The latest trading session saw Vital Farms (VITL) ending at $32.23, denoting a -0.46% adjustment from its last day's close. The stock's change was more than the S&P 500's daily loss of 5.98%. Elsewhere, the Dow saw a downswing of 5.5%, while the tech-heavy Nasdaq depreciated by 5.82%.
The the stock of company has risen by 6.55% in the past month, leading the Consumer Staples sector's gain of 6.06% and the S&P 500's loss of 7.66%.
Analysts and investors alike will be keeping a close eye on the performance of Vital Farms in its upcoming earnings disclosure. The company is forecasted to report an EPS of $0.27, showcasing a 37.21% downward movement from the corresponding quarter of the prior year. Meanwhile, our latest consensus estimate is calling for revenue of $164.38 million, up 11.12% from the prior-year quarter.
Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $1.24 per share and revenue of $741.14 million, indicating changes of +5.08% and +22.24%, respectively, compared to the previous year.
Investors should also take note of any recent adjustments to analyst estimates for Vital Farms. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited externally, with #1 ranked stocks yielding an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed an unchanged state. Vital Farms is holding a Zacks Rank of #3 (Hold) right now.
In terms of valuation, Vital Farms is currently trading at a Forward P/E ratio of 26.11. This signifies a premium in comparison to the average Forward P/E of 16.51 for its industry.
The Food - Miscellaneous industry is part of the Consumer Staples sector. This group has a Zacks Industry Rank of 181, putting it in the bottom 28% of all 250+ industries.
The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
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Vital Farms, Inc. (VITL): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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