Vestis Corporation (VSTS)

Bank of America Corp DE reduced its stake in Vestis Corporation (NYSE:VSTS) by 9.0% in Q1 2026, selling 133,509 shares. Despite this, other institutional investors like Corvex Management LP and Vanguard Group Inc. increased their holdings. Analysts have mixed ratings on Vestis, with a consensus "Reduce" and a target price of $12.66, while the company recently beat earnings estimates.

Vestis (VSTS) stock saw a 2.3% jump after reporting mixed fiscal third-quarter results. While revenue of $661.7 million missed analyst estimates, the company's profit of $0.08 per share significantly beat forecasts, and adjusted EBITDA also surpassed expectations. Investors, however, initially focused on the revenue miss before the shares stabilized, indicating the market views the news as meaningful but not fundamentally altering its perception of the business.

Vestis (VSTS) has received an upgrade to a Zacks Rank #2 (Buy) due to an upward trend in its earnings estimates. This upgrade suggests a positive outlook for the company's earnings, which could lead to increased buying pressure and a rise in its stock price. The Zacks ranking system, which correlates earnings estimate revisions with near-term stock price movements, indicates that Vestis is now positioned within the top 20% of Zacks-covered stocks.

JP Morgan has maintained an 'Underweight' rating on Vestis Corp (VSTS) but increased its price target from $11.00 to $13.00. Despite the raised target, the stock is considered overvalued by 21.6% according to its GF Value™ of $11.57 compared to its current price of $14.07. The company's GF Score™ of 45/100 reflects moderate investment quality with strengths in profitability and financial strength, but weaknesses in growth and momentum, leading to a cautious outlook for investors.

JPMorgan Chase & Co. has raised its price target for Vestis (NYSE:VSTS) to $13.00 from $11.00, though it maintains an "underweight" rating on the stock, suggesting a potential downside. Despite the firm's cautious outlook, Vestis recently surpassed its quarterly EPS estimates, reporting $0.18 against an expected $0.10, although revenue of $661.66 million was below analyst projections. Institutional investors hold a significant 97.4% stake in the company.