MGP Ingredients Inc. (MGPI) Dividend Safety Gauge & 10-Year DRIP Compounder

Per the Roarable RQD rating, MGPI scores 41 out of 100 and carries a letter grade of D-, with the verdict label "Roarable Sell — Vulnerable Balance Sheet & Flow." The five pillars are:

• Fundamental Cash Engine: 9 / 20. Per the Roarable RQD rating, this pillar reflects ROIC of -10.7% and an FCF yield of 20.63%. The negative ROIC signals that invested capital is not currently generating a return, while the high FCF yield is the main offsetting cash-generation signal in this pillar.
• Whale 13F Flow: 10 / 20. Per the Roarable RQD rating, this pillar covers institutional accumulation and options positioning. The source data does not provide the underlying 13F holdings, so the score cannot be traced to specific filers.
• Insider Conviction: 9 / 20. Per the Roarable RQD rating, this pillar reflects SEC Form 4 and Congressional PTR cluster flow. The source data does not itemize those transactions.
• Macro Regime Fit: 8 / 20. Per the Roarable RQD rating, this pillar reflects a beta of 1.0 and sector sensitivity. A beta of 1.0 means the stock is modeled to move in line with the broad market, which provides no defensive cushion in a market decline.
• Forensic Balance Sheet: 5 / 20. Per the Roarable RQD rating, this pillar reflects an Altman Z-Score of 1.43, a Piotroski F-Score of 5/9, and a Debt/Equity ratio of 0.5. The Altman Z-Score sits in a range commonly associated with elevated financial-distress risk, and this is the lowest-scoring pillar.

For a prospective investor evaluating the stock today, the rating points to a company whose recent earnings have deteriorated sharply, with a balance sheet that the rating treats as the weakest component. The strongest upside argument in the data is the high FCF yield of 20.63%, which implies substantial cash generation relative to market capitalization. That upside is tempered by negative operating and net margins, a negative ROIC, and a low Altman Z-Score. A valuation based on the FCF yield would depend on whether reported free cash flow proves durable, since the income statement shows operating losses in FY 2025. The absence of forward earnings estimates and analyst coverage in the source data means the rating cannot be cross-checked against consensus expectations.

MGP Ingredients Inc. (MGPI) is listed on NASDAQ and classified under the Consumer Staples sector and the Beverages (Production/Distribution) industry, per the profile section. Per the profile, the company has a market capitalization of $0.4B. The source data does not describe the company's specific products, customers, or revenue model, so how it makes money cannot be determined from the provided material.

Per the SEC financials, revenue declined from $836.5M in FY 2023 to $536.4M in FY 2025, and operating income moved from $148.6M to $-94.6M over the same span. Per the market data section, the gross margin is 37.2%, the operating margin is -17.6%, and the net margin is -20.1%, with ROIC at -10.7%. Per the Roarable RQD rating, the Altman Z-Score is 1.43, the Piotroski F-Score is 5/9, and the Debt/Equity ratio is 0.5. Cash decreased from $25.3M in FY 2024 to $18.5M in FY 2025, and the source data does not report debt levels.

Per the recent news section, the headlines in the feed carry the following signals:

• A YELLOW-flagged Yahoo Finance piece titled "3 Reasons to Sell MGPI and 1 Stock to Buy Instead" (market wire).
• A YELLOW-flagged TradingView piece noting the stock is up (market wire).
• A YELLOW-flagged Seeking Alpha piece referencing the 2026 Q3 results and earnings call presentation dated 2026-10-29 (market wire).
• A RED-flagged Yahoo Finance piece stating MGP Ingredients misses Q3 2026 revenue estimates (risk watch).
• A YELLOW-flagged World Grain piece reporting a 39% profit decline in Q3 (market wire).
• A YELLOW-flagged MarketBeat piece reporting a pessimistic forecast from Wells Fargo & Company (market wire).

The only RED-flagged item is the Q3 2026 revenue miss. Per the Butterfly Supply-Chain Graph, there are no supply-chain links and no proprietary signals in the source data.

Per the Butterfly Supply-Chain Graph, supply_chain is "NONE," with no butterfly links and no proprietary signals. Not available in source data for upstream dependencies, downstream customers, or sector correlation mapping. The source data does not establish second-order bottlenecks. A prospective investor should note the Consumer Staples and Beverages classification but cannot trace specific ripple effects from the provided material.

• What are the company's specific products, customers, and revenue drivers, given that the source data does not describe the business model?
• What explains the drop in revenue and the swing from positive operating income in FY 2024 to an operating loss in FY 2025, and is the operating loss expected to persist?
• How reliable is the FCF yield of 20.63% given reported operating losses, and what drives the gap between free cash flow and net income?
• What is the company's total debt and interest burden, since the source data reports debt as N/A for every period?
• What do the Q3 2026 earnings results and the reported revenue miss imply for forward guidance, given that no forward P/E or analyst estimates are available?