Edible Garden (NASDAQ:EDBL) Releases Earnings Results, Misses Expectations By $19.21 EPS

Edible Garden (NASDAQ:EDBL) released its earnings results on Tuesday. The company reported ($24.81) earnings per share (EPS) for the quarter, missing the consensus estimate of ($5.60) by ($19.21), FiscalAI reports. Edible Garden had a negative return on equity of 1,078.80% and a negative net margin of 115.44%.The company had revenue of $4.13 million for the quarter, compared to the consensus estimate of $5.42 million.

Here are the key takeaways from Edible Garden’s conference call:

• Distribution expanded to nearly 6,000 store locations, with management reporting incremental placement of more than 700 stores in Q4 across Kroger, Safeway, Wakefern and others, signaling stronger retail traction and shelf presence.
• Company is pivoting toward higher?margin CPG and ready?to?drink (RTD) products, announcing an RTD manufacturing initiative at its Midwest facility with Tetra Tech to capture a large, fast?growing market opportunity.
• Q4 showed a $1.2 million gross loss and full?year revenue declined to $12.8M (from $13.9M) as management absorbed elevated onboarding costs and exited low?margin floral/lettuce lines; SG&A also rose materially due to the Natural Shrimp acquisition and deal?related costs.
• Management projects improved profitability mix, guiding to a blended company margin in the low?double digits to mid?teens long term and forecasting RTD margins in the ~20%–30% range as scale and shelf?stable products ramp.
• The Midwest RTD buildout is described as “significant” CapEx with a target commercial timeline toward the end of 2027 and potential state/local incentives, but exact costs and timing remain unspecified.

Edible Garden Stock Performance

EDBL stock traded up $0.19 during trading hours on Tuesday, reaching $1.15. The stock had a trading volume of 302,217 shares, compared to its average volume of 689,584. The stock has a market capitalization of $678,500.00, a PE ratio of -0.01 and a beta of 2.18. The company has a debt-to-equity ratio of 0.24, a current ratio of 0.80 and a quick ratio of 0.51. The stock has a 50-day simple moving average of $3.15 and a 200 day simple moving average of $9.93. Edible Garden has a fifty-two week low of $0.88 and a fifty-two week high of $62.90.

Institutional Investors Weigh In On Edible Garden

An institutional investor recently raised its position in Edible Garden stock. Cetera Investment Advisers increased its holdings in shares of Edible Garden AG Incorporated (NASDAQ:EDBL) by 861.5% in the fourth quarter, according to its most recent disclosure with the SEC. The firm owned 96,150 shares of the company’s stock after purchasing an additional 86,150 shares during the period. Cetera Investment Advisers owned 16.19% of Edible Garden worth $58,000 as of its most recent filing with the SEC. Institutional investors own 12.99% of the company’s stock.

Analyst Upgrades and Downgrades

Separately, Weiss Ratings restated a “sell (e+)” rating on shares of Edible Garden in a research note on Wednesday, January 21st. One equities research analyst has rated the stock with a Sell rating, According to data from MarketBeat.com, the company has an average rating of “Sell”.

Edible Garden Company Profile

Edible Garden AG, trading on the Nasdaq under the ticker EDBL, is a technology-enabled agriculture company specializing in the design, construction and operation of hydroponic greenhouse farms. By leveraging controlled-environment agriculture techniques and proprietary automation systems, the company produces a range of leafy greens and salad?related vegetables, including branded Salanova products, for wholesale distribution to retailers, food service operators and distributors.

In addition to farm ownership and produce cultivation, Edible Garden develops and licenses its modular greenhouse technology and cultivation methods to third parties.