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olivLaw · US equity research

Sow Good Inc. SOWG

Food and Kindred Products · SIC 2000 · Vertical: Food and Kindred Products (SIC 2000)

2.21USD+4.74% · 1 dayClose 04 Nov 2026

Sow Good Inc. pioneered the freeze dried candy category, but in December 2025 it sold its manufacturing assets and moved to a commission-based distribution model without factories. The company is now evaluating strategic alternatives, and its net loss from continuing operations was 6.8 million USD in fiscal 2025.

At the close of 04 Nov 2026, Sow Good Inc. (SOWG) stock was 2.21 USD (+4.74% on the day), with market capitalisation 44.4 m USD, beta 1.13, 52-week range 1.13–14.55 USD. Latest reported quarter (Q2 2026): net income of -3.9 m USD, diluted EPS -0.19 USD.

Data as of · AI analysis dated · Source: SEC filings and closing prices, computed by olivLaw.

Market cap
44.4 m USD
shares as of 19 Aug 2026
P/E (TTM)
unavailable
Diluted EPS TTM -3.10 · TTM to 30 Jun 2026
E/P (TTM)
-140.15%
TTM to 30 Jun 2026
Dividend yield
unavailable
Beta (2y)
1.13
Volatility (1y) 146%
52-week range
1.1314.55

Price history

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Technical reading

RSI (14)
49.6
neutral
Bollinger (20, 2)
1.84 – 2.32
in the upper half of the band · %B 0.77 · band width 23.4%
SMA 50 / 200
2.53 / 4.09
downtrend (price < SMA50 < SMA200)
MACD (12, 26, 9)
-0.08 / -0.13
MACD above signal

Indicators describe past prices; on their own they do not predict direction. On our history the RSI ≤ 40 filter added no return (see the signals methodology).

Performance

CompanyS&P 500vs S&P 500Vertical median
1 month−7.9%−1.1%−6.8 pp—
3 months−34.6%−0.5%−34.2 pp—
6 months+95.6%+4.4%+91.2 pp—
Year to date−56.7%+12.3%−69.0 pp—
1 year−79.5%+13.5%−93.1 pp−44.5%
3 years−97.6%+76.4%−174.0 pp−65.9%
5 years−95.5%+63.7%−159.2 pp—
Max drawdown (1y)
−92.2%
16 Jan 2026 → 06 May 2026
Max drawdown (5y)
−99.7%
10 Jun 2024 → 06 May 2026
Compound annual growth (5y)
−46.3%
S&P 500 +10.4%

Price returns, dividends excluded.

Quarterly results

Latest quarter: Q2 2026 · 30 Jun 2026

Revenue
unavailable USD
unavailable YoY
Net income
-3.9 m USD
unavailable YoY
Diluted EPS
-0.19
unavailable YoY
net / operating
unavailable / unavailable

Quarterly margins

Quarterly statements · USD

Fiscal yearQ3 '24Q4 '24Q1 '25Q2 '25Q3 '25Q4 '25Q1 '26Q2 '26
Revenue3.6 m-30.6 m2.5 m1.9 m1.6 m-5.9 m——
Cost of revenue3.0 m2.6 m1.4 m2.0 m10.5 m———
Gross profit556.0 k-1.2 m1.1 m-129.7 k-8.9 m———
SG&A3.8 m-553.5 k1.6 m1.1 m3.6 m-4.5 m1.7 m3.8 m
Operating income-3.3 m-13.6 m-1.6 m-1.2 m-12.6 m12.5 m-1.7 m-3.8 m
Depreciation & amortisation8.6 k-551.0 k135.9 k8.6 k8.6 k-745.7 k2.5 k0 ≈
Interest expense225.1 k-502.2 k365.2 k113.2 k93.3 k-229.1 k243.6 k105.2 k
Pre-tax income-3.4 m-12.5 m-2.0 m-1.3 m-10.9 m10.9 m-1.9 m-3.9 m
Income tax-62.3 k-195.6 k0000——
Net income-3.4 m-4.2 m-2.8 m-4.2 m-10.9 m-22.9 m-2.5 m-3.9 m
Diluted EPS-0.33-0.51 ≈-3.40-5.43-0.90-1.88 ≈-0.13-0.19
Operating cash flow-5.2 m ≈-3.3 m-2.0 m-514.3 k ≈-820.2 k ≈-970.1 k-1.7 m-2.6 m ≈

≈ derived quarter (cumulative difference / share-days average)

E/P over time

E/P = trailing-12-month diluted EPS / price at quarter end. E/P is the inverse of P/E and stays defined when earnings are negative.

Fiscal years

Fiscal year201820192020202120222023⚠ 20242025
Revenue0466.6 k088.4 k428.1 k16.1 m00
Revenue YoY−100.0%unavailable−100.0%unavailable+384.1%+3,653.7%—unavailable
Net income-344.0 k4.1 m-5.3 m-6.9 m-12.1 m-3.1 m-3.7 m-40.6 m
Net income YoYunavailableunavailable−228.8%unavailableunavailableunavailable—unavailable
Diluted EPS-0.212.58-2.82-1.61-2.51-0.59-0.40-3.44
Diluted EPS YoYunavailableunavailable−209.3%unavailableunavailableunavailable—unavailable
net %unavailable885.2%unavailable-7,772.7%-2,832.6%-19.0%unavailableunavailable
Free cash flow-187.9 k-9.7 munavailableunavailableunavailableunavailableunavailableunavailable

The series breaks before 2024: earlier years come from the original reports of the issuer of that time, later years from a subsequent filing that restated the perimeter (a separation, discontinued operations). The year-on-year change across the break is not shown.

Reported results vs expectations

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Balance sheet & financial health

Fiscal year 2025 · 31 Dec 2025

Cash
1.5 m USD
Financial debt
unavailable USD
Net debt
unavailable USD
Equity
-2.6 m USD
Total assets
3.8 m USD
Debt / equity
unavailable
Current ratio
0.55x
ROE
unavailable
ROA
-139.0%
FCF margin
unavailable

Financial statements (source on every figure)

Revenue and net income (USD)

Margins

Income statement · USD

Revenue
2023
16.1 m
2024
0
2025
0

SEC (XBRL)· 31 Mar 2026verified

Cost of revenue
2023
12.8 m
2024
19.0 m
2025
—

SEC (XBRL)· 27 Mar 2025verified

Gross profit
2023
3.3 m
2024
13.0 m
2025
—

SEC (XBRL)· 27 Mar 2025verified

SG&A
2023
4.4 m
2024
11.1 m
2025
6.6 m

SEC (XBRL)· 31 Mar 2026verified

Operating income
2023
-1.2 m
2024
-11.1 m
2025
-6.6 m

SEC (XBRL)· 31 Mar 2026verified

Depreciation & amortisation
2023
459.3 k
2024
31.6 k
2025
33.1 k

SEC (XBRL)· 31 Mar 2026verified

EBITDA
2023
-761.3 k ≈
2024
-11.1 m ≈
2025
-6.6 m ≈

SEC (XBRL)· 31 Mar 2026derived

Interest expense
2023
1.8 m
2024
741.2 k
2025
160.0 k

SEC (XBRL)· 31 Mar 2026verified

Pre-tax income
2023
-3.1 m
2024
-11.8 m
2025
-6.8 m

SEC (XBRL)· 31 Mar 2026verified

Income tax
2023
0
2024
0
2025
0

SEC (XBRL)· 31 Mar 2026verified

Net income
2023
-3.1 m
2024
-3.7 m
2025
-40.6 m

SEC (XBRL)· 31 Mar 2026verified

Diluted EPS
2023
-0.59
2024
-0.40
2025
-3.44

SEC (XBRL)· 31 Mar 2026verified

Weighted average diluted shares
2023
5.2 m
2024
9.2 m
2025
11.8 m

SEC (XBRL)· 31 Mar 2026verified

Balance sheet · USD

Cash
2023
2.4 m
2024
3.7 m
2025
1.5 m

SEC (XBRL)· 31 Mar 2026verified

Receivables
2023
2.6 m
2024
460.1 k
2025
—

SEC (XBRL)· 27 Mar 2025verified

Inventories
2023
4.1 m
2024
0
2025
22.9 k

SEC (XBRL)· 31 Mar 2026verified

Current assets
2023
10.4 m
2024
25.1 m
2025
3.4 m

SEC (XBRL)· 31 Mar 2026verified

Property, plant & equipment, net
2023
6.7 m
2024
128.9 k
2025
21.7 k

SEC (XBRL)· 31 Mar 2026verified

Goodwill
2023
—
2024
—
2025
—

SEC (XBRL)· 14 Apr 2023verified

Intangibles (excl. goodwill)
2023
—
2024
—
2025
—

SEC (XBRL)· 14 Apr 2023verified

Total assets
2023
21.5 m
2024
54.7 m
2025
3.8 m

SEC (XBRL)· 31 Mar 2026verified

Accounts payable
2023
853.5 k
2024
1.4 m
2025
1.3 m

SEC (XBRL)· 31 Mar 2026verified

Long-term debt
2023
—
2024
—
2025
—

SEC (XBRL)· 29 Mar 2022verified

Current liabilities
2023
5.8 m
2024
7.4 m
2025
6.2 m

SEC (XBRL)· 31 Mar 2026verified

Total liabilities
2023
14.2 m
2024
22.7 m
2025
6.3 m

SEC (XBRL)· 31 Mar 2026verified

Equity
2023
7.3 m †
2024
32.0 m †
2025
-2.6 m †

SEC (XBRL)· 31 Mar 2026verified

Cash flow · USD

Operating cash flow
2023
-4.8 m
2024
-9.4 m
2025
-4.3 m

SEC (XBRL)· 31 Mar 2026verified

Investing cash flow
2023
-2.3 m
2024
-5.9 m
2025
0

SEC (XBRL)· 31 Mar 2026verified

Financing cash flow
2023
9.2 m
2024
16.7 m
2025
2.1 m

SEC (XBRL)· 31 Mar 2026verified

Computed indicators

Growth

Revenue growth (YoY)
unavailable
the base of the ratio is not positive
Revenue CAGR 3Y
unavailable
the base of the ratio is not positive
Revenue CAGR 5Y
unavailable
the base of the ratio is not positive
EBIT growth (YoY)
unavailable
the base of the ratio is not positive
Net income growth (YoY)
unavailable
the base of the ratio is not positive
Net income CAGR 3Y
unavailable
the base of the ratio is not positive
Net income CAGR 5Y
unavailable
the base of the ratio is not positive
EPS growth (YoY)
unavailable
the base of the ratio is not positive
EPS CAGR 3Y
unavailable
the base of the ratio is not positive
EPS CAGR 5Y
unavailable
the base of the ratio is not positive
FCF growth (YoY)
unavailable
input data missing

Profitability

Gross margin
unavailable
insufficient data
EBITDA margin
unavailable
insufficient data
EBIT margin
unavailable
insufficient data
Net margin
unavailable
insufficient data
FCF margin
unavailable
input data missing

Returns

ROE
-346.4%
computed by olivLawFY 2025 · balance sheet at 30 Jun 2026
ROA
-159.7%
computed by olivLawFY 2025 · balance sheet at 30 Jun 2026
ROIC
unavailable
equity is negative: buybacks shrink the invested capital and ROIC would come out large without meaning anything
ROCE
unavailable
insufficient data
Payout ratio (EPS)
unavailable
input data missing
Payout ratio (FCF)
unavailable
input data missing

Balance sheet

Net debt
unavailable
input data missing
Net debt / EBITDA
unavailable
input data missing
Debt / equity
unavailable
input data missing
Interest coverage
-26.2x
computed by olivLawFY 2025

Liquidity

Current ratio
0.1x
computed by olivLawbalance sheet at 30 Jun 2026
Quick ratio
0.1x
computed by olivLawbalance sheet at 30 Jun 2026
Cash ratio
0.0x
computed by olivLawbalance sheet at 30 Jun 2026

Cash

Operating cash flow
-6.1 m USD
computed by olivLawTTM to 30 Jun 2026
Capital expenditure
unavailable
input data missing
Free cash flow
unavailable
input data missing
FCF conversion
unavailable
input data missing
Cash conversion
unavailable
insufficient data

Efficiency

Days sales outstanding
unavailable
insufficient data
Days inventory outstanding
231 days
computed by olivLawFY 2025 · balance sheet at 30 Jun 2026
Days payables outstanding
25 days
computed by olivLawFY 2025 · balance sheet at 30 Jun 2026
Cash conversion cycle
unavailable
input data missing

Market and valuation

Market capitalisation
44.4 m USD
computed by olivLawbalance sheet at 30 Jun 2026
Enterprise value
unavailable
input data missing
Market cap / net income TTM
unavailable
insufficient data
P/E (TTM)
unavailable
insufficient data
Earnings yield
-140.2%
computed by olivLawTTM to 30 Jun 2026
P/B
unavailable
equity is negative: the ratio is not economically meaningful (not by itself insolvency; usually the result of buybacks)
P/S
unavailable
insufficient data
EV/EBITDA
unavailable
input data missing
EV/EBIT
unavailable
input data missing
EV/Sales
unavailable
input data missing
P/FCF
unavailable
input data missing
FCF yield
unavailable
input data missing
Dividend yield
unavailable
no dividend in the structured statements; a missing line is not a confirmed zero
Shareholder yield (distributions)
unavailable
input data missing

1 indicators that do not apply to the sector.

Valuation

olivLaw classification

Insufficient data
What is missing
  • indicators available: 2 of at least 6
  • score weight coverage: 10.4% of at least 60%
  • valuation methods computed: 0 of at least 1

A scoring methodology on indicators and valuation, not investment advice.

Closing price

2.21 USD

04 Nov 2026Source: olivLaw, closing series

Market cap: 44.4 m USD

Key indicators

Market capitalisation
44.4 m USD
computed by olivLawbalance sheet at 30 Jun 2026
P/E (TTM)
unavailable
insufficient data
P/B
unavailable
equity is negative: the ratio is not economically meaningful (not by itself insolvency; usually the result of buybacks)
EV/EBITDA
unavailable
input data missing
ROE
-346.4%
computed by olivLawFY 2025 · balance sheet at 30 Jun 2026
Net margin
unavailable
insufficient data
Revenue growth (YoY)
unavailable
the base of the ratio is not positive
Dividend yield
unavailable
no dividend in the structured statements; a missing line is not a confirmed zero

Coverage and freshness

29/37 reporting lines present
Latest full fiscal year: 2025
Latest reported period: 30 Jun 2026
Latest balance sheet date: 30 Jun 2026
Share count (cover of the latest filing), as of: 19 Aug 2026
Source: SEC (XBRL)published 19 Aug 2026
verified 2030derived 172

Score by group

10% · Insufficient data

Estimated value range

unavailable — no valuation method could be computed

Valuation assumptions are editorial choices, not measured; beta is not measured.

Valuation methods

  • DCF (discounted cash flow)unavailable · the input exists, but its latest figure is far older than the latest reported period: not used
  • Peers: EV/EBITDAunavailable · net debt missing: EV cannot be bridged to equity (missing debt is not zero)
  • Peers: P/Eunavailable · the base of the ratio is not positive
  • Dividend discount (DDM)unavailable · the company pays no dividend: a dividend model needs an explicit initiation assumption

no valuation method could be computed

Multiple comparisons use the SIC vertical: Food and Kindred Products (SIC 2000)

Classification (SIC) comparables group by industry code, not by economic activity; the direct group is an editorial selection by activity. Members' multiples are on their own trailing twelve months, at their own latest close.

Assumptions (illustrative, editorial)

Risk-free rate
4.3%
Equity risk premium
5.0%
Beta (default)
1.00
Cost of equity
9.3%
Terminal growth
2.5%

Factor scorecard

Insufficient data

Minimum-evidence gate: indicators available: 2 of at least 6; score weight coverage: 10.4% of at least 60%; valuation methods computed: 0 of at least 1

FactorValueScoreWeight used
ROIC · Qualityunavailableunavailable—
Net margin · Qualityunavailableunavailable—
FCF conversion · Qualityunavailableunavailable—
Revenue CAGR 3Y · Growthunavailableunavailable—
EPS CAGR 3Y · Growthunavailableunavailable—
Net debt / EBITDA · Balance sheetunavailableunavailable—
Interest coverage · Balance sheet-26.2x0 (on a fixed band)60%
Current ratio · Balance sheet0.1x0 (on a fixed band)40%
P/E (TTM) · Valuationunavailableunavailable—
EV/EBITDA · Valuationunavailableunavailable—
FCF yield · Valuationunavailableunavailable—
Shareholder yield (distributions) · Returnsunavailableunavailable—
Payout ratio (FCF) · Returnsunavailableunavailable—

Factors without a value were dropped; the remaining weights were renormalised.

Score groups

  • Balance sheet0/100 · 2/3 factors with a value
  • Growth· partialunavailable · 0/2 factors with a value
  • Quality· partialunavailable · 0/3 factors with a value
  • Returns· partialunavailable · 0/2 factors with a value
  • Valuation· partialunavailable · 0/3 factors with a value

A «partial» group is computed from under half of its weight or from one factor: it is not a full assessment of the group.

Memo

SOW GOOD INC. (SOWG). Latest full fiscal year: 2025; data up to 2026-06-30.

Figures computed from the financial statements: revenue 0 USD in 2025; ROE -346.4%.

Valuation cannot be computed from the available data.

Insufficient data for a verdict (indicators available: 2 of at least 6; score weight coverage: 10.4% of at least 60%; valuation methods computed: 0 of at least 1).

Text generated deterministically from the figures shown; no language model. Not investment advice.

What supports the thesis

No signal among the computed factors. That is not an absence of risk: factors without data were not assessed, and business risks (margins, inventory, demand) are in the source-based analysis.

What contradicts it

  • Interest coverage: -26.2x
  • Current ratio: 0.1x

Not assessed (insufficient data or a ratio without meaning): ROIC, Net margin, FCF conversion, Revenue CAGR 3Y, EPS CAGR 3Y, Net debt / EBITDA, P/E (TTM), EV/EBITDA, FCF yield, Shareholder yield (distributions), Payout ratio (FCF).

Versus the vertical median

Food and Kindred Products (SIC 2000) · same industry (4-digit SIC) · compared with 20 companies

Multiples and returns vs the median

P/E
—
vertical median 24.3x
EV/EBITDA
—
vertical median 10.1x
P/S
—
vertical median 0.8x
P/B
—
vertical median 2.4x
ROE
-346.4%
vertical median -15.8%
below median
Net margin
—
vertical median -3.7%
EBIT margin
—
vertical median -9.9%
Revenue YoY
—
vertical median 4.7%
Net debt/EBITDA
—
vertical median 3.3x
Dividend yield
—
vertical median 8.0%

Price rebased to 100 (monthly, 5 years)

Companies in the vertical

Market capP/EROENet marginRevenue YoY1A / 3A
MDLZMondelez International, Inc.85.3 bn21.215.5%10.2%+5.8%+17% / −5%
CAGConagra Brands, Inc.7.3 bn—-24.9%-17.0%−2.9%−14% / −46%
CPBThe Campbell’s Company6.9 bn17.810.4%4.1%−5.0%−24% / −42%
OTLYOatly Group AB5.1 bn—-247.9%-17.7%+4.7%−34% / −55%
BYNDBeyond Meat, Inc.3.7 bn——111.7%−15.6%−76% / −97%
STKHSteakholder Foods Ltd.2.3 bn—-266.3%-112,470.0%unavailable−95% / −100%
FLOFlowers Foods Inc1.5 bn27.34.0%1.1%unavailable−34% / −66%
BRBRBellRing Brands, Inc.1.2 bn7.2—7.3%+16.1%−67% / −81%
SMPLThe Simply Good Foods Company1.2 bn—-9.6%-11.5%−6.5%−32% / −66%
VITLVital Farms, Inc.450.8 m—-7.4%-3.0%+25.3%−68% / −21%
UCFICN Healthy Food Tech Group Corp.287.8 m36.739.2%24.6%+144.6%−46% / unavailable
BGSB&G Foods, Inc.208.9 m—-15.8%-4.0%unavailable−44% / −72%
CHSNChanson International Holding131.0 m112.00.5%1.0%+0.2%−99% / −100%
SOWGSow Good Inc.44.4 m—-346.4%—unavailable−80% / −98%
MLECMoolec Science SA32.7 m—-86.4%-130.0%+521.5%−86% / −100%
LSFLaird Superfood, Inc.26.9 m—-22.9%-3.4%+15.2%−12% / +129%
BOFBranchOut Food Inc.25.9 m—-202.6%-56.8%+113.3%−45% / +8%
BRLSBorealis Foods Inc.24.7 m——-56.5%+8.2%−38% / −90%
HAINThe Hain Celestial Group, Inc.13.7 m—-96.8%-22.5%−13.2%−86% / −99%
DDCDDC Enterprise Limited——-124.4%-123.3%+4.6%−96% / −100%
NOMDNomad Foods Limited——5.3%4.5%−2.2%+2% / −22%

1- and 3-year price returns: for SOWG from daily closes (the same as the performance table), for the other companies from month-end closes.

olivLaw engine forecast

The world engine ran after the company's latest material disclosure. Probabilities are of TOUCHING a level within the horizon (not closing there) and sit next to the random walk (p_rw), the no-information benchmark.

The engine has no published run for this company yet.

Valuation scenarios (editable assumptions)

Illustrative scenarios

Scenarios are not available. input data missing

AI analysis

AI-generatedAI-generated analysis (Claude) from cited public sources; it may contain errors. Not investment advice. As of 27 Oct 2026 · Model: claude-haiku-5-5.

In brief

Sow Good Inc. pioneered the freeze dried candy category, but in December 2025 it sold its manufacturing assets and moved to a commission-based distribution model without factories. The company is now evaluating strategic alternatives, and its net loss from continuing operations was 6.8 million USD in fiscal 2025 1.

SWOT

Strengths

  • The Sow Good brand has recognition in the freeze dried candy niche and a pioneer position the company highlights 1.
  • The asset-light model reduces fixed costs and the capital needed for manufacturing 1.
  • The preferred stock placement brought cash to pay down debt and reduce costs 1.

Weaknesses

  • The company has no continuing revenue and a very short operating history in its current form 1.
  • Dependence on an affiliated distributor run by the founders creates conflict-of-interest and dependency risks 1.
  • Persistent operating losses and limited cash require further financing, which may be dilutive 1.

Opportunities

  • Retailer demand for clean-label products and private-label deals could support new launches 3.
  • If the graphite acquisition closes, the company could become a platform in critical minerals 2.
  • Wider distribution through international partners could increase commission volume 3.

Threats

  • The decline of the freeze dried category could continue and reduce distributor receipts 1.
  • Large competitors may limit access to shelves and customers, reducing revenue 1.
  • The distribution agreement expires in July 2026, and without a solution the company could be left without its main revenue 1.

Risks

  • No revenue from continuing operationshigh

    The company reported no revenue from continuing operations in fiscal 2025 and depends on distributor commission, which makes forecasting difficult 1.

  • Dependence on related partieshigh

    The exclusive distributor and the asset buyer are entities linked to the founders, and related-party dealings can raise governance questions 1.

  • Need for additional fundingmedium

    Losses and cash needs may force the company to issue new securities, diluting shareholders, if alternative financing is not obtained 1.

  • Expiry of the distribution agreementhigh

    If the agreement is not extended or replaced after July 2026, the company could lose its main source of income 1.

  • Risk of the mining acquisitionmedium

    The graphite deal depends on due diligence, approvals and financing, and its failure could weigh on investor confidence 2.

Investment thesis

What would need to be true (bull case)

  • If the distributor succeeds in growing sales of new clean-label products, the company's commission could rise without production costs 13.
  • Removing factories and cutting staff has substantially reduced fixed costs, which could speed a return to profitability 13.
  • If the graphite acquisition closes, the company could enter a sector with structural demand, giving it a new growth direction 2.

What would break the thesis

  • If the freeze dried category does not recover, the distributor's commission could stay low and the company could keep losing money 1.
  • The related-party relationship and the lack of a long operating history make future results hard to assess 1.
  • Moving into a mining project carries financing, development and regulatory risks, and the deal has not yet closed 2.

What to watch

  • Quarterly results and the commission received from the distributorQ3 2026
  • Extension or replacement of the distribution agreement with Trea GroveJuly 2026
  • Closing of the Nachu graphite acquisition and its financing terms2026
  • Outcome of the strategic alternatives review announced by managementnext 10-K

Products, market & competition

AI-generatedAI-generated analysis (Claude) from cited public sources; it may contain errors. Not investment advice. As of 27 Oct 2026 · Model: claude-haiku-5-5.

The business

Sow Good Inc. is a U.S. consumer packaged goods company that built the freeze dried candy category, with products sold under the Sow Good brand 1. Until December 2025 it operated its own freeze drying plant in Irving, Texas; on 30 December 2025 it sold the manufacturing assets to Trea Grove, LLC, a related party, for 1.5 million USD, and the same entity became the exclusive worldwide distributor of remaining inventory, with the company receiving 10% of gross receipts 1. The company therefore no longer manufactures or holds inventory and earns a fixed commission on distributor sales 1. The board and management are evaluating strategic alternatives, and the distribution agreement runs through 31 July 2026 1. The quarter ended 30 June 2026 brought a new direction: the acquisition of the Nachu graphite project in Tanzania, still subject to closing conditions 2. With a short operating history in its current form, future results are hard to forecast 1.

After the December 2025 transactions, cash flow depends on distributor receipts and on capital from a private placement of convertible preferred stock, with 3 million USD raised in the first tranche 1. The company has said it will likely keep incurring operating losses in the near term while it pursues alternatives 1.

Trends

  • Decline of the freeze dried candy categoryheadwind

    Category sales fell sharply toward the end of 2025, and the company responded by moving to a capital-light model 1. If the decline deepens, demand for the exclusive distributor could fall and the company's commission could shrink 1.

  • Shift toward clean-label and new productstailwind

    Management sees retailer demand moving toward clean-label products, such as the Caramel Crunch SKU made without artificial dyes, launched for a national private-label partner 3. This could support distributor sales if consumers accept the new products 3.

  • Ingredient prices and supply chainheadwind

    Ingredient supply and prices depend on factors such as war, weather and seasonality, which can cause supply interruptions 1. Because production is outsourced, these risks pass to the distributor and can affect volumes 1.

  • Investor interest in critical mineralsmixed

    Interest in critical minerals and battery materials has led the company to widen its strategic goals beyond candy 2. If the graphite project is financed and developed successfully, it could change the company's profile, although the sector is volatile 2.

Competitive position

  • Mars, Inc.

    Private company, cited as the largest direct competitor in freeze dried candy and confectionery 1.

  • The Hershey CompanyHSY

    Large confectionery maker that entered the freeze dried category and competes for shelf space 1.

  • Nestlé S.A.

    Global food company listed in Switzerland, named as a competitor in packaged food 1.

  • Crazy Candy

    Smaller freeze dried candy producer with limited capacity and branding, cited by the company 1.

News & filings

In the press

No news in our archive over the last 180 days.

SEC filings

Sources

  1. [1] Form 10-K, fiscal year ended 2025-12-31 · SEC / Sow Good Inc. · 31 Mar 2026
  2. [2] Form 10-Q, quarter ended 2026-06-30 · SEC / Sow Good Inc. · 19 Aug 2026
  3. [3] Form 8-K, results release (exhibit 99.1) · SEC / Sow Good Inc. · 14 Nov 2025

Figures computed by olivLaw from SEC filings and closing prices; the qualitative analysis is AI-generated from cited sources. Not investment advice.