Vital Farms (NASDAQ:VITL) Receives “Equal Weight” Rating from Morgan Stanley

Morgan Stanley restated their equal weight rating on shares of Vital Farms (NASDAQ:VITL) in a report published on Friday morning, MarketBeat reports. The firm currently has a $24.00 target price on the stock, down from their prior target price of $45.00.

Several other equities research analysts have also commented on the stock. Mizuho reduced their price target on shares of Vital Farms from $53.00 to $48.00 and set an “outperform” rating for the company in a report on Wednesday, November 26th. Zacks Research cut Vital Farms from a “strong-buy” rating to a “hold” rating in a research report on Friday, November 14th. Benchmark downgraded Vital Farms from a “buy” rating to a “hold” rating in a report on Thursday. Weiss Ratings restated a “hold (c+)” rating on shares of Vital Farms in a research note on Monday, December 29th. Finally, BMO Capital Markets dropped their price objective on Vital Farms from $60.00 to $50.00 and set an “outperform” rating on the stock in a research report on Thursday, December 18th. Nine investment analysts have rated the stock with a Buy rating and four have issued a Hold rating to the company’s stock. According to MarketBeat.com, the stock currently has an average rating of “Moderate Buy” and a consensus target price of $46.64.

Vital Farms Trading Down 4.6%

NASDAQ:VITL traded down $1.02 during midday trading on Friday, hitting $21.09. The stock had a trading volume of 3,750,769 shares, compared to its average volume of 2,050,329. The company has a quick ratio of 2.15, a current ratio of 2.65 and a debt-to-equity ratio of 0.02. The stock has a 50-day moving average of $28.60 and a 200 day moving average of $36.13. The company has a market capitalization of $944.41 million, a price-to-earnings ratio of 14.65 and a beta of 1.10. Vital Farms has a one year low of $19.80 and a one year high of $53.13.

Vital Farms (NASDAQ:VITL) last issued its earnings results on Thursday, February 26th. The company reported $0.35 earnings per share for the quarter, missing the consensus estimate of $0.38 by ($0.03). Vital Farms had a return on equity of 21.38% and a net margin of 8.73%.The firm had revenue of $213.55 million during the quarter, compared to analysts’ expectations of $212.83 million. During the same quarter in the prior year, the company posted $0.23 earnings per share. Vital Farms’s quarterly revenue was up 28.6% compared to the same quarter last year. As a group, sell-side analysts forecast that Vital Farms will post 1.11 EPS for the current year.

Insider Transactions at Vital Farms

In other news, CEO Russell Diez-Canseco sold 16,734 shares of the business’s stock in a transaction dated Monday, December 15th. The stock was sold at an average price of $35.05, for a total transaction of $586,526.70. Following the sale, the chief executive officer owned 649,684 shares in the company, valued at approximately $22,771,424.20. The trade was a 2.51% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, insider Matthew Ohayer sold 20,000 shares of Vital Farms stock in a transaction that occurred on Monday, February 2nd. The stock was sold at an average price of $27.91, for a total transaction of $558,200.00. Following the completion of the sale, the insider owned 6,341,190 shares of the company’s stock, valued at $176,982,612.90. This trade represents a 0.31% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Over the last quarter, insiders sold 91,734 shares of company stock valued at $2,921,477. 21.30% of the stock is currently owned by company insiders.

Hedge Funds Weigh In On Vital Farms

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in the company. Triumph Capital Management purchased a new position in shares of Vital Farms in the fourth quarter worth about $25,000. Quarry LP purchased a new position in Vital Farms during the 4th quarter worth approximately $27,000. Exchange Traded Concepts LLC acquired a new stake in Vital Farms during the 3rd quarter valued at approximately $28,000. Global Retirement Partners LLC lifted its stake in Vital Farms by 4,382.6% during the 4th quarter. Global Retirement Partners LLC now owns 1,031 shares of the company’s stock valued at $33,000 after acquiring an additional 1,008 shares during the period. Finally, PNC Financial Services Group Inc. boosted its holdings in shares of Vital Farms by 225.6% in the 4th quarter. PNC Financial Services Group Inc. now owns 1,452 shares of the company’s stock valued at $46,000 after acquiring an additional 1,006 shares during the last quarter. Hedge funds and other institutional investors own 98.59% of the company’s stock.

Key Headlines Impacting Vital Farms

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

• Positive Sentiment: Q4 revenue growth and top‑line clarity — Revenue rose ~28.6% year‑over‑year and Q4 revenue came in essentially inline with expectations, showing continued demand and scale benefits. This supports the company’s growth story even though EPS missed. MarketBeat / Press Release
• Neutral Sentiment: Board leadership transition — Founder Matt O’Hayer stepped down as Executive Chair; CEO Russell Diez‑Canseco was named Executive Chair to maintain continuity. This reduces governance uncertainty short‑term but is unlikely to change fundamentals immediately. Business Wire
• Negative Sentiment: EPS miss and mixed guidance reaction — Q4 EPS of $0.35 missed the $0.38 consensus (revenues roughly inline). Several outlets highlight the profit shortfall and guidance interpretation that disappointed some investors, which directly pressured the stock. Zacks
• Negative Sentiment: Securities‑class investigation announced — The Rosen Law Firm has opened an investigation alleging Vital Farms may have provided materially misleading information to investors. Such filings often increase short‑term selling pressure and can raise legal risk and potential future costs. GlobeNewswire
• Negative Sentiment: Analyst revisions and target cuts — Multiple firms updated coverage: Benchmark downgraded to “hold,” Morgan Stanley trimmed its price target to $24 (from $45), and Telsey cut its target to $35 while keeping an outperform stance. These moves reduce near‑term upside expectations and can amplify selling. Benzinga

Vital Farms Company Profile

Vital Farms, traded on the NASDAQ under the symbol VITL, is a U.S.-based food company specializing in pasture-raised egg and dairy products. The company partners with a network of family farms across the United States to produce eggs, butter and related items under a certified humane, pasture-centric farming model. Vital Farms’ supply chain emphasizes animal welfare, environmental stewardship and transparent sourcing, appealing to consumers seeking ethically produced, high-quality ingredients.

Founded in 2007 and headquartered in Austin, Texas, Vital Farms began by marketing pasture-raised eggs to health- and ethically minded shoppers.