Freshpet (FRPT) AI Stock Analysis

• Market Cap: $0.00
• Dividend Yield: N/A
• Average Volume (3M): 1.41M
• Price to Earnings (P/E): 101.9
• Beta (1Y): 0.00
• Revenue Growth: 23.24%
• EPS Growth: 60.35%
• Country: US
• Employees: 1,296
• Sector: Consumer Defensive
• Sector Strength: 53
• Industry: Packaged Foods
• EPS (TTM): 0.33
• Shares Outstanding: 0
• 10 Day Avg. Volume: 1,744,597
• 30 Day Avg. Volume: 1,410,530
• PEG Ratio: -0.64
• Price to Book (P/B): 6.80
• Price to Sales (P/S): 7.36
• P/FCF Ratio: -218.92
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: 0.00
• Enterprise Value/Gross Profit: 0.00
• Enterprise Value/Ebitda: 0.00
• 1Y Price Target: $79.89
• Price Target Upside: 18.50% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 10

• Rating: 63 Neutral
• Price Target: $70.00 ▲(3.83% Upside)

Freshpet's overall stock score of 63 reflects strong revenue growth and robust financial health but is tempered by high valuation concerns and bearish technical indicators. The positive results from the latest earnings call and corporate events provide some support, but challenges with profitability margins and economic uncertainties weigh on the score.

Positive Factors

Financial Performance

Freshpet achieved an EBITDA of $44 million, surpassing both the internal estimate and consensus, demonstrating strong financial performance.

Market Strategy

The introduction of an entry-level pack aims to prevent market share loss among lower-income consumers.

Product and Technology

Management's plans to implement new bag production technology aim to lower costs while maintaining gross and EBITDA margin targets.

Negative Factors

Competition

Blue Buffalo's new product targeting pet parents who mix fresh dog food with kibble poses a competitive threat to Freshpet.

Growth Challenges

Growth building blocks have deteriorated, with softer trends in purchase frequency, repeat rates, and velocity—all down year over year.

Sales Guidance

Management reduced its full-year 2025 sales guidance, reflecting a cautious outlook on future sales.

Freshpet Business Overview & Revenue Model

Company Description

Freshpet, Inc. manufactures and markets natural fresh meals and treats for dogs and cats in the United States, Canada, and Europe. The company sells its products under the Freshpet brand; and Dognation and Dog Joy labels through various classes of retail, including grocery, mass, club, pet specialty, and natural, as well as online. Freshpet, Inc. was incorporated in 2004 and is headquartered in Secaucus, New Jersey.

How the Company Makes Money

Freshpet primarily generates revenue through the sale of its fresh pet food products. The company's key revenue streams include sales to retail partners, such as grocery chains, pet specialty stores, and mass merchants, where consumers can purchase Freshpet products in the refrigerated pet food sections. Additionally, Freshpet has expanded its distribution through e-commerce channels, allowing for direct sales to customers. A significant factor contributing to Freshpet's earnings is its strategic partnerships with major retail chains, which enhance its market reach and brand visibility. The company's focus on high-quality, fresh ingredients and its commitment to pet health resonate with consumers, driving demand and sales growth.

Freshpet Financial Statement Overview

Summary

Freshpet exhibits strong revenue growth and a solid equity position, which are encouraging. However, the company faces challenges with profitability margins and free cash flow generation. While the balance sheet remains robust, improving profitability and cash flow efficiency will be crucial for future growth.

Income Statement

Freshpet has shown strong revenue growth, with a TTM revenue of $1.01 billion, up from $975 million in the previous year. The gross profit margin stands at 40.1%, reflecting efficient cost management. However, the net profit margin is relatively low at 1.5%, and the EBIT margin is also modest at 1.8%. Despite these lower margins, revenue growth is a positive sign for the company.

Balance Sheet

The company maintains a healthy equity ratio of 67.3%, indicating a strong capital structure with significant equity funding. The debt-to-equity ratio is 0.41, suggesting manageable debt levels. However, a declining return on equity, currently at 1.5%, points to challenges in generating returns for shareholders.

Cash Flow

Freshpet's operating cash flow to net income ratio is favorable at 9.8, indicating strong cash generation relative to net income. However, free cash flow growth is a concern, with a TTM free cash flow of $13.07 million, an improvement from a loss, but still relatively low. The free cash flow to net income ratio stands at 0.83, showcasing a need for better cash management.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	1.04B	975.18M	766.89M	595.34M	425.49M	318.79M
Gross Profit	425.82M	395.96M	250.87M	186.03M	162.15M	132.91M
EBITDA	83.45M	133.40M	41.10M	-14.35M	7.15M	19.21M
Net Income	33.68M	46.92M	-33.61M	-55.76M	-27.69M	-3.19M
Balance Sheet
Total Assets	1.65B	1.57B	1.46B	1.13B	784.41M	434.39M
Cash, Cash Equivalents and Short-Term Investments	243.68M	268.63M	296.87M	132.74M	72.79M	67.25M
Total Debt	495.15M	424.09M	425.06M	5.71M	7.09M	8.40M
Total Liabilities	575.84M	519.52M	510.97M	93.81M	64.66M	40.22M
Stockholders Equity	1.07B	1.06B	953.45M	1.03B	719.75M	394.17M
Cash Flow
Free Cash Flow	60.10M	-32.80M	-163.15M	-273.30M	-321.45M	-113.38M
Operating Cash Flow	145.16M	154.29M	75.94M	-43.23M	647.00K	21.19M
Investing Cash Flow	-152.23M	-187.09M	-239.09M	-233.36M	-322.10M	-162.46M
Financing Cash Flow	-948.00K	4.57M	327.29M	336.54M	326.99M	199.04M

Freshpet Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 67.42
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For FRPT, the sentiment is Negative. The current price of 67.42 is below the 20-day moving average (MA) of 70.20, below the 50-day MA of 73.25, and below the 200-day MA of 108.68, indicating a bearish trend. The MACD of -1.16 indicates Positive momentum. The RSI at 43.63 is Neutral, neither overbought nor oversold. The STOCH value of 24.79 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for FRPT.

Freshpet Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
BRFS	76 Outperform	$6.12B	8.61	23.47%	2.50%	3.82%	―
SMPL	75 Outperform	$3.02B	21.01	8.22%	―	14.22%	-1.81%
CENT	71 Outperform	$0.00	21.21	8.07%	―	-4.60%	-26.61%
JJSF	68 Neutral	$0.00	26.87	8.79%	2.73%	0.49%	-12.32%
Sector *	63 Neutral	$20.33B	12.49	-6.40%	3.14%	2.99%	-11.38%
FRPT	63 Neutral	$0.00	101.94	3.26%	―	23.24%	60.35%
DAR	61 Neutral	$4.98B	48.27	3.79%	―	-6.23%	-71.35%

Freshpet Corporate Events

Freshpet Reports Strong Q2 2025 Financial Results

On August 4, 2025, Freshpet reported its financial results for the second quarter of 2025, showing a significant increase in net sales and net income compared to the previous year. Despite economic challenges, the company achieved a 12.5% increase in net sales and a net income of $16.4 million, driven by volume gains and improved operational efficiencies. Freshpet has updated its 2025 outlook, reducing its net sales target to reflect current economic conditions but maintaining its commitment to growth and shareholder value.

The most recent analyst rating on (FRPT) stock is a Buy with a $157.00 price target. To see the full list of analyst forecasts on Freshpet stock, see the FRPT Stock Forecast page.

Freshpet Holds 2025 Annual Stockholders Meeting

At the 2025 Annual Meeting of Stockholders held on June 24, Freshpet, Inc. announced the election of all nominated directors to its Board, ratified the appointment of KPMG LLP as its independent auditor, and approved the executive compensation plan. The stockholders also voted for annual advisory votes on executive compensation, aligning with the Board’s recommendation. These decisions reflect Freshpet’s commitment to maintaining strong governance and transparency, potentially enhancing its position in the pet food industry.

The most recent analyst rating on (FRPT) stock is a Buy with a $157.00 price target. To see the full list of analyst forecasts on Freshpet stock, see the FRPT Stock Forecast page.

Freshpet Reports Q1 2025 Results with Sales Growth

On May 5, 2025, Freshpet reported its first quarter financial results, showing a 17.6% increase in net sales to $263.2 million compared to the previous year. Despite this growth, the company experienced a net loss of $12.7 million, attributed to increased selling, general, and administrative expenses. Freshpet’s CEO, Billy Cyr, acknowledged the need to adjust growth plans due to economic challenges and updated the company’s 2025 outlook, expecting net sales between $1.12 billion and $1.15 billion, and adjusted EBITDA between $190 million and $210 million. The company aims to navigate current economic headwinds while continuing to deliver long-term value.