The row of wooded hills indicate the Green Mountains the sheaves and cow are symbols of agriculture the wavy lines at the top and bottom represent the sky and water. The central focus of the seal is a pine tree (pine trees at that time were impressive, often standing a hundred feet above surrounding trees).
The picture on a deep blue field is a scene painting. You see a tall pine tree, a cow and sheaves of wheat. The Green Mountains are in the distance. Pine boughs extend around a shield. The name "Vermont" and the state motto "Freedom and Unity" are displayed on a crimson banner. At the top of the shield is a stag's head.