Vital FarmsVITL +4.73%75 Altman Z-Score is 4.47 as of Jun. 27, 2026, which is 56% below its 10-year median of 10.22. GuruFocus rates VITL with a GF Score™ of 75/100 and a GF Value™ of $39.70 (Significantly Undervalued). The stock has 3 warning signs investors should review. Among 1,933 Consumer Packaged Goods companies, Vital Farms ranks better than 71.55% on this metric.
The Altman Z-Score is a model designed to predict the likelihood of a company going bankrupt within the next two years. Created by American finance professor Edward Altman in 1968, the model is specifically designed for publicly traded manufacturing companies with assets greater than $1 million.
Good Sign:
Altman Z-score of 4.47 is strong.
Vital Farms has a Altman Z-Score of 4.47, indicating it is in Safe Zones. This implies the Altman Z-Score is strong.
The zones of discrimination were as such:
When Altman Z-Score <= 1.8, it is in Distress Zones.
When Altman Z-Score >= 3, it is in Safe Zones.
When Altman Z-Score is between 1.8 and 3, it is in Grey Zones.
The historical rank and industry rank for Vital Farms's Altman Z-Score or its related term are showing as below:
VITL'
s Altman Z-Score Range Over the Past 10 Years
Min: 4.47 Med: 10.22 Max: 29.17
Current: 4.47
During the past 9 years, Vital Farms's highest Altman Z-Score was 29.17. The lowest was 4.47. And the median was 10.22.
Vital Farms (NAS:VITL) Altman Z-Score Explanation
X1: The Working Capital/Total Assets (WC/TA) ratio is a measure of the net liquid assets of the firm relative to the total capitalization. Working capital is defined as the difference between current assets and current liabilities. Ordinarily, a firm experiencing consistent operating losses will have shrinking current assets in relation to total assets. Altman found this one proved to be the most valuable liquidity ratio comparing with the current ratio and the quick ratio. This is however the least significant of the five factors.
X2: Retained Earnings/Total Assets: the RE/TA ratio measures the leverage of a firm. Retained earnings is the account which reports the total amount of reinvested earnings and/or losses of a firm over its entire life. Those firms with high RE, relative to TA, have financed their assets through retention of profits and have not utilized as much debt.
X3, Earnings Before Interest and Taxes/Total Assets (EBIT/TA): This ratio is a measure of the true productivity of the firm's assets, independent of any tax or leverage factors. Since a firm's ultimate existence is based on the earning power of its assets, this ratio appears to be particularly appropriate for studies dealing with corporate failure. This ratio continually outperforms other profitability measures, including cash flow.
X4, Market Value of Equity/Book Value of Total Liabilities (MVE/TL): The measure shows how much the firm's assets can decline in value (measured by market value of equity plus debt) before the liabilities exceed the assets and the firm becomes insolvent.
X5, Revenue/Total Assets (S/TA): The capital-turnover ratio is a standard financial ratio illustrating the sales generating ability of the firm's assets.
Altman Z-Score does not apply to financial companies.
Vital Farms Altman Z-Score Related Terms
Vital Farms Altman Z-Score Historical Data
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The historical data trend for Vital Farms's Altman Z-Score can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
VITL vs ALCO, VFF, AFRI: Altman Z-Score Comparison
For the Farm Products subindustry, Vital Farms's Altman Z-Score, along with its competitors' market caps and Altman Z-Score data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Vital Farms Altman Z-Score vs Consumer Packaged Goods Industry
For the Consumer Packaged Goods industry and Consumer Defensive sector, Vital Farms's Altman Z-Score distribution charts can be found below:
* The bar in red indicates where Vital Farms's Altman Z-Score falls into.
Altman Z-Score model is an accurate forecaster of failure up to two years prior to distress. It can be considered the assessment of the distress of industrial corporations.
Vital Farms's Altman Z-Score for today is calculated with this formula:
Z
=
1.2
*
X1
+
1.4
*
X2
+
3.3
*
X3
+
0.6
*
X4
+
1.0
*
X5
=
1.2
*
0.1842
+
1.4
*
0.3002
+
3.3
*
0.1378
+
0.6
*
2.9645
+
1.0
*
1.5922
=
4.47
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency. GuruFocus does not calculate Altman Z-Score when X4 or X5 value is 0.
Vital Farms (VITL) has a Altman Z-Score of 4.47 as of Jun. 27, 2026. The Altman Z-score measures a company's bankruptcy risk. View historical data on Vital Farms and its competitors. This is 56% below median its historical median of 10.22. Over the past decade, Vital Farms' Altman Z-Score has ranged from 4.47 to 29.17. According to the industry distribution chart, Vital Farms ranks #550 out of 1933 companies in the Consumer Packaged Goods industry, placing it in the top 28.5%.
Is Vital Farms' Altman Z-Score too high?
Vital Farms' current Altman Z-Score of 4.47 is 56% below median its 10-year median of 10.22. Over the past 10 years, this metric has ranged from a low of 4.47 to a high of 29.17. The Consumer Packaged Goods industry median Altman Z-Score is 2.84. Vital Farms' value of 4.47 is 57.4% above this industry median. Based on the distribution chart, Vital Farms ranks #550 out of 1933 companies in the Consumer Packaged Goods industry, which is above the industry midpoint. Overall, Vital Farms has a GF Score™ of 75/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Vital Farms' Altman Z-Score compare to ALCO and VFF?
According to the Consumer Packaged Goods industry distribution chart, Vital Farms ranks #550 out of 1933 companies for Altman Z-Score. This puts Vital Farms in the upper half of its industry. The industry median Altman Z-Score is 2.84. Vital Farms' value of 4.47 is 57.4% above this benchmark. Historically, Vital Farms' own Altman Z-Score has ranged from 4.47 to 29.17 over the past decade. While the company's 10-year median is 10.22 vs. the industry median of 2.84, Vital Farms has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Altman Z-Score for a Consumer Packaged Goods company?
The median Altman Z-Score among Consumer Packaged Goods companies is 2.84, based on 1,933 companies in the industry. Companies in the top quartile (top 25%) have a Altman Z-Score significantly above this median, while those in the bottom quartile fall well below. However, Altman Z-Score should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Vital Farms's current Altman Z-Score of 4.47 is 57.4% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Altman Z-Score mean?
A high Altman Z-Score can signal that a stock is expensive relative to its fundamentals. The Altman Z-score measures a company's bankruptcy risk. View historical data on Vital Farms and its competitors. For the Consumer Packaged Goods industry, the median Altman Z-Score is 2.84 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Vital Farms's current Altman Z-Score is 4.47, which is 56% below median its own 10-year median of 10.22. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Vital Farms stock overvalued right now?
Based on GuruFocus' analysis, Vital Farms (VITL) is currently considered Significantly Undervalued. The stock's GF Value™ is $39.70, compared to a current price of $11.19 — trading 71.8% below its estimated fair value. The current Altman Z-Score is 4.47, which is 56% below median its 10-year median of 10.22 and 57.4% above the Consumer Packaged Goods industry median of 2.84. Vital Farms' overall GF Score™ is 75/100 with 3 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Altman Z-Score calculated?
Altman Z-Score is calculated from a company's financial statements. For Vital Farms (VITL), the current Altman Z-Score is 4.47 as of Jun. 27, 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Vital Farms (VITL) Overvalued in 2026?
Based on GuruFocus' analysis, Vital Farms stock appears to be undervalued.
The current stock price of $11.19 is trading 71.8% below its estimated GF Value™ of $39.70.
GuruFocus considers Vital Farms to be Significantly Undervalued.
Key valuation signals for VITL:
Altman Z-Score: 4.47 (56% below median its 10-year median of 10.22)
GF Value™: $39.70 vs. price of $11.19 (71.8% below fair value)
Industry Position: 57.4% above the Consumer Packaged Goods median (#550 of 1933)
No single metric tells the full story. See the VITL stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Vital Farms Inc is an ethical food company. The company retails pasture-raised eggs and butter. Its products include Pasture-Raised Eggs and Pasture-Raised Butter & Ghee. The company's purpose is rooted in a commitment to Conscious Capitalism, which prioritizes the long-term benefits of its stakeholders (farmers and suppliers, customers and consumers, communities and the environment, employees, and stockholders).
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