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Natural and Organic Food Stocks Showing Strong Potential for 2025

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An updated edition of the May 26, 2025 article.

The natural foods industry has undergone a remarkable transformation, shifting from a niche market to a mainstream powerhouse driven by increasing consumer health consciousness and environmental awareness. Today, more than ever, consumers are prioritizing clean eating practices and ethical sourcing, catalyzing a surge in demand for natural and organic food products.

Central to this evolution is the consumer's heightened preference for products that offer transparency in sourcing and minimal processing. Organic, non-GMO (genetically modified organisms) and preservative-free options have become the standard, reflecting a broader trend toward healthier dietary choices. Governments globally are reinforcing this shift through stricter food labeling regulations, amplifying market expansion and consumer trust.

Companies like General Mills, Inc. (GIS - Free Report) and The Hain Celestial Group, Inc. (HAIN - Free Report) are responding to the rising demand for organic, clean-label and ethically sourced foods. With consumers prioritizing transparency, sustainability and minimal processing, the market for natural foods continues to grow. Expanding farm networks, plant-based innovations and a focus on humane and eco-friendly production are shaping the industry's future.

The natural foods industry is set to evolve with continuous innovation and expanding product categories. Companies are investing in plant-based alternatives, functional foods enriched with vitamins and probiotics and sustainable farming technologies. E-commerce is also playing a crucial role in making natural foods more accessible, allowing consumers to shop for organic and gluten-free products with ease. The global healthy foods market is expected to reach $2.26 trillion by 2035.

If you're looking to capitalize on this trend, our Natural Foods Screen makes it easy to identify high-potential stocks such as Vital Farms, Inc. (VITL - Free Report) , Sprouts Farmers Market, Inc. (SFM - Free Report) , United Natural Foods, Inc. (UNFI - Free Report) and Beyond Meat, Inc. (BYND - Free Report) .

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4 Natural Food Stocks to Watch

Vital Farms continues to strengthen its presence in the natural and organic food landscape through ethical sourcing, clean-label products and sustainable farming practices. The company’s emphasis on transparency and responsible production resonates with today’s health-conscious consumers, driving robust demand across its core categories. Vital Farms’ approach to scaling its operations without compromising on its founding values has been instrumental in building lasting relationships with both customers and its growing network of family farmers. These relationships have enabled the brand to maintain a steady trajectory of household penetration while deepening consumer loyalty.

The company’s efforts to expand its supply chain underline its dedication to supporting the natural and organic food movement. By growing its network to more than 450 family farms, an increase of approximately 50% since the end of 2023, Vital Farms has not only secured a more stable supply of pasture-raised eggs but also reinforced its reputation for fostering humane and environmentally responsible farming. These farms now house more than 8.2 million hens under contract, reflecting the company’s long-term vision of scaling responsibly. Beyond eggs, Vital Farms is also seeing robust growth in its butter segment, with net revenues soaring 41% year over year. The company’s transition to sourcing premium butter from Ireland has alleviated previous supply constraints and positions it well for continued expansion.

This Zacks Rank #3 (Hold) company is investing in infrastructure to sustain its momentum in the natural and organic space. Key initiatives include constructing a new facility in Indiana and enhancing its egg grading capacity at its Springfield, MO, operation, both of which are expected to significantly boost capacity and efficiency. These moves, coupled with the development of company-owned accelerator farms aimed at fostering innovation and best practices, highlight Vital Farms’ proactive strategy to meet growing demand. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Sprouts Farmers continues to strengthen its position as a leader in the natural and organic food retail space, firmly aligning its strategy with evolving consumer preferences for health, wellness and sustainability. The company’s differentiated assortment, which emphasizes clean-label, organic and plant-based offerings, resonates with a growing base of health-conscious shoppers. More than 70% of SFM’s products are attribute-driven, catering to specific dietary needs such as gluten-free, non-GMO, vegan and organic. In 2024 alone, Sprouts introduced more than 7,100 new items, enhancing its reputation for offering unique and curated products that support healthier lifestyles.

Sprouts Farmers has made notable progress in expanding its private-label offerings, with its Sprouts Brand contributing significantly to sales. In 2024, the company generated $1.7 billion in sales from its private-label products, introducing more than 300 new Sprouts Brand items to meet growing consumer demand for high-quality, responsibly sourced goods. Nearly half of Sprouts Farmers’ produce sales are organic, and the company maintains strong relationships with more than 170 local farmers to ensure freshness. Additionally, Sprouts Farmers continues to optimize its supply chain through strategic investments in distribution centers, enabling fresher products and more efficient delivery across its store network.

This Zacks Rank #3 company is actively investing in its infrastructure and customer engagement initiatives to solidify its leadership in natural and organic retail. The company’s loyalty program aims to deepen customer connections and encourage repeat visits, while continued investment in self-distribution of fresh meat and seafood is expected to enhance product quality and profitability. With plans to open at least 35 new stores in 2025, SFM remains committed to its purpose of helping people live and eat better.

United Natural remains committed to advancing the natural and organic food movement through its expansive wholesale distribution network and strategic partnerships. The company’s efforts are centered on supporting a wide range of retailers with differentiated products that cater to the growing demand for natural, organic, specialty and ethnic offerings. During the latest quarter, UNFI’s Wholesale Natural Products segment delivered 12% sales growth, outpacing the broader food industry and reflecting increased category penetration among existing customers. This momentum underscores UNFI’s role as a key partner for retailers aiming to expand their footprint in health-focused and attribute-driven food categories.

To further strengthen its leadership in natural and organic foods, UNFI continues to leverage its scale and supply-chain capabilities to support customer growth in new and emerging markets. The company’s focus on helping retailers expand into additional categories has driven steady volume gains, with approximately half of its recent growth attributed to new business wins. Beyond simply broadening product assortments, UNFI has emphasized operational excellence, streamlining its processes through Lean Daily Management across 20 distribution centers. This initiative has already delivered tangible benefits, such as improved fill rates, reduced shrink and enhanced service levels — all crucial factors in ensuring that fresh, and high-quality natural and organic products reach consumers efficiently.

United Natural’s roadmap remains focused on optimizing its network and deepening its customer partnerships. The company’s efforts to refine its supply chain, reduce waste and enhance working capital efficiency align with its broader goal of being the most effective and value-creating partner in the natural and organic food industry. With continued investments in technology, infrastructure and innovation, this Zacks Rank #3 company is well-positioned to support the evolving needs of retailers and meet the growing consumer demand for clean, sustainable and health-conscious food choices.

Beyond Meat is working to reposition itself not just as a plant-based meat company but as a leading player in the natural and organic food movement. The company is making a concerted effort to spotlight its clean-label credentials and health-forward innovation at a time when consumer skepticism around plant-based products remains high. Beyond Meat remains focused on its long-term objective — creating simple, recognizable and nutritious plant-based foods that address evolving consumer wellness goals.

At the heart of this effort is product innovation rooted in clean, minimal ingredients. A standout launch is Beyond Chicken Pieces, now available nationally at Kroger, which offers 21 grams of protein and features ingredients like avocado oil. Similarly, the Beyond Burger, now in its fourth major reformulation, continues to earn consumer approval, winning first place in taste rankings yet again. These products are free from cholesterol, antibiotics, hormones and zoonotic risk and carry certifications from trusted health organizations, reinforcing Beyond Meat’s commitment to quality and health-focused offerings.

This Zacks Rank #3 company is also advancing consumer education through purpose-driven marketing. Campaigns like “Planting Change” and “Real People, Real Results” are central to reshaping public perception. The latter tracks health improvements in individuals over 30 days of eating Beyond products, with reported gains in energy, sleep and cholesterol levels. These efforts, combined with strategic financing and operational recalibration, underscore Beyond Meat’s intent to lead with transparency, health impact and ingredient integrity.

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