Key Points
- Insider buying: Vital Farms insider Joseph Michael Holland bought 12,484 shares at $8.00 each, a transaction worth $99,872 that lifted his stake by nearly 49%. The purchase was disclosed in an SEC filing.
- Weak recent operating results: The company recently reported a quarterly loss of $0.03 per share, missing analyst expectations, even though revenue rose 15.4% year over year to $187.16 million. Analysts now expect the company to post a full-year loss.
- Sentiment remains cautious: Brokerage coverage is mostly lukewarm with a consensus Hold rating, and several analysts have sharply cut price targets. The stock has also been pressured by litigation risk tied to a securities-fraud class action.
Vital Farms, Inc. (NASDAQ:VITL - Get Free Report) Director Kelly Kennedy acquired 2,500 shares of Vital Farms stock in a transaction on Thursday, May 14th. The shares were purchased at an average price of $8.40 per share, for a total transaction of $21,000.00. Following the completion of the acquisition, the director directly owned 22,927 shares in the company, valued at $192,586.80. This trade represents a 12.24% increase in their ownership of the stock. The purchase was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this hyperlink.
Vital Farms Trading Down 2.4%
VITL opened at $8.28 on Tuesday. The stock's fifty day moving average is $13.14 and its two-hundred day moving average is $24.05. The company has a market capitalization of $354.80 million, a P/E ratio of 7.96 and a beta of 1.20. Vital Farms, Inc. has a 52 week low of $7.95 and a 52 week high of $53.13. The company has a quick ratio of 1.00, a current ratio of 1.77 and a debt-to-equity ratio of 0.01.
Vital Farms (NASDAQ:VITL - Get Free Report) last released its quarterly earnings data on Thursday, May 7th. The company reported ($0.03) EPS for the quarter, missing the consensus estimate of $0.09 by ($0.12). The firm had revenue of $187.16 million for the quarter, compared to analysts' expectations of $182.40 million. Vital Farms had a return on equity of 14.47% and a net margin of 6.10%.The company's revenue for the quarter was up 15.4% compared to the same quarter last year. During the same quarter in the previous year, the business earned $0.37 earnings per share. Analysts forecast that Vital Farms, Inc. will post -0.45 earnings per share for the current year.
Key Stories Impacting Vital Farms
Here are the key news stories impacting Vital Farms this week:
- Positive Sentiment: Several insiders bought shares, including an executive, a director, and the CMO, signaling internal confidence at recent prices.
- Neutral Sentiment: Brokerage coverage remains lukewarm, with the stock reportedly carrying a consensus “Hold” rating. Vital Farms, Inc. (NASDAQ:VITL) Given Consensus Recommendation of "Hold" by Brokerages
- Neutral Sentiment: Analysts also lowered their price target, reflecting weaker sentiment around the company’s outlook. Vital Farms (VITL) price target decreased by 44.93% to 15.50
- Negative Sentiment: Multiple law firms, including Rosen, Schall, Berger Montague, Faruqi & Faruqi, and others, are actively promoting a securities-fraud class action against Vital Farms, increasing litigation risk and uncertainty. Rosen Law Firm lead plaintiff deadline reminder
Analyst Ratings Changes
A number of brokerages have recently issued reports on VITL. Needham & Company LLC cut their price target on Vital Farms from $20.00 to $13.00 and set a "buy" rating on the stock in a report on Monday, May 11th. Stifel Nicolaus reiterated a "hold" rating and issued a $10.00 price target (down from $34.00) on shares of Vital Farms in a report on Friday, May 8th. DA Davidson reiterated a "neutral" rating and issued a $16.00 price target (down from $47.00) on shares of Vital Farms in a report on Monday, May 4th. Mizuho set a $20.00 price target on Vital Farms in a report on Monday, May 4th. Finally, TD Cowen downgraded Vital Farms from a "buy" rating to a "hold" rating and cut their price target for the company from $25.00 to $16.00 in a report on Wednesday, April 8th. Five analysts have rated the stock with a Buy rating, nine have assigned a Hold rating and one has issued a Sell rating to the stock. Based on data from MarketBeat.com, the company presently has an average rating of "Hold" and an average price target of $27.33.
Read Our Latest Stock Report on VITL
Institutional Trading of Vital Farms
A number of institutional investors have recently made changes to their positions in VITL. Van Berkom & Associates Inc. boosted its position in shares of Vital Farms by 1,998.7% in the 1st quarter. Van Berkom & Associates Inc. now owns 2,261,533 shares of the company's stock worth $31,933,000 after purchasing an additional 2,153,775 shares in the last quarter. Wasatch Advisors LP boosted its position in shares of Vital Farms by 80.2% in the 2nd quarter. Wasatch Advisors LP now owns 2,074,803 shares of the company's stock worth $79,921,000 after purchasing an additional 923,507 shares in the last quarter. William Blair Investment Management LLC acquired a new stake in shares of Vital Farms in the 4th quarter worth $25,534,000. Balyasny Asset Management L.P. boosted its position in shares of Vital Farms by 466.5% in the 4th quarter. Balyasny Asset Management L.P. now owns 503,894 shares of the company's stock worth $16,094,000 after purchasing an additional 641,394 shares in the last quarter. Finally, Principal Financial Group Inc. boosted its position in shares of Vital Farms by 41.6% in the 1st quarter. Principal Financial Group Inc. now owns 2,153,008 shares of the company's stock worth $30,400,000 after purchasing an additional 632,537 shares in the last quarter. Institutional investors and hedge funds own 98.59% of the company's stock.
Vital Farms Company Profile
(
Get Free Report)
Vital Farms, traded on the NASDAQ under the symbol VITL, is a U.S.-based food company specializing in pasture-raised egg and dairy products. The company partners with a network of family farms across the United States to produce eggs, butter and related items under a certified humane, pasture-centric farming model. Vital Farms' supply chain emphasizes animal welfare, environmental stewardship and transparent sourcing, appealing to consumers seeking ethically produced, high-quality ingredients.
Founded in 2007 and headquartered in Austin, Texas, Vital Farms began by marketing pasture-raised eggs to health- and ethically minded shoppers.
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