Latest Ratios: P/E Ratio -1.9x · EV/EBITDA 7.5x · ROE -32.6%. (1996–2025 historical series)
Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Market Cap | $28M | $29M | $56M | $54M | $85M | $224M | $126M | $278M | $514M | $508M | $533M |
| Enterprise Value | $75M | $76M | $110M | $98M | $212M | $329M | $210M | $363M | $601M | $530M | $514M |
| P/E Ratio → | -1.88 | — | — | — | — | — | — | — | — | 20.86 | 5.93 |
| P/S Ratio | 0.08 | 0.09 | 0.16 | 0.16 | 0.27 | 0.85 | 0.25 | 0.47 | 0.85 | 0.94 | 0.98 |
| P/B Ratio | 0.63 | 0.67 | 1.23 | 1.43 | 0.81 | 2.13 | 1.13 | 1.77 | 2.24 | 2.36 | 2.92 |
| P/FCF | 4.32 | 4.51 | — | — | — | — | — | 403.23 | — | — | — |
| P/OCF | 1.75 | 1.82 | — | — | — | — | 86.80 | 7.85 | 58.01 | 12.06 | 19.29 |
P/E links to full P/E history page with 30-year chart
Enterprise-value multiples — capital-structure-neutral measures of total business value
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| EV / Revenue | — | 0.22 | 0.32 | 0.29 | 0.67 | 1.26 | 0.42 | 0.61 | 0.99 | 0.98 | 0.95 |
| EV / EBITDA | 7.48 | 7.60 | 11.73 | 80.88 | 11.87 | — | — | 20.90 | 17.69 | 8.14 | 17.77 |
| EV / EBIT | — | — | 27.56 | — | 97.98 | — | — | — | 68.41 | 11.54 | 86.64 |
| EV / FCF | — | 11.66 | — | — | — | — | — | 526.49 | — | — | — |
Margins and return-on-capital ratios measuring operating efficiency
Full margin charts and quarterly trend are on the Earnings History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross Margin | 43.5% | 43.5% | 39.3% | 33.7% | 42.5% | 36.6% | 27.6% | 30.1% | 34.1% | 39.5% | 38.3% |
| Operating Margin | -0.4% | -0.4% | -0.7% | -6.2% | -1.9% | -12.3% | -8.6% | -2.7% | 0.2% | 7.8% | 1.5% |
| Net Profit Margin | -4.2% | -4.2% | -1.1% | -23.3% | -5.0% | -15.9% | -7.4% | -12.3% | -3.0% | 4.5% | 16.5% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| ROE | -32.6% | -32.6% | -9.3% | -110.8% | -14.9% | -38.4% | -27.5% | -38.1% | -8.2% | 12.3% | 66.0% |
| ROA | -8.4% | -8.4% | -2.1% | -29.4% | -4.6% | -11.4% | -9.1% | -16.4% | -4.2% | 6.4% | 29.5% |
| ROIC | -1.2% | -1.2% | -1.9% | -10.1% | -2.0% | -11.9% | -14.7% | -4.4% | 0.3% | 15.7% | 5.0% |
| ROCE | -1.5% | -1.5% | -2.1% | -11.5% | -2.3% | -10.9% | -13.1% | -5.2% | 0.4% | 13.9% | 3.4% |
Solvency and debt-coverage ratios — lower is generally safer
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Debt / Equity | 1.23 | 1.23 | 1.30 | 1.28 | 1.30 | 1.10 | 1.28 | 0.58 | 0.39 | 0.13 | 0.01 |
| Debt / EBITDA | 5.34 | 5.34 | 6.36 | 40.27 | 7.63 | — | — | 5.30 | 2.65 | 0.44 | 0.09 |
| Net Debt / Equity | — | 1.07 | 1.18 | 1.14 | 1.20 | 1.01 | 0.75 | 0.54 | 0.38 | 0.10 | -0.10 |
| Net Debt / EBITDA | 4.66 | 4.66 | 5.74 | 35.93 | 7.08 | — | — | 4.89 | 2.58 | 0.35 | -0.64 |
| Debt / FCF | — | 7.16 | — | — | — | — | — | 123.26 | — | — | — |
| Interest Coverage | -0.93 | -0.93 | 0.51 | -3.05 | 0.54 | -0.45 | -2.56 | -1.79 | 0.90 | 5.34 | 13.97 |
Short-term solvency ratios and asset-utilisation metrics
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Current Ratio | 1.20 | 1.20 | 1.34 | 1.32 | 1.88 | 1.82 | 2.75 | 1.66 | 0.97 | 1.20 | 2.70 |
| Quick Ratio | 0.50 | 0.50 | 0.59 | 0.75 | 1.23 | 0.82 | 1.70 | 0.75 | 0.39 | 0.63 | 1.88 |
| Cash Ratio | 0.10 | 0.10 | 0.08 | 0.06 | 0.11 | 0.13 | 0.93 | 0.07 | 0.01 | 0.07 | 0.82 |
| Asset Turnover | — | 2.12 | 1.84 | 1.81 | 0.90 | 0.77 | 1.28 | 1.40 | 1.28 | 1.38 | 1.48 |
| Inventory Turnover | 3.88 | 3.88 | 3.62 | 4.57 | 3.14 | 2.16 | 5.39 | 4.74 | 3.83 | 5.83 | 7.24 |
| Days Sales Outstanding | — | 26.40 | 37.61 | 48.45 | 54.42 | 56.19 | 30.37 | 34.51 | 35.39 | 31.52 | 29.91 |
Earnings, FCF, buyback, and dividend yields — total returns to shareholders
Full dividend history and growth charts are on the Dividend History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Dividend Yield | — | — | — | — | — | — | — | — | — | — | — |
| Payout Ratio | — | — | — | — | — | — | — | — | — | — | — |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings Yield | — | — | — | — | — | — | — | — | — | 4.8% | 16.9% |
| FCF Yield | 23.2% | 22.2% | — | — | — | — | — | 0.2% | — | — | — |
| Buyback Yield | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% |
| Total Shareholder Yield | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% |
| Shares Outstanding | — | $21M | $21M | $20M | $18M | $18M | $17M | $17M | $17M | $17M | $17M |
Operational Scale Sustainability
According to current market data, FARM trades at a price-to-sales multiple of 0.08, a figure that suggests investors are heavily discounting the company's future revenue potential and questioning the long-term viability of its current business model following recent divestitures and persistent net losses.
The extremely low P/S ratio relative to broader food service peers indicates that the market is pricing the company as a distressed asset rather than a growth entity. This valuation implies that the market expects further contraction or potential liquidation of assets rather than a successful pivot to profitability.
Based on reported figures, the company's ROIC has remained consistently negative, reaching -2.5% in 2026Q2, which indicates that the firm is currently destroying shareholder value rather than compounding it through its capital-intensive direct-store-delivery infrastructure and roasting facility operations.
The inability to generate a positive return on invested capital suggests that the fixed costs associated with the DSD network are not being adequately absorbed by current revenue levels. This trend warrants investigation into whether the company's asset base is fundamentally oversized for its current market footprint.
As reported in recent financial statements, the cash conversion cycle has fluctuated significantly, reaching 45 days in 2026Q2, which highlights the inherent difficulty in managing inventory and receivables within a high-touch, logistics-heavy model that lacks the scale of larger industry competitors.
The elevated days inventory outstanding, which stood at 85 days in the most recent quarter, suggests that the company may be struggling to optimize its supply chain following the recent strategic shift. This inefficiency ties up critical liquidity that the company cannot afford to lose given its current cash position.
According to the latest quarterly filings, the debt-to-equity ratio has climbed to 2.11, a concerning trend that reflects the company's increasing reliance on debt financing to sustain operations as its equity base continues to be depleted by recurring net losses.
While the absolute debt levels may appear manageable in isolation, the lack of positive interest coverage, which was -2.70 in 2026Q2, suggests that the company is becoming increasingly vulnerable to credit market conditions. Investors should monitor whether the company can maintain its current debt service obligations without further dilutive financing.
Market participants often misapply gross margin as a primary indicator of health for FARM, failing to recognize that the company's 36.3% gross margin in 2026Q2 is structurally insufficient to cover the high fixed overhead costs inherent in its specialized DSD logistics model.
Focusing on gross margin obscures the reality that the company's true earning power is dictated by route density and operating leverage. Analysts should instead prioritize operating margin and free cash flow conversion to assess whether the business can ever achieve a sustainable, self-funding scale.
Includes 30+ ratios · 30 years · Updated daily
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Compare growth, multiples, and margins vs sector.
Quick answers to the most common questions about buying FARM stock.
Farmer Bros. Co.'s current P/E ratio is -1.9x. The historical average is 22.9x.
Farmer Bros. Co.'s current EV/EBITDA is 7.5x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 20.0x.
Farmer Bros. Co.'s return on equity (ROE) is -32.6%. The historical average is -7.1%.
Based on historical data, Farmer Bros. Co. is trading at a P/E of -1.9x. Compare with industry peers and growth rates for a complete picture.
Farmer Bros. Co. has 43.5% gross margin and -0.4% operating margin.
Farmer Bros. Co.'s Debt/EBITDA ratio is 5.3x, indicating high leverage. A ratio above 4x may signal elevated financial risk.