A couple of days ago, I wrote an article on Vital Farms, and while writing it, I noticed that Cal-Maine Foods’ (CALM) net sales had been steadily declining over the past five years. I know that CALM sells cage-free eggs like Vital Farms (NASDAQ:VITL), so I needed to understand why their revenue decreased.
Cal-Maine Foods is a soft commodities company, and its results depend on highly volatile commodities prices. Its sales depend on shell egg prices, and its variable COGS are correlated with grain prices, specifically corn and soybean. An investor should understand these risks before investing.
The Future Of The Shell Egg Industry
Using information from the United Egg Producers facts & stats website and the U.S. Census Bureau, I forecasted what the Shell Egg industry should look like in 2026. I encourage you to read my article on Vital Foods to better understand how I forecasted the