This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
TheStreet Open House

5 Apparel Stocks That Could Pop in 2012

Vera Bradley

Content on this page requires a newer version of Adobe Flash Player.

Get Adobe Flash player

Even though Vera Bradley (VRA) has only been public for a year and change, this $1.4 billion stock has gotten plenty of eyes on it. Management took advantage of significant popularity in VRA's product line to IPO the firm -- but there's still value in this name.

Short-sellers' eyes are on Vera Bradley too; with a short ratio of 14.4, it would take nearly three weeks of buying for shorts to exit their positions at current volume levels.

Vera Bradley has an instantly recognizable style, something that the firm has done a good job of leveraging in the last few years. Today, VRA sells women's accessories through more than 3,300 independent retailers as well as a growing contingent of company-owned retail stores. The latter should provide VRA with considerable room for domestic growth while most peers are struggling to establish their brands abroad.

If imitation is the sincerest form of flattery, then Vera Bradley should be quite flattered -- competitors have been quick to copy the firm's signature style. To date, they haven't been able to copy VRA's success. Authenticity counts in the apparel business, and Vera Bradley's first-to-market status should help the firm retain the edge on competitors who want part of its broad demographic.

Financially, VRA carries a manageable revolving debt load that's been shrinking as the firm simultaneously builds a more suitable cash reserve. Deep margins should keep that trend moving along in 2012.

4 of 6

Select the service that is right for you!

COMPARE ALL SERVICES
Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
DOW 17,265.99 +109.14 0.64%
S&P 500 2,011.36 +9.79 0.49%
NASDAQ 4,593.4250 +31.2360 0.68%

Brokerage Partners

Rates from Bankrate.com

  • Mortgage
  • Credit Cards
  • Auto

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs