Velan (VLNSF) Moat Score: 3/10 (As of Jul. 01, 2026)


VLNSF Velan Inc VLNSF
59 GF Score
Price $10.92
GF Value $7.32
Valuation Significantly Overvalued
! 5 Warning Signs
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What is Velan Moat Score?

Velan VLNSF 59 Moat Score is 3 as of Jul. 01, 2026. GuruFocus rates VLNSF with a GF Score™ of 59/100 and a GF Value™ of $7.32 (Significantly Overvalued). The stock has 5 warning signs investors should review. Among 3,041 Industrial Products companies, Velan ranks better than 91.81% on this metric.

Velan has the Moat Score of 3, which implies that the company might have No Moat - Very weak/transient advantages.

Velan has No Moat: Velan Inc operates in a competitive industrial sector with limited market share and no significant intellectual property or cost advantages. The company lacks strong brand strength or customer loyalty.

Moat Score is a ranking system developed by GuruFocus to assess a company's ability to sustain a competitive advantage, rated on a scale from 0 to 10. It takes into account key factors such as market leadership, cost advantages, network effects, customer switching costs, and more.

The company's Moat Score is based on these criteria:

1. Market leadership and sustainable market share
2. Network effects and significant customer switching costs
3. Valuable intellectual property and patents
4. Strong brand strength and deep customer loyalty
5. Durable cost advantages (e.g., economies of scale, proprietary technology)
6. Significant regulatory barriers and exclusive licenses
7. Superior distribution network
8. Strong and sustainable pricing power
9. Consistent and impactful innovation and R&D capabilities

Based on the research, GuruFocus believes Velan might have No Moat - Very weak/transient advantages.

Velan  (OTCPK:VLNSF) Moat Score Explanation

The Moat Score ranges from 0 to 10, with 10 as the highest. GuruFocus divided Moat Score into following 8 categories:

Moat Score Moat Level
10Wide Moat - Exceptionally dominant and durable wide moat
8 - 9Wide Moat - Clear and robust wide moat
7Wide Moat - Entry-level wide moat, clearly possessing durable advantages
6Narrow Moat - Strong narrow moat, clearly distinguishable but not wide
5Narrow Moat - Solid narrow moat
4Narrow Moat - Discernible but modest moat
1 - 3No Moat - Very weak/transient advantages
0No Moat - No discernible moat

Velan Moat Score Related Terms

VLNSF vs GEV, ETN, PH: Moat Score Comparison

For the Specialty Industrial Machinery subindustry, Velan's Moat Score, along with its competitors' market caps and Moat Score data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.

Velan Moat Score vs Industrial Products Industry

For the Industrial Products industry and Industrials sector, Velan's Moat Score distribution charts can be found below:

* The bar in red indicates where Velan's Moat Score falls into.


VLNSF
59GF Score
Velan Inc VLNSF
Moat Score is just one metric. See GF Score™, valuation, warning signs, and more.
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Frequently Asked Questions Learn more about Moat Score →
What does a Moat Score of 3 mean?
Velan (VLNSF) has a Moat Score of 3 as of Jul. 01, 2026. Moat Score is a ranking system developed by GuruFocus to assess a company's ability to sustain a competitive advantage, rated on a scale from 0 to 10. It takes into account key factors such as market leadership, cost advantages, network effects, customer switching costs, and more. According to the industry distribution chart, Velan ranks #249 out of 3041 companies in the Industrial Products industry, placing it in the top 8.2%.
Is Velan's Moat Score too high?
Velan's current Moat Score is 3. Based on the distribution chart, Velan ranks #249 out of 3041 companies in the Industrial Products industry, which is in the top quartile — a strong position relative to peers. Overall, Velan has a GF Score™ of 59/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Velan's Moat Score compare to GEV and ETN?
According to the Industrial Products industry distribution chart, Velan ranks #249 out of 3041 companies for Moat Score. This places Velan in the top 8% of its industry — outperforming the majority of peers. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Moat Score for an Industrial Products company?
A good Moat Score depends on the Industrial Products industry context. However, Moat Score should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Moat Score mean?
A high Moat Score can signal that a stock is expensive relative to its fundamentals. Moat Score is a ranking system developed by GuruFocus to assess a company's ability to sustain a competitive advantage, rated on a scale from 0 to 10. It takes into account key factors such as market leadership, cost advantages, network effects, customer switching costs, and more. Velan's current Moat Score is 3. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Velan stock overvalued right now?
Based on GuruFocus' analysis, Velan (VLNSF) is currently considered Significantly Overvalued. The stock's GF Value™ is $7.32, compared to a current price of $10.92 — trading 49.2% above its estimated fair value. The current Moat Score is 3. Velan's overall GF Score™ is 59/100 with 5 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Moat Score calculated?
Moat Score is calculated from a company's financial statements. For Velan (VLNSF), the current Moat Score is 3 as of Jul. 01, 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is Velan (VLNSF) Overvalued in 2026?

Based on GuruFocus' analysis, Velan stock appears to be overvalued. The current stock price of $10.92 is trading 49.2% above its estimated GF Value™ of $7.32. GuruFocus considers Velan to be Significantly Overvalued.

Key valuation signals for VLNSF:

  • Moat Score: 3
  • GF Value™: $7.32 vs. price of $10.92 (49.2% above fair value)
  • GF Score™: 59/100 with 5 warning signs

No single metric tells the full story. See the VLNSF stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.

Velan Business Description

Other Exchanges VLN:Canada
Address 7007 Cote de Liesse Road, Montreal, QC, CAN, H4T 1G2
Velan Inc is an international manufacturer of industrial valves. The company offers products such as Gate valves, check valves, cryogenic, steam traps, and others, which are used in various industries including power generation, oil and gas, refining and petrochemicals, chemical, liquid natural gas (LNG) and cryogenics, mining, shipbuilding, water, and wastewater. It operates in various geographical regions: Canada, the United States, France, Italy, and Other countries.
59GF Score

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$10.92
Price
$7.32
GF Value