Vital Farms (NASDAQ:VITL) Hits New 12-Month Low – Should You Sell?

Shares of Vital Farms, Inc. (NASDAQ:VITL) reached a new 52-week low on Monday . The company traded as low as $17.91 and last traded at $18.27, with a volume of 724600 shares changing hands. The stock had previously closed at $19.89.

Analyst Ratings Changes

Several equities research analysts have recently commented on the stock. Mizuho reduced their price target on shares of Vital Farms from $48.00 to $40.00 and set an “outperform” rating for the company in a research report on Monday, March 2nd. BMO Capital Markets dropped their price objective 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. Needham & Company LLC cut their target price on shares of Vital Farms from $45.00 to $35.00 and set a “buy” rating for the company in a research report on Monday, March 2nd. DA Davidson set a $47.00 price target on shares of Vital Farms and gave the stock a “buy” rating in a research report on Wednesday, December 17th. Finally, Zacks Research cut shares of Vital Farms from a “hold” rating to a “strong sell” rating in a research note on Monday, March 2nd. Nine analysts have rated the stock with a Buy rating, three have issued a Hold rating and one has assigned a Sell rating to the company. Based on data from MarketBeat.com, Vital Farms currently has a consensus rating of “Moderate Buy” and a consensus target price of $45.00.

Vital Farms Stock Performance

The company has a market cap of $822.47 million, a P/E ratio of 12.75 and a beta of 1.14. The business’s 50 day simple moving average is $27.36 and its 200 day simple moving average is $34.97. The company has a current ratio of 2.16, a quick ratio of 1.61 and a debt-to-equity ratio of 0.01.

Vital Farms (NASDAQ:VITL) last issued 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). The firm had revenue of $213.55 million for the quarter, compared to analysts’ expectations of $212.83 million. Vital Farms had a net margin of 8.73% and a return on equity of 20.69%. Vital Farms’s revenue for the quarter was up 28.6% compared to the same quarter last year. During the same period in the prior year, the firm earned $0.23 EPS. Sell-side analysts predict that Vital Farms, Inc. will post 1.11 earnings per share for the current fiscal year.

Insiders Place Their Bets

In other news, CEO Russell Diez-Canseco sold 16,734 shares of the business’s stock in a transaction dated Monday, December 15th. The stock was sold at an average price of $35.05, for a total value of $586,526.70. Following the transaction, the chief executive officer directly owned 649,684 shares in the company, valued at $22,771,424.20. The trade was a 2.51% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, major shareholder Matthew Ohayer sold 20,000 shares of the company’s stock in a transaction dated Monday, March 2nd. The stock was sold at an average price of $20.33, for a total value of $406,600.00. Following the completion of the transaction, the insider directly owned 6,321,190 shares of the company’s stock, valued at approximately $128,509,792.70. This trade represents a 0.32% decrease in their position. The disclosure for this sale is available in the SEC filing. Insiders sold a total of 86,734 shares of company stock valued at $2,498,827 in the last quarter. 21.30% of the stock is currently owned by company insiders.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently added to or reduced their stakes in the business. Exchange Traded Concepts LLC purchased a new stake in Vital Farms during the 3rd quarter valued at approximately $28,000. Triumph Capital Management purchased a new position in shares of Vital Farms in the fourth quarter worth $25,000. Quarry LP bought a new position in shares of Vital Farms during the fourth quarter worth $27,000. Global Retirement Partners LLC boosted its position in shares of Vital Farms by 4,382.6% during the fourth quarter. Global Retirement Partners LLC now owns 1,031 shares of the company’s stock worth $33,000 after acquiring an additional 1,008 shares during the last quarter. Finally, Caitong International Asset Management Co. Ltd purchased a new position in Vital Farms during the third quarter valued at $55,000. 98.59% of the stock is currently owned by institutional investors.

About Vital Farms

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.