SOW GOOD INC (SOWG)
US84612H1068 - Common Stock
SOWG gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 90 industry peers in the Food Products industry. The financial health of SOWG is average, but there are quite some concerns on its profitability. SOWG has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
In the past year SOWG was profitable.
In the past year SOWG has reported a negative cash flow from operations.
In the past 5 years SOWG reported 4 times negative net income.
SOWG had a negative operating cash flow in each of the past 5 years.
1.2 Ratios
The Return On Assets of SOWG (3.11%) is comparable to the rest of the industry.
SOWG's Return On Equity of 5.47% is in line compared to the rest of the industry. SOWG outperforms 46.43% of its industry peers.
With a decent Return On Invested Capital value of 7.06%, SOWG is doing good in the industry, outperforming 66.67% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.11% | ||
| ROE | 5.47% | ||
| ROIC | 7.06% |
ROA(3y)-66.42%
ROA(5y)-36.87%
ROE(3y)-179.62%
ROE(5y)-103.82%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
SOWG's Profit Margin of 4.47% is fine compared to the rest of the industry. SOWG outperforms 60.71% of its industry peers.
SOWG has a better Operating Margin (10.90%) than 75.00% of its industry peers.
The Gross Margin of SOWG (43.79%) is better than 95.24% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 10.9% | ||
| PM (TTM) | 4.47% | ||
| GM | 43.79% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), SOWG is destroying value.
The number of shares outstanding for SOWG has been increased compared to 1 year ago.
SOWG has more shares outstanding than it did 5 years ago.
Compared to 1 year ago, SOWG has an improved debt to assets ratio.
2.2 Solvency
SOWG has an Altman-Z score of 0.63. This is a bad value and indicates that SOWG is not financially healthy and even has some risk of bankruptcy.
Looking at the Altman-Z score, with a value of 0.63, SOWG is doing worse than 79.76% of the companies in the same industry.
A Debt/Equity ratio of 0.00 indicates that SOWG is not too dependend on debt financing.
SOWG's Debt to Equity ratio of 0.00 is amongst the best of the industry. SOWG outperforms 88.10% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 0.63 |
ROIC/WACC0.88
WACC8.03%
2.3 Liquidity
A Current Ratio of 3.27 indicates that SOWG has no problem at all paying its short term obligations.
SOWG has a better Current ratio (3.27) than 85.71% of its industry peers.
A Quick Ratio of 1.03 indicates that SOWG should not have too much problems paying its short term obligations.
With a decent Quick ratio value of 1.03, SOWG is doing good in the industry, outperforming 60.71% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 3.27 | ||
| Quick Ratio | 1.03 |
3. Growth
3.1 Past
SOWG shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 110.87%, which is quite impressive.
SOWG shows a strong growth in Revenue. In the last year, the Revenue has grown by 507.66%.
EPS 1Y (TTM)110.87%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-925%
Revenue 1Y (TTM)507.66%
Revenue growth 3YN/A
Revenue growth 5YN/A
Sales Q2Q%-29.34%
3.2 Future
The Earnings Per Share is expected to grow by 13.74% on average over the next years. This is quite good.
Based on estimates for the next years, SOWG will show a very strong growth in Revenue. The Revenue will grow by 38.56% on average per year.
EPS Next Y69.86%
EPS Next 2Y13.74%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year122.17%
Revenue Next 2Y38.56%
Revenue Next 3YN/A
Revenue Next 5YN/A
3.3 Evolution
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 14.48, the valuation of SOWG can be described as correct.
Based on the Price/Earnings ratio, SOWG is valued cheaper than 80.95% of the companies in the same industry.
SOWG's Price/Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 27.41.
SOWG is expected to report negative earnings next year, which makes the Forward Price/Earnings Ratio negative.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.48 | ||
| Fwd PE | N/A |
4.2 Price Multiples
SOWG's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. SOWG is cheaper than 88.10% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 4.82 |
4.3 Compensation for Growth
SOWG's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
A more expensive valuation may be justified as SOWG's earnings are expected to grow with 13.74% in the coming years.
PEG (NY)0.21
PEG (5Y)N/A
EPS Next 2Y13.74%
EPS Next 3YN/A
5. Dividend
5.1 Amount
SOWG does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
SOW GOOD INC
NASDAQ:SOWG (1/3/2025, 8:03:22 PM)
After market: 3.7 +0.08 (+2.21%)3.62
+0.84 (+30.22%)
Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupFood, Beverage & Tobacco
GICS IndustryFood Products
Earnings (Last)
Earnings (Next)
Inst Owners7.98%
Inst Owner Change7.66%
Ins Owners42.05%
Ins Owner Change-0.8%
Market Cap37.10M
Analysts45.71
Price Target4.34 (19.89%)
Short Float %4.95%
Short Ratio0.85
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)N/A
Avg EPS beat(2)N/A
Min EPS beat(2)N/A
Max EPS beat(2)N/A
EPS beat(4)N/A
Avg EPS beat(4)N/A
Min EPS beat(4)N/A
Max EPS beat(4)N/A
EPS beat(8)N/A
Avg EPS beat(8)N/A
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)1
Avg Revenue beat(2)-18.05%
Min Revenue beat(2)-36.36%
Max Revenue beat(2)0.27%
Revenue beat(4)N/A
Avg Revenue beat(4)N/A
Min Revenue beat(4)N/A
Max Revenue beat(4)N/A
Revenue beat(8)N/A
Avg Revenue beat(8)N/A
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)0%
PT rev (3m)-79.76%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-197.78%
EPS NY rev (1m)0%
EPS NY rev (3m)-136.84%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-78%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-32.05%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.48 | ||
| Fwd PE | N/A | ||
| P/S | 0.92 | ||
| P/FCF | N/A | ||
| P/OCF | N/A | ||
| P/B | 1.13 | ||
| P/tB | 1.13 | ||
| EV/EBITDA | 4.82 |
EPS(TTM)0.25
EY6.91%
EPS(NY)-0.42
Fwd EYN/A
FCF(TTM)-1.27
FCFYN/A
OCF(TTM)-0.75
OCFYN/A
SpS3.92
BVpS3.2
TBVpS3.2
PEG (NY)0.21
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.11% | ||
| ROE | 5.47% | ||
| ROCE | 8.93% | ||
| ROIC | 7.06% | ||
| ROICexc | 8.22% | ||
| ROICexgc | 8.22% | ||
| OM | 10.9% | ||
| PM (TTM) | 4.47% | ||
| GM | 43.79% | ||
| FCFM | N/A |
ROA(3y)-66.42%
ROA(5y)-36.87%
ROE(3y)-179.62%
ROE(5y)-103.82%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexcg growth 3YN/A
ROICexcg growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3YN/A
GM growth 5YN/A
F-Score6
Asset Turnover0.7
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 0.03 | ||
| Cap/Depr | 734.8% | ||
| Cap/Sales | 13.48% | ||
| Interest Coverage | 6.54 | ||
| Cash Conversion | N/A | ||
| Profit Quality | N/A | ||
| Current Ratio | 3.27 | ||
| Quick Ratio | 1.03 | ||
| Altman-Z | 0.63 |
F-Score6
WACC8.03%
ROIC/WACC0.88
Cap/Depr(3y)633.21%
Cap/Depr(5y)N/A
Cap/Sales(3y)609.53%
Cap/Sales(5y)N/A
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)110.87%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-925%
EPS Next Y69.86%
EPS Next 2Y13.74%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)507.66%
Revenue growth 3YN/A
Revenue growth 5YN/A
Sales Q2Q%-29.34%
Revenue Next Year122.17%
Revenue Next 2Y38.56%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y203.88%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year3141.3%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-67.12%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-41.52%
OCF growth 3YN/A
OCF growth 5YN/A