Quality score · VLTO · Industrials

Is Veralto Corporation a quality business?

Veralto Corporation (VLTO) scored on five pillars from its reported financial statements, and ranked against 270 Industrials companies.

7.5/ 10
High quality
as of October 18, 2026
Profitability
9.0 Strong
Solvency
8.1 Strong
Growth
4.6 Average
Efficiency
6.4 Average
Predictability
8.9 Strong
Strongest pillar: Profitability · Weakest: Growth

Veralto Corporation (VLTO) scores 7.5 out of 10 as of , computed from its reported financial statements. That reads as high quality. The reading rests on profitability, and growth is what holds it back.

Data provided by Twelve Data. Scores are computed by Lemma Analysis from reported financials.

Does Veralto Corporation have an economic moat?

Not enough data

We cannot judge Veralto Corporation yet, because fewer than five years had both a return on capital and a cost of capital we could measure. This is not a “no”.

Quantitative signs of a moat, read from the filed statements. This is not a judgement of where it comes from (brand, network effects, switching costs). How Lemma measures a moat →

How Veralto Corporation scores

The Quality Score for VLTO stands at 7.5 out of 10 as of October 18, 2026, which puts Veralto Corporation in the high quality band. Businesses in this band tend to combine good returns with a sound balance sheet, even if one pillar lags the others. It rolls Veralto Corporation’s profitability, solvency, growth, efficiency and predictability into one number, each judged against the norms of its sector.

Set against 270 Industrials companies, Veralto Corporation lands at the 93rd percentile, among the top tenth of the group. For reference, the middle of the group scores 5.6 and a company needs 6.5 to reach its top quarter, which leaves Veralto Corporation well above the median.

Pillar by pillar

Profitability

On profitability, Veralto Corporation scores 9.0, a strong reading. Its peers have a median of 4.9 across 262 Industrials companies, which places it well above them, at the 97th percentile. A reading this strong says the business earns well on what it sells and on the capital it uses, the kind of margin profile competitors find hard to copy.

Solvency

Solvency scores 8.1 out of 10, which reads as strong. The median across 241 Industrials companies is 7.1, so Veralto Corporation is above its peers on this pillar and ranks at the 64th percentile. Strong solvency points to a balance sheet that can carry its debts comfortably, with interest well covered and little pressure from creditors.

Growth

On growth, Veralto Corporation scores 4.6, an average reading. Its peers have a median of 5.4 across 216 Industrials companies, which places it below them, at the 39th percentile. Average growth reflects a business expanding at roughly the pace of its sector, without a clear acceleration or decline.

Efficiency

Efficiency scores 6.4 out of 10, which reads as average. The median across 264 Industrials companies is 6.2, so Veralto Corporation is in line with its peers on this pillar and ranks at the 56th percentile. Middling efficiency is unremarkable on its own, though improvements here tend to show up in free cash flow first.

Predictability

Predictability scores 8.9 out of 10, which reads as strong. None of the other Industrials companies scores higher here, against a median of 5.0 across 267 of them. High predictability means the company’s results have moved steadily from year to year, which makes the other pillars more trustworthy as a guide.

Strongest and weakest pillar

The gap between Veralto Corporation’s best and worst pillar is wide: profitability at 9.0 against growth at 4.6, 4.4 points apart. An average of two readings this different deserves a closer look than the headline number. A profitability lead usually reflects something durable in the business model rather than a good year. Slow growth limits how fast the business can compound, even when everything else is in order.

What would move the score

Closing the gap on growth would do the most for the overall. At the median of Industrials companies, 5.4, Veralto Corporation would score about 7.7 instead of 7.5. The weights add up to 100 points (profitability 25, solvency 20, growth 20, efficiency 15, predictability 20), and Veralto Corporation has a reading on every pillar.

Veralto Corporation and similar companies

For a fair comparison, start with companies of a similar size: the Industrials companies below are nearest to Veralto Corporation by market value, each scored on the same pillars.

What each pillar measures

Profitability

9.0 / 10

How much profit the company generates from its capital and sales.

Solvency

8.1 / 10

The company’s ability to service debt and meet its obligations.

Growth

4.6 / 10

How fast revenue, earnings and cash flow are compounding.

Efficiency

6.4 / 10

How well assets and earnings convert into cash and output.

Predictability

8.9 / 10

How stable and consistent results have been over time.

How this score is calculated

Each metric is scored from 0 to 10 against sector-aware benchmarks, where higher is better. Metrics roll up into five pillars, and the pillars combine into the overall score using the weights shown. Sector-sensitive metrics are judged relative to peers in the same sector.

Limitations

This score is a systematic, backward-looking read of reported fundamentals. It does not judge valuation, management quality, competitive moat, or future prospects, and can be distorted by one-off items or unusual accounting. Treat it as a starting point, not a recommendation.

Educational only. Not investment advice.

FAQ

Is Veralto Corporation a quality business?

On this reading Veralto Corporation scores 7.5 out of 10, which reads as high quality. Its strongest pillar is profitability, its weakest is growth. Quality is not the same as a good investment: the score says nothing about the price you would pay.

How does Veralto Corporation compare with other Industrials companies?

Veralto Corporation ranks at the 93rd percentile of the 270 Industrials companies Lemma publishes a score for. The median there is 5.6 and the top quarter starts at 6.5, against Veralto Corporation’s 7.5.

What does the VLTO quality score measure?

Five pillars, each scored from 0 to 10 against sector-aware benchmarks and then weighted into one overall reading: profitability, solvency, growth, efficiency and predictability. Everything comes from reported financials, and nothing comes from price, sentiment or forecasts.

How current is this score?

This page last changed on October 18, 2026. The score moves with the financial statements, so the page changes when a new filing moves the reading rather than on a schedule. Live figures for VLTO are in the app.

Does a high score mean the stock is cheap?

No. Quality and valuation are separate questions, and a good business at the wrong price is still a bad purchase. Score the business here, then price it with a DCF you control.

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