# Vita Coco Company (COCO.US)

Canonical: https://gigainvestors.com/s/COCO

Analysis as of: 2026-10-16T07:27:35.792Z. Financial observations: FY2019–FY2026.

Listing currency: USD. Reporting currency: USD.

## Verdict

A wonderful business at too high a price

Quality tests for Buy: pass (profit record: pass; earnings resilience is evidence only). Published buy qualification: no.

Share price: $57.67 per share; close as of 2026-10-15.

Estimated value: low $17.19 per share, central $18.93 per share, high $21.24 per share. Buy at or below the central value $18.93 per share. Valuation as of 2026-10-16T07:27:35.792Z; scenarios are not confidence intervals.

Expected annual return: 4.8% at the stated quote. About 4.8% a year at today's price (required return 10.0%). required return 10.0% a year (10% floor; US 10-year bond 5.1% + 4 points).

## Checklist

### understandable: fail

- 0 revenue declines in the last 10 years (informational)

- operating margin variation exceeds 0.35

- Financial history: 8 years

- Years with declining revenue: 0

- Years with a net loss: 0

- Operating margin variation: 0.54×

Chart: Operating margin; fiscal year observations.

- FY2019: 0.05×

- FY2020: 0.15×

- FY2021: 0.06×

- FY2022: 0.01×

- FY2023: 0.11×

- FY2024: 0.14×

- FY2025: 0.14×

- LTM to Jun 2026: 0.19×

### moat: pass

- ROIC, median of available years: 56.0%

- ROIC, second-lowest year: 22.2%

- Typical minus recent gross margin: -3.5 pp

- Typical gross margin (annual median): 35.0%

- Recent gross margin (lower of latest and 3-year median): 38.5%

- Years with nonpositive capital: 0

- Capital spending / revenue: 0.2%

- ROIC including acquisitions, ten-year median: 40.5%

Chart: ROIC excluding acquisitions; fiscal year observations.

- FY2019: 23.9%

- FY2020: 74.3%

- FY2021: 22.2%

- FY2022: 1.9%

- FY2023: 71.8%

- FY2024: 67.2%

- FY2025: 44.8%

- LTM to Jun 2026: 80.7%

### economics: pass

- Owner earnings / net income, 5-yr: 0.98×

- Cash conversion uses consolidated totals: No

- Owner earnings, five-year total: $197M

- Net income, five-year total: $201M

- Return on incremental invested capital: 48.6%

- Working capital / revenue, annual change: 1.1 pp

Chart: Annual owner cash / profit; fiscal year observations.

- FY2021: 1.08×

- FY2022: 1.12×

- FY2023: 1.00×

- FY2024: 1.00×

- FY2025: 0.92×

### management: pass

- buybacks unrelated to price (informational)

- ROIC first 3 years vs last 3 years: 23.9% vs 67.2%

- Per-share earnings: 0.35 to 0.94 (three-year endpoint medians)

- Management verdict uses per-share economic progress: Yes

- Ordinary dilution, 5-year annual growth: 0.5%

- Diluted shares, 5-year annual growth: 0.5%

- Per-share value growth: 28.1%

- Per-share value change: $0.59

- Per-share value, starting three-year median: $0.35

- Per-share value, ending three-year median: $0.94

- Buybacks concentrated in cheaper years (correlation): -0.20

- Average buyback yield: 2.3%

- Buyback history: 4 years

- Debt-funded buybacks: No

- ROIC, first three-year median: 23.9%

- ROIC, last three-year median: 67.2%

Chart: Earnings per share; fiscal year observations.

- FY2019: $0.16

- FY2020: $0.56

- FY2021: $0.35

- FY2022: $0.14

- FY2023: $0.79

- FY2024: $0.94

- FY2025: $1.19

### accounting: pass

- stock compensation exceeds 15% of operating cash flow

- Sloan accruals: 5.2%

- Receivables to sales index (DSRI): 0.85×

- Restructuring years, last five: 0

- Stock compensation / operating cash flow: 23.0%

- Earnings backed by cash: Yes

- Operating cash / earnings: 0.66×

- Accounting red flags: 1

- Goodwill and intangibles / equity: 0.02×

Chart: Sloan accruals; fiscal year observations.

- FY2019: -8.5%

- FY2020: -0.4%

- FY2021: 17.8%

- FY2022: 9.4%

- FY2023: -21.2%

- FY2024: 3.6%

- FY2025: 5.2%

## Holders

- [Lee Ainslie](https://gigainvestors.com/mc): tracked 13F investor; follow the investor page for holding quarter and amounts.

## Price story

Down 23% since May 2026 · sales +15.8%

Story as of 2026-10-16T09:58:32.534Z; price observation 2026-10-15.

Price needs cash profits to grow 17.5% a year for ten years

- 2025-05-14: COCO Q1 Earnings Call: Outperformance on Sales, Tariff Risks Shape Full-Year Guidance ([finance.yahoo.com](https://finance.yahoo.com/news/coco-q1-earnings-call-outperformance-112408670.html))

- 2025-08-13: COCO Q2 Deep Dive: Growth in Core Coconut Water and Innovation Offset Margin Pressure ([finance.yahoo.com](https://finance.yahoo.com/news/coco-q2-deep-dive-growth-030542659.html))

- 2025-11-17: Vita Coco Soars After Getting A Major Tariff Exemption ([finance.yahoo.com](https://finance.yahoo.com/m/b09805bc-a433-31a5-98b6-0eba87598129/vita-coco-soars-after-getting.html))

- 2026-04-30: Vita Coco (COCO) Climbs to All-Time High on Strong Earnings, Upbeat Outlook ([finance.yahoo.com](https://finance.yahoo.com/markets/stocks/articles/vita-coco-coco-climbs-time-024320099.html))

- 2026-05-05: COCO Q1 Deep Dive: Category Acceleration, International Expansion, and Margin Upside Drive Upgraded Outlook ([finance.yahoo.com](https://finance.yahoo.com/markets/stocks/articles/coco-q1-deep-dive-category-112455226.html))

### Sales · FY2025–2026

sales +15.8%; source https://www.sec.gov/Archives/edgar/data/1482981/000148298126000022/coco-20251231.htm; observed 2026-02-18.

- FY2019: $284M 

- FY2020: $311M 

- FY2021: $380M 

- FY2022: $428M 

- FY2023: $494M 

- FY2024: $516M 

- FY2025: $610M 

- FY2026: $706M 

### Gross margin · FY2026

gross margin 41%; source https://www.sec.gov/Archives/edgar/data/1482981/000148298126000022/coco-20251231.htm; observed 2026-02-18.

- FY2019: 32.7% 

- FY2020: 33.8% 

- FY2021: 29.8% 

- FY2022: 24.2% 

- FY2023: 36.5% 

- FY2024: 38.5% 

- FY2025: 36.3% 

- FY2026: 41.0% 

## Owner memo

Memo as of 2026-10-16T08:06:05.509Z.

### How it makes money

Operates in beverages non-alcoholic; annual sales are USD 609.8 million.

- Source: https://www.sec.gov/Archives/edgar/data/1482981/000148298126000022/coco-20251231.htm (filed 2026-02-18); FY2025: revenue 609780000; grossProfit 221523000; margin = grossProfit / revenue.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16); COCO.US: The Vita Coco Company, Inc. develops, manufactures, markets, and distributes coconut water products under the Vita Coco brand name in the United States, Canada, Europe, the Middle East, Africa, and the Asia Pacific. It offers coconut water, oil, and juice products; Vita Coco Treats, a plant-based dairy alternative; Vita Coco Pressed, Vita Coco Coconut Juice, and Farmers Organic; Vita Coco Coconut MLK; and PWR LIFT, a protein-infused fitness drink. The company also supplies private label products to retailers. It distributes its products through club, food, drug, mass, convenience, e-commerce, and foodservice channels. The company was formerly known as All Market Inc. and changed its name to The Vita Coco Company, Inc. in September 2021. The Vita Coco Company, Inc. was incorporated in 2004 and is headquartered in New York, New York.

### Why customers stay

Margins ranged from 36.3% to 38.5% during 2023–25; it earns 56% on its capital.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-18); FY2023: grossProfit / revenue = 36.5%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-18); FY2024: grossProfit / revenue = 38.5%.

- Source: https://www.sec.gov/Archives/edgar/data/1482981/000148298126000022/coco-20251231.htm (filed 2026-02-18); FY2025: grossProfit / revenue = 36.3%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-18); 8-year return on capital observations [[2019,0.23931832257686037],[2020,0.7426018153714574],[2021,0.22213474392986698],[2022,0.018900063248128755],[2023,0.7182139667856549],[2024,0.6722801950738726],[2025,0.44757698959067094],[2026,0.8072665830362895]]; median 0.5599285923322718. ROIC follows the displayed moat series; financial companies use return on tangible equity.

### Where the cash goes

Spends 1.8% of cash earnings on expansion; earns 48.6% on new investment.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-18); FY2019: growth capex 0; upkeep 1009000; owner earnings 10489999. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-18); FY2020: growth capex 0; upkeep 392000; owner earnings 34392999. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-18); FY2021: growth capex 0; upkeep 557000; owner earnings 20527000. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-18); FY2022: growth capex 0; upkeep 982000; owner earnings 8733000. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-18); FY2023: growth capex 0; upkeep 599000; owner earnings 46690000. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-18); FY2024: growth capex 176432.61351388856; upkeep 797567.3864861114; owner earnings 55899432.61351389. Growth capex / owner earnings = 0.0031562505246472815.

- Source: https://www.sec.gov/Archives/edgar/data/1482981/000148298126000022/coco-20251231.htm (filed 2026-02-18); FY2025: growth capex 1207113.527559109; upkeep 6941886.472440891; owner earnings 65450113.52755911. Growth capex / owner earnings = 0.01844326101972045.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-18); Incremental return on capital 0.486238792157217, from the economics test's unchanged annual inputs.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-18); Dividend observations: [[2019,0],[2020,885000],[2021,47898000],[2022,0],[2023,6290000],[2024,0],[2025,0]]. Zero only counted when supported by a complete cash-flow statement.

- Source: https://www.sec.gov/Archives/edgar/data/1482981/000148298126000022/coco-20251231.htm (filed 2026-02-18); FY2025: cash repurchases 11269000 USD.

### Are managers owners

Insiders own 8.6% of the company.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16); COCO.US SharesStats.PercentInsiders = 8.605 percentage points; cache date 2026-10-16.

### What could break it

The various tariff rates resulted in $16 million of tariffs paid in 2025.

- Source: https://www.sec.gov/Archives/edgar/data/1482981/000148298126000022/coco-20251231.htm (filed 2026-02-18); These November announcements significantly reduced the tariff burden on our importation of our coconut water products post November 21, 2025, although miscellaneous tariffs remain. The various tariff rates resulted in $16 million of tariffs paid in 2025. We also experienced significant inflation and instability on transportation costs over the past four years, which affected our costs and margins significantly.

### What the price says

The price assumes cash profits grow 17.5% yearly over ten years.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-18); Ten-year compound average after fade. Initial solved rate 0.24107312717611917. Price 57.67; FX 1; discount 0.1; same standard ten-year fade to terminal 0.03.  Closing-price date 2026-10-15.

## Monthly share-price history (USD per share)

- 2021-10: $13.50 per share

- 2021-11: $13.50 per share

- 2021-12: $11.17 per share

- 2022-01: $10.91 per share

- 2022-02: $11.59 per share

- 2022-03: $8.96 per share

- 2022-04: $10.86 per share

- 2022-05: $12.26 per share

- 2022-06: $9.79 per share

- 2022-07: $12.05 per share

- 2022-08: $14.99 per share

- 2022-09: $11.39 per share

- 2022-10: $10.26 per share

- 2022-11: $11.84 per share

- 2022-12: $13.82 per share

- 2023-01: $13.57 per share

- 2023-02: $16.91 per share

- 2023-03: $19.62 per share

- 2023-04: $21.65 per share

- 2023-05: $26.68 per share

- 2023-06: $26.87 per share

- 2023-07: $26.42 per share

- 2023-08: $28.29 per share

- 2023-09: $26.04 per share

- 2023-10: $27.10 per share

- 2023-11: $28.06 per share

- 2023-12: $25.65 per share

- 2024-01: $19.69 per share

- 2024-02: $26.10 per share

- 2024-03: $24.43 per share

- 2024-04: $24.24 per share

- 2024-05: $29.11 per share

- 2024-06: $27.85 per share

- 2024-07: $25.84 per share

- 2024-08: $26.12 per share

- 2024-09: $28.31 per share

- 2024-10: $29.61 per share

- 2024-11: $35.54 per share

- 2024-12: $36.91 per share

- 2025-01: $37.44 per share

- 2025-02: $32.44 per share

- 2025-03: $30.65 per share

- 2025-04: $33.05 per share

- 2025-05: $35.59 per share

- 2025-06: $36.10 per share

- 2025-07: $35.26 per share

- 2025-08: $35.74 per share

- 2025-09: $42.47 per share

- 2025-10: $41.18 per share

- 2025-11: $53.41 per share

- 2025-12: $53.01 per share

- 2026-01: $53.35 per share

- 2026-02: $58.06 per share

- 2026-03: $47.91 per share

- 2026-04: $65.99 per share

- 2026-05: $75.13 per share

- 2026-06: $66.14 per share

- 2026-07: $65.94 per share

- 2026-08: $58.72 per share

- 2026-09: $57.26 per share

- 2026-10: $57.67 per share

## Annual estimated value (USD per share)

- FY2023: low $7.06 per share, central $7.74 per share, high $8.65 per share

- FY2024: low $11.60 per share, central $12.84 per share, high $14.49 per share

- FY2025: low $13.59 per share, central $15.04 per share, high $16.97 per share

Historical values use today's bond yield for every fiscal year

Historical values use today's FX rate into trading currency for every fiscal year

Historical values use current restated fundamentals and current commodity classification; they are not point-in-time estimates

## Sources

[Original 10-K filing](https://www.sec.gov/Archives/edgar/data/1482981/000148298126000022/coco-20251231.htm); period 2025-12-31, filed 2026-02-18.

Estimates depend on assumptions and are not guarantees or investment advice. Underlying data remains subject to its source licenses; public reading does not grant bulk redistribution rights.