Earnings call transcript: Vestis Corp Q2 2026 sees stock rise despite earnings miss
Vestis Corporation reported mixed Q2 2026 results, missing EPS and revenue forecasts but seeing a significant stock surge due to positive investor sentiment stemming from operational improvements and strategic initiatives. The company achieved its first year-over-year adjusted EBITDA growth in over two years, improved net income from a loss to a profit, and raised its full-year guidance for adjusted EBITDA and free cash flow. Executives emphasized a focus on operational excellence, strategic pricing, and product mix optimization to drive long-term value and expected a return to top-line growth in Q4 2026.
Assessing Vestis (VSTS) Valuation After Earnings-Driven Turnaround And Upgraded Guidance
Vestis (VSTS) has garnered significant attention following a strong earnings report, which transformed a previous loss into a profit and exceeded expectations, accompanied by improved adjusted EBITDA, free cash flow, and an upgraded full-year outlook. Despite the stock's sharp rise and trading above its average analyst target, it is still identified as undervalued with a fair value of $14.00, driven by recurring revenue potential in hygiene and safety-focused industries. Investors are encouraged to review the key rewards and a warning sign related to customer attrition and revenue concentration.
Vestis Q1 2026 Earnings: Revenue Flat at $659.4M, EBITDA Surpasses Analyst Forecasts - News and Statistics
Vestis Corporation reported Q1 2026 results with revenue flat at $659.4 million, meeting analyst expectations, but adjusted EBITDA of $74.55 million exceeded forecasts. The company's operating margin improved, driven by a business transformation plan focused on cost controls, plant productivity, and high-value customers. Vestis raised its full-year EBITDA guidance to $310 million at the midpoint, anticipating continued benefits from its transformation initiatives and a return to growth by Q4 2026.
Is Vestis Corporation (VSTS) Turning the Corner After Q1 2026
Vestis Corporation (VSTS) reported a mixed Q1 2026, with revenue declining 3% but profits improving due to strong cost management, leading to a raised full-year EBITDA outlook. The company's strategic transformation, focusing on operational efficiencies and asset optimization, is beginning to show results, despite analyst caution and a "Hold" consensus rating. Investors are watching for sustained execution, a return to top-line growth, and continued debt reduction to validate the long-term success of the turnaround.
Can Vestis (VSTS) Margin Gains Offset Flat Sales In Its Transformation Narrative?
Vestis (VSTS) reported Q2 fiscal 2026 sales of US$659.44 million, moving from a net loss to a US$2.6 million net income, and US$0.02 basic EPS, despite flat to slightly declining revenue. The company lifted its full-year guidance for adjusted EBITDA to US$295-325 million and free cash flow to US$120-150 million, driven by operational improvements. This positive margin and cash flow outlook supports the investment case, though customer attrition and pricing pressures remain key risks to revenue stabilization.
VSTS Maintained by Barclays -- Price Target Raised to $9.00
Barclays has maintained an "Underweight" rating on Vestis Corp (VSTS) but raised its price target by 50% from $6.00 to $9.00. The stock, currently trading at $12.27, has a low GF Score™ of 26/100, indicating potential challenges for long-term returns, and a financial strength rating of 4/10. The forward P/E ratio of 29.34 is significantly higher than its historical median, suggesting investors expect substantial future growth, yet the overall outlook remains cautious due to the Underweight rating and financial metrics.
Vestis Corporation (NYSE:VSTS) Just Reported And Analysts Have Been Lifting Their Price Targets
Vestis Corporation (NYSE:VSTS) saw its share price jump 31% after reporting second-quarter results broadly in line with analyst revenue estimates, though EPS forecasts for 2026 were subsequently downgraded. Despite the lowered EPS outlook, analysts increased their price targets by 19% to US$9.30, suggesting long-term value. The company's revenue growth is projected to decline, performing worse than the industry average, yet the price target upgrade indicates a belief in improved intrinsic value over time.
Wall Street Analysts Are Bullish on Top Industrial Goods Picks
Wall Street analysts are showing bullish sentiment towards the Industrial Goods sector, specifically highlighting RB Global (RBA) and Vestis Corporation (VSTS). RB Global received a maintained Buy rating and a strong consensus price target, while Vestis Corporation was upgraded to Buy by a William Blair analyst. Despite the upgrade, Vestis Corporation still holds a Moderate Sell consensus rating overall.
Vestis Analysts Boost Their Forecasts After Upbeat Q2 Earnings
Vestis Corp (NYSE: VSTS) reported stronger-than-expected second-quarter financial results, with earnings of 16 cents per share and sales of $659.400 million, both surpassing analyst estimates. Despite initially dipping 9.1% post-earnings, analysts revised their price targets upward, reflecting confidence in the company's strategic transformation and improved operating leverage. The company raised its full-year fiscal 2026 Adjusted EBITDA and Free Cash Flow guidance.
Vestis (NYSE:VSTS) Stock Forecast & Analyst Predictions
Vestis (NYSE:VSTS) is forecast to significantly grow earnings by 103% per annum, with EPS growing by 102.4% per annum, despite slower revenue growth of 1% per annum. Recent analyst updates show lifted price targets and an improved outlook, driven by strong Q2 2026 profit gains and a raised full-year adjusted EBITDA guidance. However, the company still faces challenges including flat to declining revenue projections and concerns about debt, customer attrition, and maintaining profit margins.
Analysts Offer Insights on Industrial Goods Companies: Enviri (NVRI) and Vestis Corporation (VSTS)
Lake Street analyst Robert Brown maintained a Buy rating on Enviri (NVRI) with a price target of $25.00, citing a Moderate Buy consensus among analysts. Conversely, William Blair analyst Tim Mulrooney upheld a Hold rating on Vestis Corporation (VSTS), which carries a Moderate Sell consensus and implies a significant downside from current levels. The article details analyst ratings and price targets for these industrial goods companies.
Vestis (NYSE:VSTS) Given New $11.00 Price Target at Stifel Nicolaus
Stifel Nicolaus has raised its price target for Vestis (NYSE:VSTS) from $8.50 to $11.00, while maintaining a "hold" rating, though this new target still suggests a slight downside from its current share price. Despite some mixed analyst sentiment including an upgrade by William Blair, the consensus rating for Vestis remains "Reduce." The company recently surpassed quarterly earnings expectations, reporting an EPS of $0.16 and revenue of $659.4 million, even as year-over-year revenue saw a slight dip and profitability remained negative.
Goldman Sachs reiterates Vestis stock Sell rating on revenue concerns
Goldman Sachs has reiterated a "Sell" rating and a $7.50 price target for Vestis Corp (NYSE:VSTS) despite the company exceeding Q2 2026 margins and earnings per share forecasts and raising its full-year guidance. The revenue, however, underperformed expectations, and Goldman Sachs points to concerns about Vestis's revenue trajectory, its lagging performance compared to competitors like Cintas, and historical underinvestment in services and infrastructure. This comes amidst a significant surge in Vestis's stock price, trading well above Goldman's target, while William Blair recently upgraded the stock to Outperform.
Vestis Corp Quarterly Earnings Report [10-Q]
Vestis Corp (VSTS) reported its quarterly earnings, filing its 10-Q report. The company saw a net income of $2.6 million for the three months ended April 3, 2026, a significant improvement from a net loss of $27.8 million in the prior year. This improvement was largely driven by reduced operating expenses, including substantial decreases in selling, general, and administrative expenses due to headcount reductions and other cost-saving measures implemented under a new multi-year business transformation and restructuring plan.
Earnings Flash (VSTS) Vestis Corporation Posts Q2 Adjusted EPS $0.16 per Share, Vs. FactSet Est of $0.08
Vestis Corporation (VSTS) reported adjusted earnings per share of $0.16 for its second quarter, significantly surpassing the FactSet estimate of $0.08 per share. This performance indicates a stronger financial outcome than anticipated by analysts.
Earnings Call Summary | Vestis(VSTS.US) Q2 2026 Earnings Conference
This document is an earnings call summary for Vestis (VSTS.US) Q2 2026. No further details are available in the provided content beyond the title.
Vestis raises FY 2026 outlook to $295M-$325M adjusted EBITDA and $120M-$150M free cash flow
Vestis has updated its financial outlook for fiscal year 2026, projecting adjusted EBITDA to be between $295 million and $325 million. The company also raised its free cash flow expectations to a range of $120 million to $150 million. This revised guidance indicates an anticipated improvement in the company's financial performance.
Vestis Corp stock hits 52-week high at $11.88
Vestis Corp (VSTS) stock reached a new 52-week high of $11.88, currently trading at $11.74 with a market cap of $1.23 billion, reflecting significant investor confidence with a 72.54% return over six months and a 44.86% increase over the past year. Despite missing Q2 2026 earnings and revenue estimates, the company raised its full-year guidance, which has positively influenced market sentiment regarding its future prospects. InvestingPro analysis indicates the stock is currently overvalued.
Why Vestis (VSTS) Stock Is Trading Up Today
Shares of Vestis Corporation (VSTS) jumped over 30% after the company reported strong first-quarter 2026 results, exceeding Wall Street expectations. The uniform rental provider posted revenue of $659.4 million and a GAAP profit of $0.02 per share, with adjusted EBITDA significantly surpassing estimates. Vestis also provided an optimistic full-year EBITDA guidance, contributing to the positive investor sentiment.
Vestis Corporation 2026 Q2 - Results - Earnings Call Presentation (NYSE:VSTS) 2026-05-12
Vestis Corporation (NYSE:VSTS) has released its Q2 2026 earnings call presentation. The company reported an EPS of $0.16, beating estimates by $0.08, and revenue of $659.44M, a 0.87% year-over-year decrease but still beating estimates by $3.45M. This presentation accompanies their earnings call from May 12, 2026.
Vestis: Fiscal Q2 Earnings Snapshot
Vestis Corp. (VSTS) reported fiscal second-quarter earnings of $2.6 million, or 2 cents per share, which adjusted to 16 cents per share. The company, a provider of uniforms and workplace supplies, also announced revenues of $659.4 million, surpassing analysts' expectations of $655.7 million. This financial update highlights Vestis's performance against Wall Street forecasts.
Vestis (NYSE: VSTS) lifts 2026 EBITDA and cash flow outlook on Q2 margin gains
Vestis (NYSE: VSTS) reported its fiscal Q2 2026 results, showing improved profitability and cash generation, leading the company to raise its full-year 2026 Adjusted EBITDA and Free Cash Flow outlooks. Despite a slight revenue decline of 0.9% to $659.4 million, net income reached $2.6 million, a significant improvement from a $27.8 million net loss a year ago, driven by cost-per-pound improvements from its transformation plan. The company also strengthened its balance sheet, repaying $34 million of debt and ending the quarter with $344.5 million of liquidity.
Vestis faces earnings test as transformation plan unfolds
Vestis Corp is set to report its fiscal second-quarter results, with analysts anticipating significant improvements in earnings and revenue as the company's transformation plan takes effect. Despite rising EPS estimates, Wall Street remains skeptical, highlighting uncertainty about the execution of the strategic overhaul. Investors will closely watch for sustained operational gains, revenue stability, and cash generation to determine if the company can regain confidence after a challenging first quarter.
Global Workwear Market Outlook 2026-2036: Growth Led by Carhartt, Aramark (Vestis), and Alsico Across Asia-Pacific & Europe
The global workwear market is projected to grow from $20.1 billion in 2026 to $32.5 billion by 2036, at a CAGR of 4.9%. This growth is driven by tightening occupational safety regulations, an increased focus on injury prevention, fabric and design innovations, and industrialization in emerging markets, especially in Asia-Pacific. Key players like Carhartt, Aramark (Vestis), and Alsico are leading this transformation, with emerging trends including smart workwear and sustainable designs.
What To Expect From Vestis’s (VSTS) Q1 Earnings
Vestis (VSTS) is set to announce its Q1 earnings, with analysts expecting a 1.6% year-on-year revenue decline. The company met revenue expectations last quarter, despite a 3.2% year-on-year decrease. Peers in the industrial & environmental services segment, like CECO Environmental and Tetra Tech, have shown mixed results, but investor sentiment in the sector has been positive.
What To Expect From Vestis’s (VSTS) Q1 Earnings
Vestis (VSTS) is set to announce its Q1 earnings, with analysts expecting a 1.6% year-on-year revenue decline, an improvement from the previous year. The company has missed Wall Street's revenue estimates multiple times in the past two years. Peers in the industrial & environmental services segment, like CECO Environmental and Tetra Tech, have shown varied Q1 results, with CECO beating expectations and Tetra Tech experiencing a revenue decline but still topping estimates.
Vestis faces earnings test as transformation promises meet reality
Vestis Corp. is set to report its fiscal second-quarter results, crucial for assessing the progress of its six-month-old business transformation. Analysts are watching closely for a significant sequential jump in revenue and EBITDA improvement, with current ratings cautious due to past shortfalls and a mean price target indicating potential downside. The company's ability to demonstrate sustainable growth, operational cost reductions, and positive performance metrics will determine if its stock recovery is justified.
Total debt per share of Vestis Corporation – DUS:6TS
This article provides financial information for Vestis Corporation (DUS:6TS) on TradingView, specifically focusing on its total debt per share. It lists the company's stock exchange as Dusseldorf and indicates that the market is currently closed with no trades. The article is a stub, presenting only the company name, stock symbol, and the specific financial metric of "Total debt per share," without further data or analysis.
Vestis Announces Date for Fiscal Second Quarter 2026 Results Conference Call and Webcast
Vestis (NYSE: VSTS) announced that it will release its fiscal second-quarter 2026 financial results before the market opens on Tuesday, May 12, 2026. A conference call and webcast to discuss the results will follow at 8:30 a.m. ET on the same day. Investors can find details for accessing the webcast and teleconference on the company's investor relations website.
Vestis (VSTS) to Release Earnings on Tuesday
Vestis (NYSE:VSTS) is scheduled to release its Q2 2026 earnings before the market opens on Tuesday, May 5th, with analysts expecting $0.09 EPS and $655.32 million in revenue. The company previously beat EPS estimates in the last quarter but saw a 3% year-over-year revenue decline and negative net margin. Despite a current stock price near $9.68 and a $1.28 billion market cap, analysts maintain a "Strong Sell" rating with an average target price of $5.88.
Vestis Announces Date for Fiscal Second Quarter 2026 Results Conference Call and Webcast
Vestis (NYSE: VSTS) has announced that it will release its fiscal second quarter 2026 results on Tuesday, May 12, 2026, before the market opens. Following the release, a conference call will be held at 8:30 a.m. ET to discuss the financial results and conduct a Q&A session. A webcast will be available on the Investor Relations section of the company's website.
Vestis (VSTS) price target increased by 26.85% to 7.84
The price target for Vestis (VSTS) has been increased by 26.85%, raising it to $7.84. This adjustment reflects a significant positive change in its valuation.
Corvex Management exits CCL, DLTR, raises stakes in VSTS, DIS, ORCL among Q4 moves
The article reports on Corvex Management's Q4 2025 portfolio changes. The firm exited positions in Carnival Corporation (CCL) and Dollar Tree (DLTR) while increasing stakes in Vistra Corp (VSTS), Walt Disney (DIS), and Oracle (ORCL). This indicates a shift in investment strategy by Corvex Management.
Corvex Management exits CCL, DLTR, raises stakes in VSTS, DIS, ORCL among Q4 moves
The article is a placeholder from MSN and does not contain any actual content about Corvex Management's Q4 trades. Therefore, a meaningful summary cannot be provided.
Vestis Corporation (NYSE:VSTS) Receives Consensus Rating of "Strong Sell" from Analysts
Vestis Corporation (NYSE:VSTS) has received a consensus rating of "Strong Sell" from five analysts, with an average 12-month target price of $5.88. The company recently reported Q4 2025 EPS of $0.10, surpassing estimates, but revenue slightly missed expectations and was down 3% year-over-year. Shares opened at $10.20, near their 1-year high, and institutional investors own approximately 97.4% of the stock.
Vestis Corp stock hits 52-week high at $9.83
Vestis Corp (VSTS) has reached a new 52-week high of $9.83, demonstrating a robust performance with a 97% return over the last six months and 42% year-to-date gains. This surge in stock price reflects strong investor confidence despite the company missing analyst expectations in its Q1 2026 earnings report, where EPS and revenue fell significantly short. InvestingPro analysis suggests the stock is currently trading above its Fair Value, indicating it might be overvalued.
Vestis (NYSE:VSTS) Stock Price
This article provides an overview of Vestis (NYSE:VSTS) stock performance, analyst targets, and key financial details. It highlights three distinct analyst narratives concerning the company's future: one optimistic ("Workplace Hygiene And Digital Scaling Will Revitalize Uniform Services" with a $10 fair value), one pessimistic ("Automation And Remote Work Will Erode US Commercial Services Demand" with a $5.6 fair value), and a consensus view ("Digital Modernization And Pricing Reforms Will Strengthen Future Opportunities" with an $8.18 fair value). The company, with a market cap of US$1.3b, provides uniform rentals and workplace supplies and reported a recent stock price of US$9.89.
JPMorgan Chase & Co. Has $736,000 Stock Holdings in Vestis Corporation $VSTS
JPMorgan Chase & Co. significantly reduced its stake in Vestis Corporation (NYSE: VSTS) by 76% in the third quarter, bringing its holdings to $736,000. Despite some other institutional investors increasing their positions, analysts generally maintain a "Strong Sell" rating for Vestis, with an average price target of $5.88. The company recently beat EPS estimates but reported a 3% year-over-year revenue decline and a negative net margin.
Vestis (VSTS) Short Interest & Short Float | Updated Apr 2026 $VSTS
Vestis (VSTS) reported a short interest of 9.85 million shares as of March 31, 2026, representing 8.85% of its public float, a 7.12% decrease from the previous report. The short interest ratio or "days to cover" stands at 6.4, indicating it would take 6.4 days to cover all short positions based on average trading volume. Institutional investors like Group One Trading LLC and Simplex Trading LLC hold short positions in VSTS.
VSTS Financials: Revenue Breakdown, Margins & Competitor Comparison
This article provides a financial overview of Vestis Corp (VSTS), detailing its revenue breakdown, profitability margins, and a comparison with competitors. Vestis Corp primarily generates revenue from Workplace Supplies and Uniforms, with a gross margin of 20.63% and a negative net margin. The analysis also benchmarks VSTS's financial performance against industry leaders like GIII and WWW.
Pacific Point Advisors LLC Grows Stake in Vestis Corporation $VSTS
Pacific Point Advisors LLC significantly increased its stake in Vestis Corporation (NYSE:VSTS) by 603.8% in Q4, acquiring 184,181 additional shares. Despite this, Vestis has a consensus "Strong Sell" rating from analysts with an average price target of $5.88, while the stock currently trades around $7.88. The company reported beating EPS estimates but still faces a negative net margin and a high debt-to-equity ratio.
Vestis Corporation $VSTS Shares Bought by SG Americas Securities LLC
SG Americas Securities LLC significantly increased its stake in Vestis Corporation (NYSE:VSTS) by 1,506.6% in the fourth quarter, now holding 295,000 shares valued at $1.968 million. Despite beating EPS expectations in Q4, Vestis missed revenue estimates and continues to show a negative net margin and P/E ratio. Analyst sentiment remains weak, with a "Strong Sell" consensus and an average price target below the current trading price.
Vestis Corp (VSTS): Vanguard disaggregates holdings, reports 0 shares
The Vanguard Group has filed an amended Schedule 13G/A for Vestis Corp (VSTS), reporting 0 shares and 0% beneficial ownership. This change is due to an internal realignment within Vanguard, where certain subsidiaries or business divisions will now report their holdings separately, in accordance with SEC Release No. 34-39538. This filing represents an administrative change in reporting structure rather than a market transaction by Vanguard.
Vestis Corporation (NYSE:VSTS) Given Consensus Recommendation of "Strong Sell" by Brokerages
Vestis Corporation (NYSE:VSTS) has received a "Strong Sell" consensus rating from five brokerage analysts, with an average 12-month price target of $5.88, below its current trading price of $7.74. Despite reporting better-than-expected EPS of $0.10, the company experienced a 3% year-over-year revenue decline and a negative net margin of -1.75%, indicating profitability challenges. Institutional ownership is high at 97.4%, with some large recent purchases, suggesting significant institutional interest despite analyst pessimism.
Analysts Offer Insights on Industrial Goods Companies: AeroVironment (AVAV) and Vestis Corporation (VSTS)
Goldman Sachs analysts have provided insights on two industrial goods companies: AeroVironment (AVAV) and Vestis Corporation (VSTS). Noah Poponak maintained a Buy rating for AeroVironment with a price target of $388.00, while George Tong maintained a Sell rating for Vestis Corporation with a price target of $6.60. AeroVironment holds a "Strong Buy" consensus, whereas Vestis Corporation has a "Moderate Sell" consensus among analysts.
Assessing Vestis (VSTS) Valuation After Recent Share Price Weakness
Vestis (VSTS) has experienced a significant share price decline recently, making its current valuation an intriguing point of discussion. Despite a 12% monthly drop and a 30% yearly decline, an intrinsic value estimate suggests it could be undervalued by as much as 61%. The key question for investors is whether this discount reflects a genuine opportunity based on anticipated growth in eco-friendly uniform programs or if the market has already factored in its future potential, alongside risks like customer attrition and dependence on large accounts.
VSTS - Vestis Corporation Latest Stock News & Market Updates
This page serves as a comprehensive resource for Vestis Corporation (NYSE: VSTS) stock news, offering investors and traders financial performance updates, leadership changes, and strategic initiatives. Topics covered include quarterly results, the company's multi-year transformation plan, governance developments, and industry recognition. The page also provides key financial data and rankings for VSTS.
Assessing Vestis (VSTS) Valuation After Recent Share Price Weakness
Vestis (VSTS) has experienced a significant decline in its share price over the past month and year, yet a popular narrative suggests it is 24.1% undervalued with a fair value of $10.00. This valuation hinges on the company's ability to capitalize on eco-friendly uniform programs and strengthen client retention. Investors are encouraged to weigh the risks, such as customer attrition and dependence on large accounts, against potential rewards to form their own investment decisions.
Townsquare Media, Vestis, and Ashland: 3 Under-the-Radar Stocks to Watch
This article highlights three under-the-radar stocks—Townsquare Media (TSQ), Vestis (VSTS), and Ashland (ASH)—that are showing signs of operational improvement after periods of weakness. Townsquare Media is making a successful pivot to digital, Vestis is improving its free cash flow and operational execution, and Ashland is stabilizing cash generation with strong pricing power in specialty chemicals. The author suggests these companies offer compelling investment opportunities despite ongoing challenges.
Is Vestis (VSTS) Now An Opportunity After Recent Share Price Volatility?
Vestis (VSTS) stock has experienced recent volatility but appears undervalued based on two metrics. A Discounted Cash Flow (DCF) analysis suggests it is 61.5% undervalued with an intrinsic value of US$19.47, while its Price-to-Sales (P/S) ratio of 0.36x also indicates undervaluation compared to its industry. The article presents Bull and Bear case narratives for Vestis, with fair values ranging from US$6.00 to US$10.00, highlighting different perspectives on the company's future.
