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It has been about a month since the last earnings report for V.F. (VFC - Free Report) . Shares have lost about 8.8% in that time frame, underperforming the S&P 500.

But investors have to be wondering, will the recent negative trend continue leading up to its next earnings release, or is V.F. due for a breakout? Well, first let's take a quick look at the most recent earnings report in order to get a better handle on the recent catalysts for V.F. Corporation before we dive into how investors and analysts have reacted as of late.

V.F. Corp. Q1 Earnings Miss Estimates as Vans Wholesale WeighsV.F. Corporation posted first-quarter fiscal 2027 results, wherein the top and bottom lines missed the Zacks Consensus Estimate and declined year over year.

The company reported an adjusted loss of 27 cents per share for first-quarter fiscal 2027, wider than the year-ago loss of 25 cents. The figure also lagged the Zacks Consensus Estimate of a 22-cent loss.

Revenues declined 5.2% year over year to $1.669 billion and missed the consensus mark of $1.674 billion. Excluding Dickies, revenues rose 1% on a reported basis, supported by growth at The North Face, Timberland and Altra.

V.F. Corp.’s Q1 Revenue DetailsOn a regional basis, revenues in the Americas declined 4% year over year on a reported basis. EMEA revenues fell 7% as reported and 9% in constant currency. APAC revenues decreased 3% on a reported basis and 6% in constant currency. Overall, international revenues declined 4% year over year as reported and 7% in constant currency.

By channel, wholesale revenues fell 10% on a reported basis. Direct-to-consumer revenues were up 2% year over year on a reported basis and 1% on a constant-currency basis.

Revenues in the Outdoor segment improved 5% year over year on a reported basis (up 4% on a constant-currency basis) to $857 million. In the Active segment, revenues of $667 million declined 5% year over year on a reported basis and 6% on a constant-currency basis. Revenues in the All Other segment fell 42% year over year on a reported basis (down 42% on a constant-currency basis) to $145 million.

VF Corp.’s Gross Margin ExpandsThe company’s reported gross margin increased 100 basis points year over year to 54.9%. Adjusted gross margin excluding Dickies improved 10 basis points to 54.9%, indicating modest underlying progress after removing the divested brand’s prior-year contribution.

Reported selling, general and administrative expenses were $1 billion, representing 59.9% of revenues. Adjusted expenses were $1.012 billion, or 60.6% of revenues.

Financial Details of VFCV.F. Corp. ended the fiscal first quarter with cash and cash equivalents of $670 million, long-term debt of $3 billion and shareholders’ equity of $1.76 billion. Net debt was down $1.1 billion from the year-ago period.

What to Expect From VFC in FY27?VFC raised its fiscal 2027 revenue outlook to growth of 2% or better in constant currency from the prior guidance of 1-2%. The projection reflects expected growth at The North Face, Timberland and Altra, partly offset by a mid-single-digit decline at Vans, with Vans’ second-half revenues expected to improve to a decline of 2% or better year over year.

The company maintained its adjusted operating margin forecast of approximately 8%, supported by a higher adjusted gross margin and a lower adjusted SG&A rate. Free cash flow is still expected to be flat to higher than fiscal 2026’s $405 million, aided by year-over-year growth in operating cash flow. VFC anticipates ending fiscal 2027 with a leverage ratio of roughly 2.6x to 2.9x.

How Have Estimates Been Moving Since Then?Since the earnings release, investors have witnessed a downward trend in estimates review.

The consensus estimate has shifted -6.54% due to these changes.

VGM ScoresAt this time, V.F. has a average Growth Score of C, though it is lagging a lot on the Momentum Score front with an F. However, the stock was allocated a grade of A on the value side, putting it in the top 20% for value investors.

Overall, the stock has an aggregate VGM Score of B. If you aren't focused on one strategy, this score is the one you should be interested in.

OutlookEstimates have been broadly trending downward for the stock, and the magnitude of these revisions indicates a downward shift. Notably, V.F. has a Zacks Rank #3 (Hold). We expect an in-line return from the stock in the next few months.

Premium Retail’s Stress Test Is Separating Winners From LosersV.F. NYSE: VFC raised its fiscal 2027 revenue outlook after reporting first-quarter sales and operating performance that exceeded its prior expectations, while also announcing a finance leadership transition.

The company said first-quarter revenue was approximately $1.7 billion, flat from a year earlier and ahead of its guidance for a low-single-digit decline. Adjusted operating loss was $95 million, which V.F. said was slightly better than expected due to stronger-than-anticipated revenue. Adjusted diluted loss per share was $0.27, compared with a loss of $0.25 a year earlier.

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Apparel Earnings Winners and Losers: Ralph Lauren Takes OffV.F. now expects fiscal 2027 revenue to increase by 2% or more, up from its prior outlook for 1% to 2% growth. The company maintained its expectation for an approximately 8% operating margin for the full year, free cash flow that is flat to higher than last year, and a year-end leverage ratio between 2.6 times and 2.9 times.

Finance leadership transition Chief Financial Officer Paul Vogel will step down, with Chief Operating Officer Abhishek Dalmia taking on a newly combined CFO and COO role. Vogel said he would work with Dalmia during the next quarter to support a smooth transition.

4 Cold-Weather Stocks to Buy as Winter Spending Heats UpVogel said the decision followed discussions about the time demands of the role, as his family has remained on the East Coast. He pointed to progress over the past two years, including lower debt, cost reductions, improved financial discipline and a return to full-year growth in fiscal 2026.

“I remain confident in the company, the strategy, the progress we are making,” Vogel said. “In fact, I leave this role with great confidence in where VF is headed.”

Dalmia said his focus in the expanded position would include capital discipline, portfolio returns and balancing growth, profitability and cash generation. CEO Bracken Darrell said the combined finance and operations role would support the company’s ongoing transformation and focus on total shareholder value.

Brand performance and outlook The North Face posted 4% revenue growth in the first quarter, exceeding V.F.’s expectation for a flat quarter. Darrell said growth was led by transitional outerwear, shells and equipment, while the Ultima Version Two footwear launch had a strong debut across regions.

The company expects The North Face to be flat to slightly higher in the second quarter, primarily due to wholesale timing, and expects full-year growth to be roughly in line with the brand’s growth rate in fiscal 2026. V.F. also cited upcoming initiatives including its U.S. Ski & Snowboard Team apparel partnership and a planned update to its Nuptse product line.

Timberland revenue increased 3% in the quarter, with both direct-to-consumer and wholesale channels growing globally. The Americas rose 10%. The six-inch premium boot remained the principal growth driver, while boat shoes also performed strongly across regions, according to Darrell.

Vogel said Timberland’s quarterly growth was reduced by roughly three percentage points due to the conflict in the Middle East and work involving one of the company’s distributors. Dalmia said V.F. expects those pressures to be less significant in the second quarter. The company expects Timberland’s full-year growth to be broadly in line with last year’s growth rate.

Vans revenue declined 9% globally in the first quarter, and V.F. expects a similar decline in the second quarter. However, Darrell said the company is seeing improvement in direct-to-consumer operations, particularly in the U.S., where nearly 60% of comparable stores were flat to growing in the quarter. E-commerce has shown accelerated growth, he said.

Wholesale remains weaker than direct-to-consumer performance at Vans, although Darrell said discussions with wholesale partners support expectations for an improvement in the second half. V.F. expects Vans revenue to decline about 9% in the first half but to be down 2% or better in the second half, resulting in a mid-single-digit decline for the full year.

The company said several Vans product launches and collections have generated strong consumer response, including growth in Authentic and Slip-On styles and strong sell-through for Old Skool releases. Darrell said V.F. intends to bring more differentiated and refreshed product into wholesale channels as it works to translate product momentum into broader sales.

Outside its three largest brands, V.F. cited Altra as a growth opportunity. Darrell said road running has become larger than trail running for Altra in recent quarters, despite the brand historically being stronger in trail running. He reiterated the company’s view that Altra can become a billion-dollar-plus brand over time.

Margins, cash flow and regional trends Adjusted gross margin was 54.9%, slightly above the prior year. Vogel said unfavorable foreign exchange reduced the quarter’s margin by 140 basis points. He also said there was no incremental tariff advantage or disadvantage in the first quarter compared with the prior-year period.

SG&A expense increased year over year as V.F. invested in marketing, direct-to-consumer operations and other brand-building activity. Vogel said the company’s $225 million in structural SG&A savings since fiscal 2024 remain embedded in the business, with the company choosing to reinvest from a lower fixed-cost base.

By region, Americas revenue rose 4%, while Europe, Middle East and Africa revenue fell 7% and Asia-Pacific revenue declined 1%. Darrell said the company expects Asia-Pacific performance to remain comparatively muted in the near term, noting strong competition and a need for more innovation in the region.

Direct-to-consumer revenue increased 5% during the quarter, while wholesale revenue declined 4%. Inventories, excluding Dickies and foreign exchange effects, fell 4%. Net debt declined $1.1 billion, or 20%, from a year earlier, and free cash flow improved by approximately $75 million, including about $50 million of tariff refunds.

V.F. reiterated its medium-term targets of an operating-margin exit run rate of at least 10% in fiscal 2028, which it clarified would mean 10% or better for the full fiscal 2029 year, and a leverage ratio of 2.5 times or better by fiscal 2028.

About V.F. (NYSE:VFC)VF Corporation, commonly branded as VF, is a global apparel and footwear company that develops, markets and distributes a diverse portfolio of consumer brands. Its offerings span outdoor and action sports apparel, footwear and accessories under marquee names such as The North Face, Vans, Timberland, Dickies, JanSport and Smartwool. Through a “house of brands” strategy, VF leverages the unique heritage and design expertise of each label to serve distinct lifestyle and performance segments.

Founded in 1899 in Pennsylvania as the Reading Glove and Mitten Manufacturing Company, VF evolved through a series of acquisitions and strategic expansions to become a leading player in the global apparel industry.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected].

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Key Takeaways V.F. Corp. is expected to post a 4.9% revenue decline and a narrower fiscal Q1 loss.The North Face, Timberland and Altra growth may partly offset continued weakness at Vans.Gross margin gains may be outweighed by higher SG&A, with an operating loss near $100 million. V.F. Corporation (VFC - Free Report) is scheduled to report first-quarter fiscal 2027 results on July 29, before the opening bell. The Zacks Consensus Estimate for quarterly revenues is pegged at $1.68 billion, indicating a 4.9% dip from the prior-year quarter’s figure.

The consensus estimate calls for a loss of 22 cents per share, narrowing from a loss of 24 cents in the year-ago quarter. The metric has been stable in the past 30 days.

V.F. Corp. delivered an earnings surprise of 100% in the last reported quarter. In the trailing four quarters, the company’s earnings beat the Zacks Consensus Estimate by 47.5%.

Key Factors to Influence VFC’s Q1 ResultsV.F. Corp.’s first-quarter fiscal 2027 results are likely to reflect continued strength in its growth brands, led by The North Face, Timberland and Altra. Management expects these brands to benefit from sustained investments in product innovation, marketing and direct-to-consumer ("DTC") initiatives. The North Face is expected to maintain healthy momentum across categories, while Timberland should continue benefiting from stronger full-price sales and store expansion. Altra is also likely to remain a key growth driver, supported by product launches and increasing brand awareness. These factors are expected to partially offset continued weakness in Vans and support the company's long-term growth strategy.

The quarter is expected to remain pressured by continued softness at Vans. Management projects first-quarter revenues to decline low-single digits, primarily due to wholesale timing shifts that pulled certain orders into the fourth quarter of fiscal 2026. In addition, the company expects the first half of fiscal 2027 to remain weaker than the second half, with wholesale demand still recovering. While Vans' Americas DTC business continues to improve, management believes wholesale recovery will take longer as new product momentum gradually translates into higher sell-in across retail partners.

Investors will also closely watch VFC's profitability trends. The company expects gross margin expansion in the first quarter, supported by pricing actions, improved inventory management, better product mix and operational efficiencies. However, these gains are expected to be more than offset by higher SG&A expenses as VFC continues investing aggressively in marketing, DTC capabilities and Altra to support long-term growth. Consequently, management expects an operating loss of roughly $100 million for the quarter, which is incorporated into its full-year guidance.

Macroeconomic challenges are also expected to remain a headwind during the quarter. Management cited ongoing geopolitical disruptions in the Middle East, softer demand in Europe and uncertainty surrounding tariffs as factors likely to pressure first-half revenue trends. Although VFC has implemented sourcing diversification, pricing actions and supply-chain mitigation initiatives to lessen the tariff impact, these external factors are expected to weigh on near-term performance. Nevertheless, management reiterated confidence in achieving full-year revenue growth, expanding operating margins and progressing toward its medium-term financial targets.

What the Zacks Model Unveils for VFCOur proven model doesn’t conclusively predict an earnings beat for V.F. Corp. this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat. But that’s not the case here.

V.F. Corp. currently has an Earnings ESP of 0.00% and a Zacks Rank of 4 (Sell). You can uncover the best stocks before they’re reported with our Earnings ESP Filter.

Valuation Picture of VFC StockGoing by the price/earnings ratio, VFC stock is currently trading at 14.48 on a forward 12-month basis, lower than the Textile - Apparel industry’s 15.67. It is also trading lower than its high of 21.42.

Image Source: Zacks Investment Research

The recent market movements show that VFC’s shares have lost 14.2% in the past six months compared with the industry's 1.5% drop.

Image Source: Zacks Investment Research

Stocks Poised to Beat Earnings EstimatesHere are some companies that, according to our model, have the right combination of elements to post an earnings beat:

SharkNinja, Inc. (SN - Free Report) currently has an Earnings ESP of +1.29% and a Zacks Rank of 2. You can see the complete list of today’s Zacks #1 Rank stocks here.

SN is likely to register growth in its bottom and top lines when it reports second-quarter 2026 results. The Zacks Consensus Estimate for its quarterly revenues is pegged at $1.6 billion, indicating a 13.5% increase from the figure reported in the year-ago quarter.

The consensus estimate for SN’s second-quarter earnings is pegged at $1.09 per share, implying 12.4% growth from the year-ago quarter’s actual. The consensus mark has dipped a penny in the past 30 days.

MGM Resorts International (MGM - Free Report) currently has an Earnings ESP of +3.32% and a Zacks Rank of 3. MGM is likely to register a top-line increase when it reports second-quarter 2026 results. The Zacks Consensus Estimate for its quarterly revenues is pegged at $4.5 billion, indicating a 1.4% rise from the figure reported in the year-ago quarter.

The consensus estimate for MGM Resorts’ second-quarter earnings is pegged at 62 cents a share, implying a 21.5% decrease from the year-earlier quarter. The consensus mark has increased by 2 cents in the past seven days.

Hilton Worldwide, Inc. (HLT - Free Report) currently has an Earnings ESP of +1.54% and a Zacks Rank of 3.

For the to-be-reported quarter, Hilton Worldwide’s earnings are expected to increase 3.6%. Hilton Worldwide reported better-than-expected earnings in each of the trailing four quarters, the average surprise being 4.6%.