Education
About Us
Working with TipRanks
Follow Us
Edible Garden AG , Inc. (EDBL)
NASDAQ:EDBL
Top Page
Edible Garden AG , Inc.
(NASDAQ:EDBL)
Select Model
Select Model
Rating:41Neutral
Price Target:
$2.00
▲(8.70% Upside)
Edible Garden AG, Inc. faces significant financial challenges with declining revenues, high leverage, and negative profitability, which are the most impactful factors on the stock score. Technical analysis indicates bearish momentum, further weighing on the score. Although the company has made strategic moves to focus on high-margin categories and secured additional funding, these positives are overshadowed by current financial and operational difficulties.
Positive Factors
International Revenue Growth
The significant growth in international revenue indicates successful expansion into global markets, enhancing the company's market position and revenue diversification.
Strategic Focus on High-Margin Categories
By concentrating on high-margin products, the company aims to improve profitability and operational efficiency, which could lead to better financial performance over time.
Expansion of Product Lines
The expansion of product lines into new retail locations enhances brand visibility and market penetration, potentially driving sustained revenue growth.
Negative Factors
Declining Revenue
The decline in revenue reflects challenges in maintaining sales momentum, which could impact financial stability and growth prospects if not addressed.
High Leverage
High leverage increases financial risk and limits flexibility, potentially affecting the company's ability to invest in growth opportunities or weather economic downturns.
Negative Profitability
Sustained negative profitability indicates operational inefficiencies and high costs, posing a risk to long-term financial health and shareholder value.
Edible Garden AG , Inc. (EDBL) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$5.41M
Dividend YieldN/A
Average Volume (3M)220.51K
Price to Earnings (P/E)―
Beta (1Y)1.37
Revenue Growth-16.60%
EPS Growth96.72%
CountryUS
Employees98
SectorConsumer Defensive
Sector Strength42
IndustryAgricultural Farm Products
Share Statistics
EPS (TTM)-6.58
Shares Outstanding2,924,932
10 Day Avg. Volume76,969
30 Day Avg. Volume220,512
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 Cap3.80
Enterprise Value/Revenue1.67
Enterprise Value/Gross Profit14.25
Enterprise Value/Ebitda-2.11
Forecast
1Y Price Target
$2.00Price Target Upside8.70% Upside
Rating ConsensusHold
Number of Analyst Covering1
Edible Garden AG , Inc. Business Overview & Revenue Model
Company DescriptionEdible Garden AG, Inc. (EDBL) operates within the agricultural technology sector, focusing on the cultivation and distribution of sustainably grown produce. The company specializes in providing fresh, organic, and locally-sourced herbs and vegetables, using advanced controlled environment agriculture techniques to ensure high-quality products year-round. Edible Garden's core offerings include a variety of leafy greens and herbs available to consumers through retail and wholesale channels.
How the Company Makes MoneyEdible Garden AG, Inc. generates revenue primarily through the sale of its fresh produce to grocery stores, supermarkets, and food service providers. The company's key revenue streams include retail sales of packaged herbs and vegetables, as well as bulk sales to food distributors and restaurant chains. By leveraging partnerships with major retailers, Edible Garden ensures widespread distribution of its products, contributing significantly to its earnings. Additionally, the company's focus on sustainable and organic farming practices appeals to the growing market of health-conscious consumers, further driving demand for its offerings.
Edible Garden AG , Inc. Earnings Call Summary
Earnings Call Date:Aug 14, 2025
(Q2-2025)
| % Change Since: |
Next Earnings Date:Nov 18, 2025
Earnings Call Sentiment Neutral
The earnings call presented a mixed view. On one hand, there were notable achievements such as strong growth in private label products, significant international revenue increase, and strategic acquisitions. On the other hand, the company faced challenges with decreased revenue and profit, alongside increased operational expenses. The strategic focus on high-margin categories appears to be a positive long-term move, but current financial metrics reflect transitional challenges.Q2-2025 Updates
Positive Updates
Private Label Products Growth
Private label products delivered a standout performance with a 19.1% year-over-year increase driven by expanded retail programs and strong sell-through of sustainably grown CEA-produced herb products.
International Revenue Surge
International revenue grew by 66.5% due to new distribution partnerships and expanded retail placements in key global markets.
Launch of Kick Sports Nutrition Line
The launch of the Kick Sports Nutrition line on Amazon expanded digital marketing reach and increased e-commerce sales.
Acquisition of NaturalShrimp
The acquisition of NaturalShrimp aquaculture in Iowa expands R&D capabilities in aquaponics, supports year-round production, and includes patented water treatment technologies.
Strategic Focus on High-Margin Categories
Strategic decision to focus on higher-margin categories by exiting low-margin ones like lettuce and floral, aiming for long-term profitability.
Negative Updates
Revenue Decline
Revenue for the second quarter was $3.1 million compared to $4.3 million in the same period last year, primarily due to exiting the floral and lettuce categories.
Decrease in Gross Profit
Gross profit decreased to $634,000 from $1.6 million in Q2 of last year due to changes in product mix, lower sales volume, and margin pressure from increased investments.
Increased Operational Expenses
Selling, general, and administrative expenses increased to $4.2 million from $2.7 million last year, mainly due to expenses related to the NaturalShrimp asset purchase and increased labor and raw material costs.
Net Loss Increase
Net loss for the quarter was $4 million compared to $1.9 million in the same period last year, largely due to higher SG&A expenses.
Company Guidance
During the Edible Garden Incorporated Second Quarter 2025 Earnings Conference Call, the company provided guidance that highlighted its strategic focus on higher-margin categories and innovation-driven products. The company reported a revenue of $3.1 million for the quarter, a decline from $4.3 million in the same period last year, primarily due to the strategic exit from low-margin categories such as lettuce and floral, which accounted for approximately $740,000 of this difference. Despite this, private label products saw a notable year-over-year growth of 19.1%, driven by expanded retail programs and strong sell-through of sustainably grown herb products. The company also emphasized significant international revenue growth of 66.5%, fueled by new distribution partnerships. Edible Garden is focused on expanding into high-margin opportunities, such as the launch of its Kick Sports Nutrition line on Amazon, which has already begun to bolster e-commerce sales. Additionally, the acquisition of NaturalShrimp aquaculture in Iowa is expected to enhance their R&D capabilities, operational sustainability, and distribution efficiency. The company remains optimistic about its financial flexibility and scalability with a cash reserve of $2.8 million, setting a strong foundation for future growth and profitability.Edible Garden AG , Inc. Financial Statement Overview
Summary
Edible Garden AG, Inc. faces significant financial challenges with declining revenues, high leverage, and negative profitability. The company struggles with operational inefficiencies and cash flow issues, posing risks to financial stability and growth prospects.Income Statement
The income statement shows declining revenue with a negative growth rate of -8.35% TTM, indicating challenges in maintaining sales. Gross profit margin decreased to 11.72% TTM, and net profit margin is significantly negative at -101.53% TTM, reflecting substantial losses. EBIT and EBITDA margins are also deeply negative, suggesting operational inefficiencies and high costs relative to revenue.35
Negative
Balance Sheet
The balance sheet reveals a high debt-to-equity ratio of 1.79 TTM, indicating significant leverage and potential financial risk. Return on equity is negative at -460.61% TTM, highlighting poor returns for shareholders. The equity ratio is low, suggesting limited equity financing and potential solvency concerns.40
Negative
Cash Flow
Cash flow analysis shows negative free cash flow growth of -10.94% TTM, indicating worsening cash generation. The operating cash flow to net income ratio is negative, suggesting cash flow issues. Free cash flow to net income ratio is slightly positive, but overall cash flow remains a concern due to persistent negative operating cash flows.30
Negative
| Breakdown | TTM | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 | Dec 2020 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 12.32M | 13.86M | 14.05M | 11.55M | 10.51M | 9.44M |
| Gross Profit | 1.44M | 2.31M | 822.00K | 364.00K | 648.00K | 1.35M |
| EBITDA | -9.77M | -8.67M | -8.22M | -9.38M | -4.10M | -2.83M |
| Net Income | -12.51M | -11.05M | -10.19M | -12.45M | -5.54M | -3.71M |
Balance Sheet | ||||||
| Total Assets | 21.81M | 11.91M | 6.66M | 6.96M | 3.99M | 4.48M |
| Cash, Cash Equivalents and Short-Term Investments | 2.82M | 3.53M | 510.00K | 110.00K | 31.00K | 5.00K |
| Total Debt | 2.85M | 3.80M | 4.46M | 6.45M | 8.29M | 4.15M |
| Total Liabilities | 20.22M | 7.82M | 6.94M | 9.14M | 11.10M | 6.55M |
| Stockholders Equity | 1.59M | 4.09M | -288.00K | -2.18M | -7.11M | -2.08M |
Cash Flow | ||||||
| Free Cash Flow | -9.90M | -8.82M | -9.55M | -11.22M | -4.23M | -2.15M |
| Operating Cash Flow | -9.63M | -8.52M | -8.53M | -9.19M | -4.08M | -2.03M |
| Investing Cash Flow | -258.00K | -303.00K | -1.02M | -2.03M | -151.00K | 623.00K |
| Financing Cash Flow | 10.52M | 11.84M | 9.95M | 11.30M | 4.25M | 1.40M |
Edible Garden AG , Inc. Technical Analysis
Negative
1.84
Price Trends
2.07
Negative
2.45
Negative
3.36
Negative
Market Momentum
-0.05
Negative
45.01
Neutral
55.95
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For EDBL, the sentiment is Negative. The current price of 1.84 is above the 20-day moving average (MA) of 1.81, below the 50-day MA of 2.07, and below the 200-day MA of 3.36, indicating a neutral trend. The MACD of -0.05 indicates Negative momentum. The RSI at 45.01 is Neutral, neither overbought nor oversold. The STOCH value of 55.95 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for EDBL.
Edible Garden AG , Inc. Peers Comparison
UnderperformOutperform
Sector (62)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
57 Neutral | $5.41M | 0.85 | 13.67% | ― | 4.42% | ― | |
53 Neutral | $64.83M | -0.21 | 119.31% | ― | 39.74% | 16.76% | |
43 Neutral | $7.13M | -0.10 | ― | ― | -46.91% | -174.16% | |
42 Neutral | $772.85K | -0.03 | ― | ― | -45.02% | -7.27% | |
41 Neutral | $5.41M | ― | -146.28% | ― | -16.60% | 96.72% | |
62 Neutral | $20.33B | 14.63 | -3.31% | 3.23% | 1.93% | -12.26% |
* Consumer Defensive Sector Average
EDBL
Edible Garden AG , Inc.
1.84
-4.81
-72.33%
SANW
S&W Seed Company
0.35
-3.17
-90.06%
AQB
AquaBounty Technologies
1.93
0.71
58.20%
SDOT
Sadot Group
5.83
-36.57
-86.25%
LOCL
Local Bounti Corporation
2.91
0.41
16.40%
AGRI
AgriFORCE Growing Systems
3.22
-42.32
-92.93%
Edible Garden AG , Inc. Corporate Events
Delistings and Listing ChangesRegulatory Filings and Compliance
Edible Garden AG Amends Preferred Stock Voting Rights
Neutral
Aug 1, 2025
On May 14, 2025, Edible Garden AG, Inc. issued Series B Preferred Stock to Streeterville Capital, LLC as part of acquiring sustainable aquaculture assets in Fort Dodge, Iowa. The company recently amended the voting rights of this stock to comply with Nasdaq standards, allowing the holder to vote with a number of shares equal to the lesser of 1,305,483 shares or 9.99% of the company’s outstanding common stock.
M&A Transactions
Edible Garden AG Ends Acquisition Talks with Narayan
Neutral
Jun 3, 2025
Edible Garden AG Incorporated had previously announced on January 13, 2025, its intention to acquire Narayan d.o.o. and its subsidiaries through a non-binding letter of intent. However, after further evaluation, the company decided not to proceed with the acquisition, and negotiations have been terminated.
Private Placements and Financing
Edible Garden AG Inc. Secures $3.5 Million Funding
Positive
May 21, 2025
On May 21, 2025, Edible Garden AG Inc. entered into an inducement letter agreement with an institutional investor to exercise existing warrants at a reduced price, in exchange for issuing new five-year warrants. This agreement is expected to generate approximately $3.5 million in gross proceeds for the company, enhancing its financial position and potentially impacting its market operations.
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.