UBS downgrades Freshpet, Inc. (FRPT) due to high growth expectations

From Yahoo Finance: 2025-06-21 15:42:00

Freshpet, Inc. (NASDAQ:FRPT) is among the top 7 future food stocks to buy, reflecting strong growth potential in the premium pet food market. UBS gave a ‘Sell’ rating with a $65 price target due to concerns about overly optimistic growth expectations on June 16, 2025.

Freshpet, Inc. (FRPT) projects 15%-18% revenue growth for 2025, aiming for $190-$210 million in adjusted EBITDA. In Q1 2025, the company reported an 18% YoY increase in sales and 45.7% growth in adjusted gross margin, surpassing analyst estimates.

Freshpet, Inc. (NASDAQ:FRPT) is a manufacturer and distributor of fresh food and treats for dogs and cats in the U.S., Canada, and Europe. While acknowledging its potential, some AI stocks offer greater upside potential with less downside risk, according to analysts.

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Disclosure: None.

Read more: UBS Says Future Estimates for Freshpet, Inc. (FRPT) Are Too High