Tejon Ranch Company (TRC) AI Stock Analysis

• Market Cap: $424.39M
• Dividend Yield: N/A
• Average Volume (3M): 110.07K
• Price to Earnings (P/E): 142.3
• Beta (1Y): 0.47
• Revenue Growth: 15.71%
• EPS Growth: N/A
• Country: US
• Employees: 82
• Sector: Industrials
• Sector Strength: 72
• Industry: Conglomerates
• EPS (TTM): 0.06
• Shares Outstanding: 26,893,955
• 10 Day Avg. Volume: 103,060
• 30 Day Avg. Volume: 110,070
• PEG Ratio: -9.51
• Price to Book (P/B): 0.90
• Price to Sales (P/S): 10.18
• P/FCF Ratio: -8.23
• Enterprise Value/Market Cap: 1.26
• Enterprise Value/Revenue: 11.47
• Enterprise Value/Gross Profit: 86.14
• Enterprise Value/Ebitda: 3.50K
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: Hold
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 53 Neutral
• Price Target: $16.50 ▲(4.56% Upside)

Tejon Ranch Company's overall stock score reflects a mix of financial challenges and positive earnings call sentiment. The financial performance is hindered by profitability and cash flow issues, while technical analysis shows mixed signals. Valuation concerns due to a high P/E ratio further impact the score. However, positive developments in farming and real estate leasing provide some optimism.

Positive Factors

Revenue Growth

The significant increase in farming revenues indicates strong growth potential in this segment, contributing positively to the company's overall revenue stream.

Real Estate Leasing

High occupancy rates in real estate leasing reflect strong demand and efficient asset utilization, supporting stable cash flow and revenue.

New Casino Development

The new casino is expected to enhance foot traffic, benefiting retail assets and potentially boosting long-term revenue from increased consumer activity.

Negative Factors

Cash Flow Challenges

Persistent cash flow issues indicate poor cash management, which can hinder the company's ability to invest in growth opportunities and maintain operations.

Operational Inefficiencies

Operational inefficiencies as indicated by negative ROE can limit profitability and reduce the company's ability to generate shareholder value over time.

Traffic Reduction Impact

Decreased traffic affecting joint venture earnings could lead to reduced revenue from this segment, impacting overall financial performance.

Tejon Ranch Company Business Overview & Revenue Model

Company Description

Tejon Ranch Co., together with its subsidiaries, operates as a diversified real estate development and agribusiness company. It operates through five segments: Commercial/Industrial Real Estate Development, Resort/Residential Real Estate Development, Mineral Resources, Farming, and Ranch Operations. The Commercial/Industrial Real Estate Development segment engages in the planning and permitting of land for development; construction of infrastructure projects, pre-leased buildings, and buildings to be leased or sold; and sale of land to third parties for their own development. It is also involved in the activities related to communications leases, and landscape maintenance. This segment leases land to two auto service stations with convenience stores, 13 fast-food operations, a motel, an antique shop, and a post office; various microwave repeater locations, radio and cellular transmitter sites, and fiber optic cable routes; and 32 acres of land for an electric power plant. The Resort/Residential Real Estate Development segment engages in land entitlement, planning, pre-construction engineering, stewardship, and conservation activities. The Mineral Resources segment includes oil and gas royalties, rock and aggregate royalties, and royalties from a cement operation leased to National Cement Company of California, Inc.; and the management of water assets and infrastructure projects. The Farming segment farms permanent crops, such as wine grapes in 1,036 acres, almonds in 2,262 acres, and pistachios in 1,053 acres. It also manages the farming of alfalfa and forage mix on 626 acres in the Antelope Valley; and leases 720 acres of land for growing vegetables, as well as almonds. The Ranch Operations segment provides game management and ancillary land services comprising grazing leases and filming, as well as various guided hunts. Tejon Ranch Co. was founded in 1843 and is based in Lebec, California.

How the Company Makes Money

Tejon Ranch Company generates revenue through multiple streams, including real estate development, agricultural operations, and leasing agreements. The real estate segment is a significant source of income, as TRC develops residential and commercial properties within its land holdings, capitalizing on California's demand for housing and business space. The agricultural operations involve farming and leasing land for various crops, which provides a steady income stream. Additionally, TRC engages in renewable energy projects, such as solar energy development, which can yield substantial returns and align with the company’s commitment to sustainability. Key partnerships with developers, governmental agencies, and environmental organizations also enhance TRC's revenue potential by facilitating land use agreements and conservation projects that may provide financial incentives.

Tejon Ranch Company Financial Statement Overview

Summary

Tejon Ranch Company faces financial challenges with negative profitability metrics and cash flow issues, despite a stable capital structure. The income statement and cash flow metrics highlight operational inefficiencies and cash management problems, which need addressing to improve financial health.

Income Statement

Tejon Ranch Company shows a mixed performance in its income statement. The TTM (Trailing-Twelve-Months) data indicates a slight revenue growth rate of 2.46%, but profitability metrics such as the net profit margin and EBIT margin are negative, reflecting operational challenges. Historical data shows fluctuating revenue growth and declining gross profit margins, indicating instability in revenue generation and cost management.

Balance Sheet

The balance sheet reflects moderate financial stability with a manageable debt-to-equity ratio of 0.19 in the TTM period. However, the return on equity is negative, suggesting inefficiencies in generating returns from equity. The equity ratio remains healthy, indicating a strong capital structure, but the declining ROE poses a risk to long-term profitability.

Cash Flow

Cash flow analysis reveals significant challenges, with negative free cash flow growth and a high free cash flow to net income ratio, indicating cash flow issues despite reported net income. The operating cash flow to net income ratio is close to 1, suggesting limited cash conversion efficiency. The company needs to improve its cash management to support operations and growth.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	46.42M	41.89M	44.74M	79.22M	55.61M	37.83M
Gross Profit	6.18M	1.89M	6.17M	23.43M	9.58M	2.68M
EBITDA	152.00K	-4.31M	1.11M	18.36M	4.33M	-1.81M
Net Income	2.98M	2.69M	3.27M	15.81M	5.35M	-740.00K
Balance Sheet
Total Assets	629.59M	608.00M	577.52M	566.79M	546.04M	536.35M
Cash, Cash Equivalents and Short-Term Investments	21.04M	53.71M	64.46M	72.56M	47.18M	58.09M
Total Debt	91.94M	66.94M	47.94M	49.94M	52.63M	56.88M
Total Liabilities	141.00M	119.04M	94.43M	89.20M	89.53M	91.02M
Stockholders Equity	473.23M	473.59M	467.73M	462.23M	441.15M	429.96M
Cash Flow
Free Cash Flow	-11.33M	-51.79M	-13.71M	-15.06M	-20.48M	-10.35M
Operating Cash Flow	9.16M	14.31M	13.65M	8.53M	2.82M	15.48M
Investing Cash Flow	-64.47M	-25.75M	-14.00M	-1.89M	-14.65M	19.78M
Financing Cash Flow	31.51M	18.79M	-6.87M	-4.42M	-6.09M	-7.04M

Tejon Ranch Company Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 15.78
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TRC, the sentiment is Negative. The current price of 15.78 is below the 20-day moving average (MA) of 16.12, below the 50-day MA of 15.99, and below the 200-day MA of 16.60, indicating a bearish trend. The MACD of >-0.01 indicates Positive momentum. The RSI at 42.42 is Neutral, neither overbought nor oversold. The STOCH value of 11.40 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for TRC.

Tejon Ranch Company Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
CRESY	77 Outperform	$812.22M	4.06	20.18%	10.13%	-11.13%	―
IRS	77 Outperform	$1.27B	2.86	32.84%	8.97%	2.00%	―
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
TUSK	55 Neutral	$89.16M	-1.14	-24.62%	―	-21.67%	60.44%
TRC	53 Neutral	$424.39M	142.29	0.63%	―	15.71%	―
CODI	50 Neutral	$360.38M	-1.27	―	20.88%	-15.85%	-59.42%
FIP	48 Neutral	$546.58M	-1.94	-13.99%	1.91%	32.39%	-19.35%

Tejon Ranch Company Corporate Events

Tejon Ranch Updates Bylaws for Governance Compliance

On December 10, 2025, Tejon Ranch Company‘s Board of Directors approved amendments to the company’s Bylaws to align with the Delaware General Corporation Law. These changes, effective immediately, include updates on shareholder meeting procedures, voting and quorum rules, and the conduct of remote shareholder meetings, among others. The amendments aim to streamline governance processes and ensure compliance with legal standards, potentially impacting how shareholder meetings are conducted and decisions are made.

Tejon Ranch Hosts Investor Engagement Event at NYSE

On November 14, 2025, Tejon Ranch Company held an Investor Engagement Event at the New York Stock Exchange to discuss its strategic vision and investment opportunities. The event highlighted the company’s focus on capital allocation, investment strategy, and its strategic positioning as a key player in California’s infrastructure network, aiming to enhance its market presence and stakeholder value.

Tejon Ranch Outlines Strategic Vision for Growth

On November 13, 2025, Tejon Ranch Company issued a letter to shareholders addressing past decisions and outlining a strategic vision for future growth. The CEO highlighted the importance of disciplined capital allocation, focusing on proven demand opportunities like the Tejon Ranch Commerce Center, and emphasized the need to improve shareholder value through better investment performance and enhanced financial reporting.

Tejon Ranch Co. Plans Investor Event at NYSE

Tejon Ranch Co. announced it will release its third quarter 2025 operating and financial results on November 6, 2025, followed by a conference call for shareholders and interested parties. Additionally, the company will host an Investor Engagement Event at the New York Stock Exchange on November 14, 2025, to discuss its strategic vision, enhancing shareholder engagement.