Vestis (NYSE:VSTS) Reaches New 1-Year Low After Earnings Miss

Vestis Co. (NYSE:VSTS) reached a new 52-week low during mid-day trading on Thursday after the company announced weaker than expected quarterly earnings. The company traded as low as $11.85 and last traded at $12.00, with a volume of 3294384 shares traded. The stock had previously closed at $18.47.

The company reported $0.13 EPS for the quarter, missing analysts’ consensus estimates of $0.22 by ($0.09). The company had revenue of $705.37 million during the quarter, compared to analyst estimates of $722.54 million. Vestis’s revenue was up .9% on a year-over-year basis.

Vestis Announces Dividend

The company also recently disclosed a quarterly dividend, which was paid on Thursday, April 4th. Stockholders of record on Friday, March 15th were issued a dividend of $0.035 per share. This represents a $0.14 dividend on an annualized basis and a dividend yield of 1.49%. The ex-dividend date of this dividend was Thursday, March 14th.

Analyst Ratings Changes

A number of equities research analysts have recently issued reports on the company. The Goldman Sachs Group started coverage on Vestis in a report on Thursday, January 25th. They set a “neutral” rating and a $22.00 price objective for the company. Robert W. Baird dropped their price target on shares of Vestis from $24.00 to $13.00 and set an “outperform” rating for the company in a research report on Friday. Barclays dropped their price target on shares of Vestis from $19.00 to $10.00 and set an “underweight” rating for the company in a research report on Friday. JPMorgan Chase & Co. downgraded shares of Vestis from an “overweight” rating to a “neutral” rating and dropped their price target for the company from $22.00 to $11.00 in a research report on Friday. Finally, Stifel Nicolaus reiterated a “hold” rating on shares of Vestis in a research report on Friday. One investment analyst has rated the stock with a sell rating, three have issued a hold rating and five have issued a buy rating to the company’s stock. According to data from MarketBeat, the company presently has an average rating of “Hold” and an average price target of $19.33.

Insider Transactions at Vestis

In related news, CEO Kim Scott purchased 15,000 shares of the stock in a transaction dated Friday, February 9th. The stock was bought at an average cost of $19.14 per share, for a total transaction of $287,100.00. Following the completion of the acquisition, the chief executive officer now owns 183,131 shares of the company’s stock, valued at $3,505,127.34. The transaction was disclosed in a document filed with the SEC, which can be accessed through this link.

Institutional Trading of Vestis

Institutional investors have recently modified their holdings of the business. Nordea Investment Management AB bought a new stake in Vestis during the fourth quarter valued at $3,909,000. Wolverine Asset Management LLC boosted its position in Vestis by 48.0% during the fourth quarter. Wolverine Asset Management LLC now owns 185,000 shares of the company’s stock valued at $3,911,000 after acquiring an additional 60,000 shares during the last quarter. New York State Teachers Retirement System bought a new stake in Vestis during the fourth quarter valued at $1,697,000. State of New Jersey Common Pension Fund D bought a new stake in Vestis during the fourth quarter valued at $3,160,000. Finally, Yousif Capital Management LLC bought a new stake in Vestis during the fourth quarter valued at $1,400,000. Institutional investors own 97.40% of the company’s stock.

Vestis Trading Down 7.5 %

The company has a current ratio of 2.51, a quick ratio of 2.23 and a debt-to-equity ratio of 1.69. The stock’s 50-day simple moving average is $18.38 and its 200 day simple moving average is $18.67.

About Vestis

Vestis Corporation provides uniform rentals and workplace supplies in the United States and Canada. Its products include uniform options, such as shirts, pants, outerwear, gowns, scrubs, high visibility garments, particulate-free garments, and flame-resistant garments, as well as shoes and accessories; and workplace supplies, including managed restroom supply services, first-aid supplies and safety products, floor mats, towels, and linens.