AVO Mission Produce, Inc.

BEARISH Impact: 7/10 8-K
Horizon weeks Filed Jun 8, 2026 Processed 1d 11h ago SEC 0001802974-26-000031
8-K Item 2.02: Earnings release

Price Chart

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Executive Summary

Mission Produce reported a severe Q2 fiscal 2026 miss: GAAP EPS of -$0.10 (vs consensus of +$0.05) and revenue of $290.9M (vs consensus of $256.3M). Revenue declined 24% YoY due to a 36% drop in avocado pricing. Adjusted EBITDA collapsed 63% to $7.1M. The company completed the acquisition of Calavo on May 28 and authorized a $100M share repurchase program. The core business is under severe margin pressure, and the guidance for Q3 consolidated adjusted EBITDA of $28-$32M provides only a partial recovery narrative, tempered by continued margin compression into early Q3.

Key Financial Metrics

Free Cash Flow
-$43.9M
Gross Margin
7%

Actionable Insight

The combination of a severe earnings miss, a dilutive all-stock acquisition just closed, and heavy debt load ($350M term loans) creates a bearish setup. Traders should brace for downside pressure at the open. Key catalysts to watch: the Q3 adjusted EBITDA guidance ($28-$32M) implies a sharp sequential recovery from Q2 — if management fails to deliver on this, the stock will break down further. Monitor integration execution and synergy realization, as the $25M+ synergy target is crucial to offsetting debt service. The $100M buyback provides a floor but is discretionary.

Key Facts

  • GAAP EPS: -$0.10 vs consensus +$0.05 (massive miss, swing from +$0.04 YoY)
  • Revenue: $290.9M, down 24% YoY from $380.3M, driven by a 36% decline in per-unit avocado pricing.
  • Adjusted EBITDA: $7.1M, down 63% from $19.1M YoY due to margin compression from historically low prices and a mismatch in fruit-size supply.
  • Calavo acquisition completed on May 28 for ~$266M cash + 17.5M shares, adding $350M in term-loan debt and a combined 88.3M shares outstanding.
  • Q3 guidance: consolidated adjusted EBITDA of $28-$32M, implying a H2 total of $84-$88M, with synergies not expected until Q4.
  • $100M share repurchase authorized (replaces $11.2M remaining from prior program) — no shares repurchased through June 8.

Financial Impact

Revenue miss of ~$34.6M vs consensus, GAAP EPS miss of -$0.15 vs consensus, adjusted EBITDA down 63% YoY.

revenueepsadjusted_ebitdagross_margindebt

Risk Factors

  • Prolonged avocado price weakness below Q3 guidance assumptions.
  • Integration disruption or failure to achieve $25M+ Calavo synergies.
  • Dilution from 17.5M new shares and $350M debt servicing burden.
  • Further margin compression if supply/demand mismatch persists.

Market Snapshot

Exchange
Nasdaq
Sector
Agricultural Services
Analyst Consensus
86% bullish (7 analysts)

Documents Analyzed

This report is based on 6 SEC documents filed with EDGAR.

DocumentAccession Number
8-K Filing (Primary)0001802974-26-000031
Document: avo-20260608.htm0001802974-26-000031
Document: 0001802974-26-000031-index-headers.html0001802974-26-000031
Document: 0001802974-26-000031-index.html0001802974-26-000031
Document: 0001802974-26-000031.txt0001802974-26-000031
8-K Data (Synthetic)0001802974-26-000031
10 reports for AVO
Performance horizon
25% Hit rate 1 of 4 directional calls best @ T+1▲ +0.80%Apr 29, 2026
Filters
Rows
Reports for AVO — sortable, filterable
Type Now
Jun 8, 2026
1d ago
8-K
BEARISH ★ 7/10
$10.00 awaiting T+5awaiting T+5$10.11 (−1.10%)
May 29, 2026
11d ago
3
NEUTRAL ★ 2/10
$10.89 $10.22▼ −6.15%▼ −3.40%$10.11 (−7.16%)
May 29, 2026
11d ago
8-K
BULLISH ★ 7/10
$11.14 $10.22▼ −8.26%▼ −5.73%$10.11 (−9.25%)
May 28, 2026
12d ago
Press Release
BULLISH ★ 7/10
$11.14 $11.08▼ −0.54%▼ −0.25%$10.11 (−9.25%)
May 22, 2026
18d ago
8-K
BULLISH ★ 6/10
$11.65 $10.78▼ −7.47%▼ −8.68%$10.11 (−13.22%)
Apr 29, 2026
5w ago
425
BULLISH ★ 7/10
$13.75 $13.61▼ −1.02%▼ −4.13%$10.11 (−26.47%)
Apr 20, 2026
7w ago
425
NEUTRAL ★ 6/10
$13.42 $14.26▲ +6.26%▲ +5.35%$10.11 (−24.66%)
Apr 20, 2026
7w ago
8-K
NEUTRAL ★ 5/10
$13.42 $14.26▲ +6.26%▲ +5.35%$10.11 (−24.66%)
Mar 23, 2026
11w ago
EFFECT
NEUTRAL ★ 4/10
$12.66 $13.70▲ +8.21%▲ +11.78%$10.11 (−20.14%)
Feb 24, 2026
15w ago
DEFA14A
NEUTRAL ★ 3/10
$14.44 $14.30▼ −0.97%▲ +0.13%$10.11 (−29.99%)
Showing 10 of 10

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