Earnings call transcript: Vita Coco tops Q3 2026 estimates, but shares fall

Piper Sandler raised its price target for The Vita Coco Co. (NASDAQ:COCO) to $88 from $83, citing strong Q3 2026 results. The company reported 26.1% revenue growth and raised its sales guidance. Piper Sandler also increased its 2026 and 2027 EBITDA estimates. Vita Coco plans pricing increases to offset costs. The stock is trading at a low P/E ratio relative to earnings growth, with a PEG ratio of 0.45. Evercore ISI reiterated its Outperform rating with a $80 price target.

Evercore ISI reiterated an Outperform rating and $80 price target for The Vita Coco Co. Inc (COCO) after its Q3 results. The company beat expectations with $244M in net sales and $0.58 EPS, but shares fell 5% due to margin concerns. COCO's market cap is $3.63B, with shares down from a 52-week high of $85.83. Management expects low 20s% growth in 2026, up from prior forecasts. Supply chain issues have caused inventory shortages, but the company expects improvements in Q4 2026.

The Vita Coco Co Inc (COCO) reported Q3 2026 net sales up 34% YoY to $244M, driven by strong coconut water and private label growth. International sales surged 48%. Full-year guidance was raised, but supply chain issues and cost pressures weighed on margins. Management expects capacity constraints to persist into early 2027 and deferred pricing to impact margins until then.

Vita Coco reported 3Q 2026 revenue of $243.8M, up 33.7% YoY, with net income of $35M, up 45.9%. EPS rose 45% to $0.58. Growth driven by Vita Coco Coconut Water, Private Label, and Copra. Management noted supply-chain and tariff uncertainties. COCO completed Copra acquisition in July 2026.

Vita Coco (COCO) reported Q3 2026 net sales up 34%, with coconut water and private label growth of 15% and 152% respectively. U.S. retail dollar sales grew 28%, while European markets saw 66% growth. The company plans to launch new products and expand supply chain capacity. Inflationary pressures impacted gross margins, with pricing adjustments expected in 2027.

Vita Coco (COCO) reported strong Q3 2026 results, with demand growth across major markets. The company expects net sales of $810M-$820M for 2026 and plans pricing actions in Q1 2027. Management expressed optimism about continued demand acceleration.