Vestis (NYSE:VSTS) Surges 6.7% Pre-Market as CEO Adds 34% Stake via $1M Insider Buy

Vestis Corporation (NYSE:VSTS) surged 6.7073% in pre-market trading on December 8, 2025, capturing investor attention ahead of the opening bell. This sharp pre-market rise follows a significant insider transaction that signals confidence in the company’s near-term prospects.

James Barber, Vestis’s CEO, President, and Director, recently acquired shares valued at $1.0 million, increasing his stake by 34% at an average price of $6.35 per share. This purchase marks the largest insider acquisition of Vestis stock in the past year, with insiders collectively holding 0.6% of the company. The timing and proximity of the purchase to the current $7.00 share price suggest insiders view the valuation as attractive despite the company’s ongoing losses.

The move aligns with broader investor sentiment tracking insider activity as a gauge for corporate health. While Vestis insiders have not sold shares in the past year, the relatively low level of insider ownership—compared to industry benchmarks—remains a cautionary note. Analysts highlight that insider buying near current prices can indicate optimism, though it does not mitigate risks tied to the company’s financial performance.

Investors are advised to weigh these signals against broader market dynamics and corporate fundamentals. The company’s recent losses, while not a new trend, have limited its ability to scale operations or attract new capital. However, the increased insider holdings and the stock’s recent upward movement may suggest a turning point or a renewed strategic focus. Market observers will be watching for follow-up actions and earnings reports to confirm whether the positive momentum is sustainable.