Vestis Corporation (NYSE:VSTS) Stock Now Rated “Reduce” by Wall Street Analysts

Shares of Vestis Corporation (NYSE:VSTS) have been given an average recommendation of “Reduce” by the eight ratings firms that are presently covering the firm, MarketBeat reports. Four investment analysts have rated the stock with a sell rating, three have issued a hold rating and one has issued a buy rating on the company. The average twelve-month price target among brokers that have covered the stock in the last year is $12.66.

Several research analysts have commented on the stock. Barclays raised their target price on shares of Vestis from $9.00 to $11.00 and gave the stock an “underweight” rating in a report on Wednesday, August 12th. Robert W. Baird boosted their price target on shares of Vestis from $15.00 to $16.00 and gave the company a “neutral” rating in a report on Wednesday, August 12th. Zacks Research lowered shares of Vestis from a “strong-buy” rating to a “hold” rating in a report on Monday, August 10th. Stifel Nicolaus upped their price target on shares of Vestis from $11.00 to $14.00 and gave the company a “hold” rating in a research report on Wednesday, August 12th. Finally, The Goldman Sachs Group raised their price objective on shares of Vestis from $8.20 to $9.30 and gave the stock a “sell” rating in a research note on Tuesday, August 11th.

Vestis Trading Up 2.6%

NYSE:VSTS opened at $14.23 on Tuesday. The company has a quick ratio of 1.75, a current ratio of 2.17 and a debt-to-equity ratio of 1.38. Vestis has a 1-year low of $4.80 and a 1-year high of $16.90. The firm has a market capitalization of $1.88 billion, a price-to-earnings ratio of 29.53 and a beta of 0.90. The stock has a fifty day simple moving average of $13.46 and a 200 day simple moving average of $12.74.

Vestis (NYSE:VSTS) last issued its quarterly earnings results on Tuesday, August 11th. The company reported $0.18 earnings per share for the quarter, topping analysts’ consensus estimates of $0.10 by $0.08. The firm had revenue of $661.66 million for the quarter, compared to analysts’ expectations of $668.94 million. Vestis had a positive return on equity of 7.27% and a negative net margin of 0.20%. Sell-side analysts forecast that Vestis will post 0.62 earnings per share for the current year.

Insiders Place Their Bets

In other news, CEO James Barber bought 84,500 shares of the business’s stock in a transaction on Wednesday, September 2nd. The shares were bought at an average cost of $12.37 per share, with a total value of $1,045,265.00. Following the purchase, the chief executive officer directly owned 867,222 shares in the company, valued at $10,727,536.14. This trade represents a 10.80% increase in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which can be accessed through the SEC website. Insiders own 15.70% of the company’s stock.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently modified their holdings of the business. Philadelphia Investment Partners LLC purchased a new stake in Vestis in the 2nd quarter worth about $47,000. Public Employees Retirement System of Ohio purchased a new position in Vestis during the 2nd quarter valued at about $145,000. R Squared Ltd purchased a new position in Vestis during the 1st quarter valued at about $88,000. Allen Capital Group LLC purchased a new position in Vestis during the 1st quarter valued at about $94,000. Finally, Caitong International Asset Management Co. Ltd acquired a new position in shares of Vestis in the 4th quarter valued at about $86,000. Hedge funds and other institutional investors own 97.40% of the company’s stock.

About Vestis

Vestis Corporation (NYSE: VSTS) provides uniform and workplace services to businesses and organizations across the United States and Canada. The company supplies, rents, cleans, maintains and delivers workwear and uniforms, helping customers manage employee apparel and related workplace needs.

Its offerings include uniforms and protective workwear, floor mats, towels, linens, restroom supplies, first-aid products and other workplace solutions. Vestis serves customers in a range of industries, including manufacturing, healthcare, hospitality, food service, automotive, education, government and commercial services.

Vestis began operating as an independent publicly traded company in October 2023 following its separation from Aramark.