Important Notice Regarding Alleged ERP Implementation Misrepresentations

NEW YORK, May 6, 2026 /PRNewswire/ -- Levi & Korsinsky, LLP notifies investors in Vital Farms, Inc. (NASDAQ: VITL) that a class action lawsuit has been filed on behalf of shareholders who purchased securities between May 8, 2025 and February 26, 2026. Find out if you qualify to recover losses. You may also contact Joseph E. Levi, Esq. at jlevi@levikorsinsky.com or (212) 363-7500.

Vital Farms missed its own full-year 2025 revenue guidance by over $15.5 million, reporting $759.4 million versus guidance of at least $775 million, while EPS came in at $0.35 against consensus of $0.39. Shares fell $2.68 per share, or 10.8%, to close at $22.11 on February 26, 2026.

The Alleged ERP Implementation Failures

Vital Farms spent years planning its enterprise resource planning system transition, describing the initiative as "fundamental to the operational improvements we are planning." The lawsuit contends that management repeatedly assured investors the switchover would be seamless, even pushing the launch date "from summer to early fall 2025 to ensure flawless switchover." When the system went live at the start of the fourth quarter, it allegedly slowed production during the critical pre-holiday period, causing shipment delays and the loss of retail shelf space that the Company is still struggling to recover.

How the ERP Transition Allegedly Affected Revenue

The complaint alleges that despite dedicating "significant resources, including the time and attention of management and key crew members" to the ERP rollout, Defendants failed to warn investors that production disruptions were likely. Instead of disclosing the operational risk as a near-certainty, management allegedly treated it as a mere hypothetical in boilerplate risk factor language, even as the go-live date approached.

Key ERP Allegations for Shareholders

• The lawsuit contends that management knew the ERP implementation would cause production slowdowns yet described it as a hypothetical risk in SEC filings
• After the system launched on September 29, 2025, production allegedly slowed "for the first two weeks of the fourth quarter," "during the lead-up to peak holiday period."
• The action claims the Company lost critical retail shelf space as a direct result of fulfillment disruptions
• Despite the known slowdown, the Company raised its full-year 2025 revenue guidance to at least $775 million on November 4, 2025
• As alleged, management told investors "the business has quickly bounced back" when shelf space had not yet been recovered
• FY 2025 revenue of $759.4 million fell short of the $775 million guidance by approximately $15.6 million

The Pasture-Raised Premium at Risk

Vital Farms built its brand as the leading U.S. pasture-raised egg company, commanding premium pricing and retail positioning. The lawsuit alleges the ERP disruption threatened the very shelf space that sustains the Company's premium brand presence, as retailers shifted orders to competitors during the fulfillment gaps.

Submit your information to join this case or call Joseph E. Levi, Esq. at (212) 363-7500.

"This case presents important questions about ERP disclosure obligations in the consumer food sector. When a company dedicates years and significant executive attention to a system transition that it describes as fundamental to operations, shareholders are entitled to candid assessments of the implementation risks, not boilerplate language that treats real and known disruptions as hypothetical possibilities," stated Joseph E. Levi, Esq.

ABOUT LEVI & KORSINSKY, LLP -- Over the past 20 years, Levi & Korsinsky has secured hundreds of millions of dollars for aggrieved shareholders. The firm has extensive expertise in complex securities litigation and a team of over 70 employees. For seven consecutive years, Levi & Korsinsky has ranked in ISS Securities Class Action Services' Top 50 Report. Applications to serve as lead plaintiff must be filed by May 26, 2026.

Frequently Asked Questions About the VITL Lawsuit

Q: What is the VITL class action lawsuit about? A: A securities class action has been filed against Vital Farms, Inc. (NASDAQ: VITL) alleging materially false and misleading statements between May 8, 2025 and February 26, 2026. Shares fell approximately 10.8% after the truth was revealed, causing significant losses for shareholders.

Q: Who is eligible to join the VITL investor lawsuit? A: Investors who purchased VITL stock or securities between May 8, 2025 and February 26, 2026 and suffered financial losses may be eligible. Eligibility is based on purchase date and documented losses, not on whether you still hold the shares.

Q: What specific misstatements does the VITL lawsuit allege? A: The complaint alleges Vital Farms made materially false or misleading statements regarding the progress and impact of its ERP system implementation, failing to disclose that the transition caused production slowdowns and shipment delays that resulted in the loss of critical retail shelf space. When the true state was revealed, the stock price declined sharply.

Q: What do VITL investors need to do right now? A: Gather brokerage records including purchase dates, share quantities, and prices paid. Contact Levi & Korsinsky for a free, no-obligation evaluation at jlevi@levikorsinsky.com or (212) 363-7500. No immediate action is required to remain eligible as a class member.

Q: What if I already sold my VITL shares -- can I still recover losses? A: Yes. Eligibility is based on when you purchased, not whether you still hold them. Investors who bought during the class period and sold at a loss may still participate.

Q: What does it cost me to participate? A: Nothing. Securities class actions are handled on a pure contingency basis. No upfront fees, no retainer, no out-of-pocket costs.

Q: How long will the lawsuit take to resolve? A: Securities class actions typically take two to four years from initial filing to resolution.

CONTACT:

Levi & Korsinsky, LLP

Joseph E. Levi, Esq.

Ed Korsinsky, Esq.

33 Whitehall Street, 27th Floor

New York, NY 10004

jlevi@levikorsinsky.com

Tel: (212) 363-7500

Fax: (212) 363-7171

View original content to download multimedia:https://www.prnewswire.com/news-releases/vitl-investor-alert-vital-farms-inc-securities-fraud-lawsuit---investors-with-losses-may-seek-to-lead-the-class-action-after-company-allegedly-concealed-erp-disruptions-levi--korsinsky-302763715.html

SOURCE Levi & Korsinsky, LLP