Why Vans and The North Face Owner VF's Stock Is Plunging Monday

Core Insights - VF Corporation's shares declined after being placed on JPMorgan's "Negative Catalyst Watch" list, indicating concerns about the company's financial outlook [1][2] - JPMorgan analysts reduced their fiscal 2025 earnings per share (EPS) estimate for VF Corporation to 65 cents, which is 35% lower than the Wall Street consensus [1] - The analysts cited an 8% year-over-year revenue decline, which is also worse than consensus forecasts [1] Group 1: Financial Performance - The EPS estimate cut reflects ongoing challenges, with a noted decline in revenue impacting the company's financial health [1][2] - VF Corporation's shares fell nearly 7% in intraday trading and have lost close to 3% of their value since the beginning of the year [2] Group 2: Market Challenges - There are "continued wholesale challenges" at The North Face, with retailers hesitant to take inventory risks due to warmer weather conditions affecting sales [2] - The analysts observed "ongoing traffic headwinds globally" across VF Corporation's brand portfolio, which is negatively impacting direct-to-consumer revenues [2] Group 3: Analyst Rating - JPMorgan maintained a "neutral" rating on VF Corporation's stock, setting a price target of $16, suggesting a potential downside of about 12% from the current intraday price of $18.25 [2]