Benchmark Downgrades Vital Farms (NASDAQ:VITL) to Hold

Vital Farms (NASDAQ:VITL) was downgraded by analysts at Benchmark from a “buy” rating to a “hold” rating in a report issued on Thursday.

Other research analysts have also recently issued research reports about the stock. BMO Capital Markets decreased their price target on shares of Vital Farms from $60.00 to $50.00 and set an “outperform” rating on the stock in a report on Thursday, December 18th. Mizuho decreased their target price on Vital Farms from $53.00 to $48.00 and set an “outperform” rating on the stock in a research note on Wednesday, November 26th. Jefferies Financial Group reiterated a “buy” rating and set a $52.00 price target on shares of Vital Farms in a research report on Wednesday, December 17th. TD Cowen reissued a “buy” rating on shares of Vital Farms in a research note on Tuesday, January 20th. Finally, Zacks Research lowered shares of Vital Farms from a “strong-buy” rating to a “hold” rating in a report on Friday, November 14th. Eleven investment analysts have rated the stock with a Buy rating and three have given a Hold rating to the company. According to MarketBeat.com, the stock currently has a consensus rating of “Moderate Buy” and an average price target of $49.91.

Vital Farms Price Performance

VITL traded down $3.68 during trading on Thursday, reaching $21.11. 8,410,694 shares of the company were exchanged, compared to its average volume of 1,743,942. Vital Farms has a 12-month low of $19.80 and a 12-month high of $53.13. The company’s 50-day moving average is $29.04 and its two-hundred day moving average is $36.40. The company has a quick ratio of 2.15, a current ratio of 2.65 and a debt-to-equity ratio of 0.02. The company has a market cap of $945.17 million, a price-to-earnings ratio of 16.06 and a beta of 1.10.

Vital Farms (NASDAQ:VITL) last announced its quarterly earnings results on Thursday, February 26th. The company reported $0.35 earnings per share for the quarter, missing the consensus estimate of $0.38 by ($0.03). Vital Farms had a net margin of 8.50% and a return on equity of 20.19%. The company had revenue of $213.55 million for the quarter, compared to the consensus estimate of $212.83 million. During the same quarter in the prior year, the company earned $0.23 earnings per share. The company’s quarterly revenue was up 28.6% on a year-over-year basis. Research analysts forecast that Vital Farms will post 1.11 earnings per share for the current fiscal year.

Insider Buying and Selling

In other news, insider Matthew Ohayer sold 20,000 shares of the firm’s stock in a transaction that occurred on Monday, February 2nd. The shares were sold at an average price of $27.91, for a total value of $558,200.00. Following the transaction, the insider owned 6,341,190 shares in the company, valued at approximately $176,982,612.90. This trade represents a 0.31% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, CEO Russell Diez-Canseco sold 16,734 shares of the business’s stock in a transaction dated Monday, December 15th. The shares were sold at an average price of $35.05, for a total value of $586,526.70. Following the transaction, the chief executive officer owned 649,684 shares in the company, valued at approximately $22,771,424.20. This represents a 2.51% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. In the last three months, insiders have sold 91,734 shares of company stock valued at $2,921,477. Insiders own 21.30% of the company’s stock.

Hedge Funds Weigh In On Vital Farms

A number of institutional investors and hedge funds have recently made changes to their positions in VITL. Triumph Capital Management purchased a new stake in Vital Farms during the 4th quarter valued at about $25,000. Quarry LP bought a new position in shares of Vital Farms during the 4th quarter valued at $27,000. Exchange Traded Concepts LLC purchased a new position in Vital Farms in the third quarter worth about $28,000. Global Retirement Partners LLC boosted its holdings in shares of Vital Farms by 4,382.6% in the fourth quarter. Global Retirement Partners LLC now owns 1,031 shares of the company’s stock worth $33,000 after buying an additional 1,008 shares during the last quarter. Finally, PNC Financial Services Group Inc. lifted its holdings in Vital Farms by 225.6% during the fourth quarter. PNC Financial Services Group Inc. now owns 1,452 shares of the company’s stock valued at $46,000 after purchasing an additional 1,006 shares in the last quarter. Institutional investors own 98.59% of the company’s stock.

Vital Farms Company Profile

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.