DA Davidson has reiterated a Buy recommendation on Freshpet Inc. (FRPT) with an unchanged $80.00 price target, citing stabilization in consumer demand and the potential for upside as fiscal 2026 unfolds.
The firm said Freshpet’s fourth-quarter 2025 results came in essentially in line with both its own estimates and consensus expectations. Management’s initial guidance for fiscal 2026, DA Davidson noted, brackets both the firm’s and the street’s estimates on net sales but falls short of consensus on adjusted EBITDA.
Financially, Freshpet reported $1.1 billion in revenue over the past twelve months, representing approximately 13% revenue growth year over year. DA Davidson highlighted that the stock hit a low point in mid-October and has rallied since consumption trends began to stabilize. Over the last six months the shares have returned 25% and were trading at $80.72 at the time of the note.
DA Davidson’s view is that Freshpet should be valued around $80 per share if the company delivers results near the midpoint of its fiscal 2026 outlook. The firm expects the share price to be range bound in the near term, while also pointing to catalysts that could support double-digit net sales growth and upside to EBITDA. The broker concluded it remains constructive on the name and would accumulate shares on any weakness.
Independent analysis referenced in the note described the stock as appearing undervalued at current levels, pointing to a PEG ratio of 0.15 as evidence of an attractive valuation relative to projected growth. That analysis also indicated the availability of additional proprietary research and trade ideas, including 15 extra tips and comprehensive reports covering a broad set of U.S. equities.
Freshpet’s reported fourth-quarter results showed earnings that exceeded expectations while revenue slightly missed projections. The company delivered stronger adjusted EBITDA performance versus consensus, a development DA Davidson and other analysts attributed to expansion in gross margins.
Responses from other brokerages after the quarter were mixed but leaned toward cautious optimism. Stifel raised its price target to $84 and maintained a Buy rating. TD Cowen raised its target to $80 but kept a Hold rating, noting the company’s growth outlook even as 2026 EBITDA guidance trailed consensus. Morgan Stanley moved to an Overweight rating from Equalweight and set a $90 price target; the Morgan Stanley analyst, Eric Serotta, expressed optimism about the prospect for sequential topline growth in 2026 and characterized the company’s sales guidance as conservative.
The collection of analyst reactions reflects a split between optimism over margin improvement and caution about near-term EBITDA guidance. DA Davidson’s continued Buy stance and targeted price assume execution that lands near management’s midpoint, while other firms’ raised targets signal varying degrees of confidence across the analyst community.
For investors monitoring Freshpet, the near-term outlook appears tied to the company’s ability to convert stabilizing consumption into repeatable top-line momentum and further margin expansion. DA Davidson’s positioning - constructive, but expecting range-bound trading near term - underscores how guidance and execution around fiscal 2026 will shape investor sentiment in the coming quarters.