Domo signs strategic collaboration agreement with AWS for AI solutions
James E. Snyder, the Chief Financial Officer of Calavo Growers Inc (NASDAQ:CVGW), recently acquired 3,213 shares of the company's common stock. The transaction, valued at approximately $74,959, took place on April 10, 2025, at a price of $23.33 per share. According to InvestingPro data, the company appears undervalued at current levels, with analyst price targets ranging from $29 to $35. Following this purchase, Snyder now directly owns a total of 5,157 shares in the company. Calavo Growers, based in Santa Paula, California, is known for its agricultural services and produce distribution. The company, with a market capitalization of $407 million, maintains strong financial health with a current ratio of 2.23 and has consistently paid dividends for 24 consecutive years. InvestingPro subscribers can access 8 additional key insights about CVGW's financial performance and growth prospects.
In other recent news, Calavo Growers reported first-quarter earnings that exceeded analyst expectations, with adjusted earnings per share reaching $0.33 compared to the projected $0.30. Despite this earnings beat, the company's revenue fell short, coming in at $154.4 million against the anticipated $159.85 million, although it did represent a 21% year-over-year increase. The Fresh segment, including avocados and tomatoes, saw a 23.7% rise in sales to $139.9 million, driven by a significant increase in average price per carton. Gross profit for the quarter rose 46.2% to $15.7 million, with the Fresh segment's gross profit surging 88.8% to $12.1 million. Additionally, Calavo Growers announced a $25 million stock buyback program, approved by its Board of Directors, to enhance shareholder value. The company emphasized its strong balance sheet and liquidity, with $48.5 million in cash and cash equivalents and $96.7 million in available liquidity. The stock buyback will run until March 18, 2027, unless extended or concluded earlier by the Board. Calavo's cost-cutting measures led to a 23.6% reduction in selling, general, and administrative expenses. Adjusted EBITDA nearly tripled to $9.3 million, highlighting improvements in margins and operational efficiency.
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