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Tejon Ranch Company (TRC) AI Stock Analysis
Tejon Ranch Company
(NYSE:TRC)
The score is held back primarily by persistently negative free cash flow and weak technicals (downtrend with negative momentum), with valuation also a significant headwind given the very high P/E. These are partially offset by a conservatively levered balance sheet and an earnings call that pointed to improving operating performance, liquidity strength, and identifiable monetization efforts, though execution and project-timeline risks remain meaningful.
Tejon Ranch Company (TRC) vs. SPDR S&P 500 ETF (SPY)
- Market Cap
- $440.45M
- Dividend Yield
- ―
- Average Volume (3M)
- 147.28K
- Price to Earnings (P/E)
- 72.0
- Beta (1Y)
- 0.31
- Revenue Growth
- 25.45%
- EPS Growth
- ―
- 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 primarily makes money by monetizing its land and related rights through a mix of recurring operations and real estate transactions. Key revenue streams include: (1) Land and real estate sales and development monetization: TRC can generate revenue...
Tejon Ranch Company Earnings Call Summary
The call presented a number of clear operational and financial improvements: strong adjusted EBITDA and trailing EBITDA growth, return to net income, cost reductions, liquidity and low leverage, progress on a meaningful industrial JV, improved leasing and JV earnings, AI-driven efficiency gains, and active steps to monetize water assets. Offsetting these positives are persistent investor concern about the low share price, reliance on some non-recurring land monetization for quarterly results, ongoing low returns from farming/ranch activities once fixed water obligations are considered, and significant uncertainty and litigation risk surrounding large-scale Centennial development. Management emphasized a strategic review, discipline on capital allocation, and steps to drive shareholder value, but key long-lead projects and legacy assets create near-term uncertainty.
Q2-2026 Updates
Positive Updates
Negative Updates
Company Guidance
Management's forward guidance emphasized near‑term monetization and operational improvement: they expect early‑2027 delivery of the 510,000‑sq‑ft Class A industrial JV (Tejon contributed land with a $9.9M fair‑market value, recognized $6.9M revenue and $2.0M profit this quarter with $3.0M deferred), will pursue opportunistic water sales and infrastructure to monetize excess water, and are driving Centennial re‑entitlement with a recirculated partial DEIR and Planning Commission/Board hearings targeted before year‑end; financial targets include driving earnings to peer‑comparable levels and returning those earnings to shareholders while sustaining recent momentum (Q2 adjusted EBITDA +47% YoY, net income $2.6M or $0.10/share vs. a $1.7M loss YoY, trailing 12‑month adjusted EBITDA $29.8M, up 21% YoY, joint‑venture equity earnings +21% to $3.1M), maintaining liquidity (~$79M) and a 16.3% debt‑to‑capital ratio, increasing Terra Vista leasing (now >80%), and continuing expense discipline (core corporate expenses down ~18% YTD; excluding land/water, overall expenses down ~18% YTD, segments down ~8%).
Tejon Ranch Company Financial Statement Overview
Summary
Profitability rebounded in the latest TTM with revenue up 11.7%, net margin ~10.6%, and a solid EBITDA margin (~31%), and the balance sheet is conservatively levered (debt-to-equity ~0.20). However, results have been volatile over multiple years and free cash flow remains materially negative (about -$25.7M TTM) and persistently negative historically, which is a major durability risk.
Income Statement
62PositiveBalance Sheet
78PositiveCash Flow
45Neutral| Breakdown | TTM | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 56.84M | 49.59M | 41.89M | 44.74M | 79.22M | 55.61M |
| Gross Profit | 9.14M | 6.11M | 1.89M | 6.17M | 23.43M | 9.58M |
| EBITDA | 15.63M | 7.17M | 8.55M | 10.39M | 27.83M | 13.76M |
| Net Income | 6.04M | 75.00K | 2.69M | 3.27M | 15.81M | 5.35M |
Balance Sheet | ||||||
| Total Assets | 639.54M | 630.47M | 608.00M | 577.52M | 566.79M | 546.04M |
| Cash, Cash Equivalents and Short-Term Investments | 15.06M | 24.89M | 53.71M | 64.46M | 72.56M | 47.18M |
| Total Debt | 95.94M | 93.94M | 66.94M | 47.94M | 49.94M | 52.63M |
| Total Liabilities | 146.63M | 139.91M | 119.04M | 94.43M | 89.20M | 89.53M |
| Stockholders Equity | 477.56M | 475.20M | 473.59M | 467.73M | 462.23M | 441.15M |
Cash Flow | ||||||
| Free Cash Flow | -25.75M | -65.09M | -51.79M | -13.71M | -15.06M | -20.48M |
| Operating Cash Flow | 12.47M | 6.13M | 14.31M | 13.65M | 8.53M | 2.82M |
| Investing Cash Flow | -23.97M | -62.31M | -25.75M | -14.00M | -1.89M | -14.65M |
| Financing Cash Flow | 12.87M | 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 Negative. The current price of 16.30 is below the 20-day moving average (MA) of 16.35, above the 50-day MA of 16.27, and below the 200-day MA of 17.74, indicating a neutral trend. The MACD of 0.02 indicates Negative momentum. The RSI at 48.80 is Neutral, neither overbought nor oversold. The STOCH value of 36.35 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative 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
0 New RisksTejon Ranch Company Peers Comparison
Overall Rating
SEB67Neutral
CRESY64Neutral
FIP53Neutral- TRC53Neutral
FBYD45Neutral
GPUS44Neutral
Financial Indicators
| Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
| SEB | 67Neutral | $3.58B | 5.91 | 12.09% | 0.26% | 8.17% | 361.79% |
| CRESY | 64Neutral | $743.96M | 6.04 | 13.52% | 14.48% | 11.27% | 18.25% |
| Sector * | 63Neutral | $10.79B | 15.43 | 7.44% | 2.01% | 2.89% | -14.66% |
| FIP | 53Neutral | $335.64M | -0.51 | -51.47% | 4.49% | 73.46% | -259.87% |
| TRC | 53Neutral | $438.56M | 71.96 | 1.27% | ― | 25.45% | ― |
| FBYD | 45Neutral | $837.90M | -68.16 | -6.61% | ― | 181.39% | -194.74% |
| GPUS | 44Neutral | $30.91M | -0.05 | -95.34% | ― | 28.38% | 98.04% |
* Industrials Sector Average
Performance Comparison
| Show on chart | Ticker | Company Name | Price | Change | % Change |
|---|---|---|---|---|---|
| TRC | Tejon Ranch | 16.30 | 0.33 | 2.07% | |
| CRESY | Cresud S.A.C.I.F. Y A. | 9.52 | -0.31 | -3.12% | |
| GPUS | Hyperscale Data, Inc. | 0.17 | -1.78 | -91.28% | |
| SEB | Seaboard Corporation | 3410.25 | -264.18 | -7.19% | |
| FBYD | Falcon's Beyond Global, Inc. Class A | 7.02 | -5.77 | -45.11% | |
| FIP | FTAI Infrastructure Incorporation | 2.67 | -2.34 | -46.73% |
Tejon Ranch Company Corporate Events
Tejon Ranch to Announce Second Quarter 2026 Results
NeutralTejon Ranch Co. announced on July 30, 2026 that it will release its second quarter 2026 operating and financial results before the market opens on August 6, 2026. The company will host a conference call that same day at 5:00 p.m. Eastern Time, led by...
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: Aug 07, 2026