Tejon Ranch Company AI Stock Analysis
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Tejon Ranch Company (TRC) AI Stock Analysis
Tejon Ranch Company
(NYSE:TRC)
Tejon Ranch scores in the middle of the range, reflecting an asset-rich but cash-hungry land development model. The fortress-like balance sheet — equity funding ~74% of assets and debt-to-equity near 0.20 — provides real downside protection and flexibility, and operating momentum is improving with revenue up 19%, operating profit turning positive and trailing EBITDA up ~44%. The principal drag is persistently negative free cash flow from heavy development spending, thin returns on a large equity base, and highly volatile, transaction-driven earnings. Valuation is the next constraint: a P/E near 59 with no dividend leaves little cushion if land and development transactions slow, though underlying asset value is meaningfully higher than the market price. Technically the stock has regained its short-term moving averages but remains below its 100- and 200-day lines, signalling a recovery still in progress. The latest earnings call was encouraging on operations and cost control, but management's acknowledgement that gains partly reflect non-recurring items and that net debt rose keeps enthusiasm measured.
Tejon Ranch Company (TRC) vs. SPDR S&P 500 ETF (SPY)
- Market Cap
- $467.42M
- Dividend Yield
- ―
- Average Volume (3M)
- 146.66K
- Price to Earnings (P/E)
- 61.0
- Beta (1Y)
- 0.23
- Revenue Growth
- 45.37%
- EPS Growth
- 155.95%
- Country
- US
- Employees
- 65
- Sector
- Industrials
- Sector Strength
- 63
- Industry
- Conglomerates
Tejon Ranch Company Business Overview & Revenue Model
Company Description
Tejon Ranch Co., through its various subsidiaries, operates as a multifaceted enterprise primarily focused on real estate development and agricultural operations. Its business is structured across five distinct divisions: Commercial/Industrial Real E...
How the Company Makes Money
TRC makes money primarily by monetizing the economic value of its land through a mix of real estate development-related activities and ongoing land operations. Key revenue streams include: (1) Land sales and development transactions: TRC can generate...
Tejon Ranch Company Earnings Call Summary
The call was broadly positive on third-quarter operating performance, with higher revenue, net income, adjusted EBITDA, mineral resources results, occupancy, multifamily revenue, liquidity, and trailing-twelve-month EBITDA. However, management repeatedly qualified the results because of unusual and timing-related items and acknowledged ongoing challenges involving net debt, cash-consuming businesses, cost structure, discretionary capital spending, and the need to convert assets into recurring cash flow. The number and significance of the reported operating improvements outweighed the disclosed challenges, but management's transformation plan remains in progress.
Q3-2026 Updates
Positive Updates
Negative Updates
Company Guidance
Management said Building 1B remains under construction and is on track for completion early next year; Grapevine is one step closer to mapping and bringing its first phase to market, Centennial is expected to be before the Regional Planning Commission in the coming months and shortly after in front of the Los Angeles County Board of Supervisors, and the company is continuing to seek capital partners for the fully entitled Tejon Mountain Village. The plan is to clean up the balance sheet, convert land to recurring income, reduce controllable costs and discretionary CapEx, increase revenues, and deploy capital with disciplined returns, with reductions to the principal balance of the credit line to follow cash-generating activities; management said it will report more on these initiatives as efforts advance and expects to report fourth-quarter results early next year.
Tejon Ranch Company Financial Statement Overview
Summary
A mixed but improving picture. The balance sheet is the standout strength (score 72): equity of $481.5M funds roughly 74% of the $647.3M asset base and debt-to-equity sits near 0.20, leaving ample capacity to fund development. The income statement (51) shows a genuine inflection — TTM revenue of $67.5M (+19%), gross margin up to ~19%, operating profit back in the black at $3.9M and net income of $7.7M — but revenue and earnings remain highly volatile and leaning on joint-venture and non-operating contributions. Cash flow is the clear weak link (38): operating cash flow nearly tripled to $17.5M, yet free cash flow has been negative in every period (-$9.1M TTM, -$65.1M in FY2025), keeping the company reliant on its balance sheet or asset monetizations. Returns on the large equity base remain thin at ~1.6%.
Income Statement
51NeutralBalance Sheet
72PositiveCash Flow
38Negative| Breakdown | TTM | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 67.48M | 49.59M | 41.89M | 44.74M | 79.22M | 55.61M |
| Gross Profit | 12.91M | 6.11M | 1.89M | 6.17M | 23.43M | 9.58M |
| EBITDA | 17.98M | 7.17M | 8.55M | 10.39M | 27.83M | 13.76M |
| Net Income | 7.67M | 75.00K | 2.69M | 3.27M | 15.81M | 5.35M |
Balance Sheet | ||||||
| Total Assets | 647.34M | 630.47M | 608.00M | 577.52M | 566.79M | 546.04M |
| Cash, Cash Equivalents and Short-Term Investments | 8.79M | 24.89M | 53.71M | 64.46M | 72.56M | 47.18M |
| Total Debt | 94.44M | 93.94M | 66.94M | 47.94M | 49.94M | 52.63M |
| Total Liabilities | 150.49M | 139.91M | 119.04M | 94.43M | 89.20M | 89.53M |
| Stockholders Equity | 481.50M | 475.20M | 473.59M | 467.73M | 462.23M | 441.15M |
Cash Flow | ||||||
| Free Cash Flow | -20.69M | -65.09M | -51.79M | -13.71M | -15.06M | -20.48M |
| Operating Cash Flow | 17.50M | 6.13M | 14.31M | 13.65M | 8.53M | 2.82M |
| Investing Cash Flow | -20.34M | -62.31M | -25.75M | -14.00M | -1.89M | -14.65M |
| Financing Cash Flow | 1.37M | 26.43M | 18.79M | -6.87M | -4.42M | -6.09M |
Tejon Ranch Company Technical Analysis
Price Trends
Market Momentum
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TRC, the sentiment is Positive. The current price of 17.29 is above the 20-day moving average (MA) of 16.64, above the 50-day MA of 16.43, and below the 200-day MA of 17.77, indicating a neutral trend. The MACD of 0.29 indicates Negative momentum. The RSI at 59.27 is Neutral, neither overbought nor oversold. The STOCH value of 78.70 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for TRC.
Tejon Ranch Company Risk Analysis
Tejon Ranch Company disclosed 35 risk factors in its most recent earnings report. Tejon Ranch Company reported the most risks in the "Finance & Corporate" category.
Latest Risks Added
3 New RisksTejon Ranch Company Peers Comparison
Overall Rating
CRESY77Outperform
SEB67Neutral- TRC54Neutral
FIP47Neutral
GPUS44Neutral
FBYD40Underperform
Financial Indicators
| Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
| CRESY | 77Outperform | $693.53M | 5.69 | 13.52% | 15.35% | 15.72% | -50.12% |
| SEB | 67Neutral | $3.59B | 6.41 | 10.25% | 0.24% | 6.98% | 40.66% |
| Sector * | 63Neutral | $10.79B | 15.43 | 7.44% | 2.01% | 2.89% | -14.66% |
| TRC | 54Neutral | $477.15M | 61.04 | 1.61% | ― | 45.37% | 155.95% |
| FIP | 47Neutral | $517.64M | -0.82 | -73.16% | 2.84% | 71.25% | -114.91% |
| GPUS | 44Neutral | $33.84M | -0.06 | -95.34% | ― | 28.38% | 98.04% |
| FBYD | 40Underperform | $767.57M | -88.97 | -2.45% | ― | 157.09% | 15.20% |
* Industrials Sector Average
Performance Comparison
| Show on chart | Ticker | Company Name | Price | Change | % Change |
|---|---|---|---|---|---|
| TRC | Tejon Ranch | 17.29 | 1.39 | 8.74% | |
| CRESY | Cresud S.A.C.I.F. Y A. | 8.95 | -0.86 | -8.77% | |
| GPUS | Hyperscale Data, Inc. | 0.17 | -1.02 | -85.80% | |
| SEB | Seaboard Corporation | 3702.86 | -329.76 | -8.18% | |
| FBYD | Falcon's Beyond Global, Inc. Class A | 5.59 | -6.34 | -53.14% | |
| FIP | FTAI Infrastructure Incorporation | 4.23 | 0.11 | 2.55% |
Tejon Ranch Company Corporate Events
Tejon Ranch to Announce Q3 2026 Results Nov. 5
NeutralOn October 29, 2026, Tejon Ranch Co. announced plans to release its third quarter 2026 operating and financial results before the market opens on November 5, 2026. The company will accompany the earnings release with a conference call that same day a...
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.
Date of analysis: Nov 06, 2026