Vestis (NYSE:VSTS) Stock Price Down 6.7% - What's Next?

Key Points

• Vestis shares fell by 6.7% on Monday, trading at $4.26, significantly lower than its previous close of $4.56, with a trading volume decrease of 65% compared to its average.
• Analysts have mixed views on Vestis, with JPMorgan Chase reducing its price target from $6.00 to $5.50, while others have upgraded the stock to a "hold" rating, averaging a target price of $9.13.
• Institutional investors hold a substantial majority of Vestis stock, with 97.40% ownership from hedge funds and investment firms, indicating strong institutional interest in the company.

Vestis Corporation (NYSE:VSTS - Get Free Report) was down 6.7% on Monday . The company traded as low as $4.22 and last traded at $4.26. Approximately 810,464 shares were traded during mid-day trading, a decline of 65% from the average daily volume of 2,310,377 shares. The stock had previously closed at $4.56.

Wall Street Analysts Forecast Growth

A number of equities analysts have recently weighed in on VSTS shares. JPMorgan Chase & Co. dropped their price objective on Vestis from $6.00 to $5.50 and set an "underweight" rating for the company in a research note on Thursday, August 7th. Wall Street Zen raised Vestis from a "sell" rating to a "hold" rating in a research note on Saturday, August 9th. Two investment analysts have rated the stock with a Hold rating and two have issued a Sell rating to the company. According to data from MarketBeat.com, the stock presently has an average rating of "Reduce" and a consensus price target of $9.13.

Vestis Stock Performance

The business has a 50 day moving average of $5.28 and a 200 day moving average of $7.03. The company has a market capitalization of $555.05 million, a P/E ratio of -18.30 and a beta of 0.97. The company has a quick ratio of 1.42, a current ratio of 1.84 and a debt-to-equity ratio of 1.45.

Vestis (NYSE:VSTS - Get Free Report) last announced its quarterly earnings results on Tuesday, August 5th. The company reported $0.05 EPS for the quarter, meeting analysts' consensus estimates of $0.05. Vestis had a positive return on equity of 3.76% and a negative net margin of 1.11%.The company had revenue of $673.80 million during the quarter, compared to analyst estimates of $673.65 million. During the same period in the prior year, the company earned $0.16 earnings per share. The firm's revenue was down 3.5% on a year-over-year basis. On average, sell-side analysts predict that Vestis Corporation will post 0.7 earnings per share for the current year.

Hedge Funds Weigh In On Vestis

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in the company. Osaic Holdings Inc. boosted its stake in Vestis by 703.2% during the second quarter. Osaic Holdings Inc. now owns 5,743 shares of the company's stock valued at $33,000 after buying an additional 5,028 shares during the last quarter. Orion Porfolio Solutions LLC purchased a new stake in Vestis during the second quarter valued at approximately $183,000. Public Sector Pension Investment Board raised its position in Vestis by 7.4% during the second quarter. Public Sector Pension Investment Board now owns 390,313 shares of the company's stock valued at $2,236,000 after purchasing an additional 26,829 shares during the period. Tower Research Capital LLC TRC raised its position in Vestis by 922.2% during the second quarter. Tower Research Capital LLC TRC now owns 15,027 shares of the company's stock valued at $86,000 after purchasing an additional 13,557 shares during the period. Finally, Captrust Financial Advisors raised its position in Vestis by 15.6% during the second quarter. Captrust Financial Advisors now owns 20,599 shares of the company's stock valued at $118,000 after purchasing an additional 2,787 shares during the period. 97.40% of the stock is owned by institutional investors.

Vestis Company Profile

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.