Calavo Growers Strengthens Dividend with Acquisition Bid

Calavo Growers, Inc. (NASDAQ:CVGW) is among the 10 best low risk dividend paying stocks for June 2025.

The company has recently received a non-binding acquisition proposal that boosted its share price in the last 5 days.

A field of freshly picked avocados, ready to be shipped to customers.

Calavo Growers, Inc. (NASDAQ:CVGW) is an international consumer goods and farm products company, operating from its headquarters in California. The company produces and distributes avocados, prepared avocado products, and other perishable foods. Operating in two main segments, Grown and Prepared, the company has retail grocery, foodservice, and club stores across the globe in its client portfolio.

On June 11, 2025, Calavo Growers, Inc. (NASDAQ:CVGW) received a non-binding proposal to acquire all its outstanding shares. The shares were priced at $32 each in the proposed transaction that included both stock and cash. As of now, the proposal is still under review by the board of directors. The proposing party’s name remains anonymous. Calavo Growers, Inc. (NASDAQ:CVGW)’s legal and financial advisors are included in the review to make an optimally beneficial decision.

Following the anonymous acquisition proposal, the company’s stock price has gone up by 15.69% in the last 5 days, indicating a positive interpretation among the investors regarding the proposal.

Calavo Growers, Inc. (NASDAQ:CVGW) has low volatility as indicated by its beta of 0.40. The company offers a dividend yield of 2.93%, which is higher than the previous year’s yield by 33.33%. The ex-dividend date to benefit from the next dividend payment is June 30, 2025.

While we acknowledge the potential of CVGW as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you’re looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.

READ NEXT: 10 Best Dividend Stocks According to Jim Cramer and 10 Best Dividend Stocks to Buy for Dependable Dividend Growth.

Disclosure. None.