Vita Coco (NASDAQ:COCO) Rating Increased to Strong-Buy at Zacks Research

Vita Coco (NASDAQ:COCO) was upgraded by investment analysts at Zacks Research from a “hold” rating to a “strong-buy” rating in a research report issued on Thursday,Zacks.com reports.

Other research analysts also recently issued reports about the company. Jefferies Financial Group upped their target price on Vita Coco from $63.00 to $78.00 and gave the stock a “buy” rating in a research note on Thursday. Evercore reaffirmed an “outperform” rating and set a $70.00 target price on shares of Vita Coco in a research note on Thursday, March 12th. The Goldman Sachs Group reaffirmed a “buy” rating and set a $71.00 target price on shares of Vita Coco in a research note on Thursday. Morgan Stanley set a $65.00 price target on shares of Vita Coco in a research report on Thursday. Finally, Wall Street Zen upgraded shares of Vita Coco from a “sell” rating to a “buy” rating in a research report on Saturday. One equities research analyst has rated the stock with a Strong Buy rating, seven have issued a Buy rating and two have issued a Hold rating to the company. Based on data from MarketBeat.com, Vita Coco presently has an average rating of “Moderate Buy” and an average price target of $69.00.

Vita Coco Stock Performance

Shares of Vita Coco stock opened at $66.75 on Thursday. The company has a market cap of $3.81 billion, a P/E ratio of 48.72, a price-to-earnings-growth ratio of 1.62 and a beta of 0.72. The firm has a 50-day simple moving average of $52.70 and a two-hundred day simple moving average of $51.20. Vita Coco has a fifty-two week low of $30.54 and a fifty-two week high of $69.58.

Vita Coco (NASDAQ:COCO) last announced its earnings results on Wednesday, April 29th. The company reported $0.50 earnings per share for the quarter, topping the consensus estimate of $0.34 by $0.16. The business had revenue of $179.77 million during the quarter, compared to the consensus estimate of $148.39 million. Vita Coco had a return on equity of 25.43% and a net margin of 12.59%.The business’s quarterly revenue was up 37.4% on a year-over-year basis. During the same period in the prior year, the company posted $0.31 EPS. Equities research analysts forecast that Vita Coco will post 1.72 EPS for the current year.

Insider Transactions at Vita Coco

In related news, CEO Martin Roper sold 25,000 shares of the stock in a transaction on Wednesday, April 8th. The stock was sold at an average price of $50.95, for a total value of $1,273,750.00. Following the completion of the transaction, the chief executive officer directly owned 298,484 shares of the company’s stock, valued at approximately $15,207,759.80. This represents a 7.73% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Chairman Michael Kirban sold 50,000 shares of the stock in a transaction on Thursday, April 30th. The shares were sold at an average price of $68.00, for a total value of $3,400,000.00. Following the completion of the transaction, the chairman directly owned 515,681 shares of the company’s stock, valued at approximately $35,066,308. This represents a 8.84% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold 477,800 shares of company stock worth $27,053,262 in the last quarter. 32.30% of the stock is owned by insiders.

Institutional Trading of Vita Coco

Hedge funds have recently bought and sold shares of the business. New York State Common Retirement Fund raised its holdings in Vita Coco by 10.3% in the 3rd quarter. New York State Common Retirement Fund now owns 511,031 shares of the company’s stock valued at $21,703,000 after acquiring an additional 47,632 shares during the last quarter. Westfield Capital Management Co. LP acquired a new stake in Vita Coco in the 3rd quarter valued at about $45,135,000. Hussman Strategic Advisors Inc. acquired a new stake in Vita Coco in the 3rd quarter valued at about $2,230,000. Wilmington Savings Fund Society FSB acquired a new stake in Vita Coco in the 3rd quarter valued at about $62,815,000. Finally, American Century Companies Inc. raised its holdings in Vita Coco by 648.0% in the 3rd quarter. American Century Companies Inc. now owns 647,257 shares of the company’s stock valued at $27,489,000 after acquiring an additional 560,729 shares during the last quarter. Institutional investors and hedge funds own 88.49% of the company’s stock.

Vita Coco News Summary

Here are the key news stories impacting Vita Coco this week:

• Positive Sentiment: Strong Q1 beat and raised guidance — COCO reported $0.50 EPS and ~ $180M revenue (?+37% YoY), beat estimates, and raised full?year revenue/EBITDA guidance; that print is the main catalyst for the recent rally. Press Release
• Positive Sentiment: Analyst upgrades and higher targets — Wells Fargo raised its price target to $75 and put an Overweight on COCO, and other banks (Goldman, Jefferies, Evercore) have also issued buy/outperform views, reinforcing buy?side interest. Benzinga
• Positive Sentiment: Momentum/quality recognition — COCO was highlighted on Zacks’ momentum list and picked up coverage noting a 95+ composite rating, supporting the growth narrative among momentum investors. Zacks Momentum MSN: 95+ Rating
• Neutral Sentiment: Insider selling (planned 10b5?1 trades) — CEO, COO and Chairman disclosed multiple share sales (large blocks in late April). These trades increase float near recent highs but were executed under pre?arranged 10b5?1 plans, which lowers governance alarm. Investors should watch follow?through selling. SEC Form 4
• Neutral Sentiment: High institutional ownership — Institutions own ~88% of shares, which can amplify moves (momentum on the upside, or rapid rotation on any negative news). MarketBeat Profile
• Negative Sentiment: Investor litigation risk — Pomerantz announced an investigation into COCO, which can create headline risk, legal costs, and distracted management focus if it develops. PR Newswire
• Negative Sentiment: New geopolitical risk disclosure — The company flagged heightened geopolitical tensions as a potential pressure on costs, supply chain and margins; worsening conditions could hit gross margins or availability. TipRanks
• Negative Sentiment: Longer?term skepticism — Some analysts/commentaries caution that COCO’s category is niche and competition could cap long?term upside, tempering valuation expectations after the run. Seeking Alpha

About Vita Coco

Vita Coco, Inc (NASDAQ: COCO) is a global beverage company specializing in coconut-based products. Founded in 2004 by Michael Kirban and Ira Liran, the company pioneered the introduction of refrigerated coconut water to U.S. consumers. Headquartered in New York City, Vita Coco sources coconuts from growers in tropical regions such as the Philippines, Indonesia and Brazil, partnering with local farmers to promote sustainable agriculture and community development.

The company’s flagship offering, Vita Coco Original Coconut Water, is available in multiple pack sizes and a variety of flavors.