Vital Farms (NASDAQ:VITL) Stock Crosses Above Fifty Day Moving Average on Disappointing Earnings

Key Points

• Vital Farms reported a Q3 loss of $0.15 per share, missing estimates of a $0.11 loss and falling sharply from earnings of $0.36 per share a year earlier. Revenue of $182.2 million slightly topped forecasts but declined 8.4% year over year.
• Shares rose 9.2% and moved above their 50-day moving average, trading as high as $10.61.
• The company withdrew its 2030 targets and expects 2026 net sales of about $730 million alongside an adjusted EBITDA loss of roughly $15 million; analyst sentiment remains mixed, with a consensus “Hold” rating.

Vital Farms, Inc. (NASDAQ:VITL - Get Free Report) crossed above its 50 day moving average during trading on Tuesday following a stronger than expected earnings report. The stock has a 50 day moving average of $9.73 and traded as high as $10.61. Vital Farms shares last traded at $10.02, with a volume of 5,015,812 shares changing hands.

The company reported ($0.15) earnings per share (EPS) for the quarter, missing the consensus estimate of ($0.11) by ($0.04). Vital Farms had a net margin of 0.02% and a return on equity of 3.46%. The company had revenue of $182.16 million during the quarter, compared to analyst estimates of $181.78 million. During the same quarter last year, the business earned $0.36 EPS. The firm's revenue for the quarter was down 8.4% compared to the same quarter last year.

More Vital Farms News

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

• Positive Sentiment: Craig-Hallum upgraded Vital Farms from “hold” to “buy” and set a $12 price target, signaling improved analyst optimism. Craig Hallum rating
• Neutral Sentiment: Third-quarter revenue was $182.2 million, slightly above consensus, though the result was down 8.4% from a year earlier. Third-quarter results
• Negative Sentiment: The company posted a Q3 loss of $0.15 per share, worse than analysts’ estimates of a loss of roughly $0.11–$0.13, and sharply below year-ago earnings of $0.36 per share. Q3 loss report
• Negative Sentiment: Vital Farms withdrew its 2030 targets and expects about $730 million in 2026 net sales but an adjusted EBITDA loss of approximately $15 million. The withdrawn long-term goals and projected loss may weigh on investor confidence. 2026 outlook and withdrawn targets

Analyst Upgrades and Downgrades

A number of research analysts recently weighed in on VITL shares. DA Davidson set a $10.00 price target on shares of Vital Farms in a research note on Tuesday, October 27th. BMO Capital Markets reiterated an "outperform" rating and set a $15.00 price objective on shares of Vital Farms in a research note on Friday, August 7th. Stifel Nicolaus cut their price objective on Vital Farms from $11.00 to $9.00 and set a "hold" rating for the company in a research note on Thursday, October 15th. Craig Hallum raised Vital Farms from a "hold" rating to a "buy" rating and set a $12.00 target price for the company in a report on Tuesday. Finally, TD Cowen decreased their target price on Vital Farms from $11.00 to $8.00 and set a "hold" rating on the stock in a research report on Tuesday, October 13th. Six research analysts have rated the stock with a Buy rating, seven have given a Hold rating and one has assigned a Sell rating to the company. According to data from MarketBeat, the stock currently has a consensus rating of "Hold" and a consensus target price of $16.55.

Institutional Investors Weigh In On Vital Farms

A number of hedge funds have recently modified their holdings of the business. BlackRock Inc. purchased a new stake in Vital Farms during the 2nd quarter valued at about $60,153,000. Van Berkom & Associates Inc. lifted its stake in Vital Farms by 1,998.7% in the 1st quarter. Van Berkom & Associates Inc. now owns 2,261,533 shares of the company's stock worth $31,933,000 after purchasing an additional 2,153,775 shares in the last quarter. Principal Financial Group Inc. lifted its stake in Vital Farms by 41.6% in the 1st quarter. Principal Financial Group Inc. now owns 2,153,008 shares of the company's stock worth $30,400,000 after purchasing an additional 632,537 shares in the last quarter. Dimensional Fund Advisors LP boosted its holdings in shares of Vital Farms by 46.8% during the 1st quarter. Dimensional Fund Advisors LP now owns 1,405,032 shares of the company's stock worth $19,836,000 after purchasing an additional 447,728 shares during the last quarter. Finally, Cibc World Market Inc. acquired a new position in shares of Vital Farms during the 2nd quarter worth approximately $12,975,000. 98.59% of the stock is currently owned by institutional investors and hedge funds.

Vital Farms Trading Up 9.2%

The company has a current ratio of 1.10, a quick ratio of 0.60 and a debt-to-equity ratio of 0.11. The company has a fifty day moving average price of $9.73 and a two-hundred day moving average price of $13.96. The firm has a market capitalization of $430.16 million, a price-to-earnings ratio of -250.50 and a beta of 1.16.

About Vital Farms

Vital Farms, Inc is a food company that produces and markets pasture-raised eggs and other ethically sourced food products. Its offerings include pasture-raised eggs, butter, hard-boiled eggs and ghee, sold under the Vital Farms brand.

Founded in 2007, the company works with a network of family farms and focuses on animal welfare, outdoor access and supply-chain transparency. Vital Farms products are distributed primarily through grocery retailers and other food channels across the United States.

Vital Farms is headquartered in Austin, Texas.

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