Is the business good?
How good a business is VVV?
Valvoline Inc. earns 12% on the capital it employs against a 9.0% cost of capital, so the business is worth more the bigger it gets.
12%
Return on invested capital · cost of capital 9.0% · 2.6 points above what the capital costs: growth creates value
- Operating margin
- 15%
Operating margin · Auto & Truck Dealerships median 5.3% · 12 months to Q2 2026
- Cash conversion
- 1.07×
Cash conversion · 0.09× a year ago · every dollar of reported profit arrived as cash, and more
- Share count, year on year
- +0.16%
Share count, year on year · flat: no meaningful dilution
| Year | Operating margin |
|---|---|
| FY2020 | 22% |
| FY2021 | 23% |
| FY2022 | 18% |
| FY2023 | 17% |
| FY2024 | 23% |
| FY2025 | 23% |
Details›
- Gross margin12 months to Q2 2026
- 38%
- Operating margin12 months to Q2 2026
- 15%
- Net margin12 months to Q2 2026
- 5.0%
- Free cash flow margin
- 5.4%
- Revenue, trailing twelve months
- $1.86B
- Free cash flow, trailing twelve months
- $100M
- Net income, trailing twelve months
- $94M
- Return on invested capitaloperating profit after tax ÷ debt + equity − cash
- 12%
Margins, capital and share counts from the statements as filed with the SEC; cash conversion from the cash flow statement.
Auto & Truck Dealerships
Ranks #9 of 15 by Smart Score