Added to YB: 2023-12-18
Pitch date: 2023-11-01
FARM [bullish]
Farmer Bros. Co.
-41.6%
current return
Author Info
No bio for this author
Company Info
Farmer Bros. Co. engages in roasting, wholesaling, equipment servicing, and distributing coffee, tea, and other allied products in the United States.
Market Cap
$31.3M
Pitch Price
$2.57
Price Target
6.60 (+340%)
Dividend
N/A
EV/EBITDA
2.66
P/E
-2.30
EV/Sales
0.24
Sector
Food Products
Category
turnaround
FARMER BROS CO - FARM
$FARM sub-$100M co. restructured: board refresh, $100M facility sale, ↑ profit, ↓ debt. New interim CEO, coffee vet. DSD biz: $360M FY24 sales, 40% GM target (mid-30s next yr). Mid-40s GMs prior=9% EBITDA. +EBITDA soon: ↓ coffee $, ↑ demand. AI pricing software, SHOOT syrup =↑ sales. Low capex, $23M debt, $36M revolver, NOLs. 8% EBITDA on $375M @ 6x = ~$6.60/sh. Risks: ops, B/S. Catalysts: +earnings, sale.
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