VFC — V F Corp
Snapshot dated September 1, 2026.
V.F. Corp is a diversified apparel and footwear company primarily known for its portfolio of lifestyle brands, including Vans, The North Face, Timberland, and Dickies. The business operates through these specific brand segments, which target various consumer demographics ranging from outdoor enthusiasts to streetwear and workwear markets. The company distributes its products through a combination of direct-to-consumer digital channels, company-operated retail stores, and wholesale relationships with large national and regional retailers globally. With a portfolio that spans multiple geographies, it functions as a holding company for distinct brands that maintain separate product development and marketing operations. Recently, the company has undertaken a significant restructuring program, branded as 'Project Reinvent,' which aims to simplify its operational structure and reduce costs in response to shifting consumer demand patterns. The firm competes against a wide range of global athletic, outdoor, and lifestyle apparel manufacturers.
Fair Value / Share
$6.41
Price on September 1, 2026
$13.09
Margin of Safety
-51.05%
Data by Equibles and SEC filings. Figures are as of September 1, 2026 and are not live.
Earnings Yield
Earnings Yield shows how much profit a company generates relative to its share price. EPS ÷ Stock Price.
Stock Price
$13.09
Market Cap
$5,180,024,375
Net Income (TTM)
$254,920,000
Diluted Shares
395.9 million
EPS (TTM)
$0.64
Earnings Yield
4.92%
AI Analysis
V.F. Corp currently exhibits an earnings yield of 4.92%, calculated from a share price of $13.09 and earnings per share of $0.64. This yield places the company slightly above the 4-5% benchmark offered by safe, guaranteed alternatives like bonds. Mechanically, this figure indicates that the current price assigns a valuation that is largely neutral compared to risk-free instruments, implying that market participants are not pricing in significant long-term growth expectations at this specific price point. For the yield to increase, the share price would need to decrease or the company's earnings would need to grow while the price remains stable. Conversely, if earnings were to decline, the yield would compress further. This measure does not capture future growth potential, debt levels, or changes in operational efficiency.
Return on Capital
EBIT ÷ (Net Working Capital + Net Fixed Assets) — how efficiently the business turns capital into profit.
EBIT (TTM)
$576,569,000
Net Working Capital
$1,024,677,000
Net Fixed Assets
$674,508,000
Invested Capital
$1,699,185,000
Return on Capital
33.93%
AI Analysis
V.F. Corp generated an EBIT of $576.6M on an invested capital base of $1.7B, resulting in a return on capital of 33.93%. By this framework, a return of 33.93% sits above the 30% benchmark for efficient use of capital. This measurement isolates the profitability of the firm's operations relative to the tangible capital required to support those activities, such as inventory, receivables, and equipment. Because this calculation focuses on operating performance, the metric does not capture the impact of corporate debt financing or tax obligations, which affect net income but not operating efficiency. A lower return on capital figure could arise if the business were to increase its asset base through capital-intensive investments or if operating margins were to contract, requiring more capital to sustain the same level of output.
Acquirer's Multiple
Enterprise Value ÷ Operating Earnings — how many years of operating earnings it would take to buy the whole business.
| Company | Operating earnings | Enterprise value | Multiple |
|---|---|---|---|
| PVHPVH Corp. | $687.1M | $5B | 7.3x |
| COLMColumbia Sportswear Co | $257M | $2.4B | 9.3x |
| VFCV F Corp | $576.6M | $7.9B | 13.7x |
Where VFC sits: 13.7x against a peer median of 8.3x (peers: 9.3x and 7.3x) — 64.6% above the median.
Show the enterprise value bridge for each companyHide the enterprise value bridge
VFC
Debt $3.5B. This is the company's reported total debt — borrowings due within a year plus long-term borrowings. The company separately reports $1.5B of operating lease liabilities as of 2026-03-28 ($1.1B non-current, $333.5M current). These are excluded from debt because operating lease cost already sits inside operating earnings — counting the liability again as debt would charge the business twice for the same thing.
COLM
Named as a competitor: Directly competes in outdoor apparel, outerwear, and footwear
Debt $0. This is the company's reported total debt — borrowings due within a year plus long-term borrowings. The company separately reports $461.2M of operating lease liabilities as of 2026-06-30 ($377.2M non-current, $84M current). These are excluded from debt because operating lease cost already sits inside operating earnings — counting the liability again as debt would charge the business twice for the same thing.
PVH
Named as a competitor: Competes in global lifestyle branded apparel and casual wear
Debt $2.3B. This is the company's reported total debt — borrowings due within a year plus long-term borrowings. The company separately reports $1.9B of operating lease liabilities as of 2026-05-03 ($1.6B non-current, $339.6M current). These are excluded from debt because operating lease cost already sits inside operating earnings — counting the liability again as debt would charge the business twice for the same thing.
Operating earnings — VFC
AI Analysis
V F Corp (VFC) currently presents an Acquirer's Multiple of 13.7x, derived from an enterprise value of $7.9B and trailing twelve-month operating earnings of $576.6M. Among the three companies, PVH holds the lowest multiple at 7.3x, while VFC holds the highest at 13.7x. The 13.7x figure sits against a peer median of 8.3x (peers: 9.3x and 7.3x), which is 64.6% above the median. This measurement effectively calculates the number of years of operating earnings required to purchase the enterprise, assuming a static level of operational performance. This comparison would shift if there were material differences in capital structure, such as varying debt loads included in the enterprise values, or if changes in the underlying business models caused operating earnings to diverge relative to those enterprise values. The measure does not capture differences in future growth expectations or varying levels of capital intensity inherent in these operations.
FS-Score
A 10-check read on financial health, across profitability, balance-sheet stability and operating momentum.
FS-Score
8/10
This company scores high on profitability, stability, and momentum.
Section 1
Current Profitability
3/3
Current Profitability is Strong, as the company passed all three checks by returning to positive accounting and cash-based returns on its assets.
- Return on Assets reached 2.74%, recovering from -2.02% in the prior year.
- Free Cash Flow to Total Assets is positive at 5.44%.
- Accruals signal high earnings quality, with Cash Flow from Operations 2.63 times higher than Net Income.
This score indicates that current operations are generating surplus cash; a reversal in net income or cash flow levels would be required to lower this rating.
Return on Assets (ROA > 0)
PassFree Cash Flow to Total Assets (FCFTA > 0)
PassAccruals (CFO / Net Income > 1)
PassSection 2
Stability
1/3
Stability is Weak, with two of the three balance sheet checks failing due to increased debt levels and share count expansion.
- Leverage rose from 0.36 to 0.38 over the last year.
- Liquidity improved as the current ratio increased from 1.4 to 1.84.
- Net Dilution occurred as the annual weighted average share count rose from 392.6 million shares to 395.9 million shares.
The score reflects a reliance on external financing and share issuance; stabilizing the debt load and stopping share growth would improve this pillar.
Change in Leverage (↓ or unchanged)
FailChange in Liquidity (↑ Current Ratio)
PassNet Dilution (annual diluted weighted-average shares, this year vs last)
FailSection 3
Recent Operational Improvements
4/4
Recent Operational Improvements are Strong, with the business showing across-the-board gains in efficiency and margin compared to the previous year.
- Return on Assets improved from -2.02% to 2.74%.
- Free Cash Flow to Total Assets rose from 3.62% to 5.44%.
- Gross Margin increased from 53.49% to 54.78%.
- Asset Turnover moved higher from 1.01 to 1.03.
These results show a business becoming more efficient with its capital, though a contraction in sales or margins would signal a shift in this trend.
Change in ROA (↑)
PassChange in FCFTA (↑)
PassChange in Gross Margin (↑)
PassChange in Asset Turnover (↑)
PassFramework conclusion
V F Corp earns an 8/10 total score, driven by high marks in profitability and operational efficiency despite some weakness in balance sheet stability. This high score suggests the company’s recent financial health is robust, making it less likely that its current market price is a reflection of fundamental business deterioration. The metrics indicate a recovery in cash generation and margins, though the rising debt and share count represent ongoing financial commitments.
- The 2.74% Return on Assets marks a significant improvement from the previous year's negative result.
- Gross Margin expanded to 54.78%, signaling better cost control or pricing power.
- Asset Turnover rose to 1.03, showing more revenue generated for every dollar of assets owned.
- Leverage increased to 0.38, indicating a higher debt burden relative to the total asset base.
Intrinsic Value (DCF)
A 10-year discounted cash flow, then the bridge from business value to value per share.
Reported cash flow → unlevered free cash flow
Free Cash Flow (reported)
$505.5M
+ After-Tax Interest Expense
$124.8M
= Unlevered Free Cash Flow
$630.2M
Business value (10-year DCF)
PV of Years 1–10
$3.5B
PV of Terminal Value
$1.7B
= Business Value
$5.3B
Business value → share value
Intrinsic Value (business)
$5.3B
+ Cash & Equivalents
$823.9M
− Debt
$3.5B
= Shareholders' Value
$2.5B
÷ Diluted Shares
395.9 million
= Fair Value / Share
$6.41
Divided by 395.9 million diluted shares — the weighted-average diluted count from the most recent quarterly income statement, for the quarter ended 2026-03-28.
Risk bucket → discount rate
high (15%)
Year-1 FCF
$630.2M
Growth rate (yrs 1–10)
3%
Terminal growth (after yr 10)
3%
AI Analysis
The valuation framework applies a high-risk 15% discount rate to V F Corp, reflecting the company's volatile cash flow history and the execution uncertainty surrounding its ongoing brand turnaround efforts. A conservative 3.00% growth rate is applied for the initial 10-year period, based on a starting unlevered Year-1 FCF of $630.2M. The terminal growth rate, fixed at 3% for all companies in this framework, represents a steady-state assumption; the resulting terminal value accounts for 33.2% of the total business value. To derive the fair value per share, the intrinsic value of the business is adjusted by adding $823.9M in cash and subtracting $3.5B in debt, with the remainder divided by the 395.9 million diluted shares outstanding. This process results in a fair value per share of $6.41. When compared to the current price of $13.09, the resulting margin of safety is -51.05%, indicating the buffer between this estimate and the market price. The valuation is most sensitive to the discount rate assumption; because the business currently carries significant debt and faces cyclical headwinds, even minor adjustments to the risk bucket or the Year-1 cash flow forecast would materially shift the computed fair value per share. The measure does not capture potential changes in capital allocation strategies or unexpected shifts in consumer demand patterns.
Overall Verdict
How the five signals above stack up together, then the full synthesis.
Earnings Yield
4.92% vs ~4-5% bond-yield benchmark
Return on Capital
33.93% ROC vs ~30% benchmark
Acquirer's Multiple
13.7x against a peer median of 8.3x (peers: 9.3x and 7.3x) — 64.6% above the median.
FS-Score
8/10 — Financial rockstar
Intrinsic Value
-51.05% margin of safety
This framework presents a dichotomy between operational efficiency and pricing metrics. The Return on Capital of 33.93% and an FS-Score of 8/10 indicate a business with strong financial health and effective capital deployment relative to benchmarks. Conversely, the valuation indicators reflect significant friction. The Earnings Yield of 4.92% sits in the yellow zone near the bond-yield benchmark, while the Acquirer's Multiple of 13.7x is 64.6% above the peer median, indicating the company trades at a premium compared to its immediate sector cohorts. Furthermore, the Intrinsic Value check indicates a -51.05% margin of safety, suggesting the current market price diverges sharply from the estimated value derived from future cash flows. The primary tension here is between the company's strong historical ability to generate returns and the current high price multiple relative to its peers. If the Acquirer's Multiple were to shift closer to the peer median, it would fundamentally alter the overall signal, reconciling the pricing metrics with the firm's operational metrics.