Morgan Stanley Initiates Coverage on VSE Corporation (VSEC) with Equal Weight Rating

VSE Corporation (NASDAQ:VSEC) is among the 8 Aerospace and Defense Stocks with the Largest 5Y Share Price Returns, with the company’s shares having gained over 350% during the period.

On June 26, Morgan Stanley analyst Kristine Liwag initiated coverage on the stock with an Equal Weight rating and a price target of $245. According to TipRanks, the firm praised the company’s aerospace aftermarket platform as ‘differentiated’ given the promising growth and margin drivers.

Morgan Stanley Initiates Coverage on VSE Corporation (VSEC) with Equal Weight Rating

However, the analyst told investors in a research note that Morgan Stanley believes the stock’s valuation offers a balanced risk/reward at its current trading levels.

The update follows RBC Capital’s reaffirmation of an Outperform rating and $240 price target on VSE Corporation on June 10.

Overall, Wall Street has a bullish outlook on the stock with a Strong Buy rating based on the recommendations from 9 analysts. VSEC has a one-year average share price target of $249, representing an upside potential of 11% from Monday’s close.

In other news, on May 7, the company announced a quarterly cash dividend of 10 cents per share. The payment is scheduled for July 29, 2026, to all stockholders of record as of the close of business on July 15, 2026.

VSE Corporation provides aviation distribution and repair services for the commercial, business, and general aviation aftermarkets.

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