Cal-Maine Foods Faces DOJ Antitrust Probe Over Record Egg Price Increases

The largest U.S. egg producer reports cooperation with the investigation as its stock falls and scrutiny grows over surging egg prices linked to supply disruptions.

• Cal-Maine Foods, the largest U.S. egg supplier, is under investigation by the Department of Justice for potential antitrust violations related to recent egg price increases.
• The company announced it is cooperating with the DOJ probe but stated it cannot predict the investigation's duration or potential outcomes.
• Egg prices reached record highs earlier this year, driven by a bird flu outbreak that led to the culling of over 166 million birds, primarily egg-laying hens.
• Cal-Maine's fiscal third-quarter net sales nearly doubled to $1.42 billion, attributed to a 121% rise in conventional egg prices, although this fell short of Wall Street expectations.
• Following the announcement of the DOJ investigation, Cal-Maine's stock dropped 4% in after-hours trading, adding to a 12.2% year-to-date decline.

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