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Mission Produce Q3 Earnings Coming Up: Here's What Lies Ahead
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Key Takeaways
Mission Produce may see revenues fall 6.8% as avocado oversupply pressures prices and margins.
Higher sourcing and third-party packing costs could weigh on Mission Produce's profitability.
Calavo integration, strong demand and record Peru volumes may cushion Mission Produce's results.
Mission Produce, Inc. (AVO - Free Report) is slated to report third-quarter fiscal 2026 results on Sept. 8, after market close. The company is likely to report top-and bottom-lines decrease when it posts the quarterly results.
For revenues, the Zacks Consensus Estimate is pegged at $333.5 million, implying a drop of 6.8% from the year-ago quarter. The consensus estimate for the company’s earnings is pegged at 11 cents per share, which reflects a decline of almost 58% from the year-ago quarter’s figure. The consensus mark has increased 57.1% in the past seven days.
In the last reported quarter, the company delivered a negative earnings surprise of 85.7%. Its earnings beat the Zacks Consensus Estimate by 30.1%, on average, in the trailing four quarters.
Key Factors to Influence AVO’s Q3 Results
Mission Produce’s quarterly results are likely to face headwinds, primarily due to an unusually high supply of Mexican avocados that pushed prices significantly lower and pressured margins. The company also faced a mismatch between fruit availability and customer demand, which led to higher sourcing costs for in-demand sizes and lower prices for excess sizes.
In addition, Mission Produce had to rely more heavily on third-party packing services as its Mexican packing capacity was stretched, further affecting profitability. The company’s International Farming business was also impacted by lower blueberry packing volumes, weaker yields from newer blueberry acreage and investments in mango production that did not deliver the expected yield improvement.
Additionally, the Blueberries segment faces lower volumes due to accelerated harvest timing and unfavorable weather conditions. Lower yields per hectare have been driving higher production costs, while reduced blueberry volumes are likely to have negatively impacted packhouse utilization in the International Farming segment. Also, potential weather disruptions associated with El Nino could create production risks. Collectively, these factors are expected to hurt AVO’s results in third-quarter fiscal 2026.
On a positive note, Mission Produce has been benefiting from a vertically integrated model, durable avocado demand and an expanded platform following the completed Calavo acquisition. Higher volumes continue to support category growth, while Calavo integration adds North American packing capacity, supply flexibility and prepared foods exposure. Peru production is expected to reach record exportable volumes. Such factors are likely to have offered some cushion to the company’s performance in the to-be-reported quarter.
Our proven model predicts an earnings beat for Mission Produce this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the chance of an earnings beat. You can uncover the best stocks before they’re reported with our Earnings ESP Filter.
Mission Produce currently has an Earnings ESP of +33.33% and a Zacks Rank of 3.
Valuation Picture
Mission Produce has a forward 12-month price-to-earnings ratio of 17.35X, higher than the Agriculture - Operations industry’s average of 15.76X. The stock is trading lower than its median of 21.37X.
Image Source: Zacks Investment Research
The recent market movements show that AVO’s shares have gained 20.2% in the past three months compared with the industry's 7.3% growth.
Other Stocks With the Favorable Combination
Here are some other companies, which according to our model, also have the right combination of elements to beat on earnings this reporting cycle.
Sysco (SYY - Free Report) currently has an Earnings ESP of +1.90% and a Zacks Rank of 2. The company is likely to register an increase in the top and bottom lines when it reports first-quarter fiscal 2027 numbers. The Zacks Consensus Estimate for quarterly earnings per share is pegged at $1.17, up 1.7% from the year-ago period. SYY has a trailing four-quarter earnings surprise of 1%, on average. You can see the complete list of today’s Zacks #1 Rank stocks here.
The consensus estimate for Sysco’s quarterly revenues is pegged at $22.2 billion, which implies an increase of 4.8% from the prior-year quarter.
Constellation Brands (STZ - Free Report) currently has an Earnings ESP of +0.09% and a Zacks Rank of 2. The company is likely to register an increase in its top line when it reports second-quarter fiscal 2027 numbers. The Zacks Consensus Estimate for STZ’s quarterly revenues is pegged at $2.6 billion, which indicates a 3.8% rise from the prior-year quarter.
The consensus estimate for Constellation Brands’ quarterly earnings per share is pegged at $3.63, remaining in line with the year-ago period. STZ has a trailing four-quarter earnings surprise of 9.6%, on average.
Simply Good Foods (SMPL - Free Report) currently has an Earnings ESP of +0.02% and a Zacks Rank of 3. The company is likely to register declines in its top and bottom lines when it reports fourth-quarter fiscal 2026 numbers. The Zacks Consensus Estimate for Simply Good Foods’ quarterly revenues is pegged at $328.6 million, which indicates a decrease of 11% from the prior-year quarter.
The consensus estimate for Simply Good Foods’ quarterly earnings per share is pegged at 40 cents, down 13% year over year. SMPL has a trailing four-quarter earnings surprise of 9.2%, on average.
View the Zacks #1 Rank List
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Mission Produce Q3 Earnings Coming Up: Here's What Lies Ahead
Key Takeaways
Mission Produce, Inc. (AVO - Free Report) is slated to report third-quarter fiscal 2026 results on Sept. 8, after market close. The company is likely to report top-and bottom-lines decrease when it posts the quarterly results.
For revenues, the Zacks Consensus Estimate is pegged at $333.5 million, implying a drop of 6.8% from the year-ago quarter. The consensus estimate for the company’s earnings is pegged at 11 cents per share, which reflects a decline of almost 58% from the year-ago quarter’s figure. The consensus mark has increased 57.1% in the past seven days.
In the last reported quarter, the company delivered a negative earnings surprise of 85.7%. Its earnings beat the Zacks Consensus Estimate by 30.1%, on average, in the trailing four quarters.
Key Factors to Influence AVO’s Q3 Results
Mission Produce’s quarterly results are likely to face headwinds, primarily due to an unusually high supply of Mexican avocados that pushed prices significantly lower and pressured margins. The company also faced a mismatch between fruit availability and customer demand, which led to higher sourcing costs for in-demand sizes and lower prices for excess sizes.
In addition, Mission Produce had to rely more heavily on third-party packing services as its Mexican packing capacity was stretched, further affecting profitability. The company’s International Farming business was also impacted by lower blueberry packing volumes, weaker yields from newer blueberry acreage and investments in mango production that did not deliver the expected yield improvement.
Additionally, the Blueberries segment faces lower volumes due to accelerated harvest timing and unfavorable weather conditions. Lower yields per hectare have been driving higher production costs, while reduced blueberry volumes are likely to have negatively impacted packhouse utilization in the International Farming segment. Also, potential weather disruptions associated with El Nino could create production risks. Collectively, these factors are expected to hurt AVO’s results in third-quarter fiscal 2026.
On a positive note, Mission Produce has been benefiting from a vertically integrated model, durable avocado demand and an expanded platform following the completed Calavo acquisition. Higher volumes continue to support category growth, while Calavo integration adds North American packing capacity, supply flexibility and prepared foods exposure. Peru production is expected to reach record exportable volumes. Such factors are likely to have offered some cushion to the company’s performance in the to-be-reported quarter.
Mission Produce, Inc. Price and EPS Surprise
Mission Produce, Inc. price-eps-surprise | Mission Produce, Inc. Quote
What the Zacks Model Unveils for AVO
Our proven model predicts an earnings beat for Mission Produce this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the chance of an earnings beat. You can uncover the best stocks before they’re reported with our Earnings ESP Filter.
Mission Produce currently has an Earnings ESP of +33.33% and a Zacks Rank of 3.
Valuation Picture
Mission Produce has a forward 12-month price-to-earnings ratio of 17.35X, higher than the Agriculture - Operations industry’s average of 15.76X. The stock is trading lower than its median of 21.37X.
Image Source: Zacks Investment Research
The recent market movements show that AVO’s shares have gained 20.2% in the past three months compared with the industry's 7.3% growth.
Other Stocks With the Favorable Combination
Here are some other companies, which according to our model, also have the right combination of elements to beat on earnings this reporting cycle.
Sysco (SYY - Free Report) currently has an Earnings ESP of +1.90% and a Zacks Rank of 2. The company is likely to register an increase in the top and bottom lines when it reports first-quarter fiscal 2027 numbers. The Zacks Consensus Estimate for quarterly earnings per share is pegged at $1.17, up 1.7% from the year-ago period. SYY has a trailing four-quarter earnings surprise of 1%, on average. You can see the complete list of today’s Zacks #1 Rank stocks here.
The consensus estimate for Sysco’s quarterly revenues is pegged at $22.2 billion, which implies an increase of 4.8% from the prior-year quarter.
Constellation Brands (STZ - Free Report) currently has an Earnings ESP of +0.09% and a Zacks Rank of 2. The company is likely to register an increase in its top line when it reports second-quarter fiscal 2027 numbers. The Zacks Consensus Estimate for STZ’s quarterly revenues is pegged at $2.6 billion, which indicates a 3.8% rise from the prior-year quarter.
The consensus estimate for Constellation Brands’ quarterly earnings per share is pegged at $3.63, remaining in line with the year-ago period. STZ has a trailing four-quarter earnings surprise of 9.6%, on average.
Simply Good Foods (SMPL - Free Report) currently has an Earnings ESP of +0.02% and a Zacks Rank of 3. The company is likely to register declines in its top and bottom lines when it reports fourth-quarter fiscal 2026 numbers. The Zacks Consensus Estimate for Simply Good Foods’ quarterly revenues is pegged at $328.6 million, which indicates a decrease of 11% from the prior-year quarter.
The consensus estimate for Simply Good Foods’ quarterly earnings per share is pegged at 40 cents, down 13% year over year. SMPL has a trailing four-quarter earnings surprise of 9.2%, on average.