Vital Farms (VITL) closed at $27.46 in the latest trading session, marking a -6.12% move from the prior day. This change lagged the S&P 500's 2.06% loss on the day. Elsewhere, the Dow lost 1.76%, while the tech-heavy Nasdaq lost 2.39%.
The company's stock has dropped by 10.47% in the past month, falling short of the Consumer Staples sector's gain of 1.88% and the S&P 500's gain of 1.63%.
The investment community will be paying close attention to the earnings performance of Vital Farms in its upcoming release. On that day, Vital Farms is projected to report earnings of $0.38 per share, which would represent year-over-year growth of 65.22%. Our most recent consensus estimate is calling for quarterly revenue of $213.26 million, up 28.48% from the year-ago period.
For the annual period, the Zacks Consensus Estimates anticipate earnings of $1.44 per share and a revenue of $759.16 million, signifying shifts of +22.03% and 0%, respectively, from the last year.
Investors might also notice recent changes to analyst estimates for Vital Farms. These revisions typically reflect the latest short-term business trends, which can change frequently. As a result, we can interpret positive estimate revisions as a good sign for the business outlook.
Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. 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 ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the past month, there's been a 2.04% fall in the Zacks Consensus EPS estimate. At present, Vital Farms boasts a Zacks Rank of #3 (Hold).
Valuation is also important, so investors should note that Vital Farms has a Forward P/E ratio of 17.88 right now. This represents a premium compared to its industry average Forward P/E of 13.06.
The Food - Miscellaneous industry is part of the Consumer Staples sector. This industry, currently bearing a Zacks Industry Rank of 200, finds itself in the bottom 19% echelons of all 250+ industries.
The Zacks Industry Rank assesses the strength of our separate industry groups by calculating the average Zacks Rank of the individual stocks contained within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to use Zacks.com to monitor all these stock-influencing metrics, and more, throughout the forthcoming trading sessions.
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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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