Latest Ratios: P/E Ratio -1.9x · EV/EBITDA N/A · ROE -74.7%. (1997–2026 historical series)
Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow
| Metric | TTM | FY 2026 | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Market Cap | $8M | $21M | $11M | $25M | $31M | $48M | $32M | $48M | $57M | $73M | $65M |
| Enterprise Value | $15M | $27M | $18M | $26M | $29M | $42M | $28M | $46M | $53M | $69M | $63M |
| P/E Ratio → | -1.95 | — | — | — | — | — | — | 45.06 | 25.62 | 24.40 | 18.74 |
| P/S Ratio | 0.31 | 0.75 | 0.38 | 0.90 | 1.03 | 1.63 | 1.47 | 1.50 | 1.64 | 1.92 | 1.70 |
| P/B Ratio | 1.69 | 3.94 | 1.61 | 2.37 | 2.17 | 2.48 | 1.69 | 2.48 | 2.78 | 3.73 | 3.46 |
| P/FCF | — | — | — | — | — | 25.15 | — | 14.12 | 16.67 | 17.35 | 17.28 |
| P/OCF | — | — | — | — | — | 16.87 | 476.60 | 10.76 | 14.13 | 15.34 | 12.24 |
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 2026 | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| EV / Revenue | — | 0.99 | 0.60 | 0.93 | 0.95 | 1.44 | 1.31 | 1.44 | 1.52 | 1.82 | 1.65 |
| EV / EBITDA | — | — | — | — | — | 929.43 | — | 15.88 | 11.13 | 10.61 | 9.28 |
| EV / EBIT | — | — | — | — | — | — | — | 32.22 | 17.35 | 13.23 | 11.36 |
| EV / FCF | — | — | — | — | — | 22.14 | — | 13.49 | 15.44 | 16.51 | 16.77 |
Margins and return-on-capital ratios measuring operating efficiency
Full margin charts and quarterly trend are on the Earnings History page
| Metric | TTM | FY 2026 | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross Margin | 10.2% | 10.2% | 11.0% | 16.9% | 26.8% | 30.4% | 20.8% | 36.9% | 34.6% | 38.9% | 40.5% |
| Operating Margin | -13.0% | -13.0% | -20.1% | -17.5% | -16.1% | -2.4% | -12.5% | 4.4% | 8.7% | 13.7% | 14.4% |
| Net Profit Margin | -16.6% | -16.6% | -20.7% | -14.9% | -18.7% | -1.2% | -4.1% | 3.2% | 6.5% | 7.8% | 9.0% |
| Metric | TTM | FY 2026 | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| ROE | -74.7% | -74.7% | -69.5% | -33.4% | -33.6% | -1.8% | -4.7% | 5.2% | 11.2% | 15.4% | 18.5% |
| ROA | -22.0% | -22.0% | -29.3% | -19.6% | -23.2% | -1.3% | -3.4% | 3.8% | 8.1% | 10.2% | 11.6% |
| ROIC | -21.2% | -21.2% | -35.7% | -31.2% | -28.6% | -3.6% | -12.6% | 6.2% | 14.0% | 23.8% | 24.2% |
| ROCE | -25.9% | -25.9% | -44.3% | -33.3% | -25.4% | -3.3% | -12.6% | 6.4% | 14.2% | 24.8% | 25.3% |
Solvency and debt-coverage ratios — lower is generally safer
| Metric | TTM | FY 2026 | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Debt / Equity | 1.51 | 1.51 | 1.03 | 0.28 | 0.17 | 0.09 | 0.10 | 0.14 | 0.06 | 0.13 | 0.20 |
| Debt / EBITDA | — | — | — | — | — | 39.74 | — | 0.94 | 0.25 | 0.39 | 0.56 |
| Net Debt / Equity | — | 1.28 | 0.93 | 0.08 | -0.16 | -0.30 | -0.19 | -0.11 | -0.21 | -0.18 | -0.10 |
| Net Debt / EBITDA | — | — | — | — | — | -126.46 | — | -0.74 | -0.89 | -0.54 | -0.29 |
| Debt / FCF | — | — | — | — | — | -3.01 | — | -0.63 | -1.24 | -0.84 | -0.52 |
| Interest Coverage | -4.21 | -4.21 | -12.48 | -90.32 | -466.31 | — | -11.17 | 74.74 | 42.75 | 43.35 | 32.55 |
Short-term solvency ratios and asset-utilisation metrics
| Metric | TTM | FY 2026 | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Current Ratio | 1.29 | 1.29 | 1.34 | 1.19 | 2.24 | 2.82 | 3.38 | 2.43 | 3.01 | 1.90 | 1.88 |
| Quick Ratio | 0.69 | 0.69 | 0.67 | 0.65 | 1.51 | 2.01 | 2.31 | 1.76 | 2.11 | 1.31 | 1.26 |
| Cash Ratio | 0.18 | 0.18 | 0.10 | 0.26 | 0.94 | 1.43 | 1.49 | 0.86 | 1.14 | 0.74 | 0.72 |
| Asset Turnover | — | 1.36 | 1.40 | 1.36 | 1.38 | 1.10 | 0.87 | 1.14 | 1.32 | 1.32 | 1.30 |
| Inventory Turnover | 6.09 | 6.09 | 5.69 | 5.33 | 6.12 | 4.78 | 4.24 | 5.36 | 5.29 | 4.81 | 4.58 |
| Days Sales Outstanding | — | 35.34 | 42.94 | 35.50 | 29.08 | 32.81 | 48.08 | 53.05 | 45.37 | 41.66 | 39.45 |
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 2026 | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Dividend Yield | — | — | — | — | — | 0.1% | 2.3% | 6.0% | 5.0% | 3.9% | 4.3% |
| Payout Ratio | — | — | — | — | — | — | — | — | 127.1% | 95.2% | 81.3% |
| Metric | TTM | FY 2026 | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings Yield | — | — | — | — | — | — | — | 2.2% | 3.9% | 4.1% | 5.3% |
| FCF Yield | — | — | — | — | — | 4.0% | — | 7.1% | 6.0% | 5.8% | 5.8% |
| Buyback Yield | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 0.5% | 0.0% | 0.1% | 0.0% | 0.0% | 0.5% |
| Total Shareholder Yield | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 0.6% | 2.3% | 6.1% | 5.0% | 3.9% | 4.8% |
| Shares Outstanding | — | $8M | $7M | $6M | $6M | $6M | $6M | $6M | $6M | $6M | $6M |
Structural margin erosion
Based on reported figures, RMCF trades at a P/S multiple of 0.30, which suggests the market has largely abandoned growth expectations and is instead pricing the company for a potential terminal decline or a radical restructuring of its core franchised retail and manufacturing business model.
The negative P/E ratio of -1.93 underscores the absence of current earnings power, rendering traditional valuation metrics largely irrelevant for assessing the company's intrinsic value. Investors should monitor whether the current discount to peers like Tootsie Roll represents a deep-value opportunity or a rational reflection of the company's inability to stabilize its bottom line.
According to recent financial statements, RMCF's ROIC has deteriorated significantly, reaching -17.2% in 2026Q4, which indicates that the company is currently destroying shareholder capital rather than compounding it through its existing manufacturing and franchising operations.
The consistent decline in ROIC over the observed ten-quarter period suggests that the company's investments in its Durango facility and various yogurt brands are failing to generate returns above the cost of capital. This trend warrants further investigation into whether management can pivot toward a less capital-intensive model or if the current asset base is fundamentally misaligned with market demand.
As reported in financial statements, RMCF's cash conversion cycle has fluctuated significantly, reaching 41 days in 2026Q4, which highlights the company's ongoing struggle to balance inventory levels with the unpredictable demand patterns of its franchised retail network.
The volatility in DIO and DPO suggests that the company may be facing challenges in managing its supply chain, particularly regarding the procurement of volatile raw materials like cocoa. Investors should monitor whether these inefficiencies are temporary operational hurdles or structural weaknesses in the company's ability to manage its working capital effectively.
Based on the provided data, RMCF's debt-to-equity ratio has climbed to 1.51 in 2026Q4, indicating that the company is increasingly relying on debt to fund its operations as internal cash generation remains insufficient to cover ongoing corporate and manufacturing expenses.
The negative interest coverage ratio of -13.76 in 2026Q4 suggests that the company's ability to service its debt is severely compromised, raising concerns about its long-term financial stability. This shift toward higher leverage in a period of negative profitability warrants close monitoring for potential covenant breaches or the need for external financing.
The most commonly misapplied metric for RMCF is the P/E ratio, which obscures the company's true nature as a hybrid manufacturing and logistics partner rather than a simple retail chain, leading to misleading conclusions about its earnings potential in a volatile commodity environment.
Because RMCF's earnings are heavily distorted by manufacturing underutilization and non-recurring franchise costs, investors should instead focus on EV/Sales or unit-level economics to gauge the health of the business. Relying on P/E in this context ignores the structural reality that the company's profitability is currently tied more to its ability to manage input costs than to its retail footprint.
Includes 30+ ratios · 30 years · Updated daily
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Quick answers to the most common questions about buying RMCF stock.
Rocky Mountain Chocolate Factory, Inc.'s current P/E ratio is -1.9x. The historical average is 22.8x.
Rocky Mountain Chocolate Factory, Inc.'s return on equity (ROE) is -74.7%. The historical average is 7.1%.
Based on historical data, Rocky Mountain Chocolate Factory, Inc. is trading at a P/E of -1.9x. Compare with industry peers and growth rates for a complete picture.
Rocky Mountain Chocolate Factory, Inc. has 10.2% gross margin and -13.0% operating margin.