Back to top

Image: Bigstock

Why Vital Farms (VITL) Dipped More Than Broader Market Today

Read MoreHide Full Article

The most recent trading session ended with Vital Farms (VITL - Free Report) standing at $35.49, reflecting a -1.58% shift from the previouse trading day's closing. This change lagged the S&P 500's 0.17% loss on the day. Meanwhile, the Dow lost 0.44%, and the Nasdaq, a tech-heavy index, lost 0.04%.

Prior to today's trading, shares of the company had gained 18.15% over the past month. This has outpaced the Consumer Staples sector's loss of 0.25% and the S&P 500's gain of 1.25% in that time.

Analysts and investors alike will be keeping a close eye on the performance of Vital Farms in its upcoming earnings disclosure. The company's earnings per share (EPS) are projected to be $0.14, reflecting a 40% increase from the same quarter last year. Alongside, our most recent consensus estimate is anticipating revenue of $142 million, indicating a 28.59% upward movement from the same quarter last year.

For the entire fiscal year, the Zacks Consensus Estimates are projecting earnings of $1.11 per share and a revenue of $595.7 million, representing changes of +88.14% and +26.25%, respectively, from the prior year.

It's also important for investors to be aware of any recent modifications to analyst estimates for Vital Farms. These latest adjustments often mirror the shifting dynamics of short-term business patterns. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.

Our research shows that these estimate changes are directly correlated with near-term stock prices. To capitalize on this, we've crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical rating system.

Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, there's been no change in the Zacks Consensus EPS estimate. Currently, Vital Farms is carrying a Zacks Rank of #3 (Hold).

Looking at its valuation, Vital Farms is holding a Forward P/E ratio of 32.63. This signifies a premium in comparison to the average Forward P/E of 18.02 for its industry.

The Food - Miscellaneous industry is part of the Consumer Staples sector. With its current Zacks Industry Rank of 87, this industry ranks in the top 35% of all industries, numbering over 250.

The Zacks Industry Rank assesses the vigor of our specific industry groups by computing the average Zacks Rank of the individual stocks incorporated in the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Don't forget to use Zacks.com to keep track of all these stock-moving metrics, and others, in the upcoming trading sessions.


See More Zacks Research for These Tickers


Normally $25 each - click below to receive one report FREE:


Vital Farms, Inc. (VITL) - free report >>

Published in