VFRM (Veritas Farms) Debt-to-Equity: 19.04 (As of Sep. 2023)

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VFRM Veritas Farms Inc VFRM
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What is Veritas Farms Debt-to-Equity?

Veritas Farms VFRM 12 Debt-to-Equity is 19.04 as of Sep. 2023. GuruFocus rates VFRM with a GF Score™ of 12/100.

Veritas Farms's Short-Term Debt & Capital Lease Obligation for the quarter that ended in Sep. 2023 was $0.30 Mil. Veritas Farms's Long-Term Debt & Capital Lease Obligation for the quarter that ended in Sep. 2023 was $3.64 Mil. Veritas Farms's Total Stockholders Equity for the quarter that ended in Sep. 2023 was $0.21 Mil. Veritas Farms's debt to equity for the quarter that ended in Sep. 2023 was 19.04.

A high debt to equity ratio generally means that a company has been aggressive in financing its growth with debt. This can result in volatile earnings as a result of the additional interest expense.

The historical rank and industry rank for Veritas Farms's Debt-to-Equity or its related term are showing as below:

VFRM's Debt-to-Equity is not ranked *
in the Drug Manufacturers industry.
Industry Median: 0.275
* Ranked among companies with meaningful Debt-to-Equity only.

Veritas Farms  (OTCPK:VFRM) Debt-to-Equity Explanation

In the calculation of Debt to Equity, we use the total of Short-Term Debt & Capital Lease Obligation and Long-Term Debt & Capital Lease Obligation divided by Total Stockholders Equity. In some calculations, Total Liabilities is used to for calculation.

Be Aware

Because a company can increase its ROE % by having more financial leverage, it is important to watch the leverage ratio when investing in high ROE % companies.

Veritas Farms Debt-to-Equity Related Terms

Veritas Farms Debt-to-Equity Historical Data

* Premium members only.

The historical data trend for Veritas Farms's Debt-to-Equity 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.

Veritas Farms Debt-to-Equity Chart

Veritas Farms Annual Data
Trend Jan16 Jan17 Dec18 Dec19 Dec20 Dec21 Dec22
Debt-to-Equity
Get a 7-Day Free Trial 0.08 0.03 0.30 0.41 -7.57

Veritas Farms Quarterly Data
Dec18 Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23
Debt-to-Equity Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 2.32 -7.57 -2.98 -2.47 19.04

VFRM vs STMH, NXEN, ENDPQ: Debt-to-Equity Comparison

For the Drug Manufacturers - Specialty & Generic subindustry, Veritas Farms's Debt-to-Equity, along with its competitors' market caps and Debt-to-Equity 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.

Veritas Farms Debt-to-Equity vs Drug Manufacturers Industry

For the Drug Manufacturers industry and Healthcare sector, Veritas Farms's Debt-to-Equity distribution charts can be found below:

* The bar in red indicates where Veritas Farms's Debt-to-Equity falls into.


VFRM
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Veritas Farms Inc VFRM
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Veritas Farms Debt-to-Equity Calculation

Debt to Equity measures the financial leverage a company has.

Veritas Farms's Debt to Equity Ratio for the fiscal year that ended in Dec. 2022 is calculated as

Debt to Equity=Total Debt / Total Stockholders Equity
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / Total Stockholders Equity
=(0.353 + 4.233) / -0.606
=-7.57

Veritas Farms's Debt to Equity Ratio for the quarter that ended in Sep. 2023 is calculated as

Debt to Equity=Total Debt / Total Stockholders Equity
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / Total Stockholders Equity
=(0.297 + 3.644) / 0.207
=19.04

* 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.

Frequently Asked Questions Learn more about Debt-to-Equity →
What does a Debt-to-Equity of 19.04 mean?
Veritas Farms (VFRM) has a Debt-to-Equity of 19.04 as of Sep. 2023. Debt-to-Equity ratio represents the ratio of total debt to total company equity. View historical data on Veritas Farms and its competitors.
Is Veritas Farms' Debt-to-Equity too high?
Veritas Farms' current Debt-to-Equity is 19.04. The Drug Manufacturers industry median Debt-to-Equity is 0.28. Veritas Farms' value of 19.04 is 6823.6% above this industry median. Overall, Veritas Farms has a GF Score™ of 12/100, reflecting its overall financial health beyond just this single metric.
How does Veritas Farms' Debt-to-Equity compare to STMH and NXEN?
Veritas Farms' Debt-to-Equity of 19.04 can be compared against companies in the Drug Manufacturers industry. The industry median Debt-to-Equity is 0.28. Veritas Farms' value of 19.04 is 6823.6% above this benchmark. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Debt-to-Equity for a Drug Manufacturers company?
The median Debt-to-Equity among Drug Manufacturers companies is 0.28, based on 812 companies in the industry. Companies in the top quartile (top 25%) have a Debt-to-Equity significantly above this median, while those in the bottom quartile fall well below. However, Debt-to-Equity should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Veritas Farms's current Debt-to-Equity of 19.04 is 6823.6% above 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 Debt-to-Equity mean?
A high Debt-to-Equity can signal that a stock is expensive relative to its fundamentals. Debt-to-Equity ratio represents the ratio of total debt to total company equity. View historical data on Veritas Farms and its competitors. For the Drug Manufacturers industry, the median Debt-to-Equity is 0.28 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Veritas Farms's current Debt-to-Equity is 19.04. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Veritas Farms stock overvalued right now?
Veritas Farms (VFRM) has a current Debt-to-Equity of 19.04. The current Debt-to-Equity is 19.04 and 6823.6% above the Drug Manufacturers industry median of 0.28. Veritas Farms' overall GF Score™ is 12/100. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Debt-to-Equity calculated?
Debt-to-Equity is calculated from a company's financial statements. For Veritas Farms (VFRM), the current Debt-to-Equity is 19.04 as of Sep. 2023. 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.

Veritas Farms Business Description

Address 401 E. Las Olas Boulevard, Suite 1400, Fort Lauderdale, FL, USA, 33001
Veritas Farms Inc is engaged in producing natural rich-hemp products, using strict natural protocols and materials yielding broad spectrum phytocannabinoid rich hemp oils, distillates and isolates. Its products include Full Spectrum CBD Tincture, Full Spectrum CBD Salve, Full Spectrum CBD Capsules, Full Spectrum CBD Lotion and Others.
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