DANONE (BN.PA) Stock Fundamental Analysis
Europe - EPA:BN - FR0000120644 - Common Stock
73.76 EUR
+0.28 (+0.38%)
We assign a fundamental rating of 5 out of 10 to BN. BN was compared to 58 industry peers in the Food Products industry. BN scores excellent on profitability, but there are some minor concerns on its financial health. While showing a medium growth rate, BN is valued expensive at the moment.
1. Profitability
1.1 Basic Checks
In the past year BN was profitable.
In the past year BN had a positive cash flow from operations.
Each year in the past 5 years BN has been profitable.
Each year in the past 5 years BN had a positive operating cash flow.
1.2 Ratios
BN has a Return On Assets of 4.20%. This is in the better half of the industry: BN outperforms 60.34% of its industry peers.
Looking at the Return On Equity, with a value of 11.59%, BN is in the better half of the industry, outperforming 65.52% of the companies in the same industry.
With a decent Return On Invested Capital value of 6.83%, BN is doing good in the industry, outperforming 63.79% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for BN is in line with the industry average of 7.05%.
The last Return On Invested Capital (6.83%) for BN is above the 3 year average (6.38%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.2% | ||
| ROE | 11.59% | ||
| ROIC | 6.83% |
ROA(3y)2.83%
ROA(5y)3.44%
ROE(3y)7.34%
ROE(5y)9%
ROIC(3y)6.38%
ROIC(5y)6.21%
1.3 Margins
Looking at the Profit Margin, with a value of 6.72%, BN is in the better half of the industry, outperforming 72.41% of the companies in the same industry.
BN's Profit Margin has been stable in the last couple of years.
The Operating Margin of BN (13.25%) is better than 77.59% of its industry peers.
BN's Operating Margin has declined in the last couple of years.
BN has a Gross Margin of 50.47%. This is in the better half of the industry: BN outperforms 75.86% of its industry peers.
BN's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 13.25% | ||
| PM (TTM) | 6.72% | ||
| GM | 50.47% |
OM growth 3Y-1.81%
OM growth 5Y-3.08%
PM growth 3Y-1.94%
PM growth 5Y-0.54%
GM growth 3Y1.56%
GM growth 5Y0.26%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so BN is still creating some value.
BN has more shares outstanding than it did 1 year ago.
BN has less shares outstanding than it did 5 years ago.
Compared to 1 year ago, BN has an improved debt to assets ratio.
2.2 Solvency
BN has an Altman-Z score of 2.49. This is not the best score and indicates that BN is in the grey zone with still only limited risk for bankruptcy at the moment.
BN's Altman-Z score of 2.49 is fine compared to the rest of the industry. BN outperforms 62.07% of its industry peers.
The Debt to FCF ratio of BN is 5.07, which is a neutral value as it means it would take BN, 5.07 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of BN (5.07) is better than 65.52% of its industry peers.
A Debt/Equity ratio of 0.83 indicates that BN is somewhat dependend on debt financing.
BN's Debt to Equity ratio of 0.83 is on the low side compared to the rest of the industry. BN is outperformed by 65.52% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.83 | ||
| Debt/FCF | 5.07 | ||
| Altman-Z | 2.49 |
ROIC/WACC1.09
WACC6.24%
2.3 Liquidity
BN has a Current Ratio of 0.95. This is a bad value and indicates that BN is not financially healthy enough and could expect problems in meeting its short term obligations.
BN has a Current ratio of 0.95. This is in the lower half of the industry: BN underperforms 75.86% of its industry peers.
BN has a Quick Ratio of 0.95. This is a bad value and indicates that BN is not financially healthy enough and could expect problems in meeting its short term obligations.
BN's Quick ratio of 0.78 is in line compared to the rest of the industry. BN outperforms 43.10% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.95 | ||
| Quick Ratio | 0.78 |
3. Growth
3.1 Past
The Earnings Per Share has been growing slightly by 4.47% over the past year.
Measured over the past years, BN shows a decrease in Earnings Per Share. The EPS has been decreasing by -1.17% on average per year.
BN shows a small growth in Revenue. In the last year, the Revenue has grown by 0.54%.
BN shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 1.60% yearly.
EPS 1Y (TTM)4.47%
EPS 3Y3.12%
EPS 5Y-1.17%
EPS Q2Q%6.11%
Revenue 1Y (TTM)0.54%
Revenue growth 3Y4.08%
Revenue growth 5Y1.6%
Sales Q2Q%-0.15%
3.2 Future
Based on estimates for the next years, BN will show a small growth in Earnings Per Share. The EPS will grow by 5.54% on average per year.
The Revenue is expected to grow by 3.03% on average over the next years.
EPS Next Y7.14%
EPS Next 2Y6.65%
EPS Next 3Y7.05%
EPS Next 5Y5.54%
Revenue Next Year0.87%
Revenue Next 2Y1.88%
Revenue Next 3Y2.55%
Revenue Next 5Y3.03%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
BN is valuated rather expensively with a Price/Earnings ratio of 19.72.
The rest of the industry has a similar Price/Earnings ratio as BN.
Compared to an average S&P500 Price/Earnings ratio of 27.38, BN is valued a bit cheaper.
Based on the Price/Forward Earnings ratio of 17.86, the valuation of BN can be described as rather expensive.
BN's Price/Forward Earnings ratio is in line with the industry average.
The average S&P500 Price/Forward Earnings ratio is at 22.86. BN is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19.72 | ||
| Fwd PE | 17.86 |
4.2 Price Multiples
The rest of the industry has a similar Enterprise Value to EBITDA ratio as BN.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of BN is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 17.52 | ||
| EV/EBITDA | 10.56 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates BN does not grow enough to justify the current Price/Earnings ratio.
The decent profitability rating of BN may justify a higher PE ratio.
PEG (NY)2.76
PEG (5Y)N/A
EPS Next 2Y6.65%
EPS Next 3Y7.05%
5. Dividend
5.1 Amount
BN has a Yearly Dividend Yield of 2.93%.
BN's Dividend Yield is a higher than the industry average which is at 3.27.
Compared to an average S&P500 Dividend Yield of 2.38, BN pays a bit more dividend than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.93% |
5.2 History
The dividend of BN has a limited annual growth rate of 1.58%.
Dividend Growth(5Y)1.58%
Div Incr Years3
Div Non Decr Years4
5.3 Sustainability
74.99% of the earnings are spent on dividend by BN. This is not a sustainable payout ratio.
The dividend of BN is growing, but earnings are growing more, so the dividend growth is sustainable.
DP74.99%
EPS Next 2Y6.65%
EPS Next 3Y7.05%
EPA:BN (9/19/2025, 7:00:00 PM)
73.76
+0.28 (+0.38%)
Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupFood, Beverage & Tobacco
GICS IndustryFood Products
Earnings (Last)
Earnings (Next)
Inst Owners48.65%
Inst Owner ChangeN/A
Ins Owners0%
Ins Owner ChangeN/A
Market Cap50.26B
Analysts72.26
Price Target77.34 (4.85%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.93% |
Yearly Dividend2.1
Dividend Growth(5Y)1.58%
DP74.99%
Div Incr Years3
Div Non Decr Years4
Ex-DateN/A
Surprises & Revisions
EPS beat(2)N/A
Avg EPS beat(2)N/A
Min EPS beat(2)N/A
Max EPS beat(2)N/A
EPS beat(4)N/A
Avg EPS beat(4)N/A
Min EPS beat(4)N/A
Max EPS beat(4)N/A
EPS beat(8)N/A
Avg EPS beat(8)N/A
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)N/A
Avg Revenue beat(2)N/A
Min Revenue beat(2)N/A
Max Revenue beat(2)N/A
Revenue beat(4)N/A
Avg Revenue beat(4)N/A
Min Revenue beat(4)N/A
Max Revenue beat(4)N/A
Revenue beat(8)N/A
Avg Revenue beat(8)N/A
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)0.19%
PT rev (3m)2.71%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)-0.76%
EPS NY rev (3m)-0.76%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0.07%
Revenue NY rev (3m)-0.87%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19.72 | ||
| Fwd PE | 17.86 | ||
| P/S | 1.84 | ||
| P/FCF | 17.52 | ||
| P/OCF | 13.07 | ||
| P/B | 3.17 | ||
| P/tB | N/A | ||
| EV/EBITDA | 10.56 |
EPS(TTM)3.74
EY5.07%
EPS(NY)4.13
Fwd EY5.6%
FCF(TTM)4.21
FCFY5.71%
OCF(TTM)5.64
OCFY7.65%
SpS40.15
BVpS23.28
TBVpS-9.5
PEG (NY)2.76
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.2% | ||
| ROE | 11.59% | ||
| ROCE | 12.02% | ||
| ROIC | 6.83% | ||
| ROICexc | 8.36% | ||
| ROICexgc | 50.58% | ||
| OM | 13.25% | ||
| PM (TTM) | 6.72% | ||
| GM | 50.47% | ||
| FCFM | 10.49% |
ROA(3y)2.83%
ROA(5y)3.44%
ROE(3y)7.34%
ROE(5y)9%
ROIC(3y)6.38%
ROIC(5y)6.21%
ROICexc(3y)7.67%
ROICexc(5y)7.39%
ROICexgc(3y)52.44%
ROICexgc(5y)45.6%
ROCE(3y)10.98%
ROCE(5y)10.58%
ROICexcg growth 3Y19.7%
ROICexcg growth 5Y13.36%
ROICexc growth 3Y4.65%
ROICexc growth 5Y1.26%
OM growth 3Y-1.81%
OM growth 5Y-3.08%
PM growth 3Y-1.94%
PM growth 5Y-0.54%
GM growth 3Y1.56%
GM growth 5Y0.26%
F-Score8
Asset Turnover0.63
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.83 | ||
| Debt/FCF | 5.07 | ||
| Debt/EBITDA | 2.71 | ||
| Cap/Depr | 77.72% | ||
| Cap/Sales | 3.57% | ||
| Interest Coverage | 23.53 | ||
| Cash Conversion | 78.8% | ||
| Profit Quality | 156.01% | ||
| Current Ratio | 0.95 | ||
| Quick Ratio | 0.78 | ||
| Altman-Z | 2.49 |
F-Score8
WACC6.24%
ROIC/WACC1.09
Cap/Depr(3y)59.49%
Cap/Depr(5y)65.43%
Cap/Sales(3y)3.2%
Cap/Sales(5y)3.59%
Profit Quality(3y)220.86%
Profit Quality(5y)178.79%
High Growth Momentum
Growth
EPS 1Y (TTM)4.47%
EPS 3Y3.12%
EPS 5Y-1.17%
EPS Q2Q%6.11%
EPS Next Y7.14%
EPS Next 2Y6.65%
EPS Next 3Y7.05%
EPS Next 5Y5.54%
Revenue 1Y (TTM)0.54%
Revenue growth 3Y4.08%
Revenue growth 5Y1.6%
Sales Q2Q%-0.15%
Revenue Next Year0.87%
Revenue Next 2Y1.88%
Revenue Next 3Y2.55%
Revenue Next 5Y3.03%
EBIT growth 1Y3.81%
EBIT growth 3Y2.2%
EBIT growth 5Y-1.53%
EBIT Next Year35.65%
EBIT Next 3Y14.25%
EBIT Next 5Y9.9%
FCF growth 1Y12.42%
FCF growth 3Y6.14%
FCF growth 5Y3.12%
OCF growth 1Y12.55%
OCF growth 3Y3.31%
OCF growth 5Y2.15%