The bird flu crisis in the US is causing egg shortages and skyrocketing prices, but investors are reaping the benefits. According to a recent report, Cal-Maine Foods and Vital Farms have seen their stock prices rise by 57.82% and 120%, respectively, over the past year.
The shortage has led to increased demand for eggs, with consumers facing price hikes of up to $8 per dozen. However, companies like Vital Farms are benefiting from the shortage, as investors see a lucrative opportunity in the egg market.
Analysts predict that these companies will continue to grow, with 72% of analysts recommending buying shares in Vital Farms. The firm’s revenue has increased by 31.3% and is expected to reach $600 million by year-end.
As the avian flu outbreak continues, the US government is working on a plan to prevent further losses. However, the crisis remains a significant challenge for consumers, with limited egg supplies leading to record price increases of up to 10% from one week to the next.
The shortage has also created opportunities for new markets, such as the vegan food industry, which sees a growing demand for plant-based eggs. Companies like Eat Just are benefiting from this trend, with sales increasing fivefold over the past year.
As the situation continues to evolve, it remains to be seen how the crisis will impact the US economy and consumer prices. For now, investors are cashing in on the egg shortage, while consumers face higher prices for their favorite breakfast staple.
Source: https://english.elpais.com/economy-and-business/2025-02-25/us-egg-producers-see-profits-soar-as-bird-flu-crisis-rages.html