Skylands Capital LLC Purchases New Stake in Vital Farms, Inc. $VITL

Key Points

• Skylands Capital disclosed a new first-quarter stake in Vital Farms, buying 137,600 shares worth about $1.94 million, or roughly 0.31% of the company.
• Analyst sentiment has turned more cautious: several firms cut price targets, and the overall consensus rating is now “Hold” with a target price of $27.33.
• Vital Farms reported mixed quarterly results, with revenue up 15.4% year over year to $187.16 million but EPS of -$0.03, missing expectations; insiders also bought shares in recent weeks.

Skylands Capital LLC purchased a new stake in Vital Farms, Inc. (NASDAQ:VITL - Free Report) in the first quarter, according to the company in its most recent disclosure with the Securities & Exchange Commission. The fund purchased 137,600 shares of the company's stock, valued at approximately $1,943,000. Skylands Capital LLC owned approximately 0.31% of Vital Farms as of its most recent SEC filing.

Other institutional investors and hedge funds have also bought and sold shares of the company. Van Berkom & Associates Inc. acquired a new stake in shares of Vital Farms during the 4th quarter worth approximately $3,442,000. Divisadero Street Capital Management LP lifted its stake in Vital Farms by 131.7% during the third quarter. Divisadero Street Capital Management LP now owns 993,338 shares of the company's stock worth $40,876,000 after purchasing an additional 564,711 shares during the last quarter. Principal Financial Group Inc. boosted its holdings in shares of Vital Farms by 10.4% in the 4th quarter. Principal Financial Group Inc. now owns 1,520,471 shares of the company's stock valued at $48,564,000 after purchasing an additional 142,790 shares in the last quarter. Citigroup Inc. boosted its holdings in shares of Vital Farms by 554.1% in the 3rd quarter. Citigroup Inc. now owns 95,258 shares of the company's stock valued at $3,920,000 after purchasing an additional 80,694 shares in the last quarter. Finally, Impax Asset Management Group plc boosted its holdings in shares of Vital Farms by 119.4% in the 4th quarter. Impax Asset Management Group plc now owns 238,915 shares of the company's stock valued at $7,631,000 after purchasing an additional 130,000 shares in the last quarter. Institutional investors own 98.59% of the company's stock.

Wall Street Analysts Forecast Growth

A number of equities analysts have recently commented on the company. Needham & Company LLC lowered their price target on Vital Farms from $20.00 to $13.00 and set a "buy" rating for the company in a report on Monday, May 11th. Morgan Stanley set a $10.00 price objective on Vital Farms in a research note on Friday, May 8th. Zacks Research downgraded Vital Farms from a "hold" rating to a "strong sell" rating in a research note on Monday, March 2nd. Telsey Advisory Group cut shares of Vital Farms from an "outperform" rating to a "market perform" rating and set a $11.00 target price for the company. in a report on Friday, May 8th. Finally, Stifel Nicolaus restated a "hold" rating and issued a $10.00 price target (down from $34.00) on shares of Vital Farms in a research note on Friday, May 8th. Five research analysts have rated the stock with a Buy rating, eight have issued a Hold rating and two have given a Sell rating to the company. According to MarketBeat.com, Vital Farms presently has a consensus rating of "Hold" and a consensus target price of $27.33.

Vital Farms Stock Up 4.8%

Shares of NASDAQ:VITL opened at $11.19 on Friday. The company has a fifty day moving average of $10.65 and a 200-day moving average of $19.56. The company has a market capitalization of $479.49 million, a PE ratio of 10.76 and a beta of 1.09. The company has a debt-to-equity ratio of 0.01, a quick ratio of 1.00 and a current ratio of 1.77. Vital Farms, Inc. has a 52-week low of $7.95 and a 52-week high of $53.13.

Vital Farms (NASDAQ:VITL - Get Free Report) last posted its quarterly earnings data on Thursday, May 7th. The company reported ($0.03) earnings per share for the quarter, missing analysts' consensus estimates of $0.09 by ($0.12). The company had revenue of $187.16 million during the quarter, compared to analyst estimates of $182.40 million. Vital Farms had a net margin of 6.10% and a return on equity of 14.47%. The business's revenue for the quarter was up 15.4% on a year-over-year basis. During the same quarter in the previous year, the company earned $0.37 earnings per share. On average, equities analysts predict that Vital Farms, Inc. will post -0.45 EPS for the current fiscal year.

Insiders Place Their Bets

In other Vital Farms news, insider Peter Nicholas Pappas bought 3,500 shares of the firm's stock in a transaction that occurred on Thursday, May 14th. The stock was acquired at an average price of $8.51 per share, with a total value of $29,785.00. Following the completion of the purchase, the insider directly owned 85,169 shares of the company's stock, valued at approximately $724,788.19. This trade represents a 4.29% increase in their position. The purchase was disclosed in a legal filing with the SEC, which is available at this link. Also, Director Glenda J. Flanagan bought 6,100 shares of the stock in a transaction on Monday, May 18th. The stock was acquired at an average price of $8.33 per share, with a total value of $50,813.00. Following the completion of the acquisition, the director owned 37,498 shares of the company's stock, valued at $312,358.34. This represents a 19.43% increase in their position. The disclosure for this purchase is available in the SEC filing. Insiders have purchased 38,700 shares of company stock worth $320,864 in the last quarter. 3.90% of the stock is currently owned by company insiders.

Vital Farms Company Profile

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.

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