V.F. (NYSE:VFC) Share Price Breaks Below 200-Day Moving Average - Should You Sell?

Key Points

• V.F. shares fell below their 200-day moving average of $17.01, trading as low as $16.70 with approximately 8.7 million shares changing hands.
• Analysts have a consensus “Hold” rating and an average price target of $18.14, with recent targets ranging from $14 to $18.
• The company’s latest quarterly results missed EPS expectations, while revenue declined 5.2% year over year; however, insiders recently purchased shares and institutional investors own 86.84% of the stock.

V.F. Corporation (NYSE:VFC - Get Free Report)'s stock price passed below its two hundred day moving average during trading on Monday. The stock has a two hundred day moving average of $17.01 and traded as low as $16.70. V.F. shares last traded at $16.9370, with a volume of 8,688,349 shares traded.

Wall Street Analyst Weigh In

Several analysts have recently issued reports on VFC shares. Deutsche Bank Aktiengesellschaft assumed coverage on V.F. in a research note on Thursday, September 17th. They issued a "hold" rating and a $14.00 price objective on the stock. The Goldman Sachs Group cut their target price on V.F. from $18.00 to $16.00 and set a "neutral" rating on the stock in a research report on Thursday, July 30th. Wall Street Zen cut shares of V.F. from a "buy" rating to a "hold" rating in a research note on Sunday, July 12th. JPMorgan Chase & Co. upgraded V.F. from an "underweight" rating to a "neutral" rating and set a $18.00 target price on the stock in a research note on Friday, October 9th. Finally, Evercore set a $16.00 target price on shares of V.F. in a report on Thursday, July 30th. Two investment analysts have rated the stock with a Strong Buy rating, five have given a Buy rating, thirteen have assigned a Hold rating and one has assigned a Sell rating to the stock. Based on data from MarketBeat, the stock currently has a consensus rating of "Hold" and a consensus target price of $18.14.

V.F. Stock Down 1.9%

The stock has a market cap of $6.66 billion, a price-to-earnings ratio of 24.55, a P/E/G ratio of 0.90 and a beta of 1.56. The firm's 50 day moving average is $14.38 and its two-hundred day moving average is $17.01. The company has a current ratio of 1.43, a quick ratio of 0.78 and a debt-to-equity ratio of 1.70.

V.F. (NYSE:VFC - Get Free Report) last issued its quarterly earnings results on Wednesday, July 29th. The textile maker reported ($0.27) EPS for the quarter, missing analysts' consensus estimates of ($0.22) by ($0.05). V.F. had a return on equity of 18.91% and a net margin of 2.88%. The firm had revenue of $1.67 billion for the quarter, compared to analysts' expectations of $1.64 billion. During the same quarter last year, the firm earned ($0.24) earnings per share. The business's quarterly revenue was down 5.2% compared to the same quarter last year. On average, sell-side analysts predict that V.F. Corporation will post 1.10 EPS for the current year.

Insider Activity

In other news, Director Richard Carucci bought 20,000 shares of the business's stock in a transaction that occurred on Thursday, August 13th. The shares were acquired at an average cost of $14.73 per share, with a total value of $294,600.00. Following the transaction, the director owned 356,215 shares of the company's stock, valued at $5,247,046.95. This represents a 5.95% increase in their position. The acquisition was disclosed in a legal filing with the SEC, which is available at the SEC website. Also, insider Bracken Darrell purchased 32,894 shares of the company's stock in a transaction on Friday, July 31st. The shares were purchased at an average price of $14.98 per share, with a total value of $492,752.12. Following the completion of the purchase, the insider directly owned 1,402,109 shares of the company's stock, valued at $21,003,592.82. The trade was a 2.40% increase in their ownership of the stock. The disclosure for this purchase is available in the SEC filing. 1.54% of the stock is owned by insiders.

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently modified their holdings of the stock. Bank of New York Mellon Corp acquired a new position in V.F. during the 2nd quarter worth approximately $42,038,000. Squarepoint Ops LLC raised its holdings in V.F. by 298.1% in the second quarter. Squarepoint Ops LLC now owns 1,782,904 shares of the textile maker's stock valued at $29,739,000 after acquiring an additional 1,335,057 shares in the last quarter. Varenne Capital Partners bought a new stake in shares of V.F. in the 2nd quarter worth about $13,671,000. Assenagon Asset Management S.A. raised its position in shares of V.F. by 242.3% during the 3rd quarter. Assenagon Asset Management S.A. now owns 765,146 shares of the textile maker's stock valued at $10,758,000 after acquiring an additional 541,627 shares in the last quarter. Finally, Compass Wealth Management LLC lifted its position in shares of V.F. by 8.1% in the 3rd quarter. Compass Wealth Management LLC now owns 683,925 shares of the textile maker's stock worth $9,616,000 after buying an additional 51,483 shares during the last quarter. Institutional investors and hedge funds own 86.84% of the company's stock.

V.F. Company Profile

V.F. Corporation, commonly known as VF Corporation, is a global apparel, footwear and accessories company. Its brand portfolio includes The North Face, Vans, Timberland, Dickies, JanSport, Smartwool, Icebreaker, Kipling, Eastpak and Napapijri. These brands serve outdoor, active, workwear, lifestyle and youth-oriented markets.

VF sells products through wholesale partners, company-operated retail stores, brand websites and other digital channels. Its offerings include jackets, outdoor and performance apparel, footwear, backpacks, luggage and workwear.

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