DA Davidson: Vital Farms (VITL) Positioned for 2026 Growth as Operational Recovery Outshines Temporary Q4 Guidance Miss

Core Insights - Vital Farms Inc. (NASDAQ:VITL) is viewed as a strong investment opportunity for 2026 despite recent downward revisions in its 2025 projections [1][3] - Analysts from DA Davidson, TD Cowen, and BMO Capital have all adjusted their price targets for the stock, reflecting a mix of optimism and caution regarding the company's growth potential [1][2][3] Analyst Ratings and Price Targets - DA Davidson lowered its price target on Vital Farms to $47 from $52 while maintaining a Buy rating, citing investor frustration over lowered Q4 2025 projections but highlighting operational recovery [1] - TD Cowen reduced its price target to $44 from $59, also with a Buy rating, noting the company's ambitious $2 billion revenue goal for 2030 and the need to resolve production bottlenecks [2] - BMO Capital cut its price target to $50 from $60 but retained an Outperform rating, indicating that the recent setbacks are temporary and that long-term growth remains achievable [3] Company Overview - Vital Farms is a food company that packages, markets, and distributes shell eggs, butter, and other products in the US, sourcing from family farms under its brand [4]