Sow Good (SOWG) AI Stock Analysis

• Market Cap: $9.13M
• Dividend Yield: N/A
• Average Volume (3M): 2.32M
• Price to Earnings (P/E): 6.0
• Beta (1Y): 1.99
• Revenue Growth: -77.72%
• EPS Growth: -282.16%
• Country: US
• Employees: 86
• Sector: Consumer Defensive
• Sector Strength: 45
• Industry: Packaged Foods
• EPS (TTM): -0.36
• Shares Outstanding: 12,223,599
• 10 Day Avg. Volume: 61,350
• 30 Day Avg. Volume: 2,319,163
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• Enterprise Value/Market Cap: 2.97
• Enterprise Value/Revenue: 2.92
• Enterprise Value/Gross Profit: 86.96
• Enterprise Value/Ebitda: -2.59
• 1Y Price Target: $0.50
• Price Target Upside: -33.33% Downside
• Rating Consensus: Hold
• Number of Analyst Covering: 1

• Rating: 43 Neutral
• Price Target: $0.50 ▼(-33.33% Downside)

Sow Good faces significant challenges with profitability, cash flow, and technical indicators suggesting bearish momentum. Valuation metrics are weak due to ongoing losses. While recent strategic changes and leadership appointments offer potential for recovery, the risk of Nasdaq delisting remains a critical concern.

Sow Good Business Overview & Revenue Model

Company Description

Sow Good Inc. provides freeze-dried snacks, smoothies, soups, and granola in the United States. The company markets its products through direct-to-consumer focused website, as well as through the business-to-business sales channel. It offers its products under the Sow Good and Sustain Us brands. The company was formerly known as Black Ridge Oil & Gas, Inc. and changed its name to Sow Good Inc. in January 2021. Sow Good Inc. was founded in 2010 and is based in Irving, Texas.

How the Company Makes Money

Sow Good generates revenue through multiple streams. Primarily, it sells organic seeds and soil health products to both individual consumers and commercial farmers. Additionally, the company earns income from subscription services for community-supported agriculture (CSA), where customers pay in advance for regular deliveries of fresh produce. Educational workshops and training sessions for farmers, along with consulting services in sustainable practices, also contribute significantly to its earnings. Strategic partnerships with local farms and agricultural organizations enhance its reach and customer base, further solidifying its revenue potential.

Sow Good Financial Statement Overview

Summary

Sow Good has shown strong revenue growth but struggles with profitability and cash flow management. The balance sheet is stable with moderate leverage, but the company needs to convert revenue growth into sustainable profits and positive cash flows.

Income Statement

Sow Good has seen substantial revenue growth over recent years, increasing from almost negligible levels to over $31 million. However, the company is still experiencing negative EBIT and net income, indicating profitability challenges. Despite an improvement in gross profit margins, the persistently negative net income and EBIT margins reflect ongoing operational inefficiencies.

Balance Sheet

The company's balance sheet shows a relatively high level of debt, with a Debt-to-Equity ratio of 0.64. The equity ratio stands at 58%, indicating moderate reliance on equity financing. The Return on Equity (ROE) is negative due to the net losses. Overall, the balance sheet reveals a fair but cautious financial position requiring improved profitability.

Cash Flow

Despite negative free cash flow and operating cash flow, Sow Good shows potential for improvement with significant financing cash flows suggesting efforts to bolster liquidity. However, the negative ratios of operating cash flow to net income and free cash flow to net income highlight cash generation issues that need to be addressed for better financial health.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	9.27M	31.99M	16.07M	428.13K	88.44K	0.00
Gross Profit	311.46K	12.98M	4.88M	119.84K	7.13K	-1.93M
EBITDA	-10.44M	-114.89K	-761.34K	-10.55M	-6.66M	-4.93M
Net Income	-14.31M	-3.70M	-3.06M	-12.13M	-6.88M	-5.71M
Balance Sheet
Total Assets	49.99M	54.70M	21.49M	8.90M	14.10M	12.34M
Cash, Cash Equivalents and Short-Term Investments	959.42K	3.72M	2.41M	276.46K	3.35M	2.19M
Total Debt	19.00M	20.36M	11.84M	5.25M	2.93M	1.70M
Total Liabilities	21.41M	22.71M	14.21M	6.09M	3.28M	2.29M
Stockholders Equity	28.57M	31.99M	7.28M	2.81M	10.82M	10.06M
Cash Flow
Free Cash Flow	-13.48M	-12.70M	-7.11M	-7.83M	-6.62M	-2.80M
Operating Cash Flow	-11.00M	-9.43M	-4.85M	-5.15M	-5.55M	-1.74M
Investing Cash Flow	-3.95M	-5.93M	-2.27M	-2.62M	-653.05K	3.28M
Financing Cash Flow	1.54M	16.67M	9.25M	4.70M	7.64M	262.93K

Sow Good Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.75
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SOWG, the sentiment is Negative. The current price of 0.75 is above the 20-day moving average (MA) of 0.74, below the 50-day MA of 0.83, and below the 200-day MA of 1.62, indicating a neutral trend. The MACD of -0.03 indicates Negative momentum. The RSI at 47.97 is Neutral, neither overbought nor oversold. The STOCH value of 80.07 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for SOWG.

Sow Good Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
NATR	80 Outperform	$302.27M	22.98	9.15%	―	4.33%	-6.33%
WYHG	68 Neutral	$40.04M	5.63	4.29%	―	6.91%	-54.09%
Sector *	62 Neutral	$20.53B	14.80	-2.69%	3.11%	1.95%	-4.97%
NAII	53 Neutral	$22.24M	―	-10.25%	―	-1.16%	-146.23%
SOWG	43 Neutral	$9.13M	6.01	-45.00%	―	-77.72%	-282.16%
PLAG	―	$12.53M	―	-43.37%	―	―	―
NCRA	―	$22.67M	―	-53.14%	―	―	―

Sow Good Corporate Events

Sow Good Appoints Jeff Rubin to Board of Directors

On August 1, 2025, Sow Good Inc. appointed Jeff Rubin, a seasoned leader in the confectionery industry with 35 years of experience, to its Board of Directors. Rubin’s extensive background, including founding IT’SUGAR and co-founding Dylan’s Candy Bar, positions him to significantly contribute to Sow Good’s growth strategy. His appointment fills a vacancy left by a resignation in December 2024 and is seen as beneficial for the company and its stakeholders.

Sow Good Approves Reverse Stock Split at Meeting

On June 13, 2025, Sow Good Inc. held its annual meeting of stockholders where several key decisions were made. The stockholders re-elected the board of directors for another year, approved a reverse stock split at a 1-for-3 ratio, ratified the appointment of Urish Popeck & Co., LLC as the independent accounting firm for the fiscal year ending December 31, 2025, approved executive officer compensation, and allowed for the adjournment of the meeting if additional proxies were needed. Approximately 65% of the shares entitled to vote were represented at the meeting.

Sow Good Appoints New CFO, Revises Executive Compensation

On June 5, 2025, Sow Good Inc. announced a revision to the compensation structure for its CEO and Executive Chairman, with a portion of their salaries now being paid in company stock. Additionally, the company appointed Donna Guy as the new Chief Financial Officer, effective the same day. Ms. Guy, who has over 25 years of financial leadership experience and previously consulted for Sow Good, is expected to drive the company’s growth and financial performance. This strategic move is aimed at strengthening the company’s executive team and aligning leadership incentives with shareholder interests.