Vestis has beaten EPS estimates in 3 of the last 4 quarters and an insider recently bought about $1.0M of stock, but weak business quality, shrinking revenue and a price well above the $11.31 analyst target limit the upside.
Thesis pillars
- Below Average Quality No Moat→Stable
- Earnings Beat Recovery→Stable
- Shrinking Revenue Base→Stable
- +2 more pillars — see the Why tab for full reasoning
Pillars as of Nov 1, 2026, based on the 10-K filed Dec 2, 2025
Vestis Corporation (VSTS) Stock Analysis
Breakout setup
Industrials · Rental & Leasing Services
Sell if holding. Engine safety override at $14.68: a dimension score below its floor triggers a hard block regardless of the otherwise-positive setup — overall score 4.1/10. Specifically: High short interest: 12%; Elevated put/call ratio: 5.67; Below-average business quality.
Vestis Corporation provides uniform rentals and workplace supplies — uniforms, mats, towels, linens, restroom and first-aid supplies — to over 300,000 accounts across the U.S. (91% of revenue) and Canada (9%). It generated approximately $2.7 billion in fiscal 2025 revenue, 95%... Read more
Sell if holding. Engine safety override at $14.68: a dimension score below its floor triggers a hard block regardless of the otherwise-positive setup — overall score 4.1/10. Specifically: High short interest: 12%; Elevated put/call ratio: 5.67; Below-average business quality. Chart setup: Golden cross, above all MAs, RSI 55, MACD bullish. Score 4.1/10, moderate confidence.
Passes 6/9 gates (positive momentum, clean insider activity, news events none recent, earnings proximity 16d clear, semi cycle peak clear, materials cycle peak clear). Fails on favorable risk/reward ratio. Suitability: aggressive.
About Vestis Corporation
About Vestis Corporation
Vestis Corporation generated approximately $2.7 billion in revenue for fiscal 2025, with 91% from customers in the United States and 9% from Canada, delivered through a network of more than 325 laundry plants, satellite sites, and distribution centers supporting over 3,300 pick-up and delivery routes. The company employed approximately 18,150 teammates, of whom roughly 10,750 — about 59% — are represented by labor unions.
Vestis earns revenue primarily by renting uniforms, mats, towels, linens, and restroom, first-aid, and safety supplies under multi-year contracts serviced on a recurring, typically weekly basis; rental revenue made up 95% of fiscal 2025 revenue, with the remaining 5% from direct sales of customized uniforms to large regional and national accounts. The customer base is broad — over 300,000 accounts spanning manufacturing, hospitality, retail, food processing, healthcare, and automotive — and the 10-K states the ten largest customers together represented less than 10% of total revenue in fiscal 2025. About 60% of Vestis's uniforms and linens are manufactured at two company-operated plants in Mexico, and the company ranks second among the three major national providers — behind Cintas Corporation and ahead of UniFirst Corporation — by revenue, headcount, and facility count.
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A distinct exposure sits in Vestis's supply chain rather than its customer base: the 10-K discloses that certain raw materials and products are limited to a single supplier, with no assurance an alternative could be found in a timely manner if that supplier were disrupted. That risk compounds with geographic concentration in production — the two Mexican plants that produce roughly 60% of Vestis's uniforms and linens sit in a country the 10-K flags for violence, crime, and instability risk to trucks and personnel, against which the company carries no insurance.
See also: Industrials · Rental & Leasing Services
From Vestis Corporation's most recent 10-K filing, extracted July 6, 2026.
Recent developments
No fresh coverage since Sep 28, 2026
Recent Developments — Vestis Corporation
Latest news
- NEWS Vestis Affirms FY2026 Sales Guidance of $2.680B-$2.735B vs $2.662B Est — benzinga Sep 28, 2026 positive
- NEWS Vestis Announces Appointment Of Russell Tiejema As CFO Effective September 28 — benzinga Sep 28, 2026 neutral
- NEWS 12 Industrials Stocks Moving In Thursday's After-Market Session — benzinga Sep 3, 2026 neutral
- NEWS JP Morgan Maintains Underweight on Vestis, Raises Price Target to $13 — benzinga Aug 13, 2026 negative
- NEWS Barclays Maintains Underweight on Vestis, Raises Price Target to $11 — benzinga Aug 13, 2026 neutral
Latest item Sep 28, 2026 · Generated 2026-11-03T12:09:34Z.
Upcoming dated catalysts
Thesis
Key Metrics
Quality Signals
Options Flow
Concentration Risks(10-K Item 1A)
- HIGHGeographicUnited States revenue91%10-K Item 1: 'Geographically, 91% of our fiscal year 2025 revenue was from sales in the United States, with the remaining 9% from sales in Canada.'
- HIGHSuppliersingle supplier for certain raw materials10-K Item 1A: 'Certain of our raw materials and products are currently and may in the future be limited to a single supplier'
- HIGHGeographicMexico manufacturing (uniforms and linens)60%10-K Item 1: 'Approximately 60% of our uniforms and linens are manufactured in our two manufacturing plants in Mexico.'
Material Events(8-K, last 90d)
- 2026-06-15Item 5.02LOWVestis entered a Second Amended and Restated Offer Letter and Employment Agreement with Interim CFO Adam K. Bowen for continued service in that role; base salary remains $400,000 and target bonus remains 35% of base salary. Not a departure.SEC filing →
Model-generated analysis — not investment advice. Not a registered investment advisor. Past performance does not guarantee future results. How we score · Editorial policy
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Rating Breakdown
3 floor-breakers
Revenue shrinking — -1.8% YoY. Growth thesis broken unless recovery story develops.static
Unprofitable operations — net margin -0.2%. Quality floor flags this regardless of sector context.static
Ranks in the bottom of its industry peers on the composite signal. Better names in the same sector exist.static
Price Targets
Position Sizing
Risk Alerts
Earnings
Verdict History
Frequently Asked Questions
Sell if holding. Engine safety override at $14.68: a dimension score below its floor triggers a hard block regardless of the otherwise-positive setup — overall score 4.1/10. Specifically: High short interest: 12%; Elevated put/call ratio: 5.67; Below-average business quality. Chart setup: Golden cross, above all MAs, RSI 55, MACD bullish. Prior stop was $13.65. Score 4.1/10, moderate confidence.
Analyst target $11.31 reached (−23.0% from $14.68); no take-profit level is published. Prior stop was $13.65. Stop-loss: $13.65.
Concentration risk — Geographic: United States revenue (91.0%); Concentration risk — Supplier: single supplier for certain raw materials; Target reached (-23.0% upside).
Vestis Corporation trades at a P/E of N/A (forward 18.9). TrendMatrix value score: 6.7/10. Verdict: Sell.
13 analysts rate VSTS, with a consensus score of 2.7/5. 7 analysts publish price targets averaging $13.
What does Vestis Corporation do?Vestis Corporation provides uniform rentals and workplace supplies — uniforms, mats, towels, linens, restroom and...
Vestis Corporation provides uniform rentals and workplace supplies — uniforms, mats, towels, linens, restroom and first-aid supplies — to over 300,000 accounts across the U.S. (91% of revenue) and Canada (9%). It generated approximately $2.7 billion in fiscal 2025 revenue, 95% recurring rental, via 325-plus plants and 18,150 employees. Multi-year contracts and route density support its position as the second-largest provider behind Cintas.