Vital Farms (NASDAQ:VITL) Trading Down 7.1% – Here’s What Happened

Vital Farms, Inc. (NASDAQ:VITL)’s share price dropped 7.1% on Tuesday . The company traded as low as $26.65 and last traded at $27.1850. Approximately 1,561,168 shares were traded during trading, an increase of 32% from the average daily volume of 1,185,923 shares. The stock had previously closed at $29.25.

Analysts Set New Price Targets

VITL has been the topic of a number of research reports. Weiss Ratings reaffirmed a “hold (c+)” rating on shares of Vital Farms in a report on Monday, December 29th. Zacks Research downgraded Vital Farms from a “strong-buy” rating to a “hold” rating in a research report on Friday, November 14th. Morgan Stanley dropped their price target on Vital Farms from $48.00 to $45.00 and set an “overweight” rating on the stock in a research report on Wednesday, December 17th. DA Davidson set a $47.00 price objective on Vital Farms and gave the stock a “buy” rating in a report on Wednesday, December 17th. Finally, 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. Thirteen research analysts have rated the stock with a Buy rating and two have given a Hold rating to the company. Based on data from MarketBeat, Vital Farms presently has an average rating of “Moderate Buy” and a consensus price target of $49.91.

Vital Farms Stock Down 6.1%

The stock has a market capitalization of $1.23 billion, a P/E ratio of 20.80 and a beta of 1.11. The company has a debt-to-equity ratio of 0.02, a current ratio of 2.65 and a quick ratio of 2.15. The stock has a fifty day moving average price of $31.79 and a 200 day moving average price of $38.45.

Vital Farms (NASDAQ:VITL) last issued its quarterly earnings data on Tuesday, November 4th. The company reported $0.36 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $0.30 by $0.06. Vital Farms had a return on equity of 20.19% and a net margin of 8.50%.The business had revenue of $198.94 million for the quarter, compared to analysts’ expectations of $191.35 million. During the same quarter in the prior year, the firm posted $0.16 EPS. The firm’s quarterly revenue was up 37.2% on a year-over-year basis. On average, research analysts forecast that Vital Farms, Inc. will post 1.11 earnings per share for the current year.

Insider Buying and Selling

In related news, CEO Russell Diez-Canseco sold 16,734 shares of the business’s stock in a transaction that occurred on Monday, December 15th. The shares were sold at an average price of $35.05, for a total transaction of $586,526.70. Following the completion of the transaction, the chief executive officer owned 649,684 shares of the company’s stock, valued at approximately $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 accessible through the SEC website. Also, insider Matthew Ohayer sold 25,000 shares of the company’s stock in a transaction that occurred on Monday, November 3rd. The stock was sold at an average price of $31.92, for a total transaction of $798,000.00. Following the sale, the insider directly owned 6,422,070 shares in the company, valued at $204,992,474.40. This trade represents a 0.39% decrease in their position. The disclosure for this sale is available in the SEC filing. Insiders sold 101,734 shares of company stock valued at $3,350,177 over the last 90 days. 21.30% of the stock is owned by company insiders.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently modified their holdings of VITL. Exchange Traded Concepts LLC purchased a new stake in Vital Farms during the third quarter valued at about $28,000. Caitong International Asset Management Co. Ltd bought a new stake in shares of Vital Farms in the 3rd quarter worth approximately $55,000. GAMMA Investing LLC lifted its holdings in shares of Vital Farms by 896.2% in the 4th quarter. GAMMA Investing LLC now owns 2,590 shares of the company’s stock worth $83,000 after acquiring an additional 2,330 shares during the last quarter. Virtus Advisers LLC purchased a new stake in shares of Vital Farms in the 3rd quarter valued at $105,000. Finally, Assetmark Inc. grew its holdings in shares of Vital Farms by 18.9% during the 2nd quarter. Assetmark Inc. now owns 3,153 shares of the company’s stock valued at $121,000 after purchasing an additional 501 shares during the last quarter. Hedge funds and other institutional investors own 98.59% of the company’s stock.

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.