Farmer Brothers Co. (FARM) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

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Comparison

Company

Score

Quality

Valuation

Financial

Technical

Seneca Foods Corp.

Dutch Bros, Inc.

John B. Sanfilippo & Son, Inc.

Whole Earth Brands, Inc.

SunOpta, Inc.

Farmer Brothers Co.

BRC, Inc.

Westrock Coffee Co.

Bridgford Foods Corp.

Planet Green Holdings Corp.

YanGuFang International Group Co., Ltd.

Why is Farmer Brothers Co. ?

Weak Long Term Fundamental Strength as the company has not declared results in the last 6 months

Company's ability to service its debt is weak with a poor EBIT to Interest (avg) ratio of -2.24
The company has reported losses. Due to this company has reported negative ROE

Flat results in Jun 25

NET PROFIT(HY) At USD -8.59 MM has Grown at -62.8%
CASH AND EQV(HY) Lowest at USD 11.21 MM
INVENTORY TURNOVER RATIO(HY) Lowest at 3.62 times

Risky - Negative Operating Profits

The stock is trading risky as compared to its average historical valuations
Over the past year, while the stock has generated a return of -15.20%, its profits have fallen by -0.7%

Consistent Underperformance against the benchmark over the last 3 years

Along with generating -15.20% returns in the last 1 year, the stock has also underperformed S&P 500 in each of the last 3 annual periods

Real-Time Research Report

Verdict Report

How much should you sell?

All quantity irrespective of whether you are making profits or losses

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in FMCG)

When to re-enter? - We will constantly monitor the company and review our call based on new data

Is Farmer Brothers Co. for you?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

Farmer Brothers Co.

-15.2%

-0.71

70.76%

S&P 500

11.09%

0.56

19.88%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

-9.49%

EBIT Growth (5y)

-28.37%

EBIT to Interest (avg)

-2.24

Debt to EBITDA (avg)

Negative Net Debt

Net Debt to Equity (avg)

0.96

Sales to Capital Employed (avg)

4.42

Tax Ratio

1.56%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

56.43%

ROCE (avg)

ROE (avg)

Valuation

Valuation Scorecard

Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors

Factor

Value

P/E Ratio

NA (Loss Making)

Industry P/E

Price to Book Value

0.90

EV to EBIT

-12.91

EV to EBITDA

11.21

EV to Capital Employed

0.95

EV to Sales

0.20

PEG Ratio

Dividend Yield

ROCE (Latest)

-7.36%

ROE (Latest)

-35.98%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Mildly Bullish

RSI

No Signal

Bollinger Bands

Bearish

Moving Averages

Bearish (Daily)

KST

Bearish

Dow Theory

Mildly Bearish

No Trend

OBV

Mildly Bearish

Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned

Technical Movement

Analyse All Technical Factors

Financial Trend

Financial Trend Scorecard

Financial Trend scale:

Very Negative, Negative, Flat, Positive, Very Positive, Outstanding

8What is working for the Company

OPERATING CASH FLOW(Y)

Highest at USD 16.06 MM

NET PROFIT(HY)

Higher at USD -8.59 MM

RAW MATERIAL COST(Y)

Fallen by -20.15% (YoY

DEBT-EQUITY RATIO (HY)

Lowest at 106.53 %

DEBTORS TURNOVER RATIO(HY)

Highest at 11.43 times

OPERATING PROFIT MARGIN(Q)

Highest at 6.15 %

-10What is not working for the Company

NET PROFIT(HY)

At USD -8.59 MM has Grown at -62.8%

CASH AND EQV(HY)

Lowest at USD 11.21 MM

INVENTORY TURNOVER RATIO(HY)

Lowest at 3.62 times

Here's what is working for Farmer Brothers Co.

Net Profit

Higher at USD -8.59 MM

than preceding 12 month period ended Jun 2025

MOJO Watch

In the half year the company has already crossed Net Profit of the previous twelve months

Net Profit (USD MM)

Operating Cash Flow

Highest at USD 16.06 MM

in the last three years

MOJO Watch

The company has generated higher cash revenues from business operations

Operating Cash Flows (USD MM)

Operating Profit Margin

Highest at 6.15 %

in the last five periods

MOJO Watch

Company's profit margin has improved

Operating Profit to Sales

Debt-Equity Ratio

Lowest at 106.53 %

in the last five Semi-Annual periods

MOJO Watch

The company has been reducing its borrowing as compared to equity capital

Debt-Equity Ratio

Debtors Turnover Ratio

Highest at 11.43 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its Debtors faster

Debtors Turnover Ratio

Raw Material Cost

Fallen by -20.15% (YoY)

MOJO Watch

The company's ability to pass on the cost of raw materials to customers has improved; this may lead to a rise in profit margin

Raw Material Cost as a percentage of Sales

Here's what is not working for Farmer Brothers Co.

Net Profit

At USD -8.59 MM has Grown at -62.8%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (USD MM)

Cash and Eqv

Lowest at USD 11.21 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is deteriorating

Cash and Cash Equivalents

Inventory Turnover Ratio

Lowest at 3.62 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio