In this article, we will look at the 11 Best Coffee Stocks to Buy Now.
Overview of the Coffee Sector
According to the US National Coffee Association, the number of Americans who had coffee the past day rose by 37% between 2004 and 2024, placing past-day coffee consumption at its highest level in over two decades. Americans are thus increasingly consuming coffee, and its popularity is showing no signs of waning. Modern consumers have made coffee an integral part of their lives, as the National Coffee Association reported that around 66% of Americans now consume coffee daily. This number surpassed tap water consumption in 2021.
According to a report by Mordor Intelligence, the US coffee market is valued at $29.10 billion as of 2025. It is expected to grow at a compound annual growth rate (CAGR) of 3.69% between 2025 and 2030, reaching $34.87 billion at the end of the forecast period. Grand View Research shows that the global coffee market has a size of $223.78 billion as of 2023, and is expected to grow at a CAGR of 5.4% between 2024 and 2030.
READ ALSO: 10 Best Department Store Stocks to Invest in and 12 Best Household Stocks to Buy According to Hedge Funds.
Specialty and Instant Coffee Trends In the US
The establishment of specialty coffee cafes and sophisticated coffee houses across urban centers is boosting the demand for coffee. The coffee market is experiencing a strong premiumization trend, as consumers are exhibiting an increasing inclination to invest in high-quality, premium coffee experiences. Statistics from the National Coffee Association show that 43% of American coffee drinkers prefer and choose specialty coffee, which reflects a notable 20% increase compared to January 2021. According to Grand View Research, the US specialty coffee market is valued at $47.8 billion as of 2024. It is expected to grow at a CAGR of 9.5% between 2025 and 2030.
Instant coffee is another significant factor in the coffee industry, as it is one of the primary drivers of the rise of coffee drinkers. According to Fortune Business Insights, the instant coffee market in the US was valued at $5.78 billion as of 2022. It is anticipated to grow at a CAGR of 4.28% between 2023 and 2030, reaching $8.06 billion at the end of the forecast period.
With these trends in view, let’s look at the 11 best coffee stocks to buy now.
A close up of a barista pouring freshly made coffee to a happy customer in a cafe.
Our Methodology
We sifted through stock screeners, financial media reports, and ETFs to compile a list of 20 coffee stocks. We then selected the top 11 with the highest number of hedge fund holders, as of Q4 2024, and ranked them in ascending order. We sourced the hedge fund sentiment data from Insider Monkey’s database.
Why are we interested in the stocks that hedge funds pile into? The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter’s strategy selects 14 small-cap and large-cap stocks every quarter and has returned 373.4% since May 2014, beating its benchmark by 218 percentage points (see more details here).
11 Best Coffee Stocks to Buy Now
11. Laird Superfood, Inc. (NYSE:LSF)
Number of Hedge Fund Holders: 6
Laird Superfood, Inc. (NYSE:LSF), along with its subsidiary, Picky Bars, LLC, is a consumer products platform company that manufactures and markets plant-based and functional foods. Its core Laird Superfood platform encompasses functional roasted and instant coffees, Creamer coffee creamers, teas, hot chocolate, and Hydrate hydration products and beverage-enhancing supplements.
2024 was a transformational year for the company as it developed into a high-growth premium brand with strong margins and unlimited potential. Laird Superfood, Inc. (NYSE:LSF) maintained gross margins at nearly 41% for 2024, reflecting a roughly 11-point leap from the 30.1% it reported for 2023. This growth was attributed to strategic sourcing, a shift to a variable-cost manufacturing model, and disciplined trade spend management.
It attained 27% top-line growth in 2024, with net sales reaching $43.3 million, up from $34.2 million in 2023. Net sales in fiscal Q4 2024 grew to $11.6 million, a 26% increase over fiscal Q4 2023. This growth rate significantly surpassed the consumer goods and food industry averages, where top-line growth stands at around 3% to 5% annually.
In a report released on March 20, Alex Fuhrman from Craig-Hallum maintained a Buy rating on the company. Analysts are bullish on the stock, and its median price target of $6.24 implies an upside of 108.33% from current levels.
10. Farmer Bros. Co. (NASDAQ:FARM)
Number of Hedge Fund Holders: 6
Farmer Bros. Co. (NASDAQ:FARM) is a coffee roaster, wholesaler, and service provider specializing in regular and specialty coffee, tea, and culinary products. Its offerings include roasted and liquid coffee, coffee-related products such as coffee filters, sugars, creamers, other beverages such as cappuccino, cocoa, granitas, concentrated and ready-to-drink cold brew, and iced coffee.
Despite a challenging market environment, fiscal Q2 2025 was a strong quarter for Farmer Bros. Co. (NASDAQ:FARM). Its sales were up slightly year over year and up 6% compared to fiscal Q1 2025 to $90 million. It maintained gross margins above 43%, and its selling and G&A expenses continued declining.
In addition, fiscal Q2 2025 marked the second consecutive quarter of positive adjusted EBITDA performance at $5.9 million. The company also generated positive free cash flow for the first time in many years. These results reflect the positive impact of the company’s changes to optimize its business over the last eighteen months. On February 7, Craig-Hallum analyst Eric Des Lauriers reiterated a Buy rating on Farmer Bros. Co. (NASDAQ:FARM). It ranks tenth on our list of the 11 best coffee stocks to buy now.
