Once Upon A Farm, an organic baby food company co-founded by actress Jennifer Garner, has recently filed for an Initial Public Offering (IPO). The Berkeley, California-based firm plans to list its common stock on the New York Stock Exchange under the ticker symbol “OFRM,” pending approval from the Securities and Exchange Commission (SEC).
According to the company’s filing, Once Upon A Farm experienced a significant revenue increase of 66% over six months leading up to June 30. Despite this impressive growth, the company has acknowledged its financial history of losses, reporting a loss of $17.6 million in 2023 and $23.8 million in 2024. In the six months concluding June 30, 2025, the company’s revenue amounted to $110.6 million, but it still posted a loss of $28.5 million.
While the recent revenue surge appears promising, the stark reality of the company’s continuous losses casts a shadow over its potential success. The allure of a celebrity-backed brand entering the health-conscious food market may give Once Upon A Farm a competitive edge, but the question remains whether this will translate into solid stock performance.
Previous IPOs involving celebrity endorsements reveal the unpredictable nature of the market. Beachbody, a fitness company recognized for its affiliation with sports star Shaquille O’Neal, observed an initial stock price surge to $700 per share after its public debut in June 2021. However, just six months later, it suffered an 80% decline, with shares currently valued at approximately $5.45. Similarly, Figma, a design platform, witnessed its stock plummet from over $118 during its IPO in late July 2025 to around $60 today.
Investor confidence in IPOs has dwindled since the Federal Reserve’s interest rate hikes in 2022, with only about $100 million raised in IPOs over the past four years from fewer than two dozen companies. While finalizing an IPO is a notable accomplishment, it doesn’t ensure ongoing success.
As potential investors consider Once Upon A Farm, they should carefully assess the company’s product offerings. Specializing in organic baby food and kid snacks, Once Upon A Farm faces considerable competition from other brands in the organic market. Jennifer Garner’s celebrity status is highlighted prominently on the company’s website, but celebrity endorsements do not guarantee sustained market performance, particularly given the risks associated with public perception shifts.
On the positive side, John Foraker, the former CEO of Annie’s, a well-regarded organic food brand, is part of the management team. His expertise could prove beneficial in steering the company toward profitability. Once Upon A Farm employs a subscription model for its products, yet some prices may deter average American parents; for instance, a 15-pack of dairy-free smoothies retails for $61.50, while a competitor offers a 24-pack of organic applesauce pouches for under $20.
Despite reporting efforts to increase gross margins through strategic investments, Once Upon A Farm has yet to achieve profitability. For many investors, this reality serves as a warning sign. Those who believe in the brand’s potential may find it worthwhile to invest, albeit cautiously. It could be prudent for investors to allocate only a small percentage of their portfolio to this IPO and to observe market reactions once the stock launches.
Investors are encouraged to perform thorough research and consider both the prospects and pitfalls before committing financially to Once Upon A Farm’s IPO.
