Added to YB: 2026-04-24
Pitch date: 2026-02-20
VSTS [bullish]
Vestis Corporation
+20.41%
current return
Author Info
No bio for this author
Company Info
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.
Market Cap
$1.3B
Pitch Price
$7.89
Price Target
17.94 (+80%)
Dividend
N/A
EV/EBITDA
10.55
P/E
-27.31
EV/Sales
0.99
Sector
Commercial Services and Supplies
Category
turnaround
Vestis Corporation - $VSTS
VSTS: Uniform rental/workplace supplies co trading 7.7x FY26E EBITDA of $301M after 60% decline from spin. New CEO Jim Barber (ex-UPS COO) stabilizing ops: on-time delivery +300bps, plant productivity +7%, complaints -12%, weekly losses -15%. Announced $75M cost saves. Base case: 2H26 run-rate EBITDA $365M at 8.5x = $13.80 PT (79% upside). Gross margin 10.4% below UNF due to past service failures; 75% incremental margins as turnaround gains traction. Catalysts: 3 CY26 earnings beats, deleveraging from 4.8x, further cost cuts.
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