Analyst Foresees Single-Digit Volume Growth For Vital Farms Amid Bird Flu Induced Supply Shortage
Portfolio Pulse from Shivani Kumaresan
Needham analyst Matt McGinley reiterated a Hold rating on Vital Farms Inc (VITL), predicting single-digit volume growth due to bird flu induced supply shortage. The analyst estimates Q2 sales growth of 27% y/y to $105 million, driven by a combination of price and volume gains. However, concerns regarding volume growth have sent the stock down by over 25% since early May.
July 14, 2023 | 6:57 pm
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Vital Farms' stock is expected to experience single-digit volume growth due to a bird flu induced supply shortage. The stock has already seen a decline of over 25% since early May.
The bird flu induced supply shortage is expected to limit Vital Farms' volume growth to single digits. This has already had a negative impact on the stock, causing it to decline by over 25% since early May. The analyst's Hold rating suggests that the stock may not see significant growth in the near term.
CONFIDENCE 90
IMPORTANCE 80
RELEVANCE 100