Limoneira Co (LMNR) AI Stock Analysis

• Market Cap: $257.28M
• Dividend Yield: 1.99%
• Average Volume (3M): 85.26K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.69
• Revenue Growth: -14.97%
• EPS Growth: -278.36%
• Country: US
• Employees: 241
• Sector: Consumer Defensive
• Sector Strength: 42
• Industry: Agricultural Farm Products
• EPS (TTM): -0.45
• Shares Outstanding: 18,130,966
• 10 Day Avg. Volume: 86,164
• 30 Day Avg. Volume: 85,263
• PEG Ratio: 0.05
• Price to Book (P/B): 1.47
• Price to Sales (P/S): 1.58
• P/FCF Ratio: -13.12
• Enterprise Value/Market Cap: 1.30
• Enterprise Value/Revenue: 2.10
• Enterprise Value/Gross Profit: 1.72K
• Enterprise Value/Ebitda: -31.29
• 1Y Price Target: $19.00
• Price Target Upside: 33.90% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1
• EPS Forecast (FY): -0.1
• Revenue Forecast (FY): $124.85M

• Rating: 49 Neutral
• Price Target: $14.00 ▼(-1.34% Downside)
• Action: Reiterated Date: 02/14/26
• Date: Action: Reiterated 02/14/26

The score is held back primarily by weak and volatile recent financial performance (losses and negative cash flow), partially offset by a sturdier balance sheet. Technicals are neutral with limited momentum, valuation is constrained by loss-making earnings despite a modest dividend, and the earnings call provides credible improvement initiatives but with meaningful execution and leverage risks.

Positive Factors

Moderate leverage and sizable equity base

A sizable equity base and modest debt-to-equity (~0.43) provide lasting financial flexibility to fund operational changes, absorb agricultural cycles, and support access to credit. This balance-sheet strength reduces bankruptcy risk and underpins multi-year transformation and development plans.

Sunkist partnership with ~$10M in cost savings

The return to Sunkist structurally lowers per-carton selling costs and trims SG&A, improving margin leverage on future volume recovery. Improved retail access and category selling are durable operational changes that can raise realized prices and stabilize sales channels over multiple seasons.

Large real estate development pipeline ($155M expected)

A material multi-year real estate distribution pipeline offers non-commodity, project-driven cash flows that diversify revenue and reduce agricultural cyclicality. Real estate proceeds can fund capex, deleveraging, or strategic initiatives without relying solely on volatile produce margins.

Negative Factors

Negative and volatile cash generation

Intermittent and currently negative operating and free cash flow weaken the firm's ability to self-fund investments and meet covenant tests. Persistent cash volatility increases dependence on asset sales and credit lines, constraining long-term capital allocation and adding refinancing risk.

Substantial FY2025 operating and net losses

Large operating and net losses signal weakened core profitability and margin erosion that are structural until volumes, prices, or cost base shift. Losses damage returns on equity, challenge dividend sustainability, and require successful execution of multi-year initiatives to restore durable earnings power.

Execution reliance on asset monetization and elevated net debt

The strategy depends on timely asset sales, water-rights monetization, and JV rollouts to generate liquidity. Elevated net debt (~$71M) plus contingent monetization outcomes create execution and timing risk; failure to realize proceeds would pressure liquidity and strategic flexibility.

Limoneira Co Business Overview & Revenue Model

Company Description

Limoneira Company operates as an agribusiness and real estate development company in the United States and internationally. The company operates through three divisions: Agribusiness, Rental Operations, and Real Estate Development. It grows, processes, packs, markets, and sells lemons. The company also grows avocado, oranges, and specialty citrus and other crops, including Moro blood oranges, Cara Cara oranges, Minneola tangelos, Star Ruby grapefruit, pummelos, pistachios, and wine grapes. It has approximately 6,100 acres of lemons planted primarily in Ventura, Tulare, San Luis Obispo, and San Bernardino Counties in California; and Jujuy, Argentina, as well in Yuma County, Arizona, and La Serena, Chile; 800 acres of avocados planted in Ventura County; 1,000 acres of oranges planted in Tulare County, California; and 900 acres of specialty citrus and other crops. In addition, the company rents residential housing units and commercial office buildings, as well as leases approximately 500 acres of its land to third-party agricultural tenants. Further, it is involved in organic recycling operations; and the development of land parcels, multi-family housing, and single-family homes. The company markets and sells its lemons directly to food service, wholesale, and retail customers; avocados to a packing and marketing company; oranges, specialty citrus, and other crops through Sunkist and other third-party packinghouses; and wine grapes to wine producers. Limoneira Company was founded in 1893 and is headquartered in Santa Paula, California.

How the Company Makes Money

Limoneira generates revenue through multiple streams, primarily from the sale of fresh lemons and avocados. The company sells its produce to wholesalers, retailers, and food service operators, both in the United States and internationally. Key revenue streams include fresh fruit sales, which account for the bulk of its income, and value-added products that cater to food manufacturers and other businesses. Additionally, Limoneira benefits from strategic partnerships with distributors and retailers, enhancing its market reach. The company also engages in agribusiness operations, including land leasing and selling agricultural products, which further contribute to its earnings. Seasonal demand fluctuations, crop yields, and market pricing play crucial roles in influencing the company's overall financial performance.

Limoneira Co Financial Statement Overview

Summary

Overall fundamentals are pressured by the most recent year: the income statement shows a sharp deterioration with losses and a major revenue decline, and cash flow turned negative with volatile free cash flow. The balance sheet is a relative stabilizer with moderate leverage and a sizable equity base, but negative ROE highlights weak current profitability.

Income Statement

Profitability weakened materially in 2025, with revenue down sharply (about -65% year over year) and margins turning negative (gross profit slightly negative and a sizable operating loss). This follows a stronger 2023–2024 period where the company was profitable with positive margins, highlighting volatility in results and sensitivity to operating conditions. Overall, the income statement shows inconsistent earnings power and a weak most recent year.

Balance Sheet

The balance sheet is supported by a sizable equity base (equity of ~$172M vs. debt of ~$75M in 2025), keeping leverage moderate (debt-to-equity ~0.43). Leverage has improved versus earlier years (2021–2022 were notably higher), which is a positive trend. The key weakness is returns: the 2025 loss drove a negative return on equity, indicating the capital base is not currently generating profits.

Cash Flow

Cash generation deteriorated in 2025, with operating cash flow turning negative and free cash flow deeply negative, signaling weaker cash conversion and/or higher investment needs. Cash flow has been uneven across years (positive in 2021–2022 and 2024, negative in 2020, 2023, and 2025), which raises reliability concerns. While free cash flow improved versus the prior year (less negative), the overall profile remains volatile and currently pressured.

Breakdown	Oct 2025	Oct 2024	Oct 2023	Oct 2022	Oct 2021
Income Statement
Total Revenue	159.72M	191.50M	179.90M	184.60M	166.03M
Gross Profit	-530.00K	21.42M	6.12M	19.52M	13.20M
EBITDA	-9.69M	21.62M	23.29M	12.88M	7.67M
Net Income	-15.98M	7.72M	9.40M	-474.00K	-3.90M
Balance Sheet
Total Assets	318.22M	298.81M	301.21M	368.52M	392.28M
Cash, Cash Equivalents and Short-Term Investments	1.51M	3.00M	3.63M	857.00K	439.00K
Total Debt	74.50M	43.70M	45.48M	105.81M	132.82M
Total Liabilities	127.38M	96.31M	100.71M	176.65M	193.03M
Stockholders Equity	171.52M	191.95M	189.29M	180.25M	187.28M
Cash Flow
Free Cash Flow	-19.21M	8.44M	-26.18M	4.76M	-229.00K
Operating Cash Flow	-5.67M	17.85M	-15.87M	14.83M	9.61M
Investing Cash Flow	-18.68M	-9.19M	90.58M	19.43M	-10.24M
Financing Cash Flow	22.84M	-9.29M	-71.92M	-33.52M	534.00K

Limoneira Co Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 14.19
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For LMNR, the sentiment is Positive. The current price of 14.19 is above the 20-day moving average (MA) of 14.17, above the 50-day MA of 13.91, and below the 200-day MA of 14.64, indicating a neutral trend. The MACD of 0.01 indicates Positive momentum. The RSI at 51.99 is Neutral, neither overbought nor oversold. The STOCH value of 51.93 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for LMNR.

Limoneira Co Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
CALM	86 Outperform	$4.19B	9.73	48.69%	10.53%	65.80%	197.95%
FDP	70 Outperform	$2.02B	18.92	4.53%	3.34%	1.11%	414.23%
Sector *	62 Neutral	$20.33B	14.63	-3.31%	3.23%	1.93%	-12.26%
ALCO	58 Neutral	$311.47M	-19.99	-83.19%	0.55%	-5.52%	-2194.72%
AGRO	52 Neutral	$1.36B	150.51	1.69%	4.40%	-7.37%	-84.53%
LMNR	49 Neutral	$257.28M	-15.77	-4.88%	1.99%	-14.97%	-278.36%
LND	49 Neutral	$414.82M	191.55	-1.12%	3.39%	-3.22%	-108.24%

Limoneira Co Corporate Events

Limoneira Engages Consultant for Strategic Financial Advisory Support

On February 12, 2026, Limoneira Company entered into a three-month consulting agreement with Mark Palamountain under which he will provide strategic, financial, and transactional advisory services starting February 16, 2026. The arrangement, which includes a monthly fee of $18,750 and potential performance-based compensation of up to $200,000, signals the company’s intent to leverage external expertise for near-term financial and strategic initiatives while retaining flexibility through a 30-day termination provision.

The consulting role underscores Limoneira’s focus on enhancing its capital allocation, deal evaluation, or restructuring efforts during this period, which may influence its operational direction and financial decision-making. For stakeholders, the engagement suggests the board is actively pursuing targeted advisory support that could shape upcoming corporate actions without committing to a long-term management change.

The most recent analyst rating on (LMNR) stock is a Hold with a $14.50 price target. To see the full list of analyst forecasts on Limoneira Co stock, see the LMNR Stock Forecast page.

Limoneira Adopts New Transaction Incentives for Executives

On January 27, 2026, Limoneira’s board terminated prior retention bonus arrangements for President and CEO Harold S. Edwards and executive Gregory C. Hamm, replacing them with new Transaction Incentive Agreements executed on February 1 and February 5, 2026, respectively, with Hamm’s agreement contingent on his appointment as chief financial officer by February 8, 2026. Under the new plans, Edwards and Hamm are eligible through October 31, 2031 to receive capped annual and total cash and restricted share bonuses tied to a percentage of profits from specified asset sales and real estate development earnings, aligning their compensation with the company’s shift to an asset-light model and conditioning payouts on board committee approval, continued employment and the company’s incentive compensation recoupment policy.

The most recent analyst rating on (LMNR) stock is a Hold with a $14.00 price target. To see the full list of analyst forecasts on Limoneira Co stock, see the LMNR Stock Forecast page.

Limoneira Appoints Gregory Hamm as New Chief Financial Officer

On January 22, 2026, Limoneira’s Chief Financial Officer and Treasurer, Mark Palamountain, informed the company he would resign from his roles to pursue opportunities outside the business, though his departure date is still to be determined and he will continue in an advisory capacity to support the transition. On January 27, 2026, the board appointed long-time finance executive Gregory C. Hamm, the company’s Vice President and Corporate Controller since 2008, as the next CFO and Treasurer, setting his base salary at $350,000 and aligning his transaction bonus and change-in-control agreements with those of his predecessor, while elevating finance executive Kelly Lindell to Corporate Controller as part of a broader succession plan designed to preserve strategic continuity and reassure investors and other stakeholders about the stability of Limoneira’s financial leadership during an important period of operational evolution and partnership expansion.

The most recent analyst rating on (LMNR) stock is a Hold with a $14.00 price target. To see the full list of analyst forecasts on Limoneira Co stock, see the LMNR Stock Forecast page.

Limoneira Co Amends Loan Agreement with AgWest

On December 12, 2025, Limoneira Company amended its Master Loan Agreement with AgWest Farm Credit, PCA, to adjust financial covenants. The modifications include maintaining a minimum debt service coverage ratio of 1.25 to 1.00 and a total net leverage ratio not exceeding 4.50 to 1.00 for fiscal periods ending October 31, 2027, and beyond. Additionally, a new debt to capitalization ratio requirement of not greater than 0.45 to 1.00 was introduced, to be measured quarterly starting January 31, 2026, through July 31, 2027. These changes could impact the company’s financial strategy and stakeholder expectations.

The most recent analyst rating on (LMNR) stock is a Hold with a $14.00 price target. To see the full list of analyst forecasts on Limoneira Co stock, see the LMNR Stock Forecast page.