Vera Bradley (VRA) AI Stock Analysis

• Market Cap: $57.54M
• Dividend Yield: N/A
• Average Volume (3M): 541.20K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.06
• Revenue Growth: -24.95%
• EPS Growth: -1959.79%
• Country: US
• Employees: 1,725
• Sector: Consumer Cyclical
• Sector Strength: 65
• Industry: Apparel - Footwear & Accessories
• EPS (TTM): -0.36
• Shares Outstanding: 27,933,384
• 10 Day Avg. Volume: 189,811
• 30 Day Avg. Volume: 541,197
• PEG Ratio: 0.02
• Price to Book (P/B): 0.41
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -2.06
• Enterprise Value/Market Cap: 2.21
• Enterprise Value/Revenue: 0.08
• Enterprise Value/Gross Profit: 0.76
• Enterprise Value/Ebitda: 106.96
• 1Y Price Target: $2.00
• Price Target Upside: -2.44% Downside
• Rating Consensus: Hold
• Number of Analyst Covering: 0

• Rating: 49 Neutral
• Price Target: $2.00 ▼(-2.44%Downside)

Vera Bradley's overall stock score is driven by significant financial challenges, as evidenced by declining revenues and profitability. While there are strategic initiatives in place, these have yet to offset financial and operational difficulties. The technical analysis indicates mixed short-term signals, and negative valuation metrics further highlight the risks. The lack of forward guidance adds to the uncertainty.

Vera Bradley Business Overview & Revenue Model

Company Description

Vera Bradley, Inc., together with its subsidiaries, designs, manufactures, and sells women's handbags, luggage and travel items, fashion and home accessories, and gifts. It operates through three segments: Vera Bradley Direct, Vera Bradley Indirect, and Pura Vida. The company offers bag products, such as totes, crossbodies, satchels, clutches, backpacks, baby bags, and lunch bags; accessories, including wallets, wristlets, eyeglass cases, scarves, and various technology accessories; bracelets, rings, and necklaces under Pura Vida brand name; and travel products consisting of rolling luggage, cosmetics, and travel and packing accessories, as well as travel bags comprising duffel and weekend bags. It also provides home products that include throw blankets, beach towels, and comforters, as well as items, such as mugs and tumblers; apparel/footwear comprising sleepwear, footwear, cotton face masks, outerwear, socks, and scarves; and stationery and merchandising products, as well as freight, licensing, and gift card breakage services. The company sells its Vera Bradley branded products through its full-line and factory outlet stores in the United States; and verabradley.com, an online outlet site, as well as its annual outlet sale in Fort Wayne, Indiana. As of January 29, 2022, it operated 70 full-line and 75 factory outlet stores. The company sells its Pura Vida branded products through wholesale retailers, as well as through Pura Vida websites, including www.puravidabracelets.com, www.puravidabracelets.eu, and www.puravidabracelets.ca. It also sells its Vera Bradley branded products to approximately 1,800 specialty retail locations, department stores, national accounts, third party e-commerce sites, and third-party inventory liquidators, as well as through licensing agreements. Vera Bradley, Inc. was incorporated in 1982 and is headquartered in Roanoke, Indiana.

How the Company Makes Money

Vera Bradley makes money through a multi-channel revenue model that includes sales from its retail stores, e-commerce website, and wholesale distribution. The company's primary revenue streams are derived from the sale of its signature products, including handbags, travel items, and accessories, which are characterized by unique patterns and designs. Additionally, Vera Bradley generates income through licensing agreements and collaborations with other brands, which help extend its product offerings and market reach. The company's ability to maintain strong brand loyalty and engage with consumers through strategic marketing initiatives and seasonal collections also contributes significantly to its earnings.

Vera Bradley Financial Statement Overview

Summary

Vera Bradley is experiencing financial difficulties, with declining revenue, profitability, and cash flows. The balance sheet shows manageable leverage but diminishing equity and asset bases, posing risks to financial stability.

Income Statement

Vera Bradley's income statement shows a declining trend in revenue and profitability. The TTM revenue has decreased compared to the previous year, with revenue growth rate being negative. Gross and net profit margins have deteriorated, reflecting operational challenges. The negative EBIT and EBITDA margins highlight ongoing profitability issues.

Balance Sheet

The balance sheet indicates a moderate financial position with some concerns. The debt-to-equity ratio is reasonable, showing manageable leverage. However, the declining stockholders' equity and total assets over time suggest reduced financial stability. The equity ratio remains adequate but has been decreasing, indicating potential risk if trends continue.

Cash Flow

Cash flow analysis reveals significant challenges. The operating cash flow to net income ratio is negative, implying operational cash flow issues. Free cash flow has declined, and the company has been unable to generate positive free cash flow recently, raising concerns about liquidity and financial flexibility.

Breakdown	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	371.97M	470.79M	499.96M	540.45M	468.27M
Gross Profit	186.84M	256.41M	238.94M	287.94M	265.52M
EBITDA	-3.22M	47.78M	1.49M	59.82M	56.69M
Net Income	-62.19M	7.84M	-79.38M	17.84M	8.68M
Balance Sheet
Total Assets	306.69M	380.79M	404.50M	521.86M	513.79M
Cash, Cash Equivalents and Short-Term Investments	30.37M	77.30M	46.59M	88.44M	65.47M
Total Debt	89.64M	81.00M	94.38M	99.56M	113.86M
Total Liabilities	127.73M	120.86M	142.41M	163.44M	169.07M
Stockholders Equity	178.96M	259.93M	251.38M	327.44M	314.91M
Cash Flow
Free Cash Flow	-24.48M	44.22M	-21.66M	34.37M	14.96M
Operating Cash Flow	-14.10M	47.99M	-13.42M	39.86M	20.70M
Investing Cash Flow	-10.37M	-13.77M	-8.24M	-4.15M	17.68M
Financing Cash Flow	-22.52M	-3.55M	-20.11M	-11.41M	-24.15M

Vera Bradley Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 2.05
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For VRA, the sentiment is Negative. The current price of 2.05 is below the 20-day moving average (MA) of 2.28, below the 50-day MA of 2.15, and below the 200-day MA of 3.43, indicating a bearish trend. The MACD of 0.04 indicates Positive momentum. The RSI at 44.11 is Neutral, neither overbought nor oversold. The STOCH value of 15.15 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for VRA.

Vera Bradley Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	64 Neutral	£1.69B	10.20	6.12%	3.31%	0.55%	-32.84%
FOSL	53 Neutral	$85.28M	―	-51.93%	―	-16.31%	32.30%
VRA	49 Neutral	$57.54M	―	-36.91%	―	-24.95%	-1959.79%
TLYS	48 Neutral	$43.72M	―	-47.54%	―	-8.79%	-15.17%
DLTH	46 Neutral	$78.16M	―	-27.53%	―	-4.21%	-292.04%
LVLU	41 Neutral	$14.46M	―	-179.00%	―	-11.33%	-183.52%
PLCE	40 Underperform	$111.73M	―	-521.67%	―	-12.15%	75.86%

Vera Bradley Corporate Events

Vera Bradley Announces CFO Departure Agreement

On June 19, 2025, Vera Bradley, Inc. announced that it had entered into a Release and Waiver Agreement with its former Chief Financial Officer, Michael Schwindle, whose employment will terminate on June 30, 2025. As part of the agreement, Mr. Schwindle will receive severance compensation, including a lump sum payment and potential additional bonuses, in exchange for releasing the company from any claims related to his employment. This agreement marks a significant transition in the company’s leadership and may have implications for its financial operations and executive management strategy.

Vera Bradley Announces Leadership Changes Amid Transformation

On June 11, 2025, Vera Bradley announced significant leadership changes, with CEO Jackie Ardrey stepping down and Ian Bickley assuming the role of Executive Chairman and interim CEO. The company also appointed Martin Layding as the new CFO, succeeding Michael Schwindle. These changes are part of Vera Bradley’s ongoing transformation strategy, which includes the establishment of a new Strategy and Transformation Committee to guide future growth initiatives.

Vera Bradley Elects Directors at Annual Meeting

Vera Bradley held its 2025 Annual Meeting of Shareholders on June 5, 2025, where shareholders elected seven directors to the Board for a one-year term, ratified Deloitte & Touche LLP as the independent accounting firm for the fiscal year ending January 31, 2026, and approved the compensation of the company’s executive officers on an advisory basis. These decisions reflect the company’s ongoing governance and operational strategies, impacting its leadership structure and financial oversight, which are crucial for maintaining stakeholder confidence.

Vera Bradley Board Member Frances Philip Steps Down

On April 18, 2025, Vera Bradley announced that Frances P. Philip, a long-time board member since 2011, will not stand for re-election at the upcoming 2025 Shareholder Meeting. Her decision is not due to any disagreements with the company. Philip has been a significant contributor to the board, serving as Lead Independent Director since 2022 and providing valuable insights from her extensive experience in product development and marketing. The company acknowledges her influential role and expresses gratitude for her dedicated service.