Turnaround Progress and Insider Buying Could Be a Game Changer for V.F (VFC)

• V.F. Corporation recently reported results for the first quarter of 2025, with sales of US$1,760.67 million and a net loss of US$116.41 million, both showing improvement over the prior year.
• Alongside this, the company affirmed its quarterly dividend and outlined revenue guidance for the upcoming quarter, reflecting progress in its turnaround plan as insider stock purchases and operational changes take effect.
• We'll explore how the reduction in net loss and progress in its turnaround could impact V.F. Corporation's long-term investment outlook.

The end of cancer? These 25 emerging AI stocks are developing tech that will allow early identification of life changing diseases like cancer and Alzheimer's.

V.F Investment Narrative Recap

To be a shareholder in V.F. Corporation right now, you need to believe in the company’s ability to complete its turnaround, particularly through margin improvements rather than immediate top-line growth. The recent first-quarter results showed a significant narrowing of net losses, but the decline in sales and soft Q2 revenue guidance mean that ongoing execution on cost savings and brand revitalization remain the most important catalysts, while a slower-than-expected Vans recovery continues to be the biggest risk; the latest news does not materially shift these dynamics.

Among recent announcements, the affirmation of the quarterly dividend at US$0.09 per share stands out because it signals the company’s intent to maintain shareholder returns through the transition. This move is particularly relevant in the context of short-term catalysts, since continued dividend payments reinforce management’s confidence in the company's cash flow and progress on cost control, despite ongoing turnaround risks.

In contrast, short-term sales fluctuations continue to represent a risk investors should be aware of, especially if momentum in the Vans turnaround...

Read the full narrative on V.F (it's free!)

V.F's narrative projects $10.1 billion in revenue and $655.9 million in earnings by 2028. This requires 2.2% yearly revenue growth and an earnings increase of $586.6 million from current earnings of $69.3 million.

Uncover how V.F's forecasts yield a $14.90 fair value, a 18% upside to its current price.

Exploring Other Perspectives

Simply Wall St Community members have published six unique fair value estimates for V.F. Corporation, ranging from US$14.90 to US$27.06 per share. Execution risk around the restructuring, especially for the Vans brand, remains a key factor that could impact whether the company meets or misses those expectations, encouraging readers to consider several informed viewpoints before making a call.

Explore 6 other fair value estimates on V.F - why the stock might be worth just $14.90!

Build Your Own V.F Narrative

Disagree with existing narratives? Create your own in under 3 minutes - extraordinary investment returns rarely come from following the herd.

• A great starting point for your V.F research is our analysis highlighting 3 key rewards and 3 important warning signs that could impact your investment decision.
• Our free V.F research report provides a comprehensive fundamental analysis summarized in a single visual - the Snowflake - making it easy to evaluate V.F's overall financial health at a glance.

Want Some Alternatives?

Every day counts. These free picks are already gaining attention. See them before the crowd does:

• This technology could replace computers: discover 26 stocks that are working to make quantum computing a reality.
• Find companies with promising cash flow potential yet trading below their fair value.
• AI is about to change healthcare. These 26 stocks are working on everything from early diagnostics to drug discovery. The best part - they are all under $10b in market cap - there's still time to get in early.

This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team@simplywallst.com