Investing.com -- Once Upon a Farm Inc (NYSE:OFRM), the organic childhood nutrition company co-founded by actress Jennifer Garner, saw its shares jump 17% in its Friday trading debut. The Berkeley-based company's stock opened at $21 on the New York Stock Exchange, a significant premium over its initial public offering price of $18.
The offering of approximately 11 million shares raised $197.9 million for the company and certain existing stockholders. This valuation gives the rapidly growing snack maker a market capitalization of roughly $845 million based on outstanding shares.
The company has positioned itself as a disruptor in a category long dominated by shelf-stable, highly processed options. "We revolutionized the childhood nutrition category with what we believe is the first-ever cold-pressed Pouch, setting a new standard for nutrition that parents love and kids crave," the company stated in its filing.
Led by industry veteran John Foraker, formerly of Annie's, the brand has expanded from its core pouch business into refrigerated oat bars and frozen meals. The company's "farm fresh first" approach has resonated with on-the-go parents, helping it achieve an all-aisle presence in over 25,000 retail locations.
Net sales for the firm reached $225.9 million for the twelve months ended September 30, 2025, marking a 64.4% compound annual growth rate since 2018. Despite this top-line success, the company reported a net loss of $52 million during that same period as it prioritized aggressive infrastructure and marketing investments.
Management intends to utilize the net proceeds from the IPO to repay outstanding borrowings and purchase new equipment for its operations. "At Once Upon a Farm, Farm-Fresh Tastes Grow Here," the company noted in its mission statement, emphasizing its commitment to organic, non-GMO ingredients.
A key driver of growth has been the deployment of over 3,200 branded coolers, which the company claims are highly incremental to total category dollar growth for its retail partners. These installations allow the brand to claim premium real estate in the baby aisle, a space traditionally devoid of fresh, refrigerated options.
The company's omnichannel strategy has also proven effective, with roughly 40% of sales volume originating from digital "clicks" in 2025. This digital integration is particularly valuable to retailers, as the company notes that digital baskets are often significantly more valuable than those purchased in-store.
The executive team, which includes Foraker and CFO Lawrence Waldman, brings over a century of collective experience in consumer packaged goods. Their goal is to transition the brand into a "one-stop-shop" for childhood nutrition, spanning from a baby's first bites to school-age snacking.
While the market debut suggests strong investor appetite, the company faces headwinds including geopolitical instability and potential tariffs on imported ingredients. Nevertheless, with a household penetration of just 4.8%, the firm believes there is a substantial runway for capturing long-term value in the $79 billion retail category.