Children’s nutrition company Once Upon A Farm’s swift recall of its entire Tractor Wheels toddler snack range following reports of potentially life-threatening choking incidents has cast a shadow over the company’s financial outlook and future growth ambitions, while prompting wider safety questions about the broader toddler snack bar category.
FDA warned consumers Nov. 3 not to buy or serve Once Upon A Farm Tractor Wheels Organic Toddler Soft-Baked Bars after receiving multiple reports of children 1.5 years to 2.5 years old “suffering complete airway obstruction with the inability to breathe after consuming the product.”
The agency explained that “when chewed, the product reportedly forms a dry, sticky mass that standard choking interventions – including back blows and the Heimlich maneuver – may fail to dislodge,” resulting in some reported incidents requiring emergency response intervention and hospital observation.
The warning came several days after Once Upon A Farm voluntarily recalled on Oct. 30 all flavors, quantities, varieties and lot codes with expiration dates up to Aug. 26, 2027, of its Tractor Wheels toddler bars.
The company said it was working with FDA and its decision to quickly and transparently recall all of the Tractor Wheels soft-baked bars rather than only recall some of the lots was made “out of an abundance of caution, in the best interest of our customers and our commitment to quality.”
It added that it is not aware of any reported injuries, but understands this is scary for parents and children.
Fallout from recall could expand beyond Once Upon A Farm
The recall did not include any other products, but some consumers worried about the similarity between the Tractor Wheels soft-baked bars and the Power Wheels soft-baked bars.
When Once Upon A Farm introduced its organic Power Wheels line in March, it described the soft-baked bars as “an aged-up evolution of the fan favorite” Tractor Wheels line, but for older children aged 4 years and up.
On Reddit, some consumers raised safety questions about the Power Wheels line and other soft-baked bars for younger children.
One user, blueskies8484, said that even though Power Wheels SKUs were not recalled “given the similarity in the products, I think we will avoid both for the time being.”
Another user, Neat-Fig-3039 said, “I’m trying to understand why every granola bar or soft baked bar wouldn’t fall under the same hazard?”
This question was echoed by several other users, with one suggesting it may be a risk with any soft baked bars made with oats, while another – DumbbelDiva92 – asked whether these types of products should include a label that they are not recommended for children under 3 years.
Ongoing investigation
Once Upon A Farm is “looking to understand how the product could manifest as a choking hazard in the manner described in the complaints,” CEO John Foraker said during a conference call Nov. 2.
He explained that the company is reviewing the factors most likely to account for complaints of this kind, including ingredient inputs and adherence to manufacturing and quality specifications.
Even though the company had not identified a root cause that could be linked to the incidents as of Nov. 2, Foraker said the company is working hard to address consumer concerns as quickly and fully as possible.
“We are adding temporary staff to our Consumer Relations team so that we can respond to inquiries promptly and personally, and we will adapt based on the needs of those affected. We have also added a question-and-answer link on our website to address the most common questions we’ve received from consumers and will add to that as needed,” he said.
He added many retailer partners responded to the voluntary recall of the entire Tractor Wheels line “with understanding,” and said many told the company that they “look forward to seeing Tractor Wheels back on their shelves as soon as this is all resolved in the appropriate manner” as the “products are top sellers, highly productive SKU’s and beloved by consumers.”
As such, he said that the company is “confident in our ability to rebuild distribution quickly.”
He added the company is preparing production plans to support a return to shelf as soon as possible, “once the review is complete and any necessary changes that assure the product meets our high standards for safety have been implemented and validated.”
Recall triggers stock sell-off and raises questions about growth potential
In the meantime, the company faces significant financial exposure from the recall – causing some investors to sell their stock and some analysts to downgrade the company.
While it is too early to reliably estimate the total costs from the recall, Foraker acknowledged the product accounts for about 18% of the total company net sales year-to-date and their absence from the market will affect sales.
He tried to assuage investor concerns, noting that the company’s “financial position gives us the flexibility to manage through this period.”
He explained: “We finished Q3 with $106.4 million in cash and no debt. In addition, we have up to $95 million more available to borrow through existing credit facilities, subject to their terms. We are evaluating potential recoveries under our recall insurance coverage and coordinating with our manufacturing partner regarding any applicable coverage.”
He added that the company can share more details about its third quarter performance and the impact of the recall during is upcoming third-quarter earnings call on Nov. 12 after the market closes. Until then, the company is in a quiet period and said it could not offer additional comment.
The recall threatens the brand’s expansion ability
The disclosure prompted some investment analysts to downgrade their expectations. BofA Securities moved the company from a Buy rating to Underperform and cut its price target from $21 to $10. Along with the reduction of about 52%, BofA flagged potential damage to the brand reputation and retailer relationships.
TD Cowen also reduced its price target from $18 to $13, but maintained a Hold rating.
The company’s stock has also plummeted since the issue came to light. On Oct. 30, shares were at $15.91 but by Nov. 2 at 10 am they had fallen to $9.45. As of Nov. 5 at 3 pm ET, stocks were low but holding steady around $9.20.
The drop could reflect not just investor concern about the recall but about its broader impact on Once Upon A Farm’s ability to successfully translate its trusted baby-food brand into a broader children’s nutrition business.
The company’s pivot to the broader children’s food segment began in 2023 – eight years after it launched in the market with organic, fresh and cold-pressed baby food pouches in 2018. After helping to pioneer the refrigerated baby food set, the company expanded into snack bars in 2023 with its Refrigerated Oat Bars. The following year it introduced Fruit & Veggie Puffs, Melts and the Tractor Wheels Bars. It also expanded into soft-baked bars for older children with the launch of the Power Wheels soft-baked bars, alongside protein smoothies and new baby-food pouch formulations, according to the company’s 2025 Form 10-K and its March 2026 product launch.
The ultimate ambition was to become an all-aisle brand that caregivers could rely on for babies, toddlers and older children’s nutritional needs ranging from refrigerated baby food to snack bars and dairy and produce products.
For a company seeking to extend the trust it built with parents through baby food into a much broader children’s nutrition portfolio, the challenge now extends beyond resolving the Tractor Wheels recall. It must also demonstrate that its approach to product development, safety validation and age-appropriate design can support that wider ambition.
