NasdaqGS:VRA

Stock Analysis Report

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Executive Summary

Vera Bradley, Inc., together with its subsidiaries, designs, manufactures, and sells women’s handbags, luggage and travel items, fashion and home accessories, and gifts.


Snowflake Analysis

Reasonable growth potential with mediocre balance sheet.


Similar Companies

Share Price & News

How has Vera Bradley's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: VRA's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

-2.6%

VRA

3.2%

US Luxury

2.6%

US Market


1 Year Return

-63.7%

VRA

7.5%

US Luxury

15.4%

US Market

Return vs Industry: VRA underperformed the US Luxury industry which returned 7.5% over the past year.

Return vs Market: VRA underperformed the US Market which returned 15.4% over the past year.


Shareholder returns

VRAIndustryMarket
7 Day-2.6%3.2%2.6%
30 Day3.6%5.3%6.1%
90 Day-14.3%15.2%16.6%
1 Year-63.7%-63.7%8.8%7.5%17.8%15.4%
3 Year-57.4%-57.4%47.1%40.2%43.9%34.7%
5 Year-61.4%-61.4%33.6%24.8%76.2%57.3%

Price Volatility Vs. Market

How volatile is Vera Bradley's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Vera Bradley undervalued compared to its fair value and its price relative to the market?

8.3%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: VRA ($4.27) is trading below our estimate of fair value ($4.66)

Significantly Below Fair Value: VRA is trading below fair value, but not by a significant amount.


Price To Earnings Ratio

PE vs Industry: VRA is unprofitable, so we can't compare its PE Ratio to the US Luxury industry average.

PE vs Market: VRA is unprofitable, so we can't compare its PE Ratio to the US market.


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate VRA's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: VRA is good value based on its PB Ratio (0.5x) compared to the US Luxury industry average (1.1x).


Next Steps

Future Growth

How is Vera Bradley forecast to perform in the next 1 to 3 years based on estimates from 5 analysts?

163.5%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: VRA is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (2.2%).

Earnings vs Market: VRA is forecast to become profitable over the next 3 years, which is considered above average market growth.

High Growth Earnings: VRA's is expected to become profitable in the next 3 years.

Revenue vs Market: VRA's revenue (12.7% per year) is forecast to grow faster than the US market (9.4% per year).

High Growth Revenue: VRA's revenue (12.7% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: Insufficient data to determine if VRA's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has Vera Bradley performed over the past 5 years?

-23.5%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: VRA is currently unprofitable.

Growing Profit Margin: VRA is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: VRA is unprofitable, and losses have increased over the past 5 years at a rate of 23.5% per year.

Accelerating Growth: Unable to compare VRA's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: VRA is unprofitable, making it difficult to compare its past year earnings growth to the Luxury industry (-41.2%).


Return on Equity

High ROE: VRA has a negative Return on Equity (0.67%), as it is currently unprofitable.


Next Steps

Financial Health

How is Vera Bradley's financial position?


Financial Position Analysis

Short Term Liabilities: VRA's short term assets ($261.7M) exceed its short term liabilities ($69.2M).

Long Term Liabilities: VRA's short term assets ($261.7M) exceed its long term liabilities ($167.8M).


Debt to Equity History and Analysis

Debt Level: VRA's debt to equity ratio (19.1%) is considered satisfactory.

Reducing Debt: Insufficient data to determine if VRA's debt to equity ratio has reduced over the past 5 years.

Debt Coverage: VRA's debt is not well covered by operating cash flow (1.8%).

Interest Coverage: VRA is unprofitable, therefore interest payments are not well covered by earnings.


Balance Sheet


Next Steps

Dividend

What is Vera Bradley current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

Notable Dividend: Unable to evaluate VRA's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate VRA's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if VRA's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if VRA's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of VRA's dividend in 3 years as they are not forecast to pay a notable one for the US market.


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

3.0yrs

Average management tenure


CEO

Robert Wallstrom (54 yo)

6.75yrs

Tenure

US$2,691,300

Compensation

Mr. Robert T. Wallstrom has been the Chief Executive Officer and President of Vera Bradley, Inc. since November 11, 2013. Mr. Wallstrom served as the President of Saks Fifth Avenue Off 5Th at Saks Inc. fro ...


CEO Compensation Analysis

Compensation vs Market: Robert's total compensation ($USD2.69M) is above average for companies of similar size in the US market ($USD606.98K).

Compensation vs Earnings: Robert's compensation has increased whilst the company is unprofitable.


Leadership Team

NamePositionTenureCompensationOwnership
Robert Wallstrom
CEO, President & Director6.75yrsUS$2.69m1.39%
$ 2.0m
Patricia Miller
Co-Founder38.58yrsUS$118.01k16.23%
$ 23.2m
John Enwright
Executive VP & CFO3.42yrsUS$845.61k0.32%
$ 449.7k
Mark Dely
Chief Administrative & Legal Officer and Corporate Secretary2.92yrsUS$780.75k0.12%
$ 171.5k
Beatrice Cabe
Chief Creative Officer2.92yrsUS$847.53k0.31%
$ 445.0k
Daren Hull
Chief Customer Officer2.08yrsUS$1.07m0.10%
$ 145.2k
Pamela Sours
Senior Vice President of Operations6.5yrsno datano data
Julia Bentley
Vice President of Investor Relations & Communications6.58yrsno datano data
Stephanie Scheele
Chief Marketing Officer3yrsno data0.15%
$ 219.7k
Mary Trypus
Chief Sales Officer2.42yrsUS$506.99k0.21%
$ 293.2k
Kevin Korney
Chief Merchandising Officer2.58yrsUS$777.33k0.18%
$ 259.2k

3.0yrs

Average Tenure

48.5yo

Average Age

Experienced Management: VRA's management team is considered experienced (3 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Robert Wallstrom
CEO, President & Director6.75yrsUS$2.69m1.39%
$ 2.0m
Mary Kelley
Independent Director4.67yrsUS$143.51k0.064%
$ 91.6k
Kristina Cashman
Independent Director0.17yrno datano data
John Kyees
Lead Independent Director9.58yrsUS$157.01k0.24%
$ 346.8k
Barbara Baekgaard
Co-Founder & Director38.58yrsUS$876.26k8.49%
$ 12.1m
Edward Schmults
Independent Director9.92yrsUS$148.91k0.092%
$ 131.0k
Robert Hall
Chairman9.92yrsUS$161.51k1.8%
$ 2.6m
P. Miller
Director30.58yrsUS$134.51k0.34%
$ 480.3k
Frances Philip
Independent Director9.25yrsUS$148.68k0.11%
$ 155.4k
Carrie Tharp
Independent Director0.17yrno datano data

9.4yrs

Average Tenure

60.5yo

Average Age

Experienced Board: VRA's board of directors are considered experienced (9.4 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Vera Bradley, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Vera Bradley, Inc.
  • Ticker: VRA
  • Exchange: NasdaqGS
  • Founded: 1982
  • Industry: Apparel, Accessories and Luxury Goods
  • Sector: Consumer Durables
  • Market Cap: US$142.618m
  • Shares outstanding: 33.40m
  • Website: https://www.verabradley.com

Number of Employees


Location

  • Vera Bradley, Inc.
  • 12420 Stonebridge Road
  • Roanoke
  • Indiana
  • 46783
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
VRANasdaqGS (Nasdaq Global Select)YesCommon StockUSUSDOct 2010
ELIDB (Deutsche Boerse AG)YesCommon StockDEEUROct 2010

Biography

Vera Bradley, Inc., together with its subsidiaries, designs, manufactures, and sells women’s handbags, luggage and travel items, fashion and home accessories, and gifts. It operates through three segments: ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/08/07 00:06
End of Day Share Price2020/08/06 00:00
Earnings2020/05/02
Annual Earnings2020/02/01


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.