Vera Bradley (VRA) AI Stock Analysis

• Market Cap: $49.72M
• Dividend Yield: N/A
• Average Volume (3M): 296.41K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.06
• Revenue Growth: -24.95%
• EPS Growth: -2349.32%
• Country: US
• Employees: 1,725
• Sector: Consumer Cyclical
• Sector Strength: 58
• Industry: Apparel - Footwear & Accessories
• EPS (TTM): -0.36
• Shares Outstanding: 27,933,384
• 10 Day Avg. Volume: 600,261
• 30 Day Avg. Volume: 296,407
• PEG Ratio: <0.01
• Price to Book (P/B): 0.70
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -8.07
• Enterprise Value/Market Cap: 8.26
• Enterprise Value/Revenue: 0.25
• Enterprise Value/Gross Profit: 2.21
• Enterprise Value/Ebitda: 7.16
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0

• Rating: 44 Neutral
• Price Target: $2.00 ▼(-16.32%Downside)

Vera Bradley's stock score is primarily impacted by its poor financial performance, as demonstrated by declining revenues, profitability, and cash flows. Technical analysis shows a bearish trend, and the company's valuation is unattractive due to negative earnings. Despite some strategic initiatives, the recent earnings call highlighted significant challenges, including revenue declines and leadership uncertainties.

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 facing financial challenges with declining revenues, profitability, and cash flows. The balance sheet remains stable but is impacted by recent losses, leading to reduced equity returns. Operational inefficiencies and cash flow management need improvement to stabilize financial health.

Income Statement

Vera Bradley has experienced a decline in revenue and profitability over the years. The gross profit margin is relatively healthy, but net income has turned negative, affecting the net profit margin adversely. The EBIT and EBITDA margins have also deteriorated, indicating operational challenges. Revenue growth has been negative, showing a downward trend in sales performance.

Balance Sheet

The company maintains a moderate debt-to-equity ratio, suggesting a balanced leverage position. However, the return on equity has turned negative due to recent net losses. The equity ratio is stable, indicating a decent proportion of assets funded by equity. Liquidity might be a concern with declining cash reserves.

Cash Flow

The cash flow situation is concerning, with negative operating and free cash flows in recent periods. Free cash flow growth has been negative, signaling potential liquidity issues. The operating cash flow to net income ratio is negative due to ongoing losses. Cash flow management needs significant improvement to support operational needs.

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
	EBIT
-42.36M	15.53M	-25.61M	26.91M	13.06M
	EBITDA
-10.94M	47.78M	1.49M	59.82M	56.69M
	Net Income Common Stockholders
-62.19M	7.84M	-79.38M	17.84M	8.68M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
30.37M	77.30M	46.59M	88.44M	65.47M
	Total Assets
306.69M	380.79M	404.50M	521.86M	513.79M
	Total Debt
89.64M	81.00M	94.38M	99.56M	113.86M
	Net Debt
59.28M	3.70M	47.78M	11.12M	49.68M
	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: Positive
• Last Price: 2.39
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For VRA, the sentiment is Positive. The current price of 2.39 is above the 20-day moving average (MA) of 2.11, above the 50-day MA of 2.03, and below the 200-day MA of 3.72, indicating a neutral trend. The MACD of 0.01 indicates Positive momentum. The RSI at 56.84 is Neutral, neither overbought nor oversold. The STOCH value of 25.32 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for VRA.

Vera Bradley Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	62 Neutral	$6.82B	11.05	2.80%	4.32%	2.67%	-24.92%
LVLU	47 Neutral	$19.32M	―	-179.00%	―	-11.33%	-183.48%
VRA	44 Neutral	$49.72M	―	-36.91%	―	-24.95%	-2349.32%
TLYS	44 Neutral	$34.67M	―	-47.54%	―	-8.79%	-15.17%
DLTH	42 Neutral	$68.77M	―	-27.53%	―	-4.21%	-292.04%
FOSL	42 Neutral	$71.33M	―	-51.93%	―	-16.31%	32.30%
PLCE	40 Underperform	$88.23M	―	-521.67%	―	-12.15%	75.86%

Vera Bradley Corporate Events

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.