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Vestis Corporation Amends Credit Agreement for Flexibility

Story Highlights
  • Vestis Corporation amended its Credit Agreement to increase financial flexibility.
  • Vestis reported a second-quarter 2025 revenue of $665 million and a leadership transition.
  • Looking for the best stocks to buy? Follow the recommendations of top-performing analysts.

Vestis Corporation ( (VSTS) ) has shared an announcement.

On May 1, 2025, Vestis Corporation amended its Credit Agreement to increase financial flexibility by adjusting the net leverage covenant ratio and restricting dividends and share repurchases until fiscal 2027 or until certain financial conditions are met. The company reported a second-quarter 2025 revenue of $665 million, with an operating loss of $9 million and a net loss of $28 million, while also announcing a leadership transition with Jim Barber appointed as the new CEO effective June 2, 2025.

Spark’s Take on VSTS Stock

According to Spark, TipRanks’ AI Analyst, VSTS is a Neutral.

Vestis Corporation’s stock score reflects a stable operational performance with strong cash flow management but is hindered by inconsistent revenue growth and increased financial leverage. Technical analysis indicates bearish momentum, while high valuation multiples suggest potential overvaluation. Despite positive prospects from earnings call initiatives, revenue and margin pressures remain.

To see Spark’s full report on VSTS stock, click here.

More about Vestis Corporation

Vestis Corporation is a leader in the B2B uniform and workplace supplies category, providing services and supplies to a broad range of North American customers.

Average Trading Volume: 2,171,669

Technical Sentiment Signal: Sell

Current Market Cap: $1.18B

See more insights into VSTS stock on TipRanks’ Stock Analysis page.

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