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Willamette Valley Vineyards (WVVI)
NASDAQ:WVVI
US Market

Willamette Valley Vineyards (WVVI) AI Stock Analysis

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Willamette Valley Vineyards

(NASDAQ:WVVI)

Rating:49Neutral
Price Target:
$5.50
▼(-1.79%Downside)
Willamette Valley Vineyards is currently navigating a difficult financial landscape with declining revenues and cash flow issues. While the recent appointment of a new CEO offers a positive strategic outlook, the current financial and technical conditions weigh heavily on the stock's overall performance.

Willamette Valley Vineyards (WVVI) vs. SPDR S&P 500 ETF (SPY)

Willamette Valley Vineyards Business Overview & Revenue Model

Company DescriptionWillamette Valley Vineyards, Inc. produces and sells wine in the United States and internationally. It primarily offers Pinot Noir, Chardonnay, Pinot Gris, Pinot Blanc, Sauvignon Blanc, Gruner Veltliner, Rose, Brut, Brut Rose, Blanc de Blancs, and Riesling branded wines under the Willamette Valley Vineyards label; Semi-Sparkling Muscat branded wine under the Tualatin Estate Vineyards label; Syrah, Merlot, Cabernet Sauvignon, Grenache, Cabernet Franc, Tempranillo, Malbec, The Griffin, and Viognier branded wines under the Griffin Creek label; and Oregon Blossom branded wine under the Oregon Cellars label. The company also provides Pinot Noir and Chardonnay branded wine under the Elton label; Chrysologue, Merlot, and Cabernet Sauvignon branded wine under the Pambrun label; and Frontiere Syrah, Lisette Rose, Graviére Syrah, Voyageur Syrah, Bourgeois Grenache, and Voltigeur Viognier branded wine under the Maison Bleue label, as well as offers wines under the Natoma and Metis labels. It owns and leases approximately 1,018 acres of land. The company markets and sells its wine products directly through sales at the winery; and mailing lists, as well as through distributors and wine brokers. Willamette Valley Vineyards, Inc. was founded in 1983 and is headquartered in Turner, Oregon.
How the Company Makes MoneyWillamette Valley Vineyards generates revenue primarily through the production and sale of its wine products. The company sells its wines through multiple channels, including direct-to-consumer sales via its tasting rooms and wine club, wholesale distribution to retailers and restaurants, and online sales. WVVI also benefits from tourism-related activities, such as vineyard tours and events held at its estates, which help promote its brand and increase direct sales. Additionally, strategic partnerships with distributors and retailers enhance its market reach, contributing to its earnings.

Willamette Valley Vineyards Financial Statement Overview

Summary
Willamette Valley Vineyards faces significant challenges with declining revenue, negative profitability, and increased leverage. The income statement reflects pressure on margins and growth, while the balance sheet shows stable equity but higher debt levels. Cash flow difficulties underscore the need for improved cash management.
Income Statement
45
Neutral
Willamette Valley Vineyards has faced recent challenges, as evidenced by declining revenue and negative net income in the TTM (Trailing-Twelve-Months) period. The gross profit margin remains relatively strong at 61.5% for TTM, but the net profit margin is negative due to losses. Revenue growth has been inconsistent with a significant drop from 2023 to 2024, impacting overall performance. EBIT and EBITDA margins are low, showing a decline in operating efficiency.
Balance Sheet
50
Neutral
The company's balance sheet shows stability in stockholders' equity, though the debt-to-equity ratio has increased to 0.20 in TTM, indicating higher leverage. The equity ratio remains robust at 63.3% in TTM, reflecting strong equity relative to total assets. However, increased debt levels pose a risk if revenue recovery is delayed.
Cash Flow
40
Negative
Cash flow analysis reveals negative operating and free cash flows in the TTM period, indicating cash management issues. The free cash flow growth rate is negative, reflecting ongoing cash outflows. The operating cash flow to net income ratio is unfavorable, suggesting difficulties in converting income to cash. These challenges necessitate close monitoring of cash reserves and expenditures.
Breakdown
TTMDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income StatementTotal Revenue
38.52M24.20M39.14M33.93M31.79M27.31M
Gross Profit
23.68M24.20M22.56M18.81M18.67M16.73M
EBIT
304.46K571.86K-1.21M-546.42K3.69M5.00M
EBITDA
3.76M571.86K2.33M1.92M5.81M7.00M
Net Income Common Stockholders
-325.07K-117.89K-1.20M-646.49K2.45M3.39M
Balance SheetCash, Cash Equivalents and Short-Term Investments
332.89K320.88K238.48K338.68K13.75M14.00M
Total Assets
108.24M109.02M105.71M98.68M91.38M79.49M
Total Debt
13.88M29.58M23.52M17.59M13.10M12.23M
Net Debt
13.55M29.25M23.28M17.25M-651.21K-1.77M
Total Liabilities
39.74M39.78M35.07M28.32M26.41M20.67M
Stockholders Equity
68.50M69.23M70.64M70.36M64.96M58.82M
Cash FlowFree Cash Flow
-3.42M-5.09M-6.72M-18.15M-7.76M649.02K
Operating Cash Flow
-1.56M-3.24M-1.99M-2.67M2.57M5.42M
Investing Cash Flow
-1.87M-2.09M-4.73M-15.48M-10.30M-4.77M
Financing Cash Flow
3.51M5.41M6.62M4.74M7.48M6.30M

Willamette Valley Vineyards Technical Analysis

Technical Analysis Sentiment
Negative
Last Price5.60
Price Trends
50DMA
5.92
Negative
100DMA
5.94
Negative
200DMA
4.74
Positive
Market Momentum
MACD
-0.04
Positive
RSI
39.50
Neutral
STOCH
23.30
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For WVVI, the sentiment is Negative. The current price of 5.6 is below the 20-day moving average (MA) of 5.86, below the 50-day MA of 5.92, and above the 200-day MA of 4.74, indicating a neutral trend. The MACD of -0.04 indicates Positive momentum. The RSI at 39.50 is Neutral, neither overbought nor oversold. The STOCH value of 23.30 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for WVVI.

Willamette Valley Vineyards Risk Analysis

Willamette Valley Vineyards disclosed 22 risk factors in its most recent earnings report. Willamette Valley Vineyards 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 1 New Risks
1.
Q3, 2024

Willamette Valley Vineyards Peers Comparison

Overall Rating
UnderperformOutperform
Sector (65)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
77
Outperform
$4.19B22.5640.81%0.34%9.48%
77
Outperform
$273.44M27.676.42%2.00%-37.09%
SASAM
67
Neutral
$2.31B33.957.36%0.79%-24.27%
66
Neutral
$2.63B11.338.59%3.96%-0.24%26.74%
65
Neutral
$8.77B15.114.67%3.71%3.60%-2.96%
VFVFF
55
Neutral
$119.08M-14.58%12.09%-40.10%
49
Neutral
$28.20M-0.47%-2.80%16.13%
* Consumer Defensive Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
WVVI
Willamette Valley Vineyards
5.60
1.53
37.59%
SAM
Boston Beer
205.44
-89.60
-30.37%
FIZZ
National Beverage
43.71
-1.18
-2.63%
NATR
Nature's Sunshine Products
14.88
-0.14
-0.93%
NOMD
Nomad Foods
16.95
0.89
5.54%
VFF
Village Farms International
1.08
0.09
9.09%

Willamette Valley Vineyards Corporate Events

Executive/Board ChangesBusiness Operations and Strategy
Willamette Valley Vineyards Amends Bylaws for Leadership Change
Neutral
Jun 2, 2025

On May 27, 2024, Willamette Valley Vineyards‘ board of directors approved amendments to the company’s bylaws to separate the roles of President and Chief Executive Officer. This change allows for the potential appointment of a separate CEO, which could impact the company’s leadership structure and operational dynamics.

Executive/Board ChangesBusiness Operations and Strategy
Willamette Valley Vineyards Appoints New CEO Michael Osborn
Positive
May 15, 2025

On May 12, 2025, Willamette Valley Vineyards announced the appointment of Michael Osborn as the new Chief Executive Officer, effective May 19, 2025. Osborn, the founder of Wine.com, brings extensive experience in supplier, wholesaler, and merchandising efforts to the company. His employment agreement includes a base salary and potential equity incentives tied to the company’s financial performance and stock price targets. This leadership change is expected to influence the company’s strategic direction and potentially enhance its market position.

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.