TD Cowen Reduces PT on Vital Farms (VITL) to $44 From $59

Core Viewpoint - Vital Farms, Inc. (NASDAQ:VITL) is viewed as a small-cap stock with significant upside potential, despite recent price target reductions by analysts [1][3]. Group 1: Analyst Ratings and Price Targets - TD Cowen analyst Robert Moskow reduced the price target for Vital Farms from $59 to $44 while maintaining a Buy rating [1]. - Morgan Stanley also lowered its price target from $48 to $45 but kept an Overweight rating, citing an unexpected revenue guidance cut for 2025 as a concern [3]. Group 2: Financial Targets and Growth Strategy - Vital Farms set an ambitious sales target of $2 billion by 2030, supported by factors such as capacity unlocking, increased brand awareness, and expanded shelf space [2]. - The company aims for adjusted EBITDA margins of 15% to 17% by 2030 and gross margins of over 35% from 2025 to 2030, focusing on household penetration and brand loyalty [3]. Group 3: Market Position and Product Offering - Vital Farms specializes in packaging, marketing, and distributing pasture-raised butter, shell eggs, and other products, primarily targeting retail food service channels [4].