Lifeway Foods, Inc. — Earnings Quality Grade C
LWAY · Consumer Defensive
Some red flags
Screening Summary
Management Signals
Financial Trends
Revenue & Net Income ($B)
Margins (%)
18-Point Screening
Revenue Quality
DSO 29 days, change -2 days YoY
AR growth 7.9% vs revenue growth 13.7%
Revenue grew 13.7% but CFFO declined -15.5%
Small-cap context: Small-cap revenue/CFFO ratio is sensitive to growth-stage working-capital draws.
Expense Quality
Inventory growth 37.0% exceeds COGS 11.6%
CapEx growth 308.6% is >2x revenue growth 13.7%
SG&A/Gross Profit = 71.3%, exceeds 70%
Gross margin 27.4%, change +1.4pp. Stable
Cash Flow Quality
CFFO/NI = 0.79. Below 1.0
FCF is negative ($-0.0B)
Accruals ratio = 2.8%. Low accruals
Cash $0.0B covers debt $0.0B
Balance Sheet Health
Goodwill+Intangibles $0.0B = 20% of equity. Manageable
Debt/EBITDA = 0.0x. Healthy
Other assets 20.3% vs revenue 13.7%. Normal
No write-off data
Acquisition Risk
FCF after acquisitions positive
Goodwill+Intangibles change -3% YoY. Normal
Manipulation Score
M-Score = -2.29 (< -2.22). Unlikely manipulator
Portfolio monitoring
Monitor LWAY continuously
The full checks and model details are free to read. Use Watchlist to track your holdings; Pro adds automatic quarterly rescoring, risk-event email alerts, scans up to 50 tickers, and export workflows.
Beneish M-Score
Altman Z-Score
Generated from public financial data using forensic accounting frameworks. Not investment advice. Data: Yahoo Finance · 2026-04-25