An Overview of Freshpet's Earnings

Freshpet FRPT will release its quarterly earnings report on Monday, 2025-05-05. Here’s a brief overview for investors ahead of the announcement.

Analysts anticipate Freshpet to report an earnings per share (EPS) of $0.32.

Anticipation surrounds Freshpet’s announcement, with investors hoping to hear about both surpassing estimates and receiving positive guidance for the next quarter.

New investors should understand that while earnings performance is important, market reactions are often driven by guidance.

Earnings History Snapshot

The company’s EPS missed by $0.05 in the last quarter, leading to a 5.74% drop in the share price on the following day.

Here’s a look at Freshpet’s past performance and the resulting price change:

Performance of Freshpet Shares

Shares of Freshpet were trading at $72.72 as of May 01. Over the last 52-week period, shares are down 36.91%. Given that these returns are generally negative, long-term shareholders are likely a little upset going into this earnings release.

Insights Shared by Analysts on Freshpet

For investors, grasping market sentiments and expectations in the industry is vital. This analysis explores the latest insights regarding Freshpet.

The consensus rating for Freshpet is Buy, derived from 17 analyst ratings. An average one-year price target of $126.29 implies a potential 73.67% upside.

Comparing Ratings with Competitors

This comparison focuses on the analyst ratings and average 1-year price targets of Flowers Foods, Simply Good Foods and Nomad Foods, three major players in the industry, shedding light on their relative performance expectations and market positioning.

• Analysts currently favor an Neutral trajectory for Flowers Foods, with an average 1-year price target of $20.5, suggesting a potential 71.81% downside.
• Analysts currently favor an Neutral trajectory for Simply Good Foods, with an average 1-year price target of $40.4, suggesting a potential 44.44% downside.
• Analysts currently favor an Outperform trajectory for Nomad Foods, with an average 1-year price target of $24.5, suggesting a potential 66.31% downside.

Analysis Summary for Peers

The peer analysis summary provides a snapshot of key metrics for Flowers Foods, Simply Good Foods and Nomad Foods, illuminating their respective standings within the industry. These metrics offer valuable insights into their market positions and comparative performance.

Key Takeaway:

Freshpet ranks highest in Revenue Growth among its peers, with a growth rate of 21.95%. In terms of Gross Profit, Freshpet is at the bottom with $111.60M. For Return on Equity, Freshpet is also at the bottom with a rate of 1.75%.

Discovering Freshpet: A Closer Look

Freshpet produces and sells premium fresh pet food through its company-owned refrigerators placed in grocery, mass and club, pet specialty, and natural stores. Freshpet primarily targets dogs (96% of 2024 sales), with cats and treats comprising the rest of its sales. Geographically, the company’s home US market, where all its food is produced, accounts for about 98% of sales, with exports to Canada, the United Kingdom, and other European countries accounting for the remaining balance.

Freshpet: Delving into Financials

Market Capitalization: With restricted market capitalization, the company is positioned below industry averages. This reflects a smaller scale relative to peers.

Revenue Growth: Freshpet displayed positive results in 3 months. As of 31 December, 2024, the company achieved a solid revenue growth rate of approximately 21.95%. This indicates a notable increase in the company’s top-line earnings. As compared to its peers, the company achieved a growth rate higher than the average among peers in Consumer Staples sector.

Net Margin: Freshpet’s net margin surpasses industry standards, highlighting the company’s exceptional financial performance. With an impressive 6.9% net margin, the company effectively manages costs and achieves strong profitability.

Return on Equity (ROE): Freshpet’s ROE lags behind industry averages, suggesting challenges in maximizing returns on equity capital. With an ROE of 1.75%, the company may face hurdles in achieving optimal financial performance.

Return on Assets (ROA): Freshpet’s ROA is below industry standards, pointing towards difficulties in efficiently utilizing assets. With an ROA of 1.17%, the company may encounter challenges in delivering satisfactory returns from its assets.

Debt Management: With a below-average debt-to-equity ratio of 0.4, Freshpet adopts a prudent financial strategy, indicating a balanced approach to debt management.

To track all earnings releases for Freshpet visit their earnings calendar on our site.

This article was generated by Benzinga’s automated content engine and reviewed by an editor.