Let’s dig into the relative performance of Dole (NYSE: DOLE) and its peers as we unravel the now-completed Q1 perishable food earnings season.
The perishable food industry is diverse, encompassing large-scale producers and distributors to specialty and artisanal brands. These companies sell produce, dairy products, meats, and baked goods and have become integral to serving modern American consumers who prioritize freshness, quality, and nutritional value. Investing in perishable food stocks presents both opportunities and challenges. While the perishable nature of products can introduce risks related to supply chain management and shelf life, it also creates a constant demand driven by the necessity for fresh food. Companies that can efficiently manage inventory, distribution, and quality control are well-positioned to thrive in this competitive market. Navigating the perishable food industry requires adherence to strict food safety standards, regulations, and labeling requirements.
The 11 perishable food stocks we track reported a slower Q1. As a group, revenues beat analysts’ consensus estimates by 1.4%.
In light of this news, share prices of the companies have held steady as they are up 2.8% on average since the latest earnings results.
Dole (NYSE: DOLE)
Known for its delicious pineapples and Hawaiian roots, Dole (NYSE: DOLE) is a global agricultural company specializing in fresh fruits and vegetables.
Dole reported revenues of $2.10 billion, down 1% year on year. This print exceeded analysts’ expectations by 2.4%. Despite the top-line beat, it was still a slower quarter for the company with a significant miss of analysts’ EBITDA and EPS estimates.
Unsurprisingly, the stock is down 3.5% since reporting and currently trades at $14.22.
Read our full report on Dole here, it’s free.
Best Q1: Mission Produce (NASDAQ: AVO)
Founded in 1983 in California, Mission Produce (NASDAQ: AVO) grows, packages, and distributes avocados.
Mission Produce reported revenues of $380.3 million, up 27.8% year on year, outperforming analysts’ expectations by 28.4%. The business had a stunning quarter with a solid beat of analysts’ EPS estimates and an impressive beat of analysts’ EBITDA estimates.
Mission Produce achieved the biggest analyst estimates beat among its peers. The market seems happy with the results as the stock is up 14.6% since reporting. It currently trades at $12.08.
Is now the time to buy Mission Produce? Access our full analysis of the earnings results here, it’s free.
Weakest Q1: Beyond Meat (NASDAQ: BYND)
A pioneer at the forefront of the plant-based protein revolution, Beyond Meat (NASDAQ: BYND) is a food company specializing in alternatives to traditional meat products.
Beyond Meat reported revenues of $68.73 million, down 9.1% year on year, falling short of analysts’ expectations by 8.3%. It was a disappointing quarter as it posted a significant miss of analysts’ adjusted operating income estimates.
Beyond Meat delivered the weakest performance against analyst estimates and slowest revenue growth in the group. Interestingly, the stock is up 39.5% since the results and currently trades at $3.56.
Read our full analysis of Beyond Meat’s results here.
Pilgrim's Pride (NASDAQ: PPC)
Offering everything from pre-marinated to frozen chicken, Pilgrim’s Pride (NASDAQ: PPC) produces, processes, and distributes chicken products to retailers and food service customers.
Pilgrim's Pride reported revenues of $4.46 billion, up 2.3% year on year. This number missed analysts’ expectations by 1.6%. It was a softer quarter as it also recorded a miss of analysts’ EBITDA estimates and a miss of analysts’ gross margin estimates.
The stock is down 15.8% since reporting and currently trades at $45.95.
Read our full, actionable report on Pilgrim's Pride here, it’s free.
Cal-Maine (NASDAQ: CALM)
Known for brands such as Egg-Land’s Best and Land O’ Lakes, Cal-Maine (NASDAQ: CALM) produces, packages, and distributes eggs.
Cal-Maine reported revenues of $1.42 billion, up 102% year on year. This print lagged analysts' expectations by 0.8%. Overall, it was a softer quarter as it also logged a miss of analysts’ EBITDA and gross margin estimates.
Cal-Maine delivered the fastest revenue growth among its peers. The stock is up 13.7% since reporting and currently trades at $102.90.
Read our full, actionable report on Cal-Maine here, it’s free.
Market Update
Thanks to the Fed’s series of rate hikes in 2022 and 2023, inflation has cooled significantly from its post-pandemic highs, drawing closer to the 2% goal. This disinflation has occurred without severely impacting economic growth, suggesting the success of a soft landing. The stock market thrived in 2024, spurred by recent rate cuts (0.5% in September and 0.25% in November), and a notable surge followed Donald Trump’s presidential election win in November, propelling indices to historic highs. Nonetheless, the outlook for 2025 remains clouded by potential trade policy changes and corporate tax discussions, which could impact business confidence and growth. The path forward holds both optimism and caution as new policies take shape.
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