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FarmmiFAMI +2.05%39 Cash Ratio is 0.08 as of Sep. 2025, which is 85% below its 10-year median of 0.55. GuruFocus rates FAMI with a GF Score™ of 39/100 and a GF Value™ of $0.52 (Possible Value Trap). The stock has 10 warning signs investors should review. Among 1,932 Consumer Packaged Goods companies, Farmmi ranks worse than 81.73% on this metric.
Farmmi has a Cash Ratio of 0.08. It indicates that there are more current liabilities than Cash, Cash Equivalents, Marketable Securities, and the company does not have sufficient cash on hand to pay off its short-term debt.
The historical rank and industry rank for Farmmi's Cash Ratio or its related term are showing as below:
FAMI'
s Cash Ratio Range Over the Past 10 Years
Min: 0.01 Med: 0.55 Max: 14.97
Current: 0.08
During the past 11 years, Farmmi's highest Cash Ratio was 14.97. The lowest was 0.01. And the median was 0.55.
FAMI's Cash Ratio is ranked worse than 81.73% of 1932
companies
in the Consumer Packaged Goods industry
Industry Median: 0.4
vs FAMI: 0.08
Farmmi (NAS:FAMI) Cash Ratio Explanation
The cash ratio is more conservative than other liquidity ratios, such as Quick Ratio and Current Ratio, because it only considers a company's most liquid resources. The numerator of cash ratio only considers Cash, Cash Equivalents and marketable securities. Other current assets, such as accounts receivable and inventories, are not included. The rationale is that these assets may require time to be transformed into cash, and the amount of money received is also uncertain.
The cash ratio shows a company’s ability to pay all current liabilities immediately without selling or liquidating other assets. Generally speaking, a higher cash ratio suggests the company has a stronger ability to cover its short-term debt. However, a high cash ratio could also indicate inefficient management: the company is inefficient in making full utilization of cash to invest protential profitable project. It may also suggest that the company is not confident about future profitability.
In general, the higher the cash ratio, the better the company's liquidity position.
Farmmi Cash Ratio Related Terms
Farmmi Cash Ratio Historical Data
* Premium members only.
The historical data trend for Farmmi's Cash Ratio can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
For the Packaged Foods subindustry, Farmmi's Cash Ratio, along with its competitors' market caps and Cash Ratio data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Farmmi Cash Ratio vs Consumer Packaged Goods Industry
For the Consumer Packaged Goods industry and Consumer Defensive sector, Farmmi's Cash Ratio distribution charts can be found below:
* The bar in red indicates where Farmmi's Cash Ratio falls into.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Farmmi (FAMI) has a Cash Ratio of 0.08 as of Sep. 2025. Cashflow ratio is the ratio of Cash, Cash Equivalents, Marketable Securities to current liabilities. View historical data on Farmmi and its competitors. This is 85% below median its historical median of 0.55. Over the past decade, Farmmi's Cash Ratio has ranged from 0.01 to 14.97. According to the industry distribution chart, Farmmi ranks #1579 out of 1932 companies in the Consumer Packaged Goods industry, placing it in the top 81.7%.
Is Farmmi's Cash Ratio too high?
Farmmi's current Cash Ratio of 0.08 is 85% below median its 10-year median of 0.55. Over the past 10 years, this metric has ranged from a low of 0.01 to a high of 14.97. The Consumer Packaged Goods industry median Cash Ratio is 0.40. Farmmi's value of 0.08 is 80% below this industry median. Based on the distribution chart, Farmmi ranks #1579 out of 1932 companies in the Consumer Packaged Goods industry, which is in the bottom quartile relative to peers. Overall, Farmmi has a GF Score™ of 39/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Farmmi's Cash Ratio compare to WYGC and COOT?
According to the Consumer Packaged Goods industry distribution chart, Farmmi ranks #1579 out of 1932 companies for Cash Ratio. This places Farmmi in the lower half of its industry. The industry median Cash Ratio is 0.40. Farmmi's value of 0.08 is 80% below this benchmark. Historically, Farmmi's own Cash Ratio has ranged from 0.01 to 14.97 over the past decade. While the company's 10-year median is 0.55 vs. the industry median of 0.40, Farmmi has consistently been below the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Cash Ratio for a Consumer Packaged Goods company?
The median Cash Ratio among Consumer Packaged Goods companies is 0.40, based on 1,932 companies in the industry. Companies in the top quartile (top 25%) have a Cash Ratio significantly above this median, while those in the bottom quartile fall well below. However, Cash Ratio should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Farmmi's current Cash Ratio of 0.08 is 80% below the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Cash Ratio mean?
A high Cash Ratio can signal that a stock is expensive relative to its fundamentals. Cashflow ratio is the ratio of Cash, Cash Equivalents, Marketable Securities to current liabilities. View historical data on Farmmi and its competitors. For the Consumer Packaged Goods industry, the median Cash Ratio is 0.40 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Farmmi's current Cash Ratio is 0.08, which is 85% below median its own 10-year median of 0.55. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Farmmi stock overvalued right now?
Based on GuruFocus' analysis, Farmmi (FAMI) is currently considered Possible Value Trap. The stock's GF Value™ is $0.52, compared to a current price of $0.20 — trading 61.7% below its estimated fair value. The current Cash Ratio is 0.08, which is 85% below median its 10-year median of 0.55 and 80% below the Consumer Packaged Goods industry median of 0.40. Farmmi's overall GF Score™ is 39/100 with 10 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Cash Ratio calculated?
Cash Ratio is calculated from a company's financial statements. For Farmmi (FAMI), the current Cash Ratio is 0.08 as of Sep. 2025. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Farmmi (FAMI) Overvalued in 2026?
Based on GuruFocus' analysis, Farmmi stock appears to be undervalued.
The current stock price of $0.20 is trading 61.7% below its estimated GF Value™ of $0.52.
GuruFocus considers Farmmi to be Possible Value Trap.
Key valuation signals for FAMI:
Cash Ratio: 0.08 (85% below median its 10-year median of 0.55)
GF Value™: $0.52 vs. price of $0.20 (61.7% below fair value)
Industry Position: 80% below the Consumer Packaged Goods median (#1579 of 1932)
No single metric tells the full story. See the FAMI stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Farmmi Inc is an investment holding company. Through its subsidiaries, it acts as a supplier of agricultural products. It is an agricultural technology enterprise focused on its supply chain platform by promoting edible mushroom products and agriculture technology. Its product offerings include tapioca, corn, red dates, shiitake mushrooms, mu er fungus, other edible fungi, and other agricultural products. Geographically, the company's products are sold in China, Southeast Asia, Japan, North America, Europe and the Middle East under the Forasen and Farmmi brands.
39GF Score
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