20% of the moat score

Pricing power is the ability to raise prices without losing volume.

Cost Advantage

Score 65 · 15% of the moat score

A cost advantage means delivering the same product for structurally less — better purchasing, denser distribution, a more automated process.

Customer Stickiness

Score 72 · 15% of the moat score

Stickiness is what makes revenue repeat without being re-won every year.

Capital Efficiency

Score 76 · 18% of the moat score

Capital efficiency asks what the company earns on the money tied up in the business.

Resilience

Score 81 · 17% of the moat score

Resilience is the capacity to get through a bad year on its own terms — enough liquidity, enough interest cover, and enough cash generation to avoid a rescue financing or a forced sale.

Scale & Market Position

Score 64 · 15% of the moat score

Scale matters only when it converts into economics.

How each Corporate Default defense is measured, in full →

Understanding VMI's moat

What is Valmont Industries, Inc.'s moat score?

Valmont Industries, Inc. (VMI) scores 71 out of 100 on the StatsAlpha Moat Map, which rates its competitive advantage as moderate. It ranks #3 of 27 scored companies in Conglomerates, the top 11%. The score is a weighted composite of 6 competitive defenses, each measured against industry peers of 26 companies in Conglomerates. Its strongest defense is Resilience (81/100) and its weakest is Scale & Market Position (64/100).

How does Valmont Industries, Inc. compare with other Conglomerates companies?

Valmont Industries, Inc. ranks #3 of 27 scored companies in Conglomerates by moat score. The widest moat in Conglomerates is Steel Partners Holdings LP LTD (SPLP) at 79/100. The companies ranked closest are Honeywell International Inc. (HON) at 78 just above it and Deluxe Corporation (DLX) at 69 just below it.

How is the moat score calculated?

Each company is scored with an industry-specific template — Corporate Default in this case, chosen because the defenses that matter to a bank are not the ones that matter to a software company. Every defense combines several financial signals, and each signal is measured as a percentile against a peer group of 26 companies in Conglomerates. The defenses are then weighted to produce the overall score out of 100.

Why is Valmont Industries, Inc. scored with the Corporate Default template?

Most public companies sell a product or a service at a margin, so the moat question is whether that margin survives contact with competitors. The Corporate template scores the six defenses that show up in a general operating company's financial signature: whether it can hold price, produce more cheaply than rivals, keep its customers, earn a return above its cost of capital, withstand a downturn, and turn size into economics.

Which competitive defenses are measured for Valmont Industries, Inc.?

The Corporate Default template measures 6 defenses, and VMI scores: Pricing Power (67), Cost Advantage (65), Customer Stickiness (72), Capital Efficiency (76), Resilience (81), Scale & Market Position (64). Each is scored independently as a percentile against peers, so a company can be strong on one and weak on another — the overall score reflects how those defenses are weighted for this industry.

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