📊 WFCF Key Takeaways
Is Where Food Comes From, Inc. (WFCF) a Good Investment?
Where Food Comes From maintains a fortress balance sheet with minimal leverage (0.06x D/E), strong free cash flow generation ($1.5M), and healthy liquidity; however, accelerating earnings deterioration (-27.5% YoY net income despite only -3.3% revenue decline) signals operational distress that contradicts financial stability and warrants cautious observation.
Why Buy Where Food Comes From, Inc. Stock? WFCF Key Strengths
- Exceptional balance sheet strength with minimal debt ($572K LT debt), $3.2M cash position, and 0.06x debt-to-equity ratio eliminating solvency risk
- Solid free cash flow generation of $1.5M representing 5.8% of revenue despite revenue contraction, indicating operational cash conversion capability
- Robust liquidity metrics with 2.03x current ratio and 1.78x quick ratio providing substantial operational flexibility and emergency buffer
- Reasonable profitability with 38.2% gross margin, 16.5% ROE, and 11.9% ROA demonstrating effective asset utilization
- Minimal interest burden with 402x interest coverage ratio reducing financial distress risk
WFCF Stock Risks: Where Food Comes From, Inc. Investment Risks
- Revenue decline of 3.3% YoY indicates market headwinds in prepackaged software sector with potential market share erosion
- Net income decline of 27.5% YoY significantly exceeds revenue decline, signaling gross margin compression and/or rising operating expenses pointing to operational deterioration
- Operating margin of 4.8% provides insufficient cushion against further cost pressures or revenue volatility in competitive software market
- Small company scale ($24.9M revenue) limits competitive advantages and R&D capabilities relative to larger software competitors
- Root cause of accelerating earnings decline unclear from available data—could indicate structural business model problems rather than temporary cyclical weakness
Key Metrics to Watch
- Sequential quarterly revenue trend and customer acquisition/retention metrics
- Gross margin stabilization and operating expense ratio normalization
- Free cash flow sustainability and working capital management
- Product pipeline and market share position relative to sector peers
- Management commentary on margin pressures and turnaround initiatives
Where Food Comes From, Inc. (WFCF) Financial Metrics & Key Ratios
💡 AI Analyst Insight
Strong liquidity with a 2.03x current ratio provides a solid financial cushion.
WFCF Profit Margin, ROE & Profitability Analysis
WFCF vs Technology Sector: How Where Food Comes From, Inc. Compares
How Where Food Comes From, Inc. compares to Technology sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is Where Food Comes From, Inc. Stock Overvalued? WFCF Valuation Analysis 2026
Based on fundamental analysis, Where Food Comes From, Inc. has mixed fundamental signals relative to the Technology sector in 2026.
Note: This is a fundamental analysis based on SEC filings. For P/E ratio, price targets, and market-based valuation, consult financial data providers. This is not investment advice.
Where Food Comes From, Inc. Balance Sheet: WFCF Debt, Cash & Liquidity
WFCF Revenue & Earnings Growth: 5-Year Financial Trend
5-Year Trend Summary: Where Food Comes From, Inc.'s revenue has grown significantly by 17% over the 5-year period, indicating strong business expansion. The most recent EPS of $0.40 reflects profitable operations.
WFCF Revenue Growth, EPS Growth & YoY Performance
WFCF Quarterly Earnings & Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q3 2025 | $7.0M | $31.0K | $0.09 |
| Q2 2025 | $6.4M | $31.0K | $0.09 |
| Q1 2025 | $5.3M | $31.0K | $0.01 |
| Q3 2024 | $7.0M | $121.0K | $0.09 |
| Q2 2024 | $6.1M | $121.0K | $0.09 |
| Q1 2024 | $5.3M | $121.0K | $0.02 |
| Q3 2023 | $7.0M | $121.0K | $0.13 |
| Q2 2023 | $5.3M | $121.0K | $0.04 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
Where Food Comes From, Inc. Dividends, Buybacks & Capital Allocation
WFCF SEC Filings: Latest 10-K & 10-Q Analysis
Access official SEC EDGAR filings for Where Food Comes From, Inc. (CIK: 0001360565)
📋 Recent SEC Filings
❓ Frequently Asked Questions about WFCF
What is the AI rating for WFCF?
Where Food Comes From, Inc. (WFCF) has an AI rating of HOLD with 56% confidence, based on fundamental analysis of SEC EDGAR filings.
What are WFCF's key strengths?
Claude: Exceptional balance sheet strength with minimal debt ($572K LT debt), $3.2M cash position, and 0.06x debt-to-equity ratio eliminating solvency risk. Solid free cash flow generation of $1.5M representing 5.8% of revenue despite revenue contraction, indicating operational cash conversion capability.
What are the risks of investing in WFCF?
Claude: Revenue decline of 3.3% YoY indicates market headwinds in prepackaged software sector with potential market share erosion. Net income decline of 27.5% YoY significantly exceeds revenue decline, signaling gross margin compression and/or rising operating expenses pointing to operational deterioration.
What is WFCF's revenue and growth?
Where Food Comes From, Inc. reported revenue of $24.9M.
Does WFCF pay dividends?
Where Food Comes From, Inc. pays dividends, with $0.9M distributed to shareholders in the trailing twelve months.
Where can I find WFCF SEC filings?
Official SEC filings for Where Food Comes From, Inc. (CIK: 0001360565) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is WFCF's EPS?
Where Food Comes From, Inc. has a diluted EPS of $0.30.
How is the AI analysis conducted?
Two independent AI systems — Claude (Anthropic) and ChatGPT (OpenAI) — analyze SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports. Each AI evaluates financial health, profitability ratios, balance sheet strength, and growth metrics. The combined rating reflects both perspectives for balanced insights.
Is WFCF a good stock to buy right now?
Based on our AI fundamental analysis in April 2026, Where Food Comes From, Inc. has a HOLD rating with 56% confidence. Review the strengths and risks sections above before making a decision. This is not investment advice.
Is WFCF stock overvalued or undervalued?
Valuation metrics for WFCF: ROE of 16.5% (sector avg: 22%), net margin of 6.2% (sector avg: 18%). Compare these metrics with sector averages to assess valuation.
Should I buy WFCF stock in 2026?
Our dual AI analysis gives Where Food Comes From, Inc. a combined HOLD rating for 2026. Revenue is data pending, with profitability at or below sector average. Always conduct your own research.
What is WFCF's free cash flow?
Where Food Comes From, Inc.'s operating cash flow is $1.6M, with capital expenditures of $155.0K. FCF margin is 5.8%.
How does WFCF compare to other Technology stocks?
Vs Technology sector averages: Net margin 6.2% (avg: 18%), ROE 16.5% (avg: 22%), current ratio 2.03 (avg: 2.5).