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Farmmi Inc (FAMI)
NASDAQ:FAMI
US Market
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Farmmi (FAMI) AI Stock Analysis

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FAMI

Farmmi

(NASDAQ:FAMI)

Rating:42Neutral
Price Target:
$1.50
▼(-12.79% Downside)
Farmmi's overall stock score is primarily impacted by its weak financial performance characterized by declining revenues and profitability, coupled with a bearish technical outlook. The negative valuation metrics further contribute to a low attractiveness for investors, highlighting significant challenges faced by the company. No recent earnings call or corporate events provided additional insights.

Farmmi (FAMI) vs. SPDR S&P 500 ETF (SPY)

Farmmi Business Overview & Revenue Model

Company DescriptionFarmmi, Inc. (FAMI) is a leading agricultural technology company based in China that specializes in the production and distribution of edible fungi, particularly mushrooms. The company operates primarily in the food sector, focusing on sustainable farming practices and offering a range of products including dried, fresh, and processed mushrooms. Farmmi aims to leverage its expertise in agriculture and technology to enhance food safety and quality, catering to both domestic and international markets.
How the Company Makes MoneyFarmmi generates revenue primarily through the sale of its mushroom products both in bulk and retail formats. Key revenue streams include direct sales to wholesalers, distributors, and retailers, as well as e-commerce channels where they market their products to consumers. The company has formed strategic partnerships with various distributors, enhancing its market reach and ensuring a steady demand for its products. Additionally, Farmmi may benefit from government subsidies or incentives aimed at promoting sustainable agricultural practices, contributing further to its earnings.

Farmmi Financial Statement Overview

Summary
Farmmi is experiencing financial difficulties with declining revenues and profitability, as evidenced by negative net income and cash flow challenges. The balance sheet remains relatively strong with high equity, but increased debt levels pose potential risks. Overall, the financial health of the company is under pressure, requiring strategic measures to improve financial performance.
Income Statement
45
Neutral
Farmmi's revenue has decreased significantly from the previous year, indicating a negative growth rate. The net profit margin has also turned negative, highlighting profitability challenges. Despite a positive gross profit margin, the EBIT and EBITDA margins have also declined, pointing to operational inefficiencies.
Balance Sheet
60
Neutral
The company's balance sheet shows a solid equity base with a high equity ratio, indicating financial stability. However, the debt-to-equity ratio has increased, suggesting a higher reliance on debt financing. Return on equity has turned negative, reflecting weakened profitability.
Cash Flow
40
Negative
Farmmi's cash flow position has deteriorated with a negative free cash flow growth rate. The operating cash flow to net income ratio is unfavorable, indicating cash flow challenges. The company faces difficulties in generating cash from operations relative to its net income.
BreakdownSep 2024Sep 2023Sep 2022Sep 2021Sep 2020
Income Statement
Total Revenue64.13M110.36M99.21M39.29M30.17M
Gross Profit3.87M4.29M5.44M5.11M4.96M
EBITDA-2.35M3.80M2.66M2.92M2.33M
Net Income-4.65M2.54M2.22M2.36M823.61K
Balance Sheet
Total Assets186.73M174.80M163.78M165.69M38.19M
Cash, Cash Equivalents and Short-Term Investments486.52K12.79M76.32M62.05M548.15K
Total Debt15.05M11.06M4.55M3.08M6.10M
Total Liabilities16.72M12.82M9.10M4.89M9.04M
Stockholders Equity169.99M161.98M154.68M159.88M28.29M
Cash Flow
Free Cash Flow-16.80M-75.75M20.63M-946.27K-1.86M
Operating Cash Flow-16.78M-75.75M20.64M-941.59K-1.62M
Investing Cash Flow2.07M35.90M-41.99M-122.73M-247.24K
Financing Cash Flow1.83M11.02M11.63M124.19M3.20M

Farmmi Technical Analysis

Technical Analysis Sentiment
Neutral
Last Price1.72
Price Trends
50DMA
1.79
Negative
100DMA
1.76
Negative
200DMA
2.47
Negative
Market Momentum
MACD
-0.04
Negative
RSI
49.34
Neutral
STOCH
84.19
Negative
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For FAMI, the sentiment is Neutral. The current price of 1.72 is above the 20-day moving average (MA) of 1.70, below the 50-day MA of 1.79, and below the 200-day MA of 2.47, indicating a neutral trend. The MACD of -0.04 indicates Negative momentum. The RSI at 49.34 is Neutral, neither overbought nor oversold. The STOCH value of 84.19 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for FAMI.

Farmmi Risk Analysis

Farmmi disclosed 70 risk factors in its most recent earnings report. Farmmi 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

Farmmi Peers Comparison

Overall Rating
UnderperformOutperform
Sector (63)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
72
Outperform
$41.48M4.719.79%
63
Neutral
$20.95B14.50-3.73%3.12%2.72%-11.24%
53
Neutral
$23.79M-10.25%-1.16%-146.23%
43
Neutral
$8.54M6.01-45.00%-77.72%-282.16%
42
Neutral
$2.22M1.27-3.22%-49.19%-394.71%
33
Underperform
$3.26M-286.71%
* Consumer Defensive Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
FAMI
Farmmi
1.71
-5.09
-74.85%
NAII
Natural Alternatives International
4.00
-1.56
-28.06%
SOWG
Sow Good
0.59
-13.89
-95.93%
STKH
Steakholder Foods
0.83
-12.22
-93.64%
WYHG
Wing Yip Food Holdings Group Limited Sponsored ADR
1.60
-2.44
-60.40%
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.Date of analysis: Aug 05, 2025