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1. Company Snapshot

1.a. Company Description

Farmland Partners Inc.is an internally managed real estate company that owns and seeks to acquire high-quality North American farmland and makes loans to farmers secured by farm real estate.As of the date of this release, the Company owns approximately 155,000 acres in 16 states, including Alabama, Arkansas, California, Colorado, Florida, Georgia, Illinois, Kansas, Louisiana, Michigan, Mississippi, Nebraska, North Carolina, South Carolina, South Dakota and Virginia.


We have approximately 26 crop types and over 100 tenants.The Company elected to be taxed as a real estate investment trust, or REIT, for U.S. federal income tax purposes, commencing with the taxable year ended December 31, 2014.

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1.b. Last Insights on FPI

Farmland Partners Inc.'s recent performance was negatively impacted by a decrease in net income, which fell to $0.5 million, or $0.00 per share, from $1.8 million, or $0.02 per share, in the same period last year. The company's sale of Murray Wise Associates to Peoples Company, amid an industry trend towards specialized farm management solutions, may also be viewed as a negative development. Additionally, Asset Management One Co. Ltd. reduced its stake in the company by 11.0% during the second quarter.

1.c. Company Highlights

2. Farmland Partners' Q3 2025 Earnings: A Mixed Bag

Farmland Partners reported a net income of $0.5 million or $0 per share available to common shareholders for the third quarter of 2025, lower than the same period in 2024. However, Adjusted Funds From Operations (AFFO) was $2.9 million or $0.07 per weighted average share, beating analyst estimates of $0.06. Revenue was lumpy due to the nature of auction and brokerage activities, as noted by Susan Landi, "the revenues are somewhat lumpy, so there's not really a good answer for that." For the nine months ended September 30, 2025, net income was $10.4 million or $0.18 per share available to common shareholders, higher than the same period in 2024.

Publication Date: Nov -19

📋 Highlights
  • AFFO Growth:: Q3 2025 AFFO was $2.9M ($0.07/share), up from $1.8M in Q3 2024, driven by higher interest income and property disposition gains.
  • Murray Wise Subsidiary Sale:: Sold for $31M in Series A preferred units, exchanging them for Illinois properties with 56% valuation appreciation since 2015.
  • Net Income Volatility:: Q3 net income fell to $0.5M ($0/share) due to a $0.5M loss on dispositions, contrasting with $2M deferred gains in Q3 2024.
  • MetLife Loan Renewal:: $125M term loan to mature in March 2026 will be renewed in December 2025 with consistent spreads, securing liquidity.
  • Buyback Strategy:: Management indicated intent to repurchase shares if stock price declines further, citing discount to NAV as a catalyst.

Operational Highlights

The company made significant progress in simplifying its operations with the sale of its brokerage and third-party farm management subsidiary, Murray Wise Associates, for a good price. Additionally, Farmland Partners exchanged $31 million worth of its Series A preferred units for a set of properties in Illinois that had appreciated in value by about 56% over 10 years, as highlighted by Luca Fabbri.

Valuation and Outlook

With a P/E Ratio of 5.96 and a P/B Ratio of 0.9, the stock appears to be undervalued. The Dividend Yield is attractive at 14.63%, indicating a potentially attractive return for income investors. Analysts estimate next year's revenue growth at -7.6%, but the company's efforts to simplify operations and expand its loan program could potentially offset some of the negative impacts. As Paul Pittman mentioned, "we are expanding the loan program to cover overheads," which could be a positive sign.

Debt and Liquidity

Farmland Partners is planning to renew the MetLife Term Loan that matures in March, expecting spreads to stay fundamentally consistent. The company's Net Debt / EBITDA ratio is -0.17, indicating a healthy debt position. With a ROIC of 21.84% and an ROE of 14.56%, the company is generating strong returns on its investments.

Future Prospects

The potential China trade deal involving agriculture commodities could be beneficial for American farmers, as noted by Paul Pittman. The company's indirect exposure to farmer profitability through its row crop leases with fixed cash rents could help mitigate the impact of any fluctuations in soybean prices. With a strong proposition for buybacks due to the current stock price and discount to NAV, as stated by Luca Fabbri, the company is well-positioned for the future.

3. NewsRoom

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3 REITs That Big Money Might Snap Up Soon

Dec -04

Source: seekingalpha.com

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Farmland Partners: Asset Value +30% Above Market Price

Nov -25

Source: seekingalpha.com

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Trump's 50-Year Mortgage Idea Could Be A Big Gift To REITs

Nov -20

Source: seekingalpha.com

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Farmland Partners: This Transformation Is Not Compelling

Nov -08

Source: seekingalpha.com

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Farmland Partners: A Unique And Critical REIT Awaiting A Better Growth Opportunity

Nov -06

Source: seekingalpha.com

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Farmland Partners: Low Regular Yield, But Don't Discount The Land Sales

Nov -03

Source: seekingalpha.com

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ORYZON Announces First‑Patient‑In (FPI) in RESTORE Phase Ib Trial of Iadademstat in Sickle Cell Disease

Nov -03

Source: globenewswire.com

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Farmland Partners Inc. $FPI Shares Sold by Asset Management One Co. Ltd.

Oct -31

Source: defenseworld.net

4. Business Breakdown

4.a. Revenues by Country

4.b. Revenues by Segment

5. Expected revenues mid-term growth (2.41%)

6. Segments

Rental Income

Expected Growth: 2.5%

Rental income growth of 2.5% from Farmland Partners Inc. is driven by increasing demand for agricultural products, rising crop prices, and expansion of farmland acreage through strategic acquisitions. Additionally, the company's focus on diversifying its crop portfolio and improving operational efficiencies also contribute to the growth.

Other

Expected Growth: 2.0%

Farmland Partners Inc.'s 2.0% growth is driven by increasing demand for agricultural products, expansion into new markets, and strategic acquisitions. Additionally, the company's focus on sustainable farming practices and diversification of crop portfolios contribute to its growth. Furthermore, government incentives for farmers and rising global food prices also support the company's growth momentum.

Crop

Expected Growth: 1.5%

Farmland Partners Inc.'s 1.5% crop growth is driven by increasing global food demand, expansion into high-value crops, and strategic acquisitions. Additionally, the company's focus on sustainable farming practices and water conservation efforts contribute to its growth. Furthermore, the rising trend of online farm-to-table platforms and meal kits also boosts demand for high-quality crops, supporting the company's growth momentum.

7. Detailed Products

Farm and Ranch Land

Farmland Partners Inc. owns and operates a diverse portfolio of farm and ranch land across the United States, providing a stable source of income through crop and livestock production.

Agricultural Infrastructure

The company provides infrastructure support to farmers, including storage facilities, irrigation systems, and other essential services.

Farm Management Services

Farmland Partners Inc. offers farm management services, including crop planning, budgeting, and operational oversight.

Sustainable Agriculture Practices

The company promotes and implements sustainable agriculture practices, such as organic farming, conservation tillage, and cover cropping.

Agricultural Data Analytics

Farmland Partners Inc. provides data analytics services to help farmers and agricultural businesses make data-driven decisions.

8. Farmland Partners Inc.'s Porter Forces

Forces Ranking

Threat Of Substitutes

The threat of substitutes is low for Farmland Partners Inc. because the company's focus on high-quality farmland and its ability to provide a diversified portfolio of crops and livestock reduce the likelihood of substitutes.

Bargaining Power Of Customers

The bargaining power of customers is medium for Farmland Partners Inc. because while the company has a diversified customer base, some customers may have significant bargaining power due to their size and purchasing power.

Bargaining Power Of Suppliers

The bargaining power of suppliers is low for Farmland Partners Inc. because the company's scale and diversification reduce its dependence on any one supplier, giving it greater bargaining power.

Threat Of New Entrants

The threat of new entrants is high for Farmland Partners Inc. because the farmland investment market is attractive and has low barriers to entry, making it easier for new companies to enter the market.

Intensity Of Rivalry

The intensity of rivalry is medium for Farmland Partners Inc. because while there are several competitors in the farmland investment market, the company's diversified portfolio and strong brand reputation help to differentiate it from its competitors.

9. SWOT Analysis

Strength

Weaknesses

Opportunities

Threats

10. Capital Structure

10.a. Balance Sheet

10.b. Weighted Average Cost of capital

Value
Debt Weight 41.16%
Debt Cost 6.18%
Equity Weight 58.84%
Equity Cost 7.73%
WACC 7.09%
Leverage 69.95%

11. Quality Control: Farmland Partners Inc. passed 0 out of 9 key points

12.a Historical Valuation

12.b Price/Earnings Ratio

12.c Margin Valuation

12.d Peers Valuation

Peers Group Analysis

Stock-Card
Farmland Partners

A-Score: 7.0/10

Value: 5.6

Growth: 4.9

Quality: 8.8

Yield: 9.0

Momentum: 5.0

Volatility: 9.0

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Gladstone Commercial

A-Score: 6.4/10

Value: 5.3

Growth: 4.7

Quality: 6.9

Yield: 10.0

Momentum: 2.0

Volatility: 9.7

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Gladstone Land

A-Score: 6.1/10

Value: 3.8

Growth: 5.6

Quality: 5.1

Yield: 9.0

Momentum: 3.5

Volatility: 10.0

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AFC Gamma

A-Score: 5.7/10

Value: 8.3

Growth: 7.4

Quality: 5.4

Yield: 10.0

Momentum: 0.0

Volatility: 3.3

1-Year Total Return ->

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CoreCivic

A-Score: 4.9/10

Value: 6.1

Growth: 3.7

Quality: 4.3

Yield: 0.0

Momentum: 9.0

Volatility: 6.0

1-Year Total Return ->

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Uniti

A-Score: 4.1/10

Value: 5.5

Growth: 4.6

Quality: 5.3

Yield: 5.0

Momentum: 1.5

Volatility: 3.0

1-Year Total Return ->

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Peers Metrics

12.e Scoring Insights

12.f DCF BETA

Parameters

Short Term Growth

Short term Time

Long-Term Growth

WACC

Target Price

9.98$

Current Price

9.98$

Potential

-0.00%

Expected Cash-Flows