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Where Food Comes From Inc

Where Food Comes From Inc (WFCF)

12.15
0.07
( 0.58% )
Updated: 10:33:03

Your Hub for Real-Time streaming quotes, Ideas and Live Discussions

Key stats and details

Current Price
12.15
Bid
11.79
Ask
13.00
Volume
578
11.92 Day's Range 12.36
10.0001 52 Week Range 14.77
Market Cap
Previous Close
12.08
Open
11.92
Last Trade
1
@
12.4
Last Trade Time
12:31:40
Financial Volume
$ 7,023
VWAP
12.15
Average Volume (3m)
2,671
Shares Outstanding
5,375,767
Dividend Yield
-
PE Ratio
30.35
Earnings Per Share (EPS)
0.4
Revenue
25.14M
Net Profit
2.15M

About Where Food Comes From Inc

Where Food Comes From Inc is a third-party food verification company. It offers food production audits and uses verification processes to ensure that claims made by food producers and processors are accurate. The company supports farmers, ranchers, vineyards, wineries, processors, retailers, distrib... Where Food Comes From Inc is a third-party food verification company. It offers food production audits and uses verification processes to ensure that claims made by food producers and processors are accurate. The company supports farmers, ranchers, vineyards, wineries, processors, retailers, distributors, trade associations and restaurants with a wide variety of value-added services provided through its family of verifiers, including IMI Global, International Certification Services, Validus Verification Services, and others. The company operates in two segments that are verification and certification and Software Sales and Related Consulting. Show more

Sector
Prepackaged Software
Industry
Agricultural Services
Headquarters
Castle Rock, Colorado, USA
Founded
2008
Where Food Comes From Inc is listed in the Prepackaged Software sector of the NASDAQ with ticker WFCF. The last closing price for Where Food Comes From was $12.08. Over the last year, Where Food Comes From shares have traded in a share price range of $ 10.0001 to $ 14.77.

Where Food Comes From currently has 5,375,767 shares outstanding. The market capitalization of Where Food Comes From is $65.32 million. Where Food Comes From has a price to earnings ratio (PE ratio) of 30.35.

WFCF Latest News

Where Food Comes From, Inc. Reports 2024 First Quarter Financial Results

First Quarter Highlights – 2024 vs. 2023 Verification and certification revenue up 17% to $4.4 million from $3.8 million Product sales lower at $0.7 million vs. $1.0 million Total revenue...

Where Food Comes From, Inc. Schedules 2024 First Quarter Earnings Call

CASTLE ROCK, Colo., April 30, 2024 (GLOBE NEWSWIRE) -- Where Food Comes From, Inc. (WFCF) (Nasdaq: WFCF), the most trusted resource for independent, third-party verification of food production...

Demand Soaring for Upcycled Certified® Food Products as America Celebrates 54th Earth Day Anniversary

CASTLE ROCK, Colo., April 22, 2024 (GLOBE NEWSWIRE) -- Where Food Comes From, Inc. (WFCF) (Nasdaq: WFCF), the most trusted resource for independent, third-party verification of food production...

PeriodChangeChange %OpenHighLowAvg. Daily VolVWAP
1-0.05-0.40983606557412.212.811.89453512.15444267CS
4-0.1-0.81632653061212.2513.111.89295712.41525017CS
121.9419.000979431910.2113.110.0001267111.77923776CS
26-1.25-9.3283582089613.413.9510.0001280112.33330515CS
52-1.46-10.727406318913.6114.7710.0001348013.24742799CS
156-2.45-16.780821917814.6168.43618312.84928068CS
260-2.73-18.346774193514.8816.58.43625712.99671472CS

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WFCF Discussion

View Posts
Greenaccountingbean Greenaccountingbean 3 years ago
Interesting: Where Food Comes From declares $0.15 special dividend https://seekingalpha.com/news/3711762-where-food-comes-from-declares-0_15-special-dividend

I guess it’s not needed for any planned acquisitions.
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Renee Renee 3 years ago
WFCF moved to the Nasdaq from the OTC:

https://otce.finra.org/otce/dailyList?viewType=Deletions
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Renee Renee 4 years ago
WFCF one for 4 reverse split. **PPS closed at $2.95

https://otce.finra.org/otce/dailyList?viewType=Symbol%2FName%20Changes
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MorganB MorganB 4 years ago
Are you referring to the VVS Director? I believe he is going to work for a competitor. I’ll direct message you.
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AIDSOL AIDSOL 4 years ago
Staff Changes?

I'm happy to see a rebound in the stock price and are approaching pre-pandemic prices. WFCF commodity clients have greatly interested me as I see a possibility for growth in their business with their rolodex of potash, animal products, etc. When reaching out to staff contacts I met prior to investing both were no longer with the company. Does anyone know if the company restructured their staff? One of these individuals was a key employee.

I am very bullish about the companies prospects.

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Greenaccountingbean Greenaccountingbean 4 years ago
Earnings out

https://seekingalpha.com/pr/17800666-where-food-comes-from-inc-reports-2019-fourth-quarter-and-full-year-financial-results
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Lazarus Lazarus 4 years ago
Been making a nice move up -- and nobody appears to be on board.
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BornAgain BornAgain 5 years ago
$WFCF...

IMI Global and Where Food Comes From Announce Full Activities Schedule for Cattle Industry Convention
Font size: A | A | A

7:00 AM ET 1/14/19 | GlobeNewswire


IMI Global and Where Food Comes From Announce Full Activities Schedule for Cattle Industry Convention & NCBA Trade Show in New Orleans January 30 -- February 1, 2019

CASTLE ROCK, Colo., Jan. 14, 2019 (GLOBE NEWSWIRE) -- IMI Global and Where Food Comes From, Inc. (WFCF) (OTCQB: WFCF), the most trusted resource for independent, third-party verification of food production practices in North America, today announced a full schedule of Company events at the upcoming Cattle Industry Convention & NCBA Trade Show in New Orleans, LA, on January 30 through February 1, 2019.

The Cattle Industry Convention & NCBA (National Cattlemen's Beef Association) Trade Show is agriculture's premier event where the industry comes together to get down to business for the cattle industry. The 2019 event will be one of the largest on record, with more than 9,000 cattlemen and women gathering for two and a half days of education, networking, and business.

The IMI Global division of Where Food Comes From is the largest provider of verifications and traceability solutions for the cattle industry with more than 10,000 ranch, feed yard and processor customers nationwide. IMI Global and WFCF personnel will be speaking and holding educational panels and presentations throughout the event covering a wide range of topics impacting players at all levels of the cattle industry. Some of these events will include and be co-sponsored by Company partners such as Tyson and Creekstone Farms. In addition, IMI Global and WFCF will be hosting coffee, lunch and happy hour events over the course of the event. To view a detailed schedule of events, go to http://imiglobal.com/index.html.

"We have an outstanding lineup of speakers and presentations covering the latest programs and technologies impacting the beef supply chain," said John Saunders, CEO of Where Food Comes From, Inc. "We encourage attendees to stop by the IMI Global / Where Food Comes From booth to interact with our team members and to sit in on some of the many educational events we have planned."

Following is a list of presenters:

44 Farms

ABS Global Infocus Program

Allflex

Alltech

American International Charolais

Colton Atkins, CSU Ph.D candidate on Traceability

Country Natural Beef

Creekstone Farms

Diamond V

Gelbvieh Association Balancer(R) Edge Program

IMI Global

International Genetic Solutions (IGS) Feeder Profit Calculator

MFA Powercalf

MS Biotec -- Feed Verified

Producer/Feedlot Panel

Red Angus

Tyson

Zinpro

About Where Food Comes From, Inc.

Where Food Comes From, Inc. is America's trusted resource for third party verification of food production practices. Through proprietary technology and patented business processes, the Company supports more than 15,000 farmers, ranchers, vineyards, wineries, processors, retailers, distributors, trade associations, consumer brands and restaurants with a wide variety of value-added services. Through its IMI Global, International Certification Services, Validus Verification Services, SureHarvest, A Bee Organic and Sterling Solutions units, Where Food Comes From solutions are used to verify food claims, optimize production practices and enable food supply chains with analytics and data driven insights. In addition, the Company's Where Food Comes From(R) retail and restaurant labeling program uses web-based customer education tools to connect consumers to the sources of the food they purchase, increasing meaningful consumer engagement for our clients.

CAUTIONARY STATEMENT

This news release contains "forward-looking statements" within the meaning of the U.S. Private Securities Litigation Reform Act of 1995, based on current expectations, estimates and projections that are subject to risk. Forward-looking statements are inherently uncertain, and actual events could differ materially from the Company's predictions. Important factors that could cause actual events to vary from predictions include those discussed in our SEC filings. Specifically, statements in this news release about industry leadership and demand for, and impact and efficacy of, the Company's products and services on the marketplace, are forward-looking statements that are subject to a variety of factors, including availability of capital, personnel and other resources; competition; governmental regulation of the agricultural industry; the market for beef and other commodities; and other factors. Readers should not place undue reliance on these forward-looking statements. The Company assumes no obligation to update forward-looking statements to reflect new information or developments. For a more extensive discussion of the Company's business, please refer to the Company's SEC filings at www.sec.gov.

Company Contact:

Jennifer Moore

Marketing Coordinator

jmoore@wherefoodcomesfrom.com
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Mr Fox Mr Fox 5 years ago
WFCF: now exclusive certification body in the U.S.
Wednesday, 02. January 2019
Raw Materials + Commodities
Castle Rock / CO. (wfcf) Where Food Comes From Inc. (WFCF), the most trusted resource for independent, third-party verification of food production practices in North America, announced it has been named Program Administrator for the new U.S. Hemp Authority™ Certified verification standard. Under the agreement, WFCF’s Validus Verification Services unit was named as exclusive certification body for hemp growers and processors seeking to comply with the standard and earn the right to display the U.S. Hemp Authority™ Certified seal in their product labelling, advertising and marketing.

Participating hemp growers and processors will be educated in FDA best practices designed to reassure consumers and law enforcement that hemp-based products displaying the certification seal are both safe and legal. Specifically, the certification process evaluates quality management systems, master manufacturing records, ISO quality standards, current good manufacturing practices and employee training for best practices.

The U.S. Hemp Authority™ Certified program was developed with the support of the US Hemp Roundtable in anticipation of passage of the 2018 Farm Bill, which was recently overwhelmingly approved by the U.S. House and Senate and is expected to be signed into law this month. The bill legalized hemp farming in the US following years of prohibition due to misconceptions about the product. Although a member of the cannabis family, hemp does not have the psychotropic effects of THC, which is found in marijuana, which is also a member of the cannabis family. For more information on the U.S. Hemp Authority™ Certified, go to http://www.ushempauthority.org/

Hemp has thousands of applications and is used in the production of products ranging from textiles and construction materials to biofuels and plastics. A key driver in passage of the legislation was the medicinal quality of cannabidiol, or CBD, which is finding broad market acceptance in the treatment of pain, anxiety and other medical issues. The most notable medicinal benefit to date involves treatment of Epileptic seizures, which in clinical trials were greatly reduced in severity with CBD-based drug therapy that has since been approved by the FDA.

Hemp is a highly sustainable, eco-friendly crop that requires less water to grow, is naturally pest resistant and is effective in restoring polluted soil and reducing erosion. Hemp was an USD 820 million industry in 2017, with more than two-thirds of that total comprised of food, supplements, personal care and CBD oil. With passage of the 2018 Farm bill, the total market for hemp-based products is expected by some analysts to grow to nearly USD 2.0 billion by 2022.

«Our selection to administer this program puts Where Food Comes From at the forefront of a major new health and wellness movement in the US today,» said John Saunders, CEO of Where Food Comes From. «The growing popularity of food, beverage and medicinal products containing CBD oil creates a challenge for consumers who are concerned about the origin, quality and quantity of CBD in the products they consume. The creation of the U.S. Hemp Authority™ Certified program demonstrates the hemp industry’s commitment to establishing and enforcing quality standards for growers and processors who believe consumers deserve high levels of transparency.»

Michael Mona III, Chief Operating Officer and Co-Founder of CV Sciences, a founding member of the US Hemp Roundtable, said, «We are pleased to welcome Where Food Comes From as Program Administrator for the new U.S. Hemp Authority™ Certified program. Consumer interest and demand for industrial hemp products is growing exponentially and we believe those consumers are entitled to full transparency with respect to product quality, safety and consistency. Where Food Comes From is a nationally recognized, trusted provider of independent third party verification to some of the largest food companies in America and is ideally suited to manage this important new program.»

About Where Food Comes From Inc.
Where Food Comes From Inc. is America’s trusted resource for third party verification of food production practices. The Company supports more than 15,000 farmers, ranchers, vineyards, wineries, processors, retailers, distributors, trade associations, consumer brands and restaurants with a wide variety of value-added services through its IMI Global, International Certification Services, Validus Verification Services, SureHarvest, A Bee Organic and Sterling Solutions units. In addition, the Company’s Where Food Comes From® retail and restaurant labelling program utilizes the verification of product attributes to connect consumers to the sources of the food they purchase through product labeling and web-based information sharing and education.
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ranchhand71 ranchhand71 6 years ago
IBM tracking lettuce for Walmart with block chain software.
Much greater resources than WFCF
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ranchhand71 ranchhand71 6 years ago
Major opportunity for shareholders if they get into the cannabis testing and quality control market. Could add equipment and lab techs or merge with EVIO.
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BornAgain BornAgain 6 years ago
Nice article on Seeking Alpha on this company...
https://seekingalpha.com/article/4205406-food-comes-high-growth-stock-really-great-potential
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ranchhand71 ranchhand71 6 years ago
You may be right but "IF" the stock had run up $1.00-1.50 based on hype of expanded China beef and soybean business it has given it back. Do the recent acquisitions also mask some expense issues? Time will tell.
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Th3mainman1 Th3mainman1 6 years ago
I don't agree. I have thought about this for awhile. There is plenty of business out there for this co. To grow. They were doing just fine prior to any mention of China. Look at the float,it is so small that most institutions could not buy if they wanted to. They buy in large chunks. Tough to do here without being over the 10% rule.this is going to get better.look at today, someone wanted in. This is a great place to be.
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ranchhand71 ranchhand71 6 years ago
http://money.cnn.com/2018/07/07/news/economy/trade-china-tariffs-impact/index.html
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ranchhand71 ranchhand71 6 years ago
CHINA tariffs and trade war seem to have killed their growth?
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Th3mainman1 Th3mainman1 6 years ago
Hope I have not made an error in judgement buying into this. Since I bought into it, nothing but lower highs & lower lows with no help in sight.
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Th3mainman1 Th3mainman1 6 years ago
The little I have read about EVIO, they seem to be more into pot testing. I have never followed that sector. Don't know much about it & not invested in it. I am on the sideline on this one.
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Th3mainman1 Th3mainman1 6 years ago
I do not know anything about EVIO. So before I can comment on that I am going to go look at it & will get back to you on it. Thx for the tip.
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ranchhand71 ranchhand71 6 years ago
WFCF could easily acquire EVIO and become leader in all ag testing and accelerate growth as more states approve and need EVIO testing.
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Th3mainman1 Th3mainman1 6 years ago
They provide a really important service that only grow in demand.I am Hoping it won't.
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ranchhand71 ranchhand71 6 years ago
Maybe China tariff on U.S. Beef will reverse recent strength for company?
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Th3mainman1 Th3mainman1 6 years ago
I can't believe there is no interest in this stock.Extremely important service they provide. Growth prospects unlimited &this latest earnings released demonstrates that. Am I the only one buying it?
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ranchhand71 ranchhand71 6 years ago
Will they take advantage of this legislation in their babkyard??
https://leg.colorado.gov/bills/sb18-029
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ranchhand71 ranchhand71 6 years ago
HUGE 500,000 stock block overhang-limits upside as this will no doubt be refiled when stock moves back up:
On January 5, 2018, John Saunders and Leann Saunders (the “Saunders”) notified Where Food Comes From, Inc. (the “Company”) that they have elected to terminate their pre-arranged stock trading plan (the “Plan”) to sell up to 500,000 shares common stock
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ranchhand71 ranchhand71 6 years ago
Relationship with EVIO would be a win-win for both sets of shareholders. Enormous synergies, economies of scale and cross selling opportunities.
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benfrankledger benfrankledger 7 years ago
Revenue up 12% year over year to $11.6 million from $10.4 million
Net income of $433,200 vs. $533,900 in prior year; profitability impacted by $305,500 in M&A costs in fourth quarter of 2016

Adjusted EBITDA increased 13% to $1.4 million from $1.2 million
Cash generated from operations increased 14% to $1.0 million from $0.9 million

$3.2 million in cash, cash equivalents and short-term investments; 3.6:1 current ratio; no long-term debt

Q4 acquisition of SureHarvest adds approximately $1.7 million in annualized revenue, expands and diversifies commodity reach with high value specialty crops, positions Company for continued growth
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mikeonmicrocaps mikeonmicrocaps 8 years ago
Anyone notice that we are knocking on the door of $ 2.70??

Slowly but surely.......
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gistheman gistheman 8 years ago
https://finance.yahoo.com/news/dannon-r-announces-pledge-communicate-154038446.html
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mikeonmicrocaps mikeonmicrocaps 8 years ago
I agree. WFCF at $2 is a great entry point into a long term developing growth story.
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gistheman gistheman 8 years ago
I have also owned WFCF for about 3 years. Up about 4x from initial purchases. Right now it is about the cheapest it has been for a while in terms of PE. It has always been 'expensive' relative to PE, but it probably always will because of the moat they have built and the growth they are having and are set up for. The best compilation, that I know of, of over 800 posts about the market, the trend, the business are found at MicroCapClub. Anyone interested in this company should consider checking out the research already compiled there.
This is my favorite company and CEO. I will probably be holding for several years. I recently added around $2.
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MikeDDKing MikeDDKing 8 years ago
I like and own WFCF. The thesis is simple, there is an increasing demand for transparency in food to understand what is in it and where it comes from. Also, WFCF has a nice moat. This article helps to understand the value of a moat. http://microcapclub.com/2015/11/the-vision-to-see-economic-moats/
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Trent Blair Trent Blair 9 years ago
Where Food Comes From: A Venture Capitalist's Dream. http://seekingalpha.com/article/3589356-where-food-comes-from-a-venture-capitalists-dream
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Greenaccountingbean Greenaccountingbean 9 years ago
And another.....Where Food Comes From: A Strategic, Overvalued Play To Capture Big Gains In A Growing Industry $WFCF
http://www.seekingalpha.com/article/3376955

I actually disagree with the risks stated in all the articles I've read on this ticker. There is more competition than is often cited.
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Greenaccountingbean Greenaccountingbean 9 years ago
http://www.thecattlesite.com/news/48311/mcdonalds-canada-moves-one-step-closer-to-sourcing-sustainable-beef/
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Trent Blair Trent Blair 9 years ago
Agreed the chart is no good but fundamentally still sound. I just saw this presentation. http://wherefoodcomesfrom.com/wp-content/uploads/2015/05/IR-PPT_May-2015.pdf Still tons of trnds benefiting this stock. We just need to string together some profitable quarters.
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ktcougar ktcougar 9 years ago
Pretty quiet here lately....lack of news causing stock to lose supports levels.
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spongiformbobsqpants spongiformbobsqpants 9 years ago
There was a great frontline special on PBS about contaminated chicken especially at Foster Farms. It's a must see and will put WFCF at the forefront to help guarantee our food supply is safe. I didn't realize it was so bad. Gotta be careful where you buy your food!
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Greenaccountingbean Greenaccountingbean 9 years ago
Nice earnings reported today.
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pauliec pauliec 9 years ago
Time to buy some more WFCF. Think it will be supported at this level and pop up again.
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Trent Blair Trent Blair 9 years ago
Q4 revenue up 40%. http://seekingalpha.com/news/2300616-where-food-comes-from-reports-q4-results
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gistheman gistheman 9 years ago
http://www.sec.gov/Archives/edgar/data/1360565/000138713115000395/wfcf-8k_020915.htm.
This is the beginning....huge
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gistheman gistheman 10 years ago
Where's the beef..come from? Now only WFCF can tell you. With this last acquisition, they now have a monopoly on verifying beef. In a year or two or three, when McDonalds, or Target, or any food seller wants to have their beef source verified or labeled, there is only one place to go. John's plan is to continue to buy up other source verifiers for pork, and all foods for a discount to the trend which has been gaining momentum. Sure, it is a small company now, but it won't be in time. It has been my largest holding for two years plus and if progress and growth continue as it has, it will continue to be for a long time. Sign a McDonalds , or the like, and this company is instantly worth ten times what it is now. This stock is the one I worry about the least.
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WackaFlocka21 WackaFlocka21 10 years ago
Someone wanted to sell their stock. Nothing's changed with the underlying business.
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willlbone willlbone 10 years ago
Why the drop today?
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DragonKrys DragonKrys 10 years ago
The transcript is available in the 8K at: http://www.sec.gov/Archives/edgar/data/1360565/000138713114001777/ex99-2.htm
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VidosL VidosL 10 years ago
Can someone recap/comment on today's conference call or provide a link to its transcript? Thanks.
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Cooperpee Cooperpee 11 years ago
Ian Cassel's article on WFCF is a good read


http://seekingalpha.com/article/1707182-the-best-food-stock-you-never-heard-of?source=yahoo

Where Food Comes From (WFCF.PK) is the US leader in food auditing, verification, and traceability solutions in beef, pork, and poultry. The company's largest customers include Whole Foods Market (WFM), Chipotle Mexican Grill (CMG), Tyson Foods (TSN), Cargill, Sysco (SYY), Smithfield Foods (SFD), Hormel Foods (HRL), Perdue, and other well-known food companies. For example, Where Food Comes From audits and verifies a majority of the beef and pork supply sold into Whole Foods. Industry and food trends combined with political legislation will likely make the company's core audit and verification services mandatory over the next few years. Given Where Food Comes From's near monopoly status in the industry this could create the perfect storm for shareholders over the coming years.

Demand for Where Food Comes From's services have been driven from consumers wanting to know more about their food. Where Food Comes From's auditing and third party verification services verify that producers are producing to the standard they display on the label: Organic, Gluten-Free, Hormone Free, non-GMO, Grass-Fed, Humane Handling, Source & Age etc. The hard truth is that only a fraction of producers marketing claims are third party verified, and that is the opportunity. With food issues hitting the news outlets everyday like mad cow, pink slime, salmonella, animal welfare, and many more, consumers unfortunately don't trust food producers. All trends point to third party auditing and verification of the food supply, and Where Food Comes From is the market leader through its subsidiaries: IMI Global, ICS International, and recently acquired Validus.

Where Food Comes From isn't a VC funded startup, but a 18 year old company based out of Castle Rock, CO. Like a lot of microcap companies, WFCF went public way too soon, likely bamboozled by some shell guy or investment banker, which forced John Saunders (CEO) to bootstrap the operation and get it to profitability as quickly as possible. I'm most impressed with the fact that during the turn around the company didn't dilute shareholders and kept a tight share structure. The company has 21.5m shares outstanding, and the management and board own 11.5m. The company is profitable which limits the dilution risk that is inherent in most microcap growth stories. The company is small by revenue but huge by footprint and by the amount of food the company touches.

I expect the "small revenue" to change over the next few years as several major food trends, initiatives, and legislation push the companies services to the mainstream:

WFCF annually verifies marketing claims for more than 1 million head of cattle, or about half of all US beef exports. This seems like a big number, but currently only 5% of the beef produced in the United States is third party audited-verified to ensure marketing claims and food labels are accurate. WFCF is also the leader in source and age verification (USVerified certification) in the beef industry, which in most cases is mandatory for exportation markets. The company currently works with 6,000 beef producers out of a total 800,000 beef producers that exist in the United States. Earlier this year, the Food & Disease Traceability Act was passed that stipulated that source-age verification become mandatory not only in beef but across all hooved animals for interstate commerce purposes. No hard dates were set in the Act, but it's thought that it would be phased in over a period of 3-5 years thus forcing all of the 800,000 beef producers to comply. Since WFCF owns this market, if/when just 10% of the beef market complies, this could increase the companies revenue by 13x based on current pricing.

Last week, Where Food Comes From acquired Validus Ventures which audits-verifies approximately 50% of the pork produced here in the United States in the areas of animal welfare. Food safety and animal welfare as it relates to pork has been a real hot button issue lately with Chinese meat processor Shuanghui International Holdings likely buying Smithfield Foods , the worlds largest pork producer. One of the reasons the Chinese want to make the acquisition is to not only directly source the best quality pork, but my guess is they also want to replicate Smithfield's food safety procedures across their domestic producers. Further tailwinds driving pork verification includes verification for Ractopamine-Free, Gestation Free, and other standards that are now just hitting the mainstream. This will be a big catalyst for WFCF.

A year ago Tyson Foods announced a new auditing program called FarmCheck to ensure humane treatment of animals across all of their 12,000+ livestock and poultry producers. With the acquisition of Validus, the only company that could do this is Where Food Comes From. This will likely be phased in over the next few years.

Whole Foods Market , which is already a big customer of WFCF, announced in March that they will require suppliers to be non-GMO compliant by 2018. Whole Foods cites that the US and Canada still don't have non-GMO labeling laws in place but they believe it is coming. To stay ahead of expected legislation the company is moving forward with its own GMO transparency plan. This is a large undertaking and Whole Foods will likely be relying heavily on WFCF.

Further Blue Sky: Where Food Comes From Food Labeling Initiative

Where Food Comes From now verifies over 50% of the verified beef, audits-verifies over 50% of all pork production, and a similar percentage of poultry produced in the US. Similarly to how a social network tries to figure out how to best monetize its millions of users, how can WFCF further monetize it's positioning? WFCF can take the information it collects on a daily basis and take it directly to the consumer with its own food label that allows the consumer to see exactly where their food comes from.

(click to enlarge)

The beauty of the food label is two fold. First, if a grocery store, restaurant, brand, or distributor wants the label they have to first have their producers be audited and verified effectively cross selling WFCF core business. Second, WFCF gets paid a Per Pound Royalty for everything the label is on, so this is an additional high margin recurring revenue stream to the company. The per pound royalty is varies based on whether its on beef, pork, poultry, lamb, etc. Over a year ago the company announced its first customer, a high-end regional grocery store chain, Heinen's Fine Foods. If you walk into one of Heinen's 18 stores today you will see the Where Food Comes From logo on all the beef and pork and soon to be other products. WFCF also launched the label in Delmonico's Steak House in New York City.

Labeling revenues to date have been small, but I believe it's only a matter of time until a major brand, grocery story, restaurant chain, or distributor announces the roll out of the WFCF labeling program. Also, the company verifies a bulk of exported beef, so international markets like Japan and EU are also low hanging fruit for the labeling program. Any mid-large tier labeling win would likely mean seven figure recurring, 90%+ margin revenues to WFCF. The company's goal is to really show true and verified source of origin on multiple food categories. A few VC backed companies claim to do this already, but it's not third party verified, it's more like an honor system. I think this could be a huge opportunity for the company over the next few years.

In conclusion, I believe Where Food Comes From is not only the most unique food safety, traceability, organic, gluten free, etc, type microcap that exists, but I think it's the most unique across all market cap classes. The great thing about Where Food Comes From is no one knows about it, and WFCF isn't owned by institutions yet. On any fundamental metric the stock isn't cheap, but these types of stories are never "cheap" and don't trade on hindsight trailing twelve months multiples but on scarcity value and potential of which WFCF has a high amount of both. The catalysts and tailwinds around the company are as big as any microcap I've seen, and the company is perfectly positioned. Another food safety microcap with a $10m revenue base, Park City Group (PCYG), has gone from $2.70 to $10 over the last year as institutions have started to pile into the name. I expect this same institutional type rally to occur in Where Food Comes From sometime over the next 18 months.
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greasemonkeyshoes greasemonkeyshoes 11 years ago
New high at $1.65........
http://finance.yahoo.com/news/where-food-comes-r-acquires-110000545.html
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greasemonkeyshoes greasemonkeyshoes 11 years ago
Latest on the U.S. country-of-origin food labeling rules........
http://www.bloomberg.com/news/2013-09-11/meat-industry-groups-lose-bid-to-delay-labeling-rule.html
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