
Sales growth, higher fiscal 2026 guidance and the OVO expansion plan support the apparel company's gains, while its forward earnings multiple remains below industry levels.
Vince Holding shares rose 320.3% over the past year, according to the Oct. 13 article, while its forward price-to-earnings multiple remained below the industry average. As of Tuesday afternoon, the shares traded at $10.94, down 2.15% since the previous close.
The stock’s forward 12-month P/E was 8.8 times, compared with 15.09 times for its industry and 14.89 times for its sector. Vince traded below Ralph Lauren and G-III Apparel, but above PVH, whose forward multiples were 18.8, 11.42 and 6.58 times, respectively.
In the second quarter of fiscal 2026, Vince sales rose 11.7% to $81.8 million. Direct-to-consumer revenue increased 13.7%, while wholesale sales grew 10.4%. Adjusted EBITDA rose to $18 million from $6.7 million a year earlier, though the latest result included a $10.4 million benefit from tariff refunds.
The company’s acquisition of October’s Very Own, or OVO, is part of its multi-brand platform strategy. Management sees the potential for OVO revenue to exceed $100 million by fiscal 2030 and expects the acquisition to become earnings-accretive in fiscal 2027.
Vince raised its fiscal 2026 sales growth outlook to 8-10%, from 7-8%. It now expects adjusted operating margins of 7.5-8% and adjusted EBITDA margins of 9-9.5%, up from its previous forecasts of 4-4.5% and 5.5-6%, respectively.
This article was produced with the help of AI technology. Source: Yahoo Finance