Vita Coco Company (COCO) AI Stock Analysis

• Market Cap: $2.38B
• Dividend Yield: N/A
• Average Volume (3M): 961.48K
• Price to Earnings (P/E): 36.2
• Beta (1Y): 0.89
• Revenue Growth: 23.12%
• EPS Growth: 16.20%
• Country: US
• Employees: 319
• Sector: Consumer Defensive
• Sector Strength: 42
• Industry: Beverages - Non-Alcoholic
• EPS (TTM): 0.40
• Shares Outstanding: 56,948,257
• 10 Day Avg. Volume: 1,248,208
• 30 Day Avg. Volume: 961,479
• PEG Ratio: 1.94
• Price to Book (P/B): 8.09
• Price to Sales (P/S): 4.06
• P/FCF Ratio: 49.94
• Enterprise Value/Market Cap: 0.99
• Enterprise Value/Revenue: 3.86
• Enterprise Value/Gross Profit: 10.73
• Enterprise Value/Ebitda: 30.33
• 1Y Price Target: $48.43
• Price Target Upside: 15.81% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 9
• EPS Forecast (FY): 1.21
• Revenue Forecast (FY): $594.70M

• Rating: 78 Outperform
• Price Target: $52.00 ▲(24.34% Upside)

Vita Coco Company demonstrates strong financial performance and positive earnings call sentiment, driving confidence in future growth. The technical indicators show bullish momentum, although valuation metrics suggest the stock is priced for high growth. The absence of a dividend yield and potential tariff impacts are risks to consider.

Positive Factors

Revenue Growth

The significant increase in net sales reflects strong market demand and effective sales strategies, indicating robust growth potential.

International Expansion

The strong international sales growth, particularly in Europe, underscores the company's successful global expansion strategy and market penetration.

Balance Sheet Strength

A healthy cash position and minimal debt enhance financial flexibility, enabling strategic investments and resilience against economic fluctuations.

Negative Factors

Tariff Challenges

Increased tariffs raise production costs, potentially squeezing margins and affecting competitive pricing, posing a risk to profitability.

Gross Margin Pressure

The decline in gross margins due to higher costs suggests challenges in maintaining cost efficiency, which could impact long-term profitability.

Private Label Decline

The decline in private label sales indicates potential market share loss in this segment, affecting overall revenue diversification and growth.

Vita Coco Company Business Overview & Revenue Model

Company Description

The Vita Coco Company, Inc. develops, markets, and distributes coconut water products under the Vita Coco brand name in the United States, Canada, Europe, the Middle East, and the Asia Pacific. The company offers coconut oil and coconut milk; Hydration Drink Mix, a powdered form of flavored coconut water; sparkling water; Runa, a plant-based energy drink; purified water under the Ever & Ever brand name; and PWR LIFT, a protein-infused fitness drink. It distributes its products through club, food, drug, mass, convenience, e-commerce, and foodservice channels. In addition, the company supplies coconut water and coconut oil categories to retailers. The company was formerly known as All Market Inc. and changed its name to The Vita Coco Company, Inc. in September 2021.The Vita Coco Company, Inc. was founded in 2004 and is headquartered in New York, New York.

How the Company Makes Money

Vita Coco generates revenue primarily through the sale of its coconut water and related beverage products. The company distributes its products through various channels, including supermarkets, convenience stores, health food stores, and e-commerce platforms. Key revenue streams include direct sales to retailers and distributors, as well as partnerships with major grocery chains and food service providers. Additionally, the company benefits from brand loyalty and recognition, allowing it to maintain a premium pricing strategy. Significant partnerships with beverage distributors and collaborations with health-oriented brands further enhance its market reach and profitability.

Vita Coco Company Financial Statement Overview

Summary

Vita Coco Company exhibits strong financial health with impressive growth and profitability metrics. The low leverage and high return on equity highlight financial stability and efficient use of resources. Cash flow management is adequate, though there is room for improvement in operational cash generation.

Income Statement

The Vita Coco Company shows robust revenue growth, with TTM revenue increasing by 8.52% from the previous annual period. Gross profit margins are strong at 36.12%, indicating efficient production processes. The net profit margin of 11.50% reflects effective cost management. Both EBIT and EBITDA margins are healthy, at 12.37% and 12.91% respectively, demonstrating solid operational efficiency.

Balance Sheet

The balance sheet is strong, with a low debt-to-equity ratio of 0.05, indicating minimal leverage and financial risk. Return on Equity is impressive at 21.69%, showcasing efficient use of shareholder funds to generate profits. The equity ratio of 70.50% underscores a solid capital structure with substantial equity backing.

Cash Flow

Operating cash flow is positive, although it has decreased compared to the previous period, resulting in an operating cash flow to net income ratio of 0.44. Free cash flow growth is solid, with a slight decline, but the free cash flow to net income ratio is strong at 0.42, indicating good cash generation relative to earnings.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	609.29M	516.01M	493.61M	427.79M	379.51M	310.64M
Gross Profit	219.32M	198.78M	180.73M	103.36M	113.15M	104.86M
EBITDA	77.59M	71.53M	58.61M	14.06M	26.66M	46.52M
Net Income	69.16M	55.95M	46.63M	7.81M	19.02M	32.66M
Balance Sheet
Total Assets	461.29M	362.38M	285.68M	197.76M	197.48M	183.86M
Cash, Cash Equivalents and Short-Term Investments	203.71M	164.67M	132.54M	19.63M	28.69M	72.18M
Total Debt	14.01M	435.00K	1.22M	48.00K	76.00K	25.06M
Total Liabilities	137.56M	103.56M	83.25M	56.66M	74.31M	81.56M
Stockholders Equity	323.73M	258.82M	202.44M	141.09M	123.17M	102.22M
Cash Flow
Free Cash Flow	57.87M	41.92M	106.56M	-11.92M	-16.72M	32.93M
Operating Cash Flow	57.99M	42.90M	107.16M	-10.94M	-16.17M	33.32M
Investing Cash Flow	-5.05M	-974.00K	-594.00K	-982.00K	-557.00K	-375.00K
Financing Cash Flow	-5.86M	-8.30M	6.29M	3.03M	-26.80M	2.05M

Vita Coco Company Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 41.82
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For COCO, the sentiment is Positive. The current price of 41.82 is above the 20-day moving average (MA) of 41.13, above the 50-day MA of 40.57, and above the 200-day MA of 36.28, indicating a bullish trend. The MACD of 0.34 indicates Positive momentum. The RSI at 53.41 is Neutral, neither overbought nor oversold. The STOCH value of 25.19 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for COCO.

Vita Coco Company Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
COCO	78 Outperform	$2.38B	36.17	24.02%	―	23.12%	16.20%
KOF	74 Outperform	$4.65B	15.45	16.18%	3.83%	-2.81%	-2.66%
COKE	71 Outperform	$11.51B	20.85	41.92%	0.74%	4.22%	22.24%
FIZZ	64 Neutral	$3.14B	16.48	45.84%	―	0.46%	0.91%
Sector *	62 Neutral	$20.33B	14.63	-3.31%	3.23%	1.93%	-12.26%
ZVIA	54 Neutral	$175.38M	―	-23.12%	―	6.17%	41.09%
OTLY	47 Neutral	$460.66M	―	-180.66%	―	3.37%	46.17%

Vita Coco Company Corporate Events

Vita Coco Reports Strong Q3 2025 Results, Raises Guidance

The Vita Coco Company, Inc. is a leading platform in the beverage industry, known for its flagship coconut water brand, Vita Coco, which offers healthy, nutritious, and great-tasting products. The company has reported a robust financial performance for the third quarter of 2025, with significant growth in net sales and net income. Net sales increased by 37% to $182 million, driven by a 42% growth in Vita Coco Coconut Water sales. The company also saw a rise in net income to $24 million and an increase in non-GAAP adjusted EBITDA to $32 million.

Vita Coco’s Earnings Call: Growth Amid Challenges

The recent earnings call for Vita Coco Company, Inc. painted a picture of robust top-line growth, primarily driven by the impressive performance of their coconut water segment and successful new product launches. However, the call also highlighted some challenges, including declining private label sales, pressure on gross margins, and increased SG&A costs, which suggest a mixed outlook for the company.

Vita Coco Company Reports Strong Q2 2025 Growth

The Vita Coco Company, Inc., a leader in the better-for-you beverage sector, is renowned for its flagship coconut water brand, Vita Coco, which offers a range of healthy and nutritious drinks. In its latest earnings report, Vita Coco Company announced a 17% increase in net sales for the second quarter of 2025, reaching $169 million, driven by a significant 25% growth in Vita Coco Coconut Water sales. The company also reported a net income increase of $4 million, totaling $23 million, although its Non-GAAP Adjusted EBITDA saw a decrease of $3 million to $29 million.