Freshpet (NASDAQ:FRPT) Posts Earnings Results

Key Points

• Freshpet reported an earnings per share (EPS) of $0.33 for the quarter, exceeding the consensus estimate of $0.13 by $0.20.
• The company's stock is currently trading down 3.6% after the earnings announcement, with a market capitalization of $3.21 billion.
• Analysts have mixed ratings on Freshpet, with two sell ratings, five hold ratings, and eight buy ratings, resulting in an average target price of $119.14.

Freshpet (NASDAQ:FRPT - Get Free Report) released its earnings results on Monday. The company reported $0.33 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.12 by $0.21, Zacks reports. Freshpet had a return on equity of 4.82% and a net margin of 3.23%. The firm had revenue of $264.69 million during the quarter, compared to analysts' expectations of $269.75 million. During the same quarter last year, the business posted ($0.03) earnings per share. The firm's revenue was up 12.5% on a year-over-year basis. Freshpet updated its FY 2025 guidance to EPS.

Freshpet Stock Down 1.9%

FRPT stock traded down $1.24 on Friday, hitting $62.74. 1,021,853 shares of the company's stock were exchanged, compared to its average volume of 1,353,973. Freshpet has a 12-month low of $62.27 and a 12-month high of $164.07. The firm has a 50 day moving average price of $72.11 and a two-hundred day moving average price of $89.82. The company has a debt-to-equity ratio of 0.40, a quick ratio of 3.92 and a current ratio of 4.81. The stock has a market cap of $3.06 billion, a P/E ratio of 93.64, a price-to-earnings-growth ratio of 1.12 and a beta of 1.77.

Wall Street Analysts Forecast Growth

Several equities analysts have weighed in on the company. Robert W. Baird cut their price target on Freshpet from $125.00 to $115.00 and set an "outperform" rating for the company in a report on Tuesday, May 6th. UBS Group initiated coverage on Freshpet in a report on Monday, June 16th. They issued a "sell" rating and a $65.00 target price for the company. Stifel Nicolaus set a $90.00 target price on Freshpet and gave the stock a "buy" rating in a report on Thursday, June 12th. Benchmark reiterated a "buy" rating and issued a $95.00 target price (down previously from $120.00) on shares of Freshpet in a report on Tuesday. Finally, Wells Fargo & Company dropped their target price on Freshpet from $100.00 to $88.00 and set an "overweight" rating for the company in a report on Wednesday, July 9th. Two research analysts have rated the stock with a sell rating, five have issued a hold rating and eight have issued a buy rating to the company. Based on data from MarketBeat.com, the company currently has an average rating of "Hold" and an average price target of $116.64.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently added to or reduced their stakes in the business. Royal Bank of Canada boosted its stake in shares of Freshpet by 86.3% in the first quarter. Royal Bank of Canada now owns 67,623 shares of the company's stock worth $5,624,000 after buying an additional 31,334 shares during the last quarter. United Services Automobile Association purchased a new stake in shares of Freshpet in the first quarter worth about $247,000. Finally, Jones Financial Companies Lllp boosted its stake in shares of Freshpet by 734.1% in the first quarter. Jones Financial Companies Lllp now owns 1,810 shares of the company's stock worth $151,000 after buying an additional 1,593 shares during the last quarter.

About Freshpet

Freshpet, Inc, together with its subsidiaries, manufactures, distributes, and markets natural fresh meals and treats for dogs and cats in the United States, Canada, and Europe. It sells dog food, cat food, and dog treats under the Freshpet brand name; and Dognation and Dog Joy labels through various classes of retail, including grocery, mass, club, pet specialty, and natural, as well as online.