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Alico Inc (ALCO)
NASDAQ:ALCO
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Alico
(NASDAQ:ALCO)
Rating:53Neutral
Price Target:
$32.00
▼(-2.47% Downside)
Alico (ALCO) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$254.97M
Dividend Yield0.61%
Average Volume (3M)23.44K
Price to Earnings (P/E)33.0
Beta (1Y)0.33
Revenue Growth-4.72%
EPS Growth-700.99%
CountryUS
Employees199
SectorConsumer Defensive
Sector Strength59
IndustryAgricultural Farm Products
Share Statistics
EPS (TTM)-2.39
Shares Outstanding7,645,360
10 Day Avg. Volume31,756
30 Day Avg. Volume23,437
Financial Highlights & Ratios
PEG RatioN/A
Price to Book (P/B)N/A
Price to Sales (P/S)N/A
P/FCF RatioN/A
Enterprise Value/Market Cap1.17
Enterprise Value/Revenue6.74
Enterprise Value/Gross Profit-1.51
Enterprise Value/Ebitda-4.83
Forecast
1Y Price Target
$33.50Price Target Upside2.10% Upside
Rating ConsensusModerate Buy
Number of Analyst Covering2
Alico Business Overview & Revenue Model
Company DescriptionAlico, Inc., together with its subsidiaries, operates as an agribusiness and land management company in the United States. The company operates in two segments, Alico Citrus, and Land Management and Other Operations. The Alico Citrus segment cultivates citrus trees to produce citrus for delivery to the processed and fresh citrus markets. The Land Management and Other Operations segment owns and manages land in Collier, Glades, and Hendry Counties; and leasing of land for recreational and grazing purposes, conservation, and mining activities. As of September 30, 2021, it had 83,000 acres of land situated in eight counties in Florida, which include the Charlotte, Collier, DeSoto, Glades, Hardee, Hendry, Highlands, and Polk. The company was founded in 1960 and is headquartered in Fort Myers, Florida.
How the Company Makes MoneyAlico generates revenue primarily through the sale of fresh citrus fruit, particularly oranges, which are sold to various markets including juice processors, retail grocery stores, and wholesalers. The company's revenue model is heavily reliant on the quantity and quality of its citrus yield, influenced by factors such as weather conditions, pest management, and agricultural practices. Additionally, Alico engages in land management and real estate activities, which provide supplementary revenue streams through leasing and sales of non-core land assets. Strategic partnerships with distributors and marketers in the citrus industry also play a crucial role in expanding Alico's market reach and optimizing its sales efforts, contributing to its overall earnings.
Alico Earnings Call Summary
Earnings Call Date:Aug 12, 2025
(Q2-2025)
| % Change Since: -1.35%|
Next Earnings Date:Dec 03, 2025
Earnings Call Sentiment Neutral
The earnings call presented a mixed picture, with significant progress in strategic transformation and diversification efforts, alongside increased land sales outlook and improved cash position. However, these positives were tempered by decreased revenue, substantial net losses, and increased operating expenses driven by accelerated depreciation and impairments. The transformation strategy holds promise, but financial challenges remain evident.Q2-2025 Updates
Positive Updates
Strategic Transformation Progress
Alico has made significant progress in its Strategic Transformation, including the completion of the fiscal year 2025 harvest and reduction of workforce from approximately 200 to 25 employees, aligning with its transformed business model.
Increased Land Sales Outlook
Alico raised its fiscal year 2025 land sales outlook to potentially $50 million, a 150% increase from the prior guidance, which could significantly improve annual adjusted EBITDA.
Diversification of Agricultural Operations
Alico is actively engaging with agricultural operators in Florida to diversify its agricultural activities, negotiating agreements for leasing 5,250 acres to third-party citrus growers and expanding into sod production and sand mining.
Corkscrew Grove Villages Development
The Corkscrew Grove Villages development application, a significant transformation milestone, was filed, planning for two mixed-use master plan communities and expected to bring significant economic benefits to the region.
Strong Land Management Revenue
Land Management and Other operations revenue increased by 107% for the quarter, driven by rock and sand royalty income and sod sales.
Improved Cash Position
Cash and cash equivalents increased to $14.7 million from $3.2 million at the end of fiscal year 2024, with operating cash usage reduced from $19.7 million to $0.6 million for the six months ended March 31, 2025.
Negative Updates
Decreased Revenue
Revenue decreased by 1% for the quarter to $18 million and by 9% for the six months, impacted by reduced citrus harvest volumes due to the effects of Hurricane Milton.
Significant Net Loss
Alico reported a net loss of $111.4 million for the quarter, significantly higher than the $15.8 million loss in the same period of the prior year, primarily due to $119.3 million in accelerated depreciation and impairment charges.
Increased Operating Expenses
Operating expenses increased substantially, driven by non-cash accelerated depreciation and impairment of assets, totaling $167.7 million for the quarter, compared to $36.3 million in the prior year.
Challenges in Citrus Operations
Harvest volumes were lower compared to the prior year, driven by the impact of Hurricane Milton, and the company concluded its major capital investment in Citrus Operations.
Company Guidance
During Alico's Second Quarter 2025 earnings call, the company provided updated guidance reflecting its Strategic Transformation progress. Alico completed the fiscal year 2025 citrus harvest and reduced its workforce from 200 to 25 employees, greatly lowering operating expenses. The company increased its land sales outlook to potentially exceed $50 million, a 150% increase from prior guidance, which could significantly improve adjusted EBITDA. Alico reported revenue of $18 million, a 1% decrease from the prior year, and a net loss of $111.4 million attributed primarily to $119.3 million in accelerated depreciation from winding down Citrus Operations. The company's adjusted EBITDA reached a gain of $12.7 million, improving from a loss of $16.5 million in the prior year. Looking ahead, Alico expects to end the fiscal year with a cash balance of $25 million and a net debt of approximately $60 million, supported by potential land sales and the 2024-2025 citrus harvest.Alico Financial Statement Overview
Summary
Alico faces significant financial challenges, with declining revenue and profitability in the TTM period. The balance sheet shows manageable leverage but poor return on equity, while cash flow performance is inconsistent. The company needs to address operational inefficiencies and improve cash generation to stabilize its financial position.Income Statement
Alico's income statement reveals significant challenges, with negative gross profit and net profit margins in the TTM period. The company has experienced a revenue decline of over 10% in the TTM, indicating a downward trend. Historical data shows fluctuating revenue growth and profitability, with occasional positive net margins. However, the recent negative EBIT and EBITDA margins highlight ongoing operational inefficiencies.25
Negative
Balance Sheet
The balance sheet shows a relatively low debt-to-equity ratio in the TTM period, suggesting manageable leverage. However, the return on equity is negative, reflecting poor profitability. The equity ratio is not explicitly calculated, but the company's equity position appears stable relative to its assets. Historical data indicates fluctuating debt levels and a declining equity base, which could pose future risks.40
Negative
Cash Flow
Cash flow analysis reveals a negative free cash flow growth rate in the TTM, indicating cash generation issues. The operating cash flow to net income ratio is positive, suggesting some operational cash flow strength, but the free cash flow to net income ratio is less favorable. Historical cash flow data shows inconsistent free cash flow performance, with periods of negative growth and coverage ratios.30
Negative
| Breakdown | TTM | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 | Dec 2020 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 44.20M | 46.64M | 39.85M | 91.95M | 108.56M | 92.51M |
| Gross Profit | -196.68M | -56.38M | 6.45M | -14.77M | 23.89M | 17.92M |
| EBITDA | -61.61M | 29.50M | 22.86M | 31.51M | 29.56M | 51.88M |
| Net Income | -156.97M | 6.97M | 1.83M | 12.46M | 34.86M | 23.66M |
Balance Sheet | ||||||
| Total Assets | 210.56M | 398.72M | 428.35M | 409.25M | 433.22M | 423.94M |
| Cash, Cash Equivalents and Short-Term Investments | 42.07M | 3.15M | 1.06M | 865.00K | 886.00K | 3.16M |
| Total Debt | 85.23M | 92.12M | 128.70M | 110.88M | 125.31M | 150.91M |
| Total Liabilities | 93.86M | 142.42M | 177.98M | 160.39M | 185.61M | 202.16M |
| Stockholders Equity | 111.73M | 251.16M | 244.99M | 243.74M | 242.20M | 216.34M |
Cash Flow | ||||||
| Free Cash Flow | 5.45M | -48.37M | -22.91M | -14.34M | -24.73M | -21.11M |
| Operating Cash Flow | 11.06M | -30.50M | -6.25M | 6.52M | 16.50M | 1.05M |
| Investing Cash Flow | 22.78M | 68.18M | -4.12M | 22.47M | -3.27M | 9.49M |
| Financing Cash Flow | -118.00K | -37.98M | 13.20M | -29.01M | -32.04M | -14.69M |
Alico Technical Analysis
Positive
32.81
Price Trends
32.21
Positive
31.01
Positive
29.48
Positive
Market Momentum
0.21
Negative
55.24
Neutral
79.50
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For ALCO, the sentiment is Positive. The current price of 32.81 is above the 20-day moving average (MA) of 32.49, above the 50-day MA of 32.21, and above the 200-day MA of 29.48, indicating a bullish trend. The MACD of 0.21 indicates Negative momentum. The RSI at 55.24 is Neutral, neither overbought nor oversold. The STOCH value of 79.50 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for ALCO.
Alico Risk Analysis
Alico disclosed 34 risk factors in its most recent earnings report. Alico reported the most risks in the "Finance & Corporate" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks
Alico Peers Comparison
Overall Rating
UnderperformOutperform
Sector (53)
Financial Indicators
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
84 Outperform | $5.24B | 4.33 | 55.96% | 7.52% | 83.19% | 339.22% | |
71 Outperform | $369.72M | 6.33 | 15.25% | 6.70% | 1.09% | 21.46% | |
68 Neutral | $916.94M | 14.64 | 4.51% | 3.83% | 17.05% | -73.53% | |
62 Neutral | $285.85M | 36.96 | -0.97% | 1.90% | -0.94% | 0.47% | |
53 Neutral | C$5.40B | 6.74 | 11.95% | 3.32% | 4.99% | -1.01% | |
53 Neutral | $254.97M | 32.96 | -82.35% | 0.61% | -4.72% | -700.99% | |
| ― | $212.52M | ― | -230.12% | ― | ― | ― |
* Consumer Defensive Sector Average
Performance Comparison
ALCO
Alico
32.81
5.17
18.70%
AGRO
Adecoagro SA
9.11
-2.11
-18.81%
CALM
Cal-Maine Foods
110.65
45.59
70.07%
LMNR
Limoneira Co
15.38
-5.45
-26.16%
AFRI
Forafric Global
7.89
-3.34
-29.74%
LND
BrasilAgro Cia Brasileira de Propriedades Agricolas
3.73
-0.69
-15.61%
Alico Corporate Events
Executive/Board ChangesBusiness Operations and Strategy
Alico Extends EVP’s Term with New Incentives
Neutral
Jul 18, 2025
On July 14, 2025, Danny Sutton resigned as President of Alico Citrus, effective August 1, 2025. Additionally, Alico, Inc. amended the employment agreement with Mitch Hutchcraft, Executive Vice President – Real Estate, on July 18, 2025, extending his term through September 30, 2030, with salary and bonus adjustments. This amendment includes performance-based incentives tied to real estate project milestones, potentially impacting the company’s real estate operations and stakeholder interests.
The most recent analyst rating on (ALCO) stock is a Buy with a $35.00 price target. To see the full list of analyst forecasts on Alico stock, see the ALCO Stock Forecast page.
Dividends
Alico Declares Third Quarter 2025 Cash Dividend
Positive
Jun 13, 2025
On June 13, 2025, Alico, Inc. announced a cash dividend of $0.05 per share for the third quarter of fiscal year 2025. This dividend will be paid to shareholders on July 11, 2025, with a record date of June 27, 2025, reflecting the company’s ongoing commitment to returning value to its shareholders.
The most recent analyst rating on (ALCO) stock is a Buy with a $35.00 price target. To see the full list of analyst forecasts on Alico stock, see the ALCO Stock Forecast page.
Business Operations and Strategy
Alico Ends Orange Purchase Agreement with Tropicana
Neutral
May 23, 2025
Alico, Inc. announced that on May 23, 2025, it mutually terminated its Orange Purchase Agreement with Tropicana Manufacturing Company, Inc., originally dated April 11, 2024. The termination, effective immediately, includes a mutual release clause and requires all obligations for the 2024/2025 Crop Year to be settled by July 15, 2025.
The most recent analyst rating on (ALCO) stock is a Buy with a $35.00 price target. To see the full list of analyst forecasts on Alico stock, see the ALCO Stock Forecast page.
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.