Vital Farms (VITL – Research Report), the Consumer Defensive sector company, was revisited by a Wall Street analyst today. Analyst Robert Moskow from TD Cowen maintained a Buy rating on the stock and has a $42.00 price target.
Robert Moskow has given his Buy rating due to a combination of factors including the company’s efforts to address current challenges and its potential for future growth. Despite a noticeable slowdown in sales growth, particularly in egg sales, Moskow acknowledges Vital Farms’ proactive steps to manage supply chain constraints. The company is working on expanding its production capacity, which is expected to alleviate the current out-of-stock issues and support future sales growth.
Furthermore, while the sales growth estimate for 2025 has been adjusted downwards, it remains relatively strong, indicating a positive long-term outlook. Moskow also notes that the company’s strategic moves, such as offering smaller pack sizes, demonstrate adaptability in addressing market conditions. These factors collectively contribute to the Buy rating, reflecting confidence in Vital Farms’ ability to overcome short-term hurdles and achieve sustained growth.
In another report released today, Lake Street also maintained a Buy rating on the stock with a $50.00 price target.
Based on the recent corporate insider activity of 130 insiders, corporate insider sentiment is negative on the stock. This means that over the past quarter there has been an increase of insiders selling their shares of VITL in relation to earlier this year.