Utz Brands Issues Voluntary Recall of Certain Potato Chips
Written by Emily J. Thompson, Senior Investment Analyst
Updated: May 04 2026
0mins
Utz Quality Foods, LLC, a subsidiary of Utz Brands, Inc., is issuing a voluntary recall in the United States of certain limited varieties of Zapp's and Dirty potato chips. This voluntary recall follows notification to Utz that a seasoning containing dry milk powder, sourced from California Dairies, Inc. and supplied by a third-party supplier, may contain the presence of Salmonella. The affected seasoning batches tested negative for Salmonella prior to use; however, out of an abundance of caution, Utz is recalling the limited varieties of Zapp's and Dirty brand potato chips. To date, there have been no complaints of illness reported to Utz in connection with the recalled products. Utz is recalling these products based on the ingredient supplier's recall. No other products produced by Utz Quality Foods are included in this recall.
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Analyst Views on UTZ
Wall Street analysts forecast UTZ stock price to rise
8 Analyst Rating
6 Buy
2 Hold
0 Sell
Strong Buy
Current: 7.700
Low
11.00
Averages
13.57
High
17.00
Current: 7.700
Low
11.00
Averages
13.57
High
17.00
About UTZ
Utz Brands, Inc. manufactures a diverse portfolio of savory snacks through various brands, including Utz, On The Border Chips & Dips, Zapp’s, and Boulder Canyon, among others. The Company sells a variety of salty snacks under the Utz brand, including potato chips, pretzels, cheese snacks, pub/party mixes, and seasonal favorites. The Company’s On The Border brand (OTB) is a national brand of tortilla chips, salsa and queso. Its Boulder Canyon brand offers a line of BFY potato chips, including those made with olive or avocado oils. The Company's Zapp’s brand offers a line of kettle-cooked potato chips with bold, authentic flavors steeped in its New Orleans roots, including Voodoo, Hotter ‘N’ Hot Jalapeno, Spicy Cajun Crawtators, and Cajun Dill Gator-tators, among others. It also sells certain third-party branded products through its distribution network. The Company's products are distributed nationally through grocery, mass merchandisers, club, convenience, drug, and other channels.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
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- New Product Line: Boulder Canyon will introduce a new line of flavored tortilla chips at the expo, including Nacho, Sweet & Spicy Chili, and Chili Lime, with a full retail rollout planned for July 2026, aimed at diversifying its existing product offerings and satisfying varied consumer tastes.
See More
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- New Flavor Launch: The all-new Sizzlin' Summer Burger flavored Ripples Potato Chips are inspired by classic backyard barbecues, delivering a layered smoky and savory flavor experience aimed at attracting barbecue enthusiasts and further enriching Utz's product lineup.
- Charitable Partnership: Utz partners with Alex's Lemonade Stand Foundation, committing a portion of sales from Lemonade Chips (up to $40,000) to support childhood cancer research, demonstrating the brand's commitment to social responsibility and community support.
- National Retail Channels: Both limited-time chips are now available at major retailers like Walmart, Publix, and Kroger, as well as online, aiming to enhance brand visibility and market share through a broad distribution network.
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- Market Reaction: Investors have reacted cautiously to Utz Brands' quarterly results, which may lead to short-term stock price volatility, but the long-term growth outlook remains optimistic.
- Strategic Adjustments: The company may need to reassess its market strategy to address current challenges and seize potential growth opportunities, ensuring sustained business development.
See More
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- Market Analysis: RBC Capital Markets analyst Nik Mondi highlighted that while the salty snacks category continues to face macro pressures, Utz Brands remains an attractive long-term investment in the consumer staples sector, particularly as it expands its market share geographically.
- Stock Price Surge: Following the earnings report, Utz Brands (UTZ) shares jumped 10.8% in early trading on Wednesday, indicating market recognition of the company's growth potential, especially in comparison to its peers in the packaged food sector.
- Growth Drivers: Despite facing challenges, analysts believe Utz Brands will differentiate itself from competitors through idiosyncratic growth drivers that stimulate volume growth, enhancing its market position.
See More
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- Margin Improvement: The adjusted gross profit margin expanded by 210 basis points, reflecting successful cost control and product mix optimization, which is expected to further enhance future profitability and market competitiveness.
- Fiscal Year 2026 Outlook: The company anticipates benefiting from a 53rd week in 2026, projecting an approximate $20 million increase in reported net sales for Q4, with organic net sales growth expected between 2% and 3%, driven primarily by continued growth in branded salty snacks.
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See More
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- Margin Expansion: The company's gross profit margin improved by 200 basis points to 25.4%, while the adjusted gross profit margin expanded by 210 basis points to 30.8%, primarily due to productivity gains that offset rising supply chain costs, thereby enhancing profitability.
- Cash Flow Improvement: Although operating cash flow was negative at $12.2 million, adjusted free cash flow showed significant improvement, narrowing to negative $25.9 million, reflecting effective management of capital expenditures and working capital.
- Leverage Ratio Decline: The net leverage ratio decreased by 0.4x to 3.6x, indicating improved financial health, with expectations for further reduction as 2026 progresses, boosting investor confidence in the company's future growth.
See More
Utz Brands Showcases New Products at 2026 Sweets & Snacks Expo
- Product Innovation: Utz Brands will showcase its most extensive product portfolio at the 2026 Sweets & Snacks Expo, including the newly launched high-protein pretzels and cheese curls, providing 8-10 grams of protein per serving, thereby meeting consumer demand for healthier snacks and enhancing brand competitiveness in the market.
- Limited Edition Flavors: The introduction of Sizzlin' Summer Burger flavored Rippled Potato Chips and the return of Lemonade flavored Potato Chips in partnership with Alex's Lemonade Stand Foundation, with a portion of sales up to $40,000 donated, further elevates brand image and attracts consumer attention.
- Market Leadership: Boulder Canyon, recognized as America's fastest-growing salty snack brand with over $122 million growth in 2025, continues to lead the better-for-you snack market by launching beef tallow kettle chips, catering to consumer demand for snacks made without seed oils, thus solidifying its market position.
- New Product Line: Boulder Canyon will introduce a new line of flavored tortilla chips at the expo, including Nacho, Sweet & Spicy Chili, and Chili Lime, with a full retail rollout planned for July 2026, aimed at diversifying its existing product offerings and satisfying varied consumer tastes.
See More
Utz Launches Limited-Time Summer Flavors of Potato Chips
- Summer Flavor Comeback: Utz's Lemonade flavored potato chips return due to strong consumer demand, with projected sales exceeding $1 million in 2025, highlighting the brand's strong appeal in the summer snack market.
- New Flavor Launch: The all-new Sizzlin' Summer Burger flavored Ripples Potato Chips are inspired by classic backyard barbecues, delivering a layered smoky and savory flavor experience aimed at attracting barbecue enthusiasts and further enriching Utz's product lineup.
- Charitable Partnership: Utz partners with Alex's Lemonade Stand Foundation, committing a portion of sales from Lemonade Chips (up to $40,000) to support childhood cancer research, demonstrating the brand's commitment to social responsibility and community support.
- National Retail Channels: Both limited-time chips are now available at major retailers like Walmart, Publix, and Kroger, as well as online, aiming to enhance brand visibility and market share through a broad distribution network.
See More
Utz Brands Shows Solid Underlying Growth Despite Soft Quarter Trends
- Quarterly Trend Analysis: Utz Brands (UTZ) has shown soft trends quarter-to-date, indicating volatility in market demand that could impact short-term sales performance.
- Growth Drivers: Despite the weak quarterly performance, the company's fundamentals remain strong, suggesting that its growth potential in the premium market still exists, potentially laying the groundwork for future performance rebounds.
- Market Reaction: Investors have reacted cautiously to Utz Brands' quarterly results, which may lead to short-term stock price volatility, but the long-term growth outlook remains optimistic.
- Strategic Adjustments: The company may need to reassess its market strategy to address current challenges and seize potential growth opportunities, ensuring sustained business development.
See More
Utz Brands Reports Mixed Q1 Earnings, Positive FY26 Outlook
- Earnings Performance: Utz Brands (UTZ) reported a mixed Q1 earnings, yet set a solid guidance for +2% to +3% organic sales growth in FY26, reflecting the company's confidence in future growth despite macroeconomic pressures.
- Market Analysis: RBC Capital Markets analyst Nik Mondi highlighted that while the salty snacks category continues to face macro pressures, Utz Brands remains an attractive long-term investment in the consumer staples sector, particularly as it expands its market share geographically.
- Stock Price Surge: Following the earnings report, Utz Brands (UTZ) shares jumped 10.8% in early trading on Wednesday, indicating market recognition of the company's growth potential, especially in comparison to its peers in the packaged food sector.
- Growth Drivers: Despite facing challenges, analysts believe Utz Brands will differentiate itself from competitors through idiosyncratic growth drivers that stimulate volume growth, enhancing its market position.
See More
Utz Brands Q1 Earnings Beat Expectations
- Earnings Performance: Utz Brands reported a Q1 non-GAAP EPS of $0.15, beating expectations by $0.01, indicating stable profitability, although revenue of $361.3 million grew only 2.6% year-over-year, slightly missing estimates by $630,000.
- Margin Improvement: The adjusted gross profit margin expanded by 210 basis points, reflecting successful cost control and product mix optimization, which is expected to further enhance future profitability and market competitiveness.
- Fiscal Year 2026 Outlook: The company anticipates benefiting from a 53rd week in 2026, projecting an approximate $20 million increase in reported net sales for Q4, with organic net sales growth expected between 2% and 3%, driven primarily by continued growth in branded salty snacks.
- Cash Flow Status: Adjusted free cash flow is projected to range between $60 million and $80 million, despite an operational cash flow of negative $12.2 million, as the company actively invests in productivity enhancements and growth initiatives to support long-term development.
See More
Utz Brands Reports 5.2% Growth in Branded Salty Snacks
- Sales Growth: In Q1 2026, Utz Brands reported a 2.6% increase in net sales to $361.3 million, primarily driven by a 5.2% growth in organic sales of branded salty snacks, indicating strong performance in a competitive market.
- Margin Expansion: The company's gross profit margin improved by 200 basis points to 25.4%, while the adjusted gross profit margin expanded by 210 basis points to 30.8%, primarily due to productivity gains that offset rising supply chain costs, thereby enhancing profitability.
- Cash Flow Improvement: Although operating cash flow was negative at $12.2 million, adjusted free cash flow showed significant improvement, narrowing to negative $25.9 million, reflecting effective management of capital expenditures and working capital.
- Leverage Ratio Decline: The net leverage ratio decreased by 0.4x to 3.6x, indicating improved financial health, with expectations for further reduction as 2026 progresses, boosting investor confidence in the company's future growth.
See More
