Vita Coco (NASDAQ:COCO) Shares Gap Up Following Better-Than-Expected Earnings

Key Points

• Vita Coco shares gapped up after the company reported better-than-expected quarterly results, opening above the prior close as investors reacted positively to the earnings beat.
• The company posted EPS of $0.82 versus the $0.56 consensus estimate and revenue of $216.15 million, also topping forecasts and marking 28.1% year-over-year revenue growth.
• Management raised full-year 2026 revenue guidance to $790 million-$805 million, far above Wall Street expectations, while also highlighting stronger net sales, net income, and adjusted EBITDA growth.

Vita Coco Company, Inc. (NASDAQ:COCO - Get Free Report)'s share price gapped up before the market opened on Thursday following a stronger than expected earnings report. The stock had previously closed at $74.45, but opened at $77.92. Vita Coco shares last traded at $70.7120, with a volume of 402,994 shares.

The company reported $0.82 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $0.56 by $0.26. The business had revenue of $216.15 million for the quarter, compared to analysts' expectations of $210.64 million. Vita Coco had a return on equity of 25.43% and a net margin of 12.59%.Vita Coco's quarterly revenue was up 28.1% on a year-over-year basis. During the same period in the previous year, the business posted $0.38 earnings per share.

Key Stories Impacting Vita Coco

Here are the key news stories impacting Vita Coco this week:

• Positive Sentiment: Second-quarter earnings beat expectations, with Vita Coco reporting EPS of $0.82 versus the $0.56 consensus and revenue of $216.15 million above estimates, signaling stronger-than-expected demand and profitability. Vita Coco Q2 2026 Press Release
• Positive Sentiment: The company raised full-year 2026 revenue guidance to $790 million-$805 million, well above the Wall Street forecast of about $736.2 million, reinforcing expectations for continued growth. Vita Coco Raises Full Year Guidance
• Positive Sentiment: Management said net sales rose 28% year over year, with net income increasing to $49 million and adjusted EBITDA climbing to $67 million, suggesting margin improvement and strong operating leverage. Vita Coco Q2 Financial Results
• Neutral Sentiment: The company also announced the acquisition of Copra, a strategic move that expands its coconut water market share and adds exposure to the super-premium segment, but the near-term financial impact is still unclear. Vita Coco Acquires Copra
• Neutral Sentiment: Analyst commentary and price-target updates around COCO point to a still-rich valuation, which could temper upside if execution slows. Vita Coco stock valuation commentary

Wall Street Analysts Forecast Growth

COCO has been the topic of a number of analyst reports. Weiss Ratings raised shares of Vita Coco from a "buy (b-)" rating to a "buy (b)" rating in a research note on Friday, May 1st. Citigroup restated a "buy" rating on shares of Vita Coco in a research note on Tuesday, May 26th. Zacks Research downgraded Vita Coco from a "strong-buy" rating to a "hold" rating in a report on Monday, June 29th. Wells Fargo & Company upped their price objective on Vita Coco from $75.00 to $85.00 and gave the company an "overweight" rating in a research note on Monday, May 18th. Finally, Piper Sandler increased their target price on Vita Coco from $70.00 to $74.00 and gave the stock an "overweight" rating in a report on Thursday, July 9th. Eight equities research analysts have rated the stock with a Buy rating and three have issued a Hold rating to the stock. According to data from MarketBeat, the stock currently has an average rating of "Moderate Buy" and a consensus target price of $71.00.

Insiders Place Their Bets

In related news, CEO Martin Roper sold 25,000 shares of Vita Coco stock in a transaction dated Friday, April 24th. The stock was sold at an average price of $50.00, for a total value of $1,250,000.00. Following the completion of the transaction, the chief executive officer directly owned 298,484 shares of the company's stock, valued at $14,924,200. The trade was a 7.73% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, COO Jonathan Burth sold 40,000 shares of the company's stock in a transaction dated Wednesday, April 29th. The stock was sold at an average price of $63.75, for a total transaction of $2,550,000.00. Following the transaction, the chief operating officer owned 57,910 shares in the company, valued at approximately $3,691,762.50. This trade represents a 40.85% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last 90 days, insiders have sold 596,950 shares of company stock worth $43,711,695. 12.90% of the stock is owned by company insiders.

Hedge Funds Weigh In On Vita Coco

A number of large investors have recently modified their holdings of COCO. Wasatch Advisors LP boosted its position in Vita Coco by 80.3% in the 1st quarter. Wasatch Advisors LP now owns 3,675,489 shares of the company's stock valued at $176,093,000 after buying an additional 1,637,437 shares during the last quarter. Wellington Management Group LLP raised its position in shares of Vita Coco by 232.2% during the third quarter. Wellington Management Group LLP now owns 1,992,404 shares of the company's stock worth $84,617,000 after acquiring an additional 1,392,678 shares during the last quarter. Fuller & Thaler Asset Management Inc. bought a new stake in shares of Vita Coco during the fourth quarter worth $73,242,000. Millennium Management LLC lifted its stake in shares of Vita Coco by 164.7% during the third quarter. Millennium Management LLC now owns 1,225,803 shares of the company's stock valued at $52,060,000 after acquiring an additional 762,731 shares during the period. Finally, Ameriprise Financial Inc. lifted its stake in shares of Vita Coco by 135.5% during the third quarter. Ameriprise Financial Inc. now owns 1,282,310 shares of the company's stock valued at $54,460,000 after acquiring an additional 737,823 shares during the period. 88.49% of the stock is currently owned by institutional investors and hedge funds.

Vita Coco Stock Down 3.9%

The firm has a fifty day moving average of $75.72 and a 200-day moving average of $62.22. The firm has a market cap of $4.09 billion, a P/E ratio of 52.55, a PEG ratio of 1.81 and a beta of 0.77.

Vita Coco Company Profile

Vita Coco, Inc NASDAQ: COCO is a global beverage company specializing in coconut-based products. Founded in 2004 by Michael Kirban and Ira Liran, the company pioneered the introduction of refrigerated coconut water to U.S. consumers. Headquartered in New York City, Vita Coco sources coconuts from growers in tropical regions such as the Philippines, Indonesia and Brazil, partnering with local farmers to promote sustainable agriculture and community development.

The company's flagship offering, Vita Coco Original Coconut Water, is available in multiple pack sizes and a variety of flavors.

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