Calavo Growers, Inc. (CVGW)

Calavo Growers' stock has been impacted by several events in the past six months. The company announced mixed results for Q3 2025, with net sales essentially flat year-over-year, and profitability was negatively affected by an unexpected FDA detention hold. A federal court in Mexico formally recognized Calavo de Mexico as a maquila operation, and the U.S. Department of Justice closed its Foreign Corrupt Practices Act inquiry related to operations in Mexico, with no further action planned. Calavo reported a 3.3% increase in total net sales for Q2 2025. Calavo sold its Renaissance Food Group (RFG) division to F&S Fresh Foods for $83 million. Calavo Growers declared a quarterly dividend of $0.20, payable on January 30, 2026, to investors of record on January 13, 2026. Calavo Growers is expected to release its Q4 2025 earnings after market close on Wednesday, January 14, 2026.

Sales of Calavo's Fresh Products segment are subject to seasonal fluctuations. Calavo mitigates this by sourcing avocados from various global regions to maintain year-round availability. The company's Prepared segment may offer some counter-seasonal stability or different seasonal patterns compared to fresh whole produce.

Calavo Growers, Inc. is an international consumer goods and farm products company specializing in value-added fresh food within the avocado industry, operating primarily in the Consumer Discretionary sector. The company is divided into two main segments: Grown, which focuses on fresh produce, and Prepared, which manufactures and distributes refrigerated fresh packaged goods. Calavo's products are sold under various brands and private labels to a diverse customer base worldwide.

Calavo Growers, Inc. has a significant global presence, with a primary focus on North America. The company sources avocados and other fresh produce from California, Mexico, Peru, and Colombia. Calavo operates packinghouses in the U.S. and Mexico, as well as a network of distribution and ripening centers across the U.S. and select international markets.

Calavo's brand reputation in the past year has been influenced by both operational challenges and positive legal resolutions. The FDA detention of avocado imports from Mexico likely had a negative impact on its reputation. The formal recognition of Calavo de Mexico as a maquila operation and the closure of the U.S. Department of Justice's Foreign Corrupt Practices Act inquiry without further action were positive developments. Calavo emphasizes its commitment to quality and food safety, aiming to provide fresh, high-quality, healthy food.

Calavo Growers, Inc. has a significant portion of its shares held by institutional investors, with institutional ownership standing at approximately 63.51% to 73.85%. Individual investors hold about 6.86% of shares. Major institutional owners include BlackRock, Inc., Vanguard Group Inc, and Dimensional Fund Advisors Lp. J. Link Leavens is the largest individual shareholder, owning 2.07 million shares, representing 11.61% of the company.