Vita Coco (NASDAQ:COCO) Posts Quarterly Earnings Results, Beats Estimates By $0.11 EPS

Vita Coco (NASDAQ:COCO) posted its earnings results on Thursday. The company reported $0.58 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.47 by $0.11, Zacks reports. Vita Coco had a net margin of 15.50% and a return on equity of 31.09%. The firm had revenue of $243.83 million during the quarter, compared to analysts’ expectations of $230.10 million. During the same period in the previous year, the business posted $0.40 EPS. The business’s revenue was up 33.7% compared to the same quarter last year.

Here are the key takeaways from Vita Coco’s conference call:

• Third-quarter performance was strong: net sales rose 34% to $244 million, adjusted EBITDA increased to $53 million, and management raised full-year guidance to $810–$820 million in net sales and $170–$175 million in adjusted EBITDA.
• Consumer demand remains robust, with U.S. coconut water retail sales up 28% year to date and Vita Coco branded sales up 27%; international markets, particularly the U.K. and Germany, also delivered exceptional growth.
• Supply-chain constraints, container delays, and retail out-of-stocks caused shipments to lag consumption and constrained near-term growth. Capacity is expected to remain tight through the first half of 2027, although additional capacity is planned for the second half.
• Higher ocean freight, domestic logistics, packaging, and factory costs are expected to reduce fourth-quarter gross margin to approximately 33%. The company plans pricing increases in early 2027 to offset structural cost inflation, while margins remain exposed to the path of freight costs.
• The Copra acquisition is integrating ahead of expectations and adds exposure to the faster-growing, higher-priced super-premium Thai Nam Hom segment. Vita Coco also plans sports-inspired flavors, Vita Coco Kids, a new food-service can, and additional Treats products to attract younger consumers and expand consumption occasions.

Vita Coco Stock Down 7.1%

Shares of NASDAQ COCO traded down $4.50 during midday trading on Thursday, hitting $59.00. The stock had a trading volume of 3,282,043 shares, compared to its average volume of 1,230,670. The stock has a 50 day simple moving average of $58.44 and a 200-day simple moving average of $64.84. The company has a market capitalization of $3.39 billion, a PE ratio of 32.60, a P/E/G ratio of 1.66 and a beta of 0.76. Vita Coco has a 1 year low of $39.60 and a 1 year high of $85.83.

Analyst Upgrades and Downgrades

A number of research analysts have weighed in on the stock. Zacks Research downgraded shares of Vita Coco from a “strong-buy” rating to a “hold” rating in a research report on Monday, September 21st. Oppenheimer initiated coverage on Vita Coco in a report on Thursday, October 1st. They issued an “outperform” rating and a $70.00 price target for the company. William Blair reiterated a “market perform” rating on shares of Vita Coco in a research report on Thursday. Piper Sandler cut their price objective on Vita Coco from $89.00 to $83.00 and set an “overweight” rating for the company in a research report on Thursday, September 10th. Finally, Wells Fargo & Company dropped their price target on shares of Vita Coco from $85.00 to $65.00 and set an “overweight” rating on the stock in a research note on Monday, October 5th. Nine analysts have rated the stock with a Buy rating and three have assigned a Hold rating to the stock. Based on data from MarketBeat, the stock currently has an average rating of “Moderate Buy” and an average target price of $73.50.

Key Headlines Impacting Vita Coco

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

• Positive Sentiment: Vita Coco reported third-quarter revenue of $244 million, up 34% year over year, driven by 15% growth in Vita Coco coconut-water sales and 18% organic net sales growth. Vita Coco Third-Quarter 2026 Financial Results
• Positive Sentiment: Adjusted EBITDA increased $21 million to $53 million, while net income rose $11 million to $35 million. Earnings of $0.58 per share exceeded analyst estimates ranging from $0.47 to $0.51 and increased from $0.40 in the prior-year quarter. Vita Coco Q3 Earnings and Revenues
• Positive Sentiment: Management raised its 2026 guidance, calling for net sales of $810 million to $820 million and adjusted EBITDA of $170 million to $175 million, reflecting continued demand for coconut water. Vita Coco Beat and Raise Quarter
• Neutral Sentiment: The earnings release indicates year-to-date sales reached $640 million, up 33%, supporting the company’s growth narrative; however, investors may be focused on the pace of future growth rather than the reported quarter.
• Negative Sentiment: Despite the beat and raised guidance, the stock fell in trading. The reaction suggests expectations were elevated and that investors may have viewed the outlook, growth rates, or valuation as insufficient to justify further gains. Vita Coco Earnings Call Transcript

Vita Coco Company Profile

The Vita Coco Company, Inc is a beverage company focused on hydration and wellness products. Its flagship brand, Vita Coco, offers coconut water in a variety of formats and flavors, including original, flavored and pressed coconut water products. The company also markets other beverages under brands such as Ever & Ever, a plant-based water brand, and PWR LIFT, a functional hydration beverage.

Vita Coco products are sold through grocery stores, mass merchandisers, convenience stores, club retailers, e-commerce platforms and foodservice channels.