DANONE (BN.PA) Stock Fundamental Analysis
EPA:BN - Euronext Paris - Matif - FR0000120644 - Common Stock - Currency: EUR
Overall BN gets a fundamental rating of 5 out of 10. We evaluated BN against 59 industry peers in the Food Products industry. BN scores excellent on profitability, but there are concerns on its financial health. BN has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
BN had positive earnings in the past year.
In the past year BN had a positive cash flow from operations.
BN had positive earnings in each of the past 5 years.
In the past 5 years BN always reported a positive cash flow from operatings.
1.2 Ratios
Looking at the Return On Assets, with a value of 4.46%, BN is in the better half of the industry, outperforming 66.10% of the companies in the same industry.
The Return On Equity of BN (11.34%) is better than 67.80% of its industry peers.
BN has a Return On Invested Capital of 6.58%. This is in the better half of the industry: BN outperforms 62.71% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for BN is in line with the industry average of 6.91%.
The last Return On Invested Capital (6.58%) for BN is above the 3 year average (6.38%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.46% | ||
| ROE | 11.34% | ||
| ROIC | 6.58% |
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
The Profit Margin of BN (7.37%) is better than 74.58% of its industry peers.
BN's Profit Margin has been stable in the last couple of years.
BN has a better Operating Margin (13.00%) than 77.97% of its industry peers.
BN's Operating Margin has declined in the last couple of years.
BN has a better Gross Margin (49.70%) than 72.88% of its industry peers.
In the last couple of years the Gross Margin of BN has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 13% | ||
| PM (TTM) | 7.37% | ||
| GM | 49.7% |
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
BN has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
Compared to 1 year ago, BN has more shares outstanding
BN has less shares outstanding than it did 5 years ago.
BN has a better debt/assets ratio than last year.
2.2 Solvency
BN has an Altman-Z score of 2.38. 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 2.38 is in line compared to the rest of the industry. BN outperforms 57.63% of its industry peers.
BN has a debt to FCF ratio of 4.89. This is a neutral value as BN would need 4.89 years to pay back of all of its debts.
With a decent Debt to FCF ratio value of 4.89, BN is doing good in the industry, outperforming 74.58% of the companies in the same industry.
A Debt/Equity ratio of 0.66 indicates that BN is somewhat dependend on debt financing.
The Debt to Equity ratio of BN (0.66) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.66 | ||
| Debt/FCF | 4.89 | ||
| Altman-Z | 2.38 |
ROIC/WACC1.07
WACC6.15%
2.3 Liquidity
BN has a Current Ratio of 0.93. This is a bad value and indicates that BN is not financially healthy enough and could expect problems in meeting its short term obligations.
Looking at the Current ratio, with a value of 0.93, BN is doing worse than 74.58% of the companies in the same industry.
A Quick Ratio of 0.77 indicates that BN may have some problems paying its short term obligations.
With a Quick ratio value of 0.77, BN is not doing good in the industry: 62.71% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.93 | ||
| Quick Ratio | 0.77 |
3. Growth
3.1 Past
The Earnings Per Share has been growing slightly by 2.54% over the past year.
The Earnings Per Share has been decreasing by -1.17% on average over the past years.
BN shows a decrease in Revenue. In the last year, the revenue decreased by -0.88%.
The Revenue has been growing slightly by 1.60% on average over the past years.
EPS 1Y (TTM)2.54%
EPS 3Y3.12%
EPS 5Y-1.17%
EPS Q2Q%2.81%
Revenue 1Y (TTM)-0.88%
Revenue growth 3Y4.08%
Revenue growth 5Y1.6%
Sales Q2Q%1.24%
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 5.60% on average per year.
Based on estimates for the next years, BN will show a small growth in Revenue. The Revenue will grow by 3.05% on average per year.
EPS Next Y7.96%
EPS Next 2Y7.64%
EPS Next 3Y7.59%
EPS Next 5Y5.6%
Revenue Next Year1.76%
Revenue Next 2Y2.51%
Revenue Next 3Y2.9%
Revenue Next 5Y3.05%
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 18.69.
The rest of the industry has a similar Price/Earnings ratio as BN.
Compared to an average S&P500 Price/Earnings ratio of 27.30, BN is valued a bit cheaper.
With a Price/Forward Earnings ratio of 17.31, BN is valued on the expensive side.
Compared to the rest of the industry, the Price/Forward Earnings ratio of BN is on the same level as its industry peers.
The average S&P500 Price/Forward Earnings ratio is at 21.76. BN is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.69 | ||
| Fwd PE | 17.31 |
4.2 Price Multiples
BN's Enterprise Value to EBITDA ratio is in line with the industry average.
BN's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. BN is cheaper than 61.02% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 15.89 | ||
| EV/EBITDA | 10.15 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
The decent profitability rating of BN may justify a higher PE ratio.
PEG (NY)2.35
PEG (5Y)N/A
EPS Next 2Y7.64%
EPS Next 3Y7.59%
5. Dividend
5.1 Amount
BN has a Yearly Dividend Yield of 3.15%.
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 2.37, BN pays a bit more dividend than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.15% |
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
66.80% 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.
DP66.8%
EPS Next 2Y7.64%
EPS Next 3Y7.59%
EPA:BN (7/11/2025, 7:00:00 PM)
67.84
-0.36 (-0.53%)
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 Cap46.23B
Analysts72.5
Price Target76.13 (12.22%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.15% |
Yearly Dividend2.1
Dividend Growth(5Y)1.58%
DP66.8%
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)1.61%
PT rev (3m)3.9%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)0%
EPS NY rev (3m)-1.09%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0%
Revenue NY rev (3m)-2.32%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.69 | ||
| Fwd PE | 17.31 | ||
| P/S | 1.69 | ||
| P/FCF | 15.89 | ||
| P/OCF | 12.06 | ||
| P/B | 2.6 | ||
| P/tB | N/A | ||
| EV/EBITDA | 10.15 |
EPS(TTM)3.63
EY5.35%
EPS(NY)3.92
Fwd EY5.78%
FCF(TTM)4.27
FCFY6.29%
OCF(TTM)5.62
OCFY8.29%
SpS40.2
BVpS26.13
TBVpS-9.13
PEG (NY)2.35
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.46% | ||
| ROE | 11.34% | ||
| ROCE | 11.27% | ||
| ROIC | 6.58% | ||
| ROICexc | 8.06% | ||
| ROICexgc | 68% | ||
| OM | 13% | ||
| PM (TTM) | 7.37% | ||
| GM | 49.7% | ||
| FCFM | 10.62% |
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-Score7
Asset Turnover0.6
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.66 | ||
| Debt/FCF | 4.89 | ||
| Debt/EBITDA | 2.49 | ||
| Cap/Depr | 79.02% | ||
| Cap/Sales | 3.37% | ||
| Interest Coverage | 20.69 | ||
| Cash Conversion | 81.04% | ||
| Profit Quality | 144.05% | ||
| Current Ratio | 0.93 | ||
| Quick Ratio | 0.77 | ||
| Altman-Z | 2.38 |
F-Score7
WACC6.15%
ROIC/WACC1.07
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)2.54%
EPS 3Y3.12%
EPS 5Y-1.17%
EPS Q2Q%2.81%
EPS Next Y7.96%
EPS Next 2Y7.64%
EPS Next 3Y7.59%
EPS Next 5Y5.6%
Revenue 1Y (TTM)-0.88%
Revenue growth 3Y4.08%
Revenue growth 5Y1.6%
Sales Q2Q%1.24%
Revenue Next Year1.76%
Revenue Next 2Y2.51%
Revenue Next 3Y2.9%
Revenue Next 5Y3.05%
EBIT growth 1Y2.24%
EBIT growth 3Y2.2%
EBIT growth 5Y-1.53%
EBIT Next Year35.65%
EBIT Next 3Y14.25%
EBIT Next 5Y10.75%
FCF growth 1Y11.98%
FCF growth 3Y6.14%
FCF growth 5Y3.12%
OCF growth 1Y11.24%
OCF growth 3Y3.31%
OCF growth 5Y2.15%