Vital Farms (NASDAQ:VITL) Downgraded to Hold Rating by TD Cowen

TD Cowen downgraded shares of Vital Farms (NASDAQ:VITL) from a buy rating to a hold rating in a research note issued to investors on Wednesday, Marketbeat.com reports. TD Cowen currently has $16.00 target price on the stock, down from their prior target price of $25.00.

A number of other research firms have also issued reports on VITL. Mizuho decreased their target price on Vital Farms from $48.00 to $40.00 and set an “outperform” rating for the company in a report on Monday, March 2nd. Morgan Stanley reiterated an “equal weight” rating and issued a $24.00 target price (down from $45.00) on shares of Vital Farms in a report on Friday, February 27th. Jefferies Financial Group restated a “buy” rating and issued a $52.00 price target on shares of Vital Farms in a research note on Wednesday, December 17th. Telsey Advisory Group cut their price target on Vital Farms from $35.00 to $26.00 and set an “outperform” rating on the stock in a research note on Friday, March 27th. Finally, DA Davidson set a $47.00 price target on Vital Farms and gave the company a “buy” rating in a research note on Wednesday, December 17th. Nine analysts have rated the stock with a Buy rating, four have assigned a Hold rating and one has issued a Sell rating to the company. According to data from MarketBeat.com, the stock has an average rating of “Moderate Buy” and an average target price of $38.58.

Vital Farms Trading Down 5.8%

NASDAQ:VITL opened at $12.77 on Wednesday. The firm has a market cap of $572.10 million, a PE ratio of 8.87 and a beta of 1.35. The stock has a fifty day moving average price of $20.44 and a 200 day moving average price of $29.53. Vital Farms has a 12-month low of $12.35 and a 12-month high of $53.13. The company has a current ratio of 2.16, a quick ratio of 1.61 and a debt-to-equity ratio of 0.01.

Vital Farms (NASDAQ:VITL) last released its earnings results on Thursday, February 26th. The company reported $0.35 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $0.38 by ($0.03). The company had revenue of $213.55 million during the quarter, compared to analysts’ expectations of $212.83 million. Vital Farms had a net margin of 8.73% and a return on equity of 20.69%. The company’s revenue for the quarter was up 28.6% on a year-over-year basis. During the same quarter last year, the business posted $0.23 earnings per share. Sell-side analysts anticipate that Vital Farms will post 1.11 earnings per share for the current fiscal year.

Insiders Place Their Bets

In other Vital Farms news, major shareholder Matthew Ohayer sold 20,000 shares of the firm’s stock in a transaction on Monday, March 2nd. The stock was sold at an average price of $20.33, for a total value of $406,600.00. Following the sale, the insider directly owned 6,321,190 shares in the company, valued at $128,509,792.70. This trade represents a 0.32% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, Director Karl Khoury purchased 5,000 shares of the business’s stock in a transaction on Monday, March 9th. The stock was acquired at an average price of $18.45 per share, for a total transaction of $92,250.00. Following the completion of the purchase, the director owned 119,789 shares of the company’s stock, valued at $2,210,107.05. This represents a 4.36% increase in their ownership of the stock. The disclosure for this purchase is available in the SEC filing. 21.30% of the stock is owned by company insiders.

Institutional Trading of Vital Farms

A number of hedge funds and other institutional investors have recently made changes to their positions in the company. Vanguard Group Inc. increased its position in shares of Vital Farms by 22.9% during the fourth quarter. Vanguard Group Inc. now owns 2,845,714 shares of the company’s stock worth $90,892,000 after purchasing an additional 530,008 shares in the last quarter. Wasatch Advisors LP grew its holdings in shares of Vital Farms by 13.7% during the fourth quarter. Wasatch Advisors LP now owns 2,687,246 shares of the company’s stock worth $85,831,000 after buying an additional 324,725 shares during the last quarter. Wellington Management Group LLP grew its holdings in shares of Vital Farms by 1.3% during the fourth quarter. Wellington Management Group LLP now owns 2,047,955 shares of the company’s stock worth $65,412,000 after buying an additional 26,150 shares during the last quarter. Principal Financial Group Inc. grew its holdings in shares of Vital Farms by 10.4% during the fourth quarter. Principal Financial Group Inc. now owns 1,520,471 shares of the company’s stock worth $48,564,000 after buying an additional 142,790 shares during the last quarter. Finally, State Street Corp grew its holdings in shares of Vital Farms by 64.7% during the fourth quarter. State Street Corp now owns 1,293,788 shares of the company’s stock worth $41,324,000 after buying an additional 508,222 shares during the last quarter. Institutional investors and hedge funds own 98.59% of the company’s stock.

Key Vital Farms News

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

• Positive Sentiment: Craig‑Hallum kept a Buy rating on VITL and lowered its price target to $20, signaling the firm still sees upside despite more cautious assumptions. Craig-Hallum Lowers its PT on Vital Farms (VITL) to $20 Maintains Buy Rating
• Neutral Sentiment: Coverage commentary highlights a shifting narrative after recent cautious analyst updates, providing context but not a clear directional catalyst. Why The Narrative Around Vital Farms (VITL) Is Shifting After Cautious Analyst Updates
• Negative Sentiment: TD Cowen downgraded Vital Farms from Buy to Hold and cut its price target to $16 (from $25), reducing near‑term analyst support and signaling weaker expectations for recovery — a direct bearish driver. TD Cowen Downgrade (Benzinga) Finviz Quote
• Negative Sentiment: Multiple plaintiffs’ law firms (Rosen, Pomerantz, Berger Montague, Faruqi & Faruqi, Wolf Haldenstein, The Gross Law Firm, others) have issued investor alerts and filed/announced securities‑class‑action activity tied to the same class period — increasing legal risk, potential liability, and investor anxiety. These coordinated notices amplify selling pressure and create uncertainty about future costs and management distraction. Representative notices: Rosen Law Firm Notice Pomerantz Notice Berger Montague Notice

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.