VLGEAVillage Super Market, Inc.
Is the business good?
The checks split: nothing decisive, though earnings fully cash-backed (2.4×).
Operating profit is fully backed by cash. Conversion is improving vs a year ago.
Operating profit is falling even as sales grow, costs are outrunning the top line.
Efficiency-driven, thin margins turned over fast (the retail model). ROE 11% = margin × turnover × leverage.
Unless marked, from derived.
Where this answer is blind. The F-score rewards improvement, so an already-elite company can score mid-pack.
How good a business is VLGEA?
Village Super Market, Inc. earns 11% on the capital it employs against a 9.0% cost of capital, so the business is worth more the bigger it gets.
Return on invested capital · cost of capital 9.0% · 2.3 points above what the capital costs: growth creates value
- Operating margin
- 2.7%
Operating margin · Grocery Stores median 1.8% · 12 months to Q4 2026
- Cash conversion
- 2.37×
Cash conversion · 1.88× a year ago · operating cash flow covers the operating profit after tax
- Gross margin
- 28%
Gross margin
| Year | Operating margin |
|---|---|
| FY2021 | 1.4% |
| FY2022 | 1.9% |
| FY2023 | 3.0% |
| FY2024 | 2.8% |
| FY2025 | 3.1% |
| FY2026 | 2.7% |
Details›
- Gross margin12 months to Q4 2026
- 28%
- Operating margin12 months to Q4 2026
- 2.7%
- Net margin12 months to Q4 2026
- 2.2%
- Free cash flow margin
- 2.3%
- Revenue, trailing twelve months
- $2.41B
- Free cash flow, trailing twelve months
- $55M
- Net income, trailing twelve months
- $52M
- Return on invested capitaloperating profit after tax ÷ debt + equity − cash
- 11%
Margins, capital and share counts from the statements as filed with the SEC; cash conversion is operating cash flow over operating profit after tax.