Vestis (VSTS) Surges 5.69% on Pre-Market Trading Amid Insider Buying and Leadership Changes

Jan. 16, 2026—Vestis (VSTS) surged 5.6923% in pre-market trading, signaling renewed investor interest amid recent corporate developments. The apparel and textile company, which operates primarily in the U.S. and Canada, has drawn attention for insider share purchases and strategic leadership changes.

Recent insider activity highlights confidence in Vestis’s long-term value. Executives and major shareholders have been net buyers of shares, suggesting a belief in the company’s ability to recover despite reporting a $40.22 million net loss for 2025. The firm projects a 106% annualized earnings growth for 2026, though revenue is expected to remain flat or decline slightly. This contrast between earnings optimism and revenue caution underscores the market’s focus on potential cost-cutting or operational improvements.

Corporate governance shifts also appear to be influencing sentiment. Adam K. Bowen’s appointment as interim CFO following Kelly Janzen’s departure signals a strategic overhaul. Investors may be interpreting the leadership transition as a step toward stabilizing operations, particularly in light of Vestis’s challenging 2025 performance. The stock’s pre-market rally suggests market participants are factoring in these structural changes alongside insider confidence.

While Vestis’s valuation remains contentious—trading at a -22.5x price-to-earnings ratio—the combination of insider buying, management reshuffling, and forward-looking earnings estimates has ignited short-term momentum. Analysts will likely monitor whether the company can translate these signals into tangible operational improvements in the coming quarters.