Westrock Coffee falls after quarterly results show wider-than-expected loss

What happened

Westrock Coffee (WEST) fell 13.3% on November 6, 2026, because third-quarter results showed a wider-than-expected loss. The stock closed at $8.99 after it opened 6.1% above the previous close and traded at 2.0 times its 20-day average. The move occurred as the S&P 500 rose 0.3% on the day, and the stock had a market value of $969.4 million.

How big was the move

The session was a large, company-specific reaction: the change was 4.3 times a typical daily move for this stock and 12.2 percentage points worse than the Consumer Defensive sector median, which fell 1.1% on the day. Over the last five sessions the stock fell 9.5% while the S&P 500 over five sessions fell 2.7%. Trading volume was elevated and the stock’s market sensitivity is reflected by a beta of 1.43, indicating the stock tends to move more than the market.

The technical picture

Technically, the stock sat 3.2% below its 20-day moving average but 6.0% above its 50-day moving average and 28.1% above its 200-day moving average. The 50-day average is above the 200-day average, a sign of an established uptrend, and the stock has spent 145 consecutive trading days above the 200-day average. Shorter-term momentum was mixed. The Relative Strength Index (14 days) was 47, in a neutral range between 30 and 70, and the shares were 18.3% below the 52-week high.

Performance measures showed a one-month rise of 9.8% and a three-month rise of 10.2%, while the stock rose 111.0% over one year, which is 102.5 percentage points ahead of the S&P 500. Volatility was 49% annualized over 60 days, a level higher than 53% of its own readings over five years, which helps explain the outsized daily moves.

Fundamentals and valuation

For the four quarters through September 30, 2026, Westrock Coffee reported revenue of $1.25 billion, which grew 16.3% from a year earlier. Gross margin was 13.1%, down from 13.9% a year earlier, and operating margin was 0.0%, down from 4.3% a year earlier. Diluted earnings per share for the period were $-0.56. The company generated a free-cash-flow margin of 2.4% and a return on invested capital of 1.4%.

The balance sheet included net debt of 2.5 times EBITDA, and share count over one year increased by 2.2%. Valuation on free cash flow indicated a free-cash-flow yield of 3.1%, a level that contrasts with the stock’s strong one-year performance and high momentum readings.

Earnings and analyst expectations

Westrock Coffee released third-quarter results that drove the trading reaction. The company reported on November 5, 2026, earnings per share of $-0.10 against $-0.08 expected, which was 20.0% below estimates. Management said adjusted EBITDA hit a record $26.4 million, about 14% higher year-over-year. The company also said net sales declined because it processed tariff refunds, benefited from lower green coffee prices and continued to feel the impact of a previously disclosed customer loss, according to Seeking Alpha and Zacks Investment Research.

The firm has recorded zero consecutive quarters beating estimates and its average surprise over the last four reports was 41.6% below estimates. Typical two-day reactions after recent reports have been muted, with the stock falling 1.1% on average, but this session’s move was much larger as investors weighed the EPS miss against the record adjusted EBITDA.

Analysts set a consensus price target of $10.00, which is 11.2% above the closing price. Three analysts cover the stock and 100% rate the stock Buy in the consensus rating. The next report is scheduled for March 9, 2027.

What to watch

• Next report: March 9, 2027
• Consensus price target: $10.00, which is 11.2% above the closing price
• Number of analysts with a rating: 3; 100% rate the stock Buy in the consensus rating
• PromtFinance scores: Momentum 84 (Strong), Growth 67 (Positive), Value 27 (Very weak)