Morgan Stanley Reiterates “Equal Weight” Rating for Vital Farms (NASDAQ:VITL)

Vital Farms (NASDAQ:VITL)‘s stock had its “equal weight” rating reiterated by equities researchers at Morgan Stanley in a research note issued to investors on Friday,Benzinga reports. They presently have a $24.00 target price on the stock, down from their previous target price of $45.00. Morgan Stanley’s target price would indicate a potential upside of 8.55% from the stock’s previous close.

VITL has been the topic of several other research reports. Benchmark cut shares of Vital Farms from a “buy” rating to a “hold” rating in a research report on Thursday. Needham & Company LLC reiterated a “buy” rating and set a $45.00 target price on shares of Vital Farms in a report on Friday, January 30th. Zacks Research cut shares of Vital Farms from a “strong-buy” rating to a “hold” rating in a research report on Friday, November 14th. Weiss Ratings reaffirmed a “hold (c+)” rating on shares of Vital Farms in a research report on Monday, December 29th. Finally, TD Cowen reiterated a “buy” rating on shares of Vital Farms in a research note on Tuesday, January 20th. Ten equities research analysts have rated the stock with a Buy rating and four have issued a Hold rating to the company’s stock. According to data from MarketBeat.com, Vital Farms currently has an average rating of “Moderate Buy” and an average target price of $48.00.

Vital Farms Stock Down 10.8%

Shares of NASDAQ VITL opened at $22.11 on Friday. 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 business’s 50 day moving average is $28.84 and its two-hundred day moving average is $36.30. Vital Farms has a 52-week low of $19.80 and a 52-week high of $53.13. The firm has a market cap of $990.09 million, a price-to-earnings ratio of 16.75 and a beta of 1.10.

Vital Farms (NASDAQ:VITL) last issued its quarterly earnings data on Thursday, February 26th. The company reported $0.35 earnings per share for the quarter, missing analysts’ consensus estimates of $0.38 by ($0.03). The firm had revenue of $213.55 million during the quarter, compared to analyst estimates of $212.83 million. Vital Farms had a net margin of 8.50% and a return on equity of 20.19%. The company’s quarterly revenue was up 28.6% compared to the same quarter last year. During the same period in the previous year, the firm posted $0.23 earnings per share. Research analysts predict that Vital Farms will post 1.11 EPS for the current year.

Insider Buying and Selling at Vital Farms

In related news, insider Matthew Ohayer sold 20,000 shares of the business’s stock in a transaction on Monday, February 2nd. The shares were sold at an average price of $27.91, for a total transaction of $558,200.00. Following the completion of the transaction, the insider owned 6,341,190 shares in the company, valued at approximately $176,982,612.90. The trade was a 0.31% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is accessible through the SEC website. Also, CEO Russell Diez-Canseco sold 16,734 shares of the firm’s stock in a transaction on Monday, December 15th. The shares were sold at an average price of $35.05, for a total value of $586,526.70. Following the completion of the sale, the chief executive officer owned 649,684 shares in the company, valued at approximately $22,771,424.20. This represents a 2.51% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Over the last ninety days, insiders have sold 91,734 shares of company stock valued at $2,921,477. Corporate insiders own 21.30% of the company’s stock.

Institutional Trading of Vital Farms

Several institutional investors have recently modified their holdings of VITL. Wasatch Advisors LP boosted its holdings in shares of Vital Farms by 80.2% in the 2nd quarter. Wasatch Advisors LP now owns 2,074,803 shares of the company’s stock valued at $79,921,000 after buying an additional 923,507 shares in the last quarter. William Blair Investment Management LLC acquired a new position in Vital Farms in the fourth quarter valued at $25,534,000. Balyasny Asset Management L.P. grew its holdings in shares of Vital Farms by 466.5% during the fourth quarter. Balyasny Asset Management L.P. now owns 503,894 shares of the company’s stock worth $16,094,000 after purchasing an additional 641,394 shares during the last quarter. Marshall Wace LLP increased its position in shares of Vital Farms by 97.4% during the second quarter. Marshall Wace LLP now owns 1,234,008 shares of the company’s stock worth $47,534,000 after purchasing an additional 608,723 shares in the last quarter. Finally, Divisadero Street Capital Management LP increased its position in shares of Vital Farms by 131.7% during the third quarter. Divisadero Street Capital Management LP now owns 993,338 shares of the company’s stock worth $40,876,000 after purchasing an additional 564,711 shares in 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 slight revenue beat — Revenue for Q4 rose ~28.6% year‑over‑year to $213.6M and came in marginally above the consensus ($212.8M), underscoring stronger demand and category momentum. MarketBeat Q4 release
• Neutral Sentiment: FY26 revenue guidance issued — Vital Farms provided FY2026 revenue guidance of $900M–$920M (company guidance), which some outlets view as supportive vs. older consensus but others interpret as conservative versus certain street models, producing mixed investor reaction. Seeking Alpha guidance coverage
• Neutral Sentiment: Corporate leadership update — Founder Matt O’Hayer stepped down from the board; CEO Russell Diez‑Canseco becomes Executive Chair to ensure continuity. Governance moves can be neutral-to-positive if execution remains steady. BusinessWire: Board transition
• Negative Sentiment: EPS missed expectations — GAAP EPS of $0.35 missed the consensus ~$0.38, which is the main near‑term negative catalyst cited by multiple outlets and likely the core reason for downward pressure. Zacks: EPS miss
• Negative Sentiment: Analyst downgrade — Benchmark cut VITL from Buy to Hold, reducing near‑term analyst support and likely contributing to selling pressure. Finviz / TickerReport downgrade note
• Negative Sentiment: Potential securities class action inquiry — Rosen Law Firm is soliciting investors for a possible class‑action investigation tied to the company’s disclosures, which can increase legal risk and weigh on sentiment. Caledonian Record: Rosen Law notice

About Vital Farms

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.