Wow! Quit a pop on a generally down-market day! Wonder if it's just the SA article or something more substantial brewing... um... fermenting :) Anyway, as a long time WVVI investor (and customer) I read the SA article in detail and agree that it's a good long term investment. Looking forward to the next earnings report (should be around mid-August). Good luck all longs!
Search for title "Willamette Valley Vineyards: An Undervalued Company Found Under The Grapes"
Here's the concluding paragraph:
"Fundamentally speaking, from a value-investors perspective, it doesn't get any more clear cut than this. We've established numerous positions that justify the stock is in fact undervalued from an intrinsic value standpoint. The Company is trading at a low P/E and P/S ratio compared to its industry and is outperforming the majority of all major players within it. The Company also has a PEG ratio of .37, which according to Peter Lynch, is a significant indicator of undervaluation. From a risk point-of-view, WVVI maintains a strong Z-Score of 4.166 and F-Score of 8 indicating great financial strength and sequential growth. Also, with a calculated WACC of 7.2% and an ROIC of 8.83%, we've determined that the company is generating returns higher than its actual cost of capital. Finally, with explosive growth rates in net income, revenues, net margins, ROE, ROA, ROIC and in the specific industry that it operates in itself, I conclude that at $6.95 per share, WVVI is a greatly undervalued company, and I would recommend a strong buy."