Vulcan Materials Company (VMC), headquartered in Birmingham, Alabama, produces and supplies construction aggregates. Valued at $38.6 billion by market cap, the company’s principal product lines are aggregates, asphalt mix and concrete, and cement.
Shares of the largest producer of construction aggregates have outperformed the broader market over the past year. VMC has gained 17.9% over this time frame, while the broader S&P 500 Index ($SPX) has rallied nearly 16.1%. In 2025, VMC stock is up 13.7%, surpassing the SPX’s 10% rise on a YTD basis.
Narrowing the focus, VMC’s underperformance is apparent compared to the Invesco Building & Construction ETF (PKB). The exchange-traded fund has gained about 26.6% over the past year. Moreover, the ETF’s 21.4% gains on a YTD basis outshine the stock’s returns over the same time frame.
VMC’s outperformance is driven by increased federal and state funding for highway and public works projects under the IIJA, as well as renewed momentum in private non-residential construction, particularly in data centers, warehouses, and manufacturing. The company’s practical cost management framework, supported by the Vulcan Way of Operating, has helped maintain unit costs and drive margin expansion despite weather disruptions.
On Jul. 31, VMC shares closed up marginally after reporting its Q2 results. Its adjusted EPS of $2.45 missed Wall Street expectations of $2.55. The company’s revenue was $2.1 billion, falling short of Wall Street forecasts of $2.2 billion.
For the current fiscal year, ending in December, analysts expect VMC’s EPS to grow 12% to $8.43 on a diluted basis. The company’s earnings surprise history is mixed. It beat the consensus estimate in two of the last four quarters while missing the forecast on two other occasions.
Among the 22 analysts covering VMC stock, the consensus is a “Strong Buy.” That’s based on 16 “Strong Buy” ratings, one “Moderate Buy,” and five “Holds.”
The configuration has been consistent over the past three months.
On Aug. 1, Adrian Huerta from JPMorgan Chase & Co. (JPM) maintained a “Buy” rating on VMC with a price target of $285.
