VITAL FARMS INC (VITL)
US92847W1036 - Common Stock
We assign a fundamental rating of 7 out of 10 to VITL. VITL was compared to 90 industry peers in the Food Products industry. VITL has outstanding health and profitabily ratings, belonging to the best of the industry. This is a solid base for any company. VITL is not priced too expensively while it is growing strongly. Keep and eye on this one! This makes VITL very considerable for growth and quality investing!
1. Profitability
1.1 Basic Checks
VITL had positive earnings in the past year.
VITL had a positive operating cash flow in the past year.
VITL had positive earnings in each of the past 5 years.
The reported operating cash flow has been mixed in the past 5 years: VITL reported negative operating cash flow in multiple years.
1.2 Ratios
VITL's Return On Assets of 14.51% is amongst the best of the industry. VITL outperforms 94.44% of its industry peers.
Looking at the Return On Equity, with a value of 19.74%, VITL belongs to the top of the industry, outperforming 87.78% of the companies in the same industry.
Looking at the Return On Invested Capital, with a value of 13.66%, VITL belongs to the top of the industry, outperforming 91.11% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for VITL is significantly below the industry average of 8.88%.
The 3 year average ROIC (3.76%) for VITL is below the current ROIC(13.66%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 14.51% | ||
| ROE | 19.74% | ||
| ROIC | 13.66% |
ROA(3y)3.72%
ROA(5y)4.03%
ROE(3y)5.22%
ROE(5y)5.89%
ROIC(3y)3.76%
ROIC(5y)4.41%
1.3 Margins
VITL's Profit Margin of 8.68% is amongst the best of the industry. VITL outperforms 81.11% of its industry peers.
In the last couple of years the Profit Margin of VITL has remained more or less at the same level.
Looking at the Operating Margin, with a value of 10.35%, VITL is in the better half of the industry, outperforming 74.44% of the companies in the same industry.
VITL's Operating Margin has improved in the last couple of years.
The Gross Margin of VITL (37.36%) is better than 83.33% of its industry peers.
In the last couple of years the Gross Margin of VITL has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 10.35% | ||
| PM (TTM) | 8.68% | ||
| GM | 37.36% |
OM growth 3Y7.5%
OM growth 5Y2.11%
PM growth 3Y9.68%
PM growth 5Y-0.06%
GM growth 3Y-0.32%
GM growth 5Y1.09%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), VITL is creating some value.
VITL has more shares outstanding than it did 1 year ago.
VITL has more shares outstanding than it did 5 years ago.
Compared to 1 year ago, VITL has a worse debt to assets ratio.
2.2 Solvency
VITL has an Altman-Z score of 14.29. This indicates that VITL is financially healthy and has little risk of bankruptcy at the moment.
VITL has a better Altman-Z score (14.29) than 97.78% of its industry peers.
VITL has a debt to FCF ratio of 0.21. This is a very positive value and a sign of high solvency as it would only need 0.21 years to pay back of all of its debts.
With an excellent Debt to FCF ratio value of 0.21, VITL belongs to the best of the industry, outperforming 93.33% of the companies in the same industry.
A Debt/Equity ratio of 0.04 indicates that VITL is not too dependend on debt financing.
With an excellent Debt to Equity ratio value of 0.04, VITL belongs to the best of the industry, outperforming 81.11% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.04 | ||
| Debt/FCF | 0.21 | ||
| Altman-Z | 14.29 |
ROIC/WACC1.49
WACC9.18%
2.3 Liquidity
A Current Ratio of 3.24 indicates that VITL has no problem at all paying its short term obligations.
Looking at the Current ratio, with a value of 3.24, VITL belongs to the top of the industry, outperforming 86.67% of the companies in the same industry.
A Quick Ratio of 2.81 indicates that VITL has no problem at all paying its short term obligations.
VITL has a Quick ratio of 2.81. This is amongst the best in the industry. VITL outperforms 91.11% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 3.24 | ||
| Quick Ratio | 2.81 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 148.89% over the past year.
Measured over the past years, VITL shows a very strong growth in Earnings Per Share. The EPS has been growing by 31.52% on average per year.
VITL shows a strong growth in Revenue. In the last year, the Revenue has grown by 29.15%.
Measured over the past years, VITL shows a very strong growth in Revenue. The Revenue has been growing by 34.63% on average per year.
EPS 1Y (TTM)148.89%
EPS 3Y29.79%
EPS 5Y31.52%
EPS Q2Q%60%
Revenue 1Y (TTM)29.15%
Revenue growth 3Y30.1%
Revenue growth 5Y34.63%
Sales Q2Q%31.31%
3.2 Future
Based on estimates for the next years, VITL will show a very strong growth in Earnings Per Share. The EPS will grow by 41.62% on average per year.
VITL is expected to show a strong growth in Revenue. In the coming years, the Revenue will grow by 22.26% yearly.
EPS Next Y95.56%
EPS Next 2Y48.62%
EPS Next 3Y41.62%
EPS Next 5YN/A
Revenue Next Year28.44%
Revenue Next 2Y23.48%
Revenue Next 3Y22.26%
Revenue Next 5YN/A
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
The estimated forward Revenue growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 35.44, which means the current valuation is very expensive for VITL.
Compared to the rest of the industry, the Price/Earnings ratio of VITL is on the same level as its industry peers.
Compared to an average S&P500 Price/Earnings ratio of 27.73, VITL is valued a bit more expensive.
A Price/Forward Earnings ratio of 30.98 indicates a quite expensive valuation of VITL.
VITL's Price/Forward Earnings ratio is in line with the industry average.
When comparing the Price/Forward Earnings ratio of VITL to the average of the S&P500 Index (22.83), we can say VITL is valued slightly more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 35.44 | ||
| Fwd PE | 30.98 |
4.2 Price Multiples
VITL's Enterprise Value to EBITDA ratio is in line with the industry average.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of VITL is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 28.54 | ||
| EV/EBITDA | 22.62 |
4.3 Compensation for Growth
VITL's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
The excellent profitability rating of VITL may justify a higher PE ratio.
VITL's earnings are expected to grow with 41.62% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.37
PEG (5Y)1.12
EPS Next 2Y48.62%
EPS Next 3Y41.62%
5. Dividend
5.1 Amount
No dividends for VITL!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
VITAL FARMS INC
NASDAQ:VITL (12/20/2024, 8:00:01 PM)
After market: 38.76 -0.93 (-2.34%)39.69
+0.95 (+2.45%)
Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupFood, Beverage & Tobacco
GICS IndustryFood Products
Earnings (Last)
Earnings (Next)
Inst Owners90.77%
Inst Owner Change22.32%
Ins Owners19.1%
Ins Owner Change-0.69%
Market Cap1.74B
Analysts83.33
Price Target42.84 (7.94%)
Short Float %30.34%
Short Ratio8.11
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)51.74%
Min EPS beat(2)30.72%
Max EPS beat(2)72.76%
EPS beat(4)4
Avg EPS beat(4)72.83%
Min EPS beat(4)30.72%
Max EPS beat(4)104.93%
EPS beat(8)7
Avg EPS beat(8)88.27%
EPS beat(12)11
Avg EPS beat(12)96.6%
EPS beat(16)14
Avg EPS beat(16)179.5%
Revenue beat(2)1
Avg Revenue beat(2)1.13%
Min Revenue beat(2)-2.14%
Max Revenue beat(2)4.39%
Revenue beat(4)3
Avg Revenue beat(4)2.28%
Min Revenue beat(4)-2.14%
Max Revenue beat(4)5.9%
Revenue beat(8)5
Avg Revenue beat(8)3.36%
Revenue beat(12)8
Avg Revenue beat(12)2.93%
Revenue beat(16)11
Avg Revenue beat(16)2.48%
PT rev (1m)-3.67%
PT rev (3m)0.4%
EPS NQ rev (1m)0.25%
EPS NQ rev (3m)-14.5%
EPS NY rev (1m)3.5%
EPS NY rev (3m)1.51%
Revenue NQ rev (1m)1.11%
Revenue NQ rev (3m)2.64%
Revenue NY rev (1m)0.16%
Revenue NY rev (3m)0.66%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 35.44 | ||
| Fwd PE | 30.98 | ||
| P/S | 3.02 | ||
| P/FCF | 28.54 | ||
| P/OCF | 23.56 | ||
| P/B | 6.86 | ||
| P/tB | 7.04 | ||
| EV/EBITDA | 22.62 |
EPS(TTM)1.12
EY2.82%
EPS(NY)1.28
Fwd EY3.23%
FCF(TTM)1.39
FCFY3.5%
OCF(TTM)1.68
OCFY4.24%
SpS13.16
BVpS5.79
TBVpS5.64
PEG (NY)0.37
PEG (5Y)1.12
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 14.51% | ||
| ROE | 19.74% | ||
| ROCE | 22.34% | ||
| ROIC | 13.66% | ||
| ROICexc | 31.05% | ||
| ROICexgc | 32.87% | ||
| OM | 10.35% | ||
| PM (TTM) | 8.68% | ||
| GM | 37.36% | ||
| FCFM | 10.57% |
ROA(3y)3.72%
ROA(5y)4.03%
ROE(3y)5.22%
ROE(5y)5.89%
ROIC(3y)3.76%
ROIC(5y)4.41%
ROICexc(3y)5.98%
ROICexc(5y)6.04%
ROICexgc(3y)6.17%
ROICexgc(5y)6.34%
ROCE(3y)6.16%
ROCE(5y)7.21%
ROICexcg growth 3Y36%
ROICexcg growth 5Y-6.87%
ROICexc growth 3Y36.12%
ROICexc growth 5Y-3.64%
OM growth 3Y7.5%
OM growth 5Y2.11%
PM growth 3Y9.68%
PM growth 5Y-0.06%
GM growth 3Y-0.32%
GM growth 5Y1.09%
F-Score6
Asset Turnover1.67
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.04 | ||
| Debt/FCF | 0.21 | ||
| Debt/EBITDA | 0.13 | ||
| Cap/Depr | 138.45% | ||
| Cap/Sales | 2.24% | ||
| Interest Coverage | 59.82 | ||
| Cash Conversion | 107% | ||
| Profit Quality | 121.73% | ||
| Current Ratio | 3.24 | ||
| Quick Ratio | 2.81 | ||
| Altman-Z | 14.29 |
F-Score6
WACC9.18%
ROIC/WACC1.49
Cap/Depr(3y)270.03%
Cap/Depr(5y)292.8%
Cap/Sales(3y)3.91%
Cap/Sales(5y)3.99%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)148.89%
EPS 3Y29.79%
EPS 5Y31.52%
EPS Q2Q%60%
EPS Next Y95.56%
EPS Next 2Y48.62%
EPS Next 3Y41.62%
EPS Next 5YN/A
Revenue 1Y (TTM)29.15%
Revenue growth 3Y30.1%
Revenue growth 5Y34.63%
Sales Q2Q%31.31%
Revenue Next Year28.44%
Revenue Next 2Y23.48%
Revenue Next 3Y22.26%
Revenue Next 5YN/A
EBIT growth 1Y116.08%
EBIT growth 3Y39.86%
EBIT growth 5Y37.46%
EBIT Next Year190.01%
EBIT Next 3Y61.94%
EBIT Next 5YN/A
FCF growth 1Y797.47%
FCF growth 3Y204.09%
FCF growth 5Y32.94%
OCF growth 1Y10591.2%
OCF growth 3Y63.25%
OCF growth 5Y34.84%