FRESH DEL MONTE PRODUCE INC (FDP)
KYG367381053 - Common Stock
We assign a fundamental rating of 5 out of 10 to FDP. FDP was compared to 92 industry peers in the Food Products industry. While FDP has a great health rating, its profitability is only average at the moment. FDP has a valuation in line with the averages, but on the other hand it scores bad on growth.
1. Profitability
1.1 Basic Checks
In the past year FDP was profitable.
FDP had a positive operating cash flow in the past year.
Of the past 5 years FDP 4 years were profitable.
In the past 5 years FDP always reported a positive cash flow from operatings.
1.2 Ratios
The Return On Assets of FDP (-0.76%) is comparable to the rest of the industry.
FDP's Return On Equity of -1.27% is in line compared to the rest of the industry. FDP outperforms 43.96% of its industry peers.
FDP's Return On Invested Capital of 4.36% is in line compared to the rest of the industry. FDP outperforms 54.95% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for FDP is below the industry average of 8.76%.
The last Return On Invested Capital (4.36%) for FDP is above the 3 year average (4.10%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -0.76% | ||
| ROE | -1.27% | ||
| ROIC | 4.36% |
ROA(3y)1.62%
ROA(5y)1.66%
ROE(3y)3%
ROE(5y)3.15%
ROIC(3y)4.1%
ROIC(5y)3.5%
1.3 Margins
FDP has a Operating Margin (3.40%) which is comparable to the rest of the industry.
In the last couple of years the Operating Margin of FDP has grown nicely.
Looking at the Gross Margin, with a value of 7.81%, FDP is doing worse than 71.43% of the companies in the same industry.
FDP's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 3.4% | ||
| PM (TTM) | N/A | ||
| GM | 7.81% |
OM growth 3Y26.66%
OM growth 5Y14.92%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y7.48%
GM growth 5Y5.45%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so FDP is destroying value.
FDP has less shares outstanding than it did 1 year ago.
FDP has less shares outstanding than it did 5 years ago.
The debt/assets ratio for FDP has been reduced compared to a year ago.
2.2 Solvency
FDP has an Altman-Z score of 2.86. This is not the best score and indicates that FDP is in the grey zone with still only limited risk for bankruptcy at the moment.
FDP has a Altman-Z score of 2.86. This is in the better half of the industry: FDP outperforms 67.03% of its industry peers.
The Debt to FCF ratio of FDP is 3.37, which is a good value as it means it would take FDP, 3.37 years of fcf income to pay off all of its debts.
FDP has a Debt to FCF ratio of 3.37. This is in the better half of the industry: FDP outperforms 79.12% of its industry peers.
FDP has a Debt/Equity ratio of 0.21. This is a healthy value indicating a solid balance between debt and equity.
With a decent Debt to Equity ratio value of 0.21, FDP is doing good in the industry, outperforming 68.13% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.21 | ||
| Debt/FCF | 3.37 | ||
| Altman-Z | 2.86 |
ROIC/WACC0.58
WACC7.48%
2.3 Liquidity
A Current Ratio of 2.16 indicates that FDP has no problem at all paying its short term obligations.
FDP has a Current ratio of 2.16. This is in the better half of the industry: FDP outperforms 71.43% of its industry peers.
A Quick Ratio of 1.11 indicates that FDP should not have too much problems paying its short term obligations.
FDP has a Quick ratio of 1.11. This is in the better half of the industry: FDP outperforms 67.03% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.16 | ||
| Quick Ratio | 1.11 |
3. Growth
3.1 Past
FDP shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by -3.55%.
Measured over the past years, FDP shows a very strong growth in Earnings Per Share. The EPS has been growing by 36.21% on average per year.
Looking at the last year, FDP shows a decrease in Revenue. The Revenue has decreased by -3.02% in the last year.
The Revenue has been decreasing by -0.78% on average over the past years.
EPS 1Y (TTM)-3.55%
EPS 3Y22.42%
EPS 5Y36.21%
EPS Q2Q%-38.18%
Revenue 1Y (TTM)-3.02%
Revenue growth 3Y0.93%
Revenue growth 5Y-0.78%
Sales Q2Q%-1.83%
3.2 Future
FDP is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 9.06% yearly.
FDP is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 1.66% yearly.
EPS Next Y-7.14%
EPS Next 2Y9.06%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year0.11%
Revenue Next 2Y1.66%
Revenue Next 3YN/A
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
FDP is valuated correctly with a Price/Earnings ratio of 12.82.
FDP's Price/Earnings ratio is rather cheap when compared to the industry. FDP is cheaper than 82.42% of the companies in the same industry.
When comparing the Price/Earnings ratio of FDP to the average of the S&P500 Index (24.41), we can say FDP is valued slightly cheaper.
Based on the Price/Forward Earnings ratio of 9.71, the valuation of FDP can be described as reasonable.
FDP's Price/Forward Earnings ratio is rather cheap when compared to the industry. FDP is cheaper than 93.41% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 20.59. FDP is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.82 | ||
| Fwd PE | 9.71 |
4.2 Price Multiples
FDP's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. FDP is cheaper than 86.81% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, FDP is valued cheaper than 81.32% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 9.67 | ||
| EV/EBITDA | 6.59 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)0.35
EPS Next 2Y9.06%
EPS Next 3YN/A
5. Dividend
5.1 Amount
FDP has a Yearly Dividend Yield of 3.78%.
Compared to an average industry Dividend Yield of 3.74, FDP pays a better dividend. On top of this FDP pays more dividend than 84.62% of the companies listed in the same industry.
Compared to an average S&P500 Dividend Yield of 2.30, FDP pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.78% |
5.2 History
On average, the dividend of FDP grows each year by 8.22%, which is quite nice.
FDP has paid a dividend for at least 10 years, which is a reliable track record.
FDP has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)8.22%
Div Incr Years4
Div Non Decr Years4
5.3 Sustainability
FDP has negative earnings and hence a negative payout ratio. The dividend may be in danger.
FDP's earnings are growing around the same pace than its dividend. As long as the earnings growth is kept the dividend growth is sustainable.
DP-167.08%
EPS Next 2Y9.06%
EPS Next 3YN/A
FRESH DEL MONTE PRODUCE INC
NYSE:FDP (7/26/2024, 7:04:00 PM)
After market: 24.36 0 (0%)24.36
+0.48 (+2.01%)
Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupFood, Beverage & Tobacco
GICS IndustryFood Products
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap1.17B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.78% |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
Max EPS beat(2)
EPS beat(4)
Avg EPS beat(4)
Min EPS beat(4)
Max EPS beat(4)
EPS beat(8)
Avg EPS beat(8)
EPS beat(12)
Avg EPS beat(12)
EPS beat(16)
Avg EPS beat(16)
Revenue beat(2)
Avg Revenue beat(2)
Min Revenue beat(2)
Max Revenue beat(2)
Revenue beat(4)
Avg Revenue beat(4)
Min Revenue beat(4)
Max Revenue beat(4)
Revenue beat(8)
Avg Revenue beat(8)
Revenue beat(12)
Avg Revenue beat(12)
Revenue beat(16)
Avg Revenue beat(16)
PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.82 | ||
| Fwd PE | 9.71 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)N/A
PEG (5Y)0.35
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -0.76% | ||
| ROE | -1.27% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 3.4% | ||
| PM (TTM) | N/A | ||
| GM | 7.81% | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover1.34
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.21 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 2.16 | ||
| Quick Ratio | 1.11 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
High Growth Momentum
Growth
EPS 1Y (TTM)-3.55%
EPS 3Y22.42%
EPS 5Y
EPS Q2Q%
EPS Next Y-7.14%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)-3.02%
Revenue growth 3Y0.93%
Revenue growth 5Y
Sales Q2Q%
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y