Wrapping up Q2 earnings, we look at the numbers and key takeaways for the perishable food stocks, including Beyond Meat (NASDAQ: BYND) and its peers.

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 strong Q2. As a group, revenues beat analysts’ consensus estimates by 3.6% while next quarter’s revenue guidance was 2.7% above.

While some perishable food stocks have fared somewhat better than others, they have collectively declined. On average, share prices are down 3.5% since the latest earnings results.

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 $74.96 million, down 19.6% year on year. This print fell short of analysts’ expectations by 8.6%. Overall, it was a softer quarter for the company with a significant miss of analysts’ EBITDA and gross margin estimates.

Beyond Meat President and CEO Ethan Brown commented, “We are disappointed with our second quarter results, which primarily reflect ongoing softness in the plant-based meat category, particularly in the U.S. retail channel and certain international foodservice markets. We are responding by accelerating our transformation activities, including more rapidly and aggressively reducing our operating expenses to fit anticipated near term revenues; prioritizing increased distribution of our core product lines; and investing in margin expansion initiatives across these core products.”

Beyond Meat delivered the weakest performance against analyst estimates and slowest revenue growth of the whole group. Unsurprisingly, the stock is down 13.8% since reporting and currently trades at $2.52.

Read our full report on Beyond Meat here, it’s free.

Best Q2: Mission Produce (NASDAQ: AVO)

Founded in 1983 in California, Mission Produce (NASDAQ: AVO) grows, packages, and distributes avocados.

Mission Produce reported revenues of $357.7 million, up 10.4% year on year, outperforming analysts’ expectations by 11.7%. The business had an incredible quarter with a beat of analysts’ EPS estimates and a solid beat of analysts’ gross margin estimates.

Although it had a fine quarter compared its peers, the market seems unhappy with the results as the stock is down 7.5% since reporting. It currently trades at $11.90.

Is now the time to buy Mission Produce? Access our full analysis of the earnings results here, it’s free.

Weakest Q2: Calavo (NASDAQ: CVGW)

A trailblazer in the avocado industry, Calavo Growers (NASDAQ: CVGW) is a pioneering California-based provider of high-quality avocados and other fresh food products.

Calavo reported revenues of $178.8 million, flat year on year, falling short of analysts’ expectations by 8.4%. It was a disappointing quarter as it posted a significant miss of analysts’ EBITDA estimates and a significant miss of analysts’ gross margin estimates.

As expected, the stock is down 2.5% since the results and currently trades at $26.80.

Read our full analysis of Calavo’s results here.

Fresh Del Monte Produce (NYSE: FDP)

Translating to "of the mountain" in Spanish, Fresh Del Monte (NYSE: FDP) is a leader in providing high-quality, sustainably grown fresh fruits and vegetables.

Fresh Del Monte Produce reported revenues of $1.18 billion, up 3.8% year on year. This number topped analysts’ expectations by 2.2%. Overall, it was an exceptional quarter as it also produced an impressive beat of analysts’ EBITDA estimates and a beat of analysts’ EPS estimates.

The stock is down 1.9% since reporting and currently trades at $35.37.

Read our full, actionable report on Fresh Del Monte Produce here, it’s free.

Vital Farms (NASDAQ: VITL)

With an emphasis on ethically produced products, Vital Farms (NASDAQ: VITL) specializes in pasture-raised eggs and butter.

Vital Farms reported revenues of $184.8 million, up 25.4% year on year. This print surpassed analysts’ expectations by 8%. It was a stunning quarter as it also put up an impressive beat of analysts’ EBITDA estimates and a solid beat of analysts’ adjusted operating income estimates.

Vital Farms scored the highest full-year guidance raise among its peers. The stock is up 25.3% since reporting and currently trades at $46.76.

Read our full, actionable report on Vital Farms here, it’s free.

Market Update

In response to the Fed’s rate hikes in 2022 and 2023, inflation has been gradually trending down from its post-pandemic peak, trending closer to the Fed’s 2% target. Despite higher borrowing costs, the economy has avoided flashing recessionary signals. This is the much-desired soft landing that many investors hoped for. The recent rate cuts (0.5% in September and 0.25% in November 2024) have bolstered the stock market, making 2024 a strong year for equities. Donald Trump’s presidential win in November sparked additional market gains, sending indices to record highs in the days following his victory. However, debates continue over possible tariffs and corporate tax adjustments, raising questions about economic stability in 2025.

Want to invest in winners with rock-solid fundamentals? Check out our 9 Best Market-Beating Stocks and add them to your watchlist. These companies are poised for growth regardless of the political or macroeconomic climate.

StockStory is growing and hiring equity analyst and marketing roles. Are you a 0 to 1 builder passionate about the markets and AI? See the open roles here.