Vital Farms, Inc. $VITL Position Raised by Vanguard Group Inc.

Key Points

• Vanguard Group increased its Vital Farms stake by 22.9% in the fourth quarter, buying 530,008 additional shares and bringing its total to 2,845,714 shares worth about $90.9 million.
• Vital Farms is still attracting strong institutional ownership, with 98.59% of the stock held by institutions and several other funds also adding to positions during recent quarters.
• The stock is under pressure from mixed fundamentals and analyst sentiment: the company recently missed EPS estimates despite posting higher revenue, while multiple analysts have cut ratings or price targets and ongoing securities litigation remains in focus.

Vanguard Group Inc. raised its stake in Vital Farms, Inc. (NASDAQ:VITL - Free Report) by 22.9% during the fourth quarter, according to its most recent disclosure with the SEC. The fund owned 2,845,714 shares of the company's stock after buying an additional 530,008 shares during the quarter. Vanguard Group Inc. owned approximately 6.35% of Vital Farms worth $90,892,000 as of its most recent SEC filing.

Other hedge funds also recently added to or reduced their stakes in the company. Caitong International Asset Management Co. Ltd acquired a new stake in Vital Farms in the third quarter worth about $55,000. Virtus Advisers LLC bought a new position in Vital Farms in the 3rd quarter valued at about $105,000. GAMMA Investing LLC grew its position in Vital Farms by 896.2% in the 4th quarter. GAMMA Investing LLC now owns 2,590 shares of the company's stock valued at $83,000 after buying an additional 2,330 shares in the last quarter. Jones Financial Companies Lllp grew its position in Vital Farms by 53.6% in the 3rd quarter. Jones Financial Companies Lllp now owns 3,197 shares of the company's stock valued at $135,000 after buying an additional 1,116 shares in the last quarter. Finally, US Bancorp DE grew its position in Vital Farms by 48.3% in the 3rd quarter. US Bancorp DE now owns 3,369 shares of the company's stock valued at $139,000 after buying an additional 1,098 shares in the last quarter. 98.59% of the stock is currently owned by institutional investors.

Trending Headlines about Vital Farms

Here are the key news stories impacting Vital Farms this week:

• Neutral Sentiment: Rosen Law Firm issued another reminder that investors who bought Vital Farms shares during the class period may be eligible to seek compensation in the securities lawsuit, reinforcing ongoing litigation headlines. Article Title
• Neutral Sentiment: Levi & Korsinsky published an investor alert alleging Vital Farms inflated revenue projections, adding to concerns about the company’s prior disclosures. Article Title
• Neutral Sentiment: Multiple other firms, including Pomerantz, Bronstein Gewirtz & Grossman, Faruqi & Faruqi, and The Gross Law Firm, also circulated class-action notices and lead-plaintiff reminders, keeping the lawsuit in the spotlight. Article Title
• Negative Sentiment: Analyst sentiment also appears weaker, with Needham & Company reportedly cutting its price target on Vital Farms to $13.00, which may have added to investor caution. Article Title

Wall Street Analysts Forecast Growth

A number of equities analysts recently issued reports on the stock. TD Cowen lowered shares of Vital Farms from a "buy" rating to a "hold" rating and decreased their target price for the company from $25.00 to $16.00 in a research report on Wednesday, April 8th. Morgan Stanley set a $10.00 target price on shares of Vital Farms in a research report on Friday, May 8th. Mizuho set a $20.00 target price on shares of Vital Farms in a research report on Monday, May 4th. William Blair reiterated a "market perform" rating on shares of Vital Farms in a research report on Friday, May 8th. Finally, Benchmark lowered shares of Vital Farms from a "buy" rating to a "hold" rating in a research report on Thursday, February 26th. Five research analysts have rated the stock with a Buy rating, nine have issued a Hold rating and one has issued a Sell rating to the company's stock. According to MarketBeat, the company presently has an average rating of "Hold" and an average target price of $27.33.

Insider Transactions at Vital Farms

In related news, major shareholder Matthew Ohayer sold 20,000 shares of Vital Farms stock in a transaction dated Monday, March 2nd. The stock was sold at an average price of $20.33, for a total transaction of $406,600.00. Following the transaction, the insider directly owned 6,321,190 shares of the company's stock, valued at $128,509,792.70. The trade was a 0.32% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. Also, Director Karl Khoury bought 5,000 shares of the stock in a transaction that occurred on Monday, March 9th. The shares were purchased at an average cost of $18.45 per share, for a total transaction of $92,250.00. Following the completion of the acquisition, the director owned 119,789 shares of the company's stock, valued at $2,210,107.05. This trade represents a 4.36% increase in their ownership of the stock. Additional details regarding this purchase are available in the official SEC disclosure. 21.30% of the stock is owned by insiders.

Vital Farms Price Performance

NASDAQ:VITL opened at $8.33 on Thursday. The business's 50-day moving average price is $13.84 and its 200 day moving average price is $24.65. The firm has a market cap of $356.94 million, a P/E ratio of 8.01 and a beta of 1.20. Vital Farms, Inc. has a 52-week low of $7.95 and a 52-week high of $53.13. The company has a quick ratio of 1.00, a current ratio of 1.77 and a debt-to-equity ratio of 0.01.

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

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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