Vans parent VF's stock soars after WSJ report that activist investor has built up a big stake

Shares of VF Corp. (VFC) ran up 10.3% in morning trading, enough to pace the S&P 500's gainers, after The Wall Street Journal reported that activist investor Engaged Capital has built a "big" stake in the parent of retail brands including Vans and The North Face. The stock, which was headed for the biggest one-day gain since it rallied 11.4% on Nov. 11, 2022, has soared 16.7% amid a three-day win streak that started after it closed at a 14-year low of $15.30 on Oct. 12. Citing people familiar with the matter, the WSJ report said Engaged Capital, which is believed to now be among the top 10 shareholders of VF, plans to push for a number of changes including cost cuts of more than $300 million a year. Engaged is also pushing for VF to explore a strategic review of its noncore assets and real estate. VF's stock has shed 35.3% year to date, while the S&P 500 has gained 13.0%.

-Tomi Kilgore

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10-17-23 0959ET

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