We are short The Vita Coco Company (NASDAQ: COCO), because, Vita Coco’s boilerplate rebuttal to our findings fails to address material risks buried in SEC filings and supply chain realities.
- Further, Piper Sandler’s claim of Vita Coco’s “advantaged supply chain” collapses under scrutiny: Costco’s new supplier ABS operates 15 global facilities vs. Vita Coco’s 14 factories, with ABS already supplying Amazon and Aldi.
- In Feburary 2025, Vita Coco’s major supplier Ducoco (8.5% of Vita Coco’s supply) filed for bankruptcy protection with $118M debt, yet Vita Coco didn’t address this topic on its earnings calls. In addition, Ducoco faces allegations of indigenous land grabs via “notary fraud” – a glaring conflict for Vita Coco’s B-Corp certification.
- On social media, a former executive has hinted at deeper issues: “Believe me, there’s more.”