Lawsuit filed for Investors who lost money with shares of Vestis Corporation (NYSE: VSTS)

An investor, who purchased shares of Vestis Corporation (NYSE: VSTS), filed a lawsuit over alleged violations of Federal Securities Laws by Vestis Corporation in connection with certain allegedly false and misleading statements.

Investors who purchased shares of Vestis Corporation (NYSE: VSTS) have certain options and for certain investors are short and strict deadlines running. Deadline: August 8, 2025. NYSE: VSTS investors should contact the Shareholders Foundation at mail@shareholdersfoundation.com or call +1(858) 779 - 1554.

Roswell, GA based Vestis Corporation provides uniform rentals and workplace supplies in the United States and Canada. Vestis Corporation (NYSE: VSTS) reported that its Total Revenue declined from over $2.82 billion for the 12 months period that ended on September 30, 2023, to over $2.8 billion for the 12 months period that ended on September 30, 2024, and that its Net Income over those respective time periods declined from $213.15 million to $20.97 million.

On May 7, 2025, Vestis Corporation announced its financial results for the second quarter of fiscal 2025, withdrew its revenue and growth guidance for the full fiscal year 2025, and provided guidance for the third quarter of fiscal 2025 that fell significantly below market expectations. The Company attributed its poor results partially to "lost business in excess of new business," but primarily on "lower adds over stops, which is how we describe volume changes with our existing customers." The Company attributed its decision to pull full-year guidance and provide disappointing third quarter targets to the "increasingly uncertain macro environment."

Shares of Vestis Corporation (NYSE: VSTS) declined from $17.83 per share on December 10, 2024, to $5.52 per share on May 22, 2025.

The plaintiff claims that between May 2, 2024, to May 6, 2025, the Defendants provided investors with material information concerning Vestis' expected growth for the fiscal year 2025, that the Defendants' statements included, among other things, confidence in their forecasting ability and, in turn, in their ability to execute strategic initiatives to improve customer experience and retention while enacting annual price increases, and that the Defendants provided these overwhelmingly positive statements to investors while, at the same time, disseminating materially false and misleading statements and/or concealing material adverse facts concerning the true state of Vestis' ability to grow its business; notably that Vestis would be unable to execute on planned strategic initiatives to drive purported improvements to the customer experience and its onboarding efforts in order to drive new customer growth, increased customer retention, and increased revenue from existing customers.

Those who purchased shares of Vestis Corporation (NYSE: VSTS) have certain options and should contact the Shareholders Foundation.

Contact:
Michael Daniels
Shareholders Foundation, Inc.
3111 Camino Del Rio North
Suite 423
San Diego, CA 92108
Tel: +1-(858)-779-1554
E-Mail: mail@shareholdersfoundation.com

About Shareholders Foundation, Inc.
The Shareholders Foundation, Inc. is a professional portfolio monitoring and settlement claim filing service, and an investor advocacy group, which does research related to shareholder issues and informs investors of securities lawsuits, settlements, judgments, and other legal related news to the stock/financial market. Shareholders Foundation, Inc. is in contact with a large number of shareholders and offers help, support, and assistance for every shareholder. The Shareholders Foundation, Inc. is not a law firm. Referenced cases, investigations, and/or settlements are not filed/initiated/reached and/or are not related to Shareholders Foundation. The information is provided as a public service. It is not intended as legal advice and should not be relied upon.

This release was published on openPR.