VF Corp shares rose 0.7% in after-hours trading on Tuesday, giving investors a brief reprieve after two sessions of losses following the company's announcement that it will sell its Dickies workwear brand.

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At the start of the week, VF Corp, which owns Vans shoes and JanSport bags brands, said it is selling Dickies to Bluestar Alliance for $600 million, a haircut from the $820 million it paid for Dickies in 2017. Shares have since fallen 3.5%.

On Tuesday, investment research firm Stifel downgraded VFC stock to 'Hold' from 'Buy,' in line with the majority view, and raised its price target by $1 to $16.

Currently, 14 of the 23 analysts covering the stock have a 'hold' rating, while six recommend 'Buy' or higher and three recommend 'Sell' or 'Strong Sell,' according to Koyfin data. Their average price target is $15.52, about $1 over the stock's last close.

The risk-reward on the stock is now "in balance" after a 12.5% one-month return, while the sale of Dickies is a "strong outcome," Stifel analysts said, according to its investor note summary posted on The Fly.

They, however, noted that the Vans brand continues to face weakness, and a meaningful acceleration in the business could be a year away.

On Stocktwits, the retail sentiment for the company's shares remained in the 'bearish' zone, unchanged over the last week.

VF Corp has been losing ground to rising lifestyle rivals and is pursuing a turnaround strategy that focuses on streamlining its product lineup and business portfolio.

The company last year agreed to sell its streetwear brand Supreme to EssilorLuxottica for $1.5 billion and is currently reviewing options for its Global Packs business, which includes Kipling, Eastpak, and JanSport.

As of the last close, VFC stock is down 32% year-to-date.

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