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Where Food Comes From

OTCPK:WFCF
Snowflake Description

Flawless balance sheet with acceptable track record.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
WFCF
OTCPK
$49M
Market Cap
  1. Home
  2. US
  3. Commercial Services
Company description

Where Food Comes From, Inc. provides verification and certification solutions for the agriculture, livestock, and food industries in the United States. The last earnings update was 26 days ago. More info.


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WFCF Share Price and Events
7 Day Returns
-2.5%
OTCPK:WFCF
-0%
US Professional Services
-0.1%
US Market
1 Year Returns
-8%
OTCPK:WFCF
10.4%
US Professional Services
7.6%
US Market
WFCF Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
Where Food Comes From (WFCF) -2.5% -1.5% 1.6% -8% -11.4% -7.1%
US Professional Services -0% 5.8% 16% 10.4% 7.5% 16.8%
US Market -0.1% 3.7% 10.2% 7.6% 38.1% 46.4%
1 Year Return vs Industry and Market
  • WFCF underperformed the Professional Services industry which returned 10.4% over the past year.
  • WFCF underperformed the Market in United States of America which returned 7.6% over the past year.
Price Volatility
WFCF
Industry
5yr Volatility vs Market
Related Companies

Value

 Is Where Food Comes From undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of Where Food Comes From to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for Where Food Comes From.

OTCPK:WFCF Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Extrapolated from most recent financials. See below
Discount Rate (Cost of Equity) See below 8.5%
Perpetual Growth Rate 10-Year US Government Bond Rate 2.7%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for OTCPK:WFCF
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year US Govt Bond Rate 2.7%
Equity Risk Premium S&P Global 6%
Professional Services Unlevered Beta Simply Wall St/ S&P Global 0.95
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 0.954 (1 + (1- 21%) (0.18%))
0.97
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
0.97
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 2.73% + (0.97 * 5.96%)
8.51%

Discounted Cash Flow Calculation for OTCPK:WFCF using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for Where Food Comes From is arrived at by discounting future cash flows to their present value using the 2 stage method. We try to start with analysts estimates of free cash flow, however if these are not available we use the most recent financial results. In the 1st stage we continue to grow the free cash flow over a 10 year period, with the growth rate trending towards the perpetual growth rate used in the 2nd stage. The 2nd stage assumes the company grows at a stable rate into perpetuity.

OTCPK:WFCF DCF 1st Stage: Next 10 year cash flow forecast
Levered FCF (USD, Millions) Source Present Value
Discounted (@ 8.51%)
2019 0.82 Est @ 3.28% 0.76
2020 0.85 Est @ 3.11% 0.72
2021 0.88 Est @ 3% 0.69
2022 0.90 Est @ 2.92% 0.65
2023 0.93 Est @ 2.86% 0.62
2024 0.95 Est @ 2.82% 0.58
2025 0.98 Est @ 2.79% 0.55
2026 1.01 Est @ 2.78% 0.52
2027 1.04 Est @ 2.76% 0.50
2028 1.06 Est @ 2.75% 0.47
Present value of next 10 years cash flows $6.06
OTCPK:WFCF DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2028 × (1 + g) ÷ (Discount Rate – g)
= $1.06 × (1 + 2.73%) ÷ (8.51% – 2.73%)
$18.90
Present Value of Terminal Value = Terminal Value ÷ (1 + r)10
= $18.90 ÷ (1 + 8.51%)10
$8.35
OTCPK:WFCF Total Equity Value
Calculation Result
Total Equity Value = Present value of next 10 years cash flows + Terminal Value
= $6.06 + $8.35
$14.41
Equity Value per Share
(USD)
= Total value / Shares Outstanding
= $14.41 / 24.92
$0.58
OTCPK:WFCF Discount to Share Price
Calculation Result
Value per share (USD) From above. $0.58
Current discount Discount to share price of $1.95
= -1 x ($1.95 - $0.58) / $0.58
-237.3%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

  • The current share price of Where Food Comes From is above its future cash flow value.
Often investors are willing to pay a premium for a company that has a high dividend or the potential for future growth.
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for Where Food Comes From's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are Where Food Comes From's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
OTCPK:WFCF PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2018-12-31) in USD $0.03
OTCPK:WFCF Share Price ** OTCPK (2019-04-23) in USD $1.95
United States of America Professional Services Industry PE Ratio Median Figure of 37 Publicly-Listed Professional Services Companies 22.8x
United States of America Market PE Ratio Median Figure of 3,080 Publicly-Listed Companies 18.03x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of Where Food Comes From.

OTCPK:WFCF PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= OTCPK:WFCF Share Price ÷ EPS (both in USD)

= 1.95 ÷ 0.03

60.46x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Where Food Comes From is overvalued based on earnings compared to the US Professional Services industry average.
  • Where Food Comes From is overvalued based on earnings compared to the United States of America market.
Price based on expected Growth
Does Where Food Comes From's expected growth come at a high price?
Raw Data
OTCPK:WFCF PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 60.46x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 0 Analysts
19.8%per year
United States of America Professional Services Industry PEG Ratio Median Figure of 33 Publicly-Listed Professional Services Companies 1.68x
United States of America Market PEG Ratio Median Figure of 2,109 Publicly-Listed Companies 1.55x

*Line of best fit is calculated by linear regression .

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Unable to calculate PEG ratio for Where Food Comes From, we can't assess if its growth is good value.
Price based on value of assets
What value do investors place on Where Food Comes From's assets?
Raw Data
OTCPK:WFCF PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2018-12-31) in USD $0.43
OTCPK:WFCF Share Price * OTCPK (2019-04-23) in USD $1.95
United States of America Professional Services Industry PB Ratio Median Figure of 55 Publicly-Listed Professional Services Companies 2.28x
United States of America Market PB Ratio Median Figure of 5,185 Publicly-Listed Companies 1.92x
OTCPK:WFCF PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= OTCPK:WFCF Share Price ÷ Book Value per Share (both in USD)

= 1.95 ÷ 0.43

4.52x

* Primary Listing of Where Food Comes From.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Where Food Comes From is overvalued based on assets compared to the US Professional Services industry average.
X
Value checks
We assess Where Food Comes From's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Professional Services industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Professional Services industry average (and greater than 0)? (1 check)
  5. Where Food Comes From has a total score of 0/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

Future Performance

 How is Where Food Comes From expected to perform in the next 1 to 3 years based on estimates from 0 analysts?

  • No analysts cover Where Food Comes From, future earnings growth has been estimated based on fundamentals.
The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
19.8%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is Where Food Comes From expected to grow at an attractive rate?
  • Where Food Comes From's earnings growth is expected to exceed the low risk savings rate of 2.7%.
Growth vs Market Checks
  • Where Food Comes From's earnings growth is expected to exceed the United States of America market average.
  • Unable to compare Where Food Comes From's revenue growth to the United States of America market average as no estimate data is available.
Annual Growth Rates Comparison
Raw Data
OTCPK:WFCF Future Growth Rates Data Sources
Data Point Source Value (per year)
OTCPK:WFCF Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 0 Analysts 19.8%
United States of America Professional Services Industry Earnings Growth Rate Market Cap Weighted Average 22.6%
United States of America Professional Services Industry Revenue Growth Rate Market Cap Weighted Average 5.2%
United States of America Market Earnings Growth Rate Market Cap Weighted Average 13.5%
United States of America Market Revenue Growth Rate Market Cap Weighted Average 7.1%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
OTCPK:WFCF Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (3 months ago) See Below
Future Estimates Average of up to 0 Analyst Estimates (S&P Global) See Below
All numbers in USD Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
OTCPK:WFCF Past Financials Data
Date (Data in USD Millions) Revenue Cash Flow Net Income *
2018-12-31 18 1 1
2018-09-30 17 1 0
2018-06-30 17 1 0
2018-03-31 16 1 0
2017-12-31 15 1 0
2017-09-30 14 1 0
2017-06-30 13 1 0
2017-03-31 12 1 0
2016-12-31 12 1 0
2016-09-30 11 1 1
2016-06-30 11 1 1
2016-03-31 11 1 1

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • Where Food Comes From's earnings are expected to grow by 19.8% yearly, however this is not considered high growth (20% yearly).
  • Unable to determine if Where Food Comes From is high growth as no revenue estimate data is available.
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
OTCPK:WFCF Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (3 months ago) See Below
Future Estimates Average of up to 0 Analyst Estimates (S&P Global) See Below

All data from Where Food Comes From Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

OTCPK:WFCF Past Financials Data
Date (Data in USD Millions) EPS *
2018-12-31 0.03
2018-09-30 0.01
2018-06-30 0.01
2018-03-31 0.00
2017-12-31 0.01
2017-09-30 0.02
2017-06-30 0.01
2017-03-31 0.02
2016-12-31 0.02
2016-09-30 0.03
2016-06-30 0.02
2016-03-31 0.02

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • Unable to establish if Where Food Comes From will efficiently use shareholders’ funds in the future without estimates of Return on Equity.
X
Future performance checks
We assess Where Food Comes From's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the United States of America market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the United States of America market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
Where Food Comes From has a total score of 2/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

Past Performance

  How has Where Food Comes From performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare Where Food Comes From's growth in the last year to its industry (Professional Services).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • Where Food Comes From's year on year earnings growth rate has been positive over the past 5 years.
  • Where Food Comes From's 1-year earnings growth exceeds its 5-year average (462.7% vs 17.8%)
  • Where Food Comes From's earnings growth has exceeded the US Professional Services industry average in the past year (462.7% vs 13.2%).
Earnings and Revenue History
Where Food Comes From's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from Where Food Comes From Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

OTCPK:WFCF Past Revenue, Cash Flow and Net Income Data
Date (Data in USD Millions) Revenue Net Income * G+A Expenses R&D Expenses
2018-12-31 17.80 0.80 6.87
2018-09-30 17.32 0.26 7.14
2018-06-30 16.93 0.18 6.91
2018-03-31 16.00 0.06 6.85
2017-12-31 15.45 0.14 6.74
2017-09-30 14.34 0.42 6.14
2017-06-30 12.95 0.35 5.79
2017-03-31 12.24 0.46 5.15
2016-12-31 11.62 0.43 4.78
2016-09-30 11.37 0.64 4.35
2016-06-30 11.08 0.59 4.28
2016-03-31 10.76 0.57 4.21
2015-12-31 10.40 0.53 4.06
2015-09-30 10.42 0.44 4.13
2015-06-30 9.95 0.51 3.74
2015-03-31 9.42 0.42 3.54
2014-12-31 8.76 0.23 3.42
2014-09-30 8.02 0.15 2.96
2014-06-30 6.91 -0.11 2.90
2014-03-31 6.20 -0.11 2.67
2013-12-31 5.80 -0.03 2.46
2013-09-30 5.03 0.12 2.49
2013-06-30 5.10 0.20 2.41
2013-03-31 5.26 0.45 2.43
2012-12-31 5.26 0.87 2.29
2012-09-30 5.01 1.04 2.16
2012-06-30 4.71 1.18 1.98

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • Where Food Comes From has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
  • Where Food Comes From used its assets less efficiently than the US Professional Services industry average last year based on Return on Assets.
  • Where Food Comes From's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).
X
Past performance checks
We assess Where Food Comes From's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Professional Services industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
Where Food Comes From has a total score of 3/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

Health

 How is Where Food Comes From's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up Where Food Comes From's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • Where Food Comes From is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • Where Food Comes From's cash and other short term assets cover its long term commitments.
Balance sheet
This treemap shows a more detailed breakdown of Where Food Comes From's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • Low level of unsold assets.
  • Debt is covered by short term assets, assets are 50.6x debt.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from Where Food Comes From Company Filings, last reported 3 months ago.

OTCPK:WFCF Past Debt and Equity Data
Date (Data in USD Millions) Total Equity Total Debt Cash & Short Term Investments
2018-12-31 12.21 0.09 1.73
2018-09-30 12.28 0.09 2.74
2018-06-30 11.48 0.08 3.81
2018-03-31 11.26 0.08 4.57
2017-12-31 11.25 0.08 3.45
2017-09-30 11.72 0.09 4.55
2017-06-30 11.44 0.02 3.83
2017-03-31 11.33 0.02 3.98
2016-12-31 11.32 0.02 3.22
2016-09-30 7.91 0.02 4.25
2016-06-30 7.74 0.03 4.29
2016-03-31 7.59 0.02 4.35
2015-12-31 7.67 0.02 3.78
2015-09-30 7.63 0.03 3.99
2015-06-30 7.38 0.03 3.48
2015-03-31 7.22 0.03 3.01
2014-12-31 7.18 0.03 2.58
2014-09-30 6.88 0.04 2.64
2014-06-30 4.89 0.19 1.03
2014-03-31 4.72 0.20 0.88
2013-12-31 5.09 0.21 1.07
2013-09-30 4.91 0.21 1.04
2013-06-30 2.63 0.42 1.49
2013-03-31 2.55 0.43 1.51
2012-12-31 2.57 0.43 1.40
2012-09-30 2.39 0.41 1.37
2012-06-30 2.24 0.41 1.20
  • Where Food Comes From's level of debt (0.7%) compared to net worth is satisfactory (less than 40%).
  • The level of debt compared to net worth has been reduced over the past 5 years (4% vs 0.7% today).
  • Debt is well covered by operating cash flow (1335.1%, greater than 20% of total debt).
  • Where Food Comes From earns more interest than it pays, coverage of interest payments is not a concern.
X
Financial health checks
We assess Where Food Comes From's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. Where Food Comes From has a total score of 6/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

Dividends

 What is Where Food Comes From's current dividend yield, its reliability and sustainability?

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
0%
Current annual income from Where Food Comes From dividends.
If you bought $2,000 of Where Food Comes From shares you are expected to receive $0 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • Unable to evaluate Where Food Comes From's dividend yield against the bottom 25% of dividend payers as the company has not reported any payouts.
  • Unable to evaluate Where Food Comes From's dividend against the top 25% market benchmark as the company has not reported any payouts.
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
OTCPK:WFCF Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 0 Analyst Estimates (S&P Global) See Below
United States of America Professional Services Industry Average Dividend Yield Market Cap Weighted Average of 20 Stocks 1.5%
United States of America Market Average Dividend Yield Market Cap Weighted Average of 2008 Stocks 2.4%
United States of America Minimum Threshold Dividend Yield 10th Percentile 0.8%
United States of America Bottom 25% Dividend Yield 25th Percentile 1.4%
United States of America Top 25% Dividend Yield 75th Percentile 3.6%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Unable to perform a dividend volatility check as Where Food Comes From has not reported any payouts.
  • Unable to verify if Where Food Comes From's dividend has been increasing as the company has not reported any payouts.
Current Payout to shareholders
What portion of Where Food Comes From's earnings are paid to the shareholders as a dividend.
  • Unable to calculate sustainability of dividends as Where Food Comes From has not reported any payouts.
Future Payout to shareholders
  • Insufficient estimate data to determine if a dividend will be paid in 3 years and that it will be sustainable.
X
Income/ dividend checks
We assess Where Food Comes From's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 0.8%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can Where Food Comes From afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. Where Food Comes From has a total score of 0/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

Management

 What is the CEO of Where Food Comes From's salary, the management and board of directors tenure and is there insider trading?

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
John Saunders
COMPENSATION $478,600
AGE 46
TENURE AS CEO 21.3 years
CEO Bio

Mr. John K. Saunders co-founded Where Food Comes From, Inc. in 1998 and has been its Executive Chairman and Chief Executive Officer since 1998. Mr. Saunders served as the President at Where Food Comes From, Inc (formerly, Integrated Management Information Inc.) from 1998 to September 2008. Prior to that, he was a Partner and Consultant of Pathfinder Consulting Services, Inc., in Parker, Colorado. Mr. Saunders has to the board over 25 years of business, finance, marketing and leadership experience in agricultural, livestock and food industry. He also has experience in corporate governance and board leadership as the Chairman, making him a well-qualified candidate for a director of the Company. Mr. Saunders holds a bachelor degree from Yale University.

CEO Compensation
  • John's compensation has increased by more than 20% in the past year.
  • John's remuneration is about average for companies of similar size in United States of America.
Management Team Tenure

Average tenure and age of the Where Food Comes From management team in years:

10.9
Average Tenure
47
Average Age
  • The average tenure for the Where Food Comes From management team is over 5 years, this suggests they are a seasoned and experienced team.
Management Team

John Saunders

TITLE
Founder
COMPENSATION
$479K
AGE
46
TENURE
21.3 yrs

Leann Saunders

TITLE
Co-Founder
COMPENSATION
$463K
AGE
47
TENURE
10.6 yrs

Dannette Boyd Henning

TITLE
Chief Financial Officer
COMPENSATION
$339K
AGE
48
TENURE
11.3 yrs

Jay Pfeiffer

TITLE
Vice President of Investor Relations

Kathryn Britton

TITLE
Senior Director of IMI Global Operations & Corporate Marketing
TENURE
2.3 yrs
Board of Directors Tenure

Average tenure and age of the Where Food Comes From board of directors in years:

12.9
Average Tenure
59
Average Age
  • The average tenure for the Where Food Comes From board of directors is over 10 years, this suggests they are a seasoned and experienced board.
Board of Directors

John Saunders

TITLE
Founder
COMPENSATION
$479K
AGE
46
TENURE
21.3 yrs

Leann Saunders

TITLE
Co-Founder
COMPENSATION
$463K
AGE
47
TENURE
7.3 yrs

Adam Larson

TITLE
Director
COMPENSATION
$5K
AGE
48
TENURE
12.9 yrs

Gary Smith

TITLE
Director
COMPENSATION
$4K
AGE
79
TENURE
12.9 yrs

Bob Van Schoick

TITLE
Director
COMPENSATION
$3K
AGE
67
TENURE
12.9 yrs

Pete Lapaseotes

TITLE
Director
COMPENSATION
$2K
AGE
59
TENURE
12.9 yrs

Tom Heinen

TITLE
Director
COMPENSATION
$2K
AGE
62
TENURE
6.6 yrs

Graeme Rein

TITLE
Director
COMPENSATION
$5K
AGE
38
TENURE
2.9 yrs

Michael Smith

TITLE
Director
COMPENSATION
$3K
AGE
65
TENURE
2.9 yrs
Who owns this company?
Recent Insider Trading
  • No 3 month insider trading information.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price ($) Value ($)
04. Sep 18 Buy Yorkmont Capital Management, LLC Company 04. Sep 18 04. Sep 18 950,000 $1.90 $1,805,000
X
Management checks
We assess Where Food Comes From's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. Where Food Comes From has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

News

Simply Wall St News

Company Info

Description

Where Food Comes From, Inc. provides verification and certification solutions for the agriculture, livestock, and food industries in the United States. It conducts on-site and desk audits to verify that claims made about livestock, crops, and other food products are accurate, as well as offers Where Food Comes From retail and restaurant labeling program, which connects consumers directly to the source of the food they purchase through product labeling, and Web-based information sharing and education. The company also sells hardware; and develops software and provides services related to sustainability measurement and benchmarking, traceability, verification, and certification to the food and agriculture industries. It serves beef and pork packers, organic producers and processors, and specialty retail chains. The company was formerly known as Integrated Management Information, Inc. and changed its name to Where Food Comes From, Inc. in December 2012. Where Food Comes From, Inc. was founded in 1996 and is headquartered in Castle Rock, Colorado.

Details
Name: Where Food Comes From, Inc.
WFCF
Exchange: OTCPK
Founded: 1996
$48,596,921
24,921,498
Website: http://www.wherefoodcomesfrom.com
Address: Where Food Comes From, Inc.
202 6th Street,
Suite 400,
Castle Rock,
Colorado, 80104,
United States
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
OTCPK WFCF Common Stock Pink Sheets LLC US USD 15. Nov 2006
Number of employees
Current staff
Staff numbers
60
Where Food Comes From employees.
Industry
Research and Consulting Services
Commercial Services
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/04/24 00:04
End of day share price update: 2019/04/23 00:00
Last earnings filing: 2019/03/29
Last earnings reported: 2018/12/31
Last annual earnings reported: 2018/12/31


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.