Risk factor
Very high price volatility
Profitability factor
Strong margins and returns
About
Where Food Comes From, Inc., together with its subsidiaries, operates as a third-party food verification company in North America. The company conducts on-site and desk audits to verify claims about livestock, food, other specialty crops, and agricultural and aquaculture products; offers various value-added services, including verification, certification, consulting, and other professional services; and sells hardware and technology solutions. It serves farmers, ranchers, vineyards, wineries, processors, retailers, distributors, trade associations, consumer brands, chefs, and restaurants, as well as 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 based in Castle Rock, Colorado.
Company Valuation
Based on key historical and expected multiples, the stock is greatly overvalued relative to its peers. Specifically, the stock is 'expensive' on P/E, overvalued on EV/EBI