Scheid Vineyards (SVIN) AI Stock Analysis

• Market Cap: $1.78M
• Dividend Yield: N/A
• Average Volume (3M): 163.00
• Price to Earnings (P/E): ―
• Beta (1Y): 0.44
• Revenue Growth: -15.70%
• EPS Growth: -29.69%
• Country: US
• Employees: 100
• Sector: Consumer Defensive
• Sector Strength: 42
• Industry: Beverages - Wineries & Distilleries
• EPS (TTM): N/A
• Shares Outstanding: 805,000
• 10 Day Avg. Volume: 180
• 30 Day Avg. Volume: 163
• PEG Ratio: 0.01
• Price to Book (P/B): -9.97
• Price to Sales (P/S): 0.06
• P/FCF Ratio: -1.00
• Enterprise Value/Market Cap: 100.01
• Enterprise Value/Revenue: 4.34
• Enterprise Value/Gross Profit: 284.14
• Enterprise Value/Ebitda: -27.43
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 37 Underperform
• Price Target: $2.00 ▲(19.05% Upside)

Scheid Vineyards is currently facing severe financial and technical challenges. The company's high leverage, negative cash flows, and lack of profitability are significant concerns. Additionally, technical indicators suggest a bearish trend, and the valuation metrics do not provide any positive signals. Immediate improvements in financial health and operational efficiency are necessary for a more favorable outlook.

Positive Factors

Branded, vertically integrated operations

Scheid's ownership of vineyard operations and in-house wine production under multiple family labels supports vertical integration and brand control. This structure can improve gross margin capture, ensure supply continuity, and sustain customer relationships over multiple vintages and cycles.

Recent revenue rebound

A 22% year-over-year revenue uptick demonstrates the business can grow top line despite structural headwinds. If sustained, this trend supports scale benefits, better fixed-cost absorption and provides a platform for margin recovery and deleveraging over the medium term.

Positive FCF-to-net-income ratio

A positive free cash flow to net income ratio indicates the company converts accounting losses into some cash generation capacity. This provides a foundation to fund core operations and restructure liabilities if management sustains operating cash improvements and prioritizes liquidity.

Negative Factors

High leverage and negative equity

Significant leverage and negative shareholders' equity signal structural solvency risk. This constrains borrowing capacity, raises refinancing and covenant default risk, and forces prioritization of debt reduction over growth investments absent material capital infusions.

Negative operating and free cash flow

Persistently negative operating and free cash flows undermine the firm's ability to self-fund working capital, capex and debt service. Over months, this forces reliance on external financing or asset sales, increasing execution risk and limiting investment in long-term initiatives.

Ongoing unprofitable operations

Chronic negative margins and inconsistent gross profit trends point to structural operating inefficiencies or pricing pressures. Without sustained margin restoration through cost control or premiumization, returns on invested capital will remain weak and impede long-term value creation.

Scheid Vineyards Business Overview & Revenue Model

Company Description

Scheid Vineyards Inc. manufactures and sells wine in the United States. The company operates vineyards in Monterey and San Benito counties of California. It offers red, white, reserve, dessert wines, as well as accessories, such as wine glass. The company was incorporated in 1971 and is based in Salinas, California.

How the Company Makes Money

Scheid Vineyards generates revenue primarily through the sale of its wines to wholesalers, retailers, and directly to consumers through its tasting rooms and online sales channels. Key revenue streams include bulk wine sales to other wineries, private label production, and direct-to-consumer sales at wine events and festivals. Additionally, SVIN benefits from partnerships with distributors and participation in wine clubs, which help expand its market reach. The company's commitment to sustainability and quality also attracts a loyal customer base, further enhancing its revenue potential.

Scheid Vineyards Financial Statement Overview

Summary

Scheid Vineyards faces significant financial challenges, including persistent losses, high leverage, and negative cash flows. Despite some revenue growth, the company must improve operational efficiency, reduce debt, and enhance cash flow management to achieve financial stability.

Income Statement

Scheid Vineyards has shown inconsistent revenue growth with a notable increase of 22.39% in the most recent year. However, profitability remains a significant concern with negative net profit margins and EBIT margins over the years. The gross profit margin has fluctuated, indicating instability in cost management. The company needs to address its operational inefficiencies to improve profitability.

Balance Sheet

The balance sheet reveals a high debt-to-equity ratio, indicating significant leverage and financial risk. The negative stockholders' equity in the latest year is concerning, as it suggests potential solvency issues. Return on equity has been negative, reflecting poor profitability relative to shareholder investment. The company must focus on reducing debt and improving equity to stabilize its financial position.

Cash Flow

Cash flow analysis shows negative operating cash flow and free cash flow, indicating liquidity challenges. The free cash flow to net income ratio is positive, suggesting some ability to cover net losses, but the overall cash flow situation is weak. The company needs to enhance cash generation from operations to support its financial health.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	41.06M	58.41M	68.03M	68.50M	65.09M	62.74M
Gross Profit	627.00K	8.75M	2.54M	17.78M	17.77M	14.78M
EBITDA	-6.50M	3.06M	-10.03M	5.88M	29.07M	5.21M
Net Income	-23.16M	-17.80M	-20.65M	-2.23M	14.19M	-4.72M
Balance Sheet
Total Assets	164.57M	168.62M	189.03M	195.69M	152.26M	156.59M
Cash, Cash Equivalents and Short-Term Investments	4.08M	4.11M	2.09M	2.48M	244.00K	328.00K
Total Debt	180.49M	152.64M	143.29M	139.44M	96.47M	114.12M
Total Liabilities	183.20M	168.99M	171.60M	157.66M	112.29M	131.04M
Stockholders Equity	-18.63M	-369.00K	17.43M	38.03M	39.98M	25.55M
Cash Flow
Free Cash Flow	-306.00K	-3.68M	-11.27M	-10.69M	-14.91M	-1.54M
Operating Cash Flow	-160.00K	-2.76M	-5.78M	-6.77M	-11.38M	2.27M
Investing Cash Flow	1.78M	1.78M	-5.40M	-3.90M	9.91M	-4.05M
Financing Cash Flow	-3.00M	3.00M	10.79M	12.91M	1.39M	590.00K

Scheid Vineyards Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 1.68
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SVIN, the sentiment is Positive. The current price of 1.68 is below the 20-day moving average (MA) of 1.80, below the 50-day MA of 1.70, and below the 200-day MA of 3.00, indicating a neutral trend. The MACD of 0.05 indicates Negative momentum. The RSI at 67.30 is Neutral, neither overbought nor oversold. The STOCH value of 66.67 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for SVIN.

Scheid Vineyards Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
STZ	66 Neutral	$27.17B	24.71	14.29%	2.92%	-5.57%	119.49%
BF.A	64 Neutral	$12.76B	16.25	20.67%	3.41%	-4.59%	-19.19%
Sector *	62 Neutral	$20.33B	14.63	-3.31%	3.23%	1.93%	-12.26%
BF.B	62 Neutral	$12.76B	15.98	20.67%	3.42%	-4.59%	-19.19%
MGPI	57 Neutral	$530.44M	-37.20	-1.70%	2.00%	-21.53%	-113.89%
WVVI	45 Neutral	$13.85M	-3.97	-1.79%	―	-4.82%	-14.60%
SVIN	37 Underperform	$1.78M	-0.06	-3208.17%	―	-15.70%	-29.69%