Fresh Del Monte Produce Inc. (FDP) – Financial Analysis and Stock Price Prediction
Company Overview
- Fresh Del Monte Produce Inc. is a leading producer, marketer, and distributor of fresh and fresh-cut fruits and vegetables.
- The company operates in North America, Central America, South America, Europe, the Middle East, Africa, Asia, and other international markets.
- Fresh Del Monte offers a wide range of products, including pineapples, fresh-cut fruit, fresh-cut vegetables, melons, non-tropical fruits, avocados, and prepared fruit and vegetable products.
- The company also sells poultry and meat products and offers third-party freight services.
- Fresh Del Monte's brands include Del Monte, UTC, Rosy, Just Juice, Fruitini, and many others.
Financial Analysis
- Fresh Del Monte has a market capitalization of $1.23 billion.
- The company has a strong balance sheet with total cash of $35.9 million and total debt of $598.2 million.
- Fresh Del Monte's revenue for the most recent fiscal year was $4.32 billion, with a gross margin of 8.18%.
- The company's net income for the same period was -$11.4 million, resulting in a negative profit margin.
- Fresh Del Monte has a return on assets of 3.05% and a return on equity of -0.08%.
- The company's trailing twelve-month EPS is -$0.24, and its forward EPS is $2.62.
- Fresh Del Monte's dividend yield is 3.92%, and it has a payout ratio of 29.79%.
- The stock has a beta of 0.55, indicating a lower volatility compared to the overall market.
Stock Price Prediction
- Fresh Del Monte's stock is currently trading at $25.92 per share.
- Analysts have a median price target of $31.50 for the stock, with a high target of $32.00 and a low target of $31.00.
- The stock is currently rated as a "buy" by analysts, with a recommendation mean of 2.0.
- The stock has a 52-week high of $30.95 and a 52-week low of $21.41.
- Over the past five years, the stock has had an average dividend yield of 1.7%.
- The stock has a price-to-sales ratio of 0.29 and a price-to-book ratio of 0.65.
Conclusion
Based on the financial analysis and stock price prediction, Fresh Del Monte Produce Inc. appears to be a solid investment opportunity. The company has a diverse product portfolio and a strong presence in multiple international markets. The stock's current price is below its median price target, indicating potential upside. Additionally, the company's dividend yield and low stock volatility make it an attractive option for income-oriented investors. However, as with any investment, it is important to conduct further research and analysis before making any investment decisions.
