HelloFresh Shares (HFG) Make New Low Below €5 as Sell-Off Accelerates

HelloFresh shares (ETR:HFG) suffered another punishing session today, falling 7.37% to €5.07 and breaching the psychologically significant €5 threshold for the first time, with the share price touching an intraday low of €4.78.

The German meal-kit delivery company has now lost a staggering 93% of its value over the past five years, representing one of the most dramatic collapses as you can see from the chart below.

The latest decline extends a brutal period for the Berlin-based company, which has faced mounting challenges across its core meal-kit business and its struggling ready-to-eat segment. Markets have grown increasingly concerned about the sustainability of HelloFresh’s business model as consumer behavior shifts and operational headwinds intensify.

The company’s recent troubles became particularly acute this month when HelloFresh reported a 9% year-on-year decline in net revenue at constant currency for the fourth quarter of 2025, slightly missing its own guidance range of a 6% to 8% decline.

Management flagged a soft start to 2026, citing challenging trading conditions and extreme weather affecting demand in January, further dampening sentiment around the stock’s near-term prospects.

This disappointing performance followed a series of profit warnings and outlook revisions throughout 2025. In August, HelloFresh slashed its full-year adjusted EBITDA forecast to €415–465 million from €450–500 million, blaming a stronger euro and weaker sales in its ready-to-eat segment.

That announcement triggered a 15% single-day drop. Earlier in March 2025, the company projected a constant-currency revenue decline of 3% to 8% for fiscal year 2025, resulting in an 11% share price decline as markets digested the extended cost-cutting program.

Confidence Fading

Analyst confidence has evaporated alongside the share price. Morgan Stanley downgraded HelloFresh from Equalweight to Underweight in December 2025, slashing its price target to €5.50 from €8.30. The downgrade centered on deteriorating performance in the ready-to-eat business, particularly the Factor brand in the United States, which showed declining revenues throughout 2025.

Legal and regulatory pressures have compounded operational challenges. Law firms initiated investigations in November 2025 into potential violations of federal securities laws, with allegations including declining customer demand and concerns over management’s financial practices. The investigations highlighted the CEO’s use of company shares as collateral for personal loans, raising governance questions that further unsettled markets.

A particularly damaging report from Grizzly Research in November 2025 alleged that HelloFresh’s business was in sharp decline, with management prioritizing self-enrichment over shareholder value. The report intensified scrutiny of the company’s strategic direction and leadership decisions at a critical juncture.

With the Hellofresh share price now trading at multi-year lows and technical support levels crumbling, markets appear to be pricing in continued deterioration in HelloFresh’s competitive position and profitability outlook, with little visibility on when the company might stabilize its performance.