Vera Bradley (NASDAQ:VRA) Lowered to "Hold" Rating by Wall Street Zen

Key Points

• Wall Street Zen downgraded Vera Bradley from “buy” to “hold,” while Weiss Ratings kept a “sell (d-)” view on the stock. Overall, MarketBeat shows a consensus rating of “Reduce”.
• The company’s latest quarterly results beat expectations, with EPS of -$0.09 versus the expected -$0.33 and revenue of $55.7 million versus $49.1 million forecast. Despite the beat, Vera Bradley remains unprofitable, with a negative net margin and return on equity.
• Shares were slightly higher and opened at $3.69, giving the company a market cap of about $104.9 million. The stock has traded between $1.39 and $4.39 over the past year, and insider and institutional ownership remain notable.

Vera Bradley (NASDAQ:VRA - Get Free Report) was downgraded by investment analysts at Wall Street Zen from a "buy" rating to a "hold" rating in a research note issued on Saturday.

Separately, Weiss Ratings reiterated a "sell (d-)" rating on shares of Vera Bradley in a report on Monday, June 15th. Two equities research analysts have rated the stock with a Hold rating and one has assigned a Sell rating to the company's stock. According to MarketBeat.com, Vera Bradley has a consensus rating of "Reduce".

Vera Bradley Stock Up 0.3%

Shares of NASDAQ VRA opened at $3.69 on Friday. The stock has a market capitalization of $104.94 million, a price-to-earnings ratio of -5.35 and a beta of 1.57. The stock's fifty day simple moving average is $3.64 and its 200 day simple moving average is $3.34. Vera Bradley has a 52-week low of $1.39 and a 52-week high of $4.39.

Vera Bradley (NASDAQ:VRA - Get Free Report) last announced its earnings results on Thursday, June 11th. The textile maker reported ($0.09) EPS for the quarter, beating the consensus estimate of ($0.33) by $0.24. The business had revenue of $55.70 million during the quarter, compared to the consensus estimate of $49.12 million. Vera Bradley had a negative return on equity of 6.66% and a negative net margin of 7.02%. As a group, analysts anticipate that Vera Bradley will post -0.28 earnings per share for the current year.

Insider Activity at Vera Bradley

In other Vera Bradley news, Director Andrew Meslow purchased 24,926 shares of the stock in a transaction dated Friday, June 12th. The shares were acquired at an average price of $3.73 per share, for a total transaction of $92,973.98. Following the completion of the acquisition, the director owned 650,000 shares of the company's stock, valued at $2,424,500. This represents a 3.99% increase in their position. The acquisition was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this link. 14.30% of the stock is currently owned by company insiders.

Institutional Investors Weigh In On Vera Bradley

Hedge funds have recently bought and sold shares of the business. Jump Financial LLC bought a new position in Vera Bradley during the second quarter valued at approximately $28,000. Emissary Wealth LLC acquired a new position in shares of Vera Bradley during the 4th quarter worth $51,000. Qube Research & Technologies Ltd acquired a new position in shares of Vera Bradley during the 3rd quarter worth $49,000. Simplex Trading LLC raised its holdings in shares of Vera Bradley by 55.0% during the 4th quarter. Simplex Trading LLC now owns 35,083 shares of the textile maker's stock valued at $85,000 after purchasing an additional 12,442 shares in the last quarter. Finally, Assenagon Asset Management S.A. bought a new position in shares of Vera Bradley during the 2nd quarter valued at $158,000. 59.88% of the stock is owned by hedge funds and other institutional investors.

About Vera Bradley

Vera Bradley, Inc NASDAQ: VRA is a lifestyle and accessories designer specializing in colorful, patterned handbags, luggage, travel accessories and coordinated home décor. Founded in 1982 by Barbara Bradley Baekgaard and Patricia R. Miller, the company first gained recognition for its quilted cotton bags sold at craft shows before expanding into an established fashion brand. Headquartered in Fort Wayne, Indiana, Vera Bradley has built a reputation for distinctive prints and functional design aimed primarily at women's casual and travel needs.

The company's product portfolio includes day bags, weekenders, backpacks, wallets, and organizational cases, as well as an expanding range of travel gear such as rolling luggage and travel pouches.

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