Vestis Corp (NYSE:VSTS) on Tuesday reported better-than-expected second-quarter financial results.

Vestis reported quarterly earnings of 16 cents per share which beat the analyst consensus estimate of 8 cents per share. The company reported quarterly sales of $659.400 million which beat the analyst consensus estimate of $655.311 million.

“During the second quarter, Vestis continued to advance its strategic transformation through targeted initiatives aimed at enhancing operating leverage* and profitability,” said Jim Barber, President and CEO. “We realized the early benefits of these actions, with Adjusted EBITDA* increasing year-over-year, supported by the first quarter of improved operating leverage* since becoming a standalone public company. Our focus on service, operating performance, and cost discipline is delivering results, culminating in a return to profitable growth. Given this momentum, we are raising our full‑year fiscal 2026 Adjusted EBITDA* and Free Cash Flow* guidance, and reaffirming our expectations for sequential improvements in Adjusted EBITDA* as we move through the year.”

Vestis shares dipped 9.1% to trade at $10.88 on Wednesday.

These analysts made changes to their price targets on Vestis following earnings announcement.

• Baird analyst Andrew Wittmann maintained the stock with a Neutral and raised the price target from $10 to $14.
• Stifel analyst Shlomo Rosenbaum maintained Vestis with a Hold and raised the price target from $8.5 to $11.

Considering buying VSTS stock? Here’s what analysts think:

Photo via Shutterstock