Vital Farms’ Earnings, Guidance Destroy Expectations

FXEmpire.com -

The pasture-raised eggs leader absolutely crushed its latest quarterly earnings, with $19 million in net income versus its previous mark of $7.2 million. Also, the company’s revised 2024 fiscal year guidance calls for net revenue of $575 million, up from the previous forecast of $552 million.

So, it’s not surprising that VITL shares have sprouted up 127% this year – and there could be even more room to grow!

While eggs may seem like the last place you’d expect for big growth, based on MAPsignals data, investors are betting heavily on the forward picture of the stock.

Vital Farms Shares Enjoying Big Institutional Demand

Institutional volumes reveal plenty. In the last year, VITL has enjoyed heavy Big Money buying, which we believe to be institutional accumulation.

Each of the green bars signal unusually large volumes in VITL shares, pushing the stock higher:

Source: www.mapsignals.com

Plenty of staples names are under accumulation right now. But when you dive into the fundamentals, there’s a special tailwind going on with Vital Farms.

Vital Farms Fundamental Analysis

Institutional support coupled with a healthy fundamental backdrop makes this company worth investigating. As you can see, VITL has had fantastic sales and EPS growth in recent years:

  • 3-year sales growth rate (+30.3%)
  • 3-year EPS growth rate (+595.1%)

Source: FactSet

The one-year EPS outlook is estimated to increase by +20.6%.

Now it makes sense why the stock has been powering to new heights. VITL is gaining due to its strong earnings performance.

Marrying great fundamentals with our proprietary software has found some big winning stocks over the long term.

VITL has recently been a top-rated stock at MAPsignals. That means the stock has unusual buy pressure and growing fundamentals. We have a ranking process that showcases stocks like this on a weekly basis.

It’s made the rare Top 20 report multiple times recently. The blue bars below show when VITL was a top pick cutting through the noise.

Source: www.mapsignals.com

Tracking unusual volumes reveals the power of money flows.

This is a trait that most outlier stocks exhibit. Today’s money flows often reveal tomorrow’s leaders.

Vital Farms Price Prediction

The VITL rally isn’t new at all. Big Money buying in the shares is signaling to take notice. Given the historical gains in share price and strong fundamentals, this stock could be worth a spot in a diversified portfolio.

Disclosure: the author holds no position in VITL at the time of publication.

If you are a Registered Investment Advisor (RIA) or a serious investor looking to take your investing to the next level, learn more about the MAPsignals process here.

This article was originally posted on FX Empire

More From FXEMPIRE:

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Tags

More Related Articles

Info icon

This data feed is not available at this time.

Sign up for the TradeTalks newsletter to receive your weekly dose of trading news, trends and education. Delivered Wednesdays.