FLOWERS FOODS INC (FLO) Stock Fundamental Analysis
USA - NYSE:FLO - US3434981011 - Common Stock
12.85 USD
+0.1 (+0.78%)
We assign a fundamental rating of 5 out of 10 to FLO. FLO was compared to 87 industry peers in the Food Products industry. While FLO has a great profitability rating, there are some minor concerns on its financial health. FLO has a bad growth rate and is valued cheaply. Finally FLO also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
FLO had positive earnings in the past year.
In the past year FLO had a positive cash flow from operations.
FLO had positive earnings in each of the past 5 years.
In the past 5 years FLO always reported a positive cash flow from operatings.
1.2 Ratios
With a decent Return On Assets value of 5.05%, FLO is doing good in the industry, outperforming 72.41% of the companies in the same industry.
FLO has a better Return On Equity (15.37%) than 83.91% of its industry peers.
The Return On Invested Capital of FLO (7.62%) is better than 77.01% of its industry peers.
FLO had an Average Return On Invested Capital over the past 3 years of 9.98%. This is significantly below the industry average of 28.34%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.05% | ||
| ROE | 15.37% | ||
| ROIC | 7.62% |
ROA(3y)5.93%
ROA(5y)5.74%
ROE(3y)14.18%
ROE(5y)13.65%
ROIC(3y)9.98%
ROIC(5y)9.92%
1.3 Margins
FLO has a better Profit Margin (4.30%) than 67.82% of its industry peers.
In the last couple of years the Profit Margin of FLO has grown nicely.
The Operating Margin of FLO (7.31%) is better than 67.82% of its industry peers.
FLO's Operating Margin has improved in the last couple of years.
FLO's Gross Margin of 49.38% is amongst the best of the industry. FLO outperforms 98.85% of its industry peers.
In the last couple of years the Gross Margin of FLO has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 7.31% | ||
| PM (TTM) | 4.3% | ||
| GM | 49.38% |
OM growth 3Y-3.43%
OM growth 5Y4.23%
PM growth 3Y0.7%
PM growth 5Y4.04%
GM growth 3Y-0.18%
GM growth 5Y0.73%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so FLO is still creating some value.
FLO has about the same amout of shares outstanding than it did 1 year ago.
The number of shares outstanding for FLO has been reduced compared to 5 years ago.
The debt/assets ratio for FLO has been reduced compared to a year ago.
2.2 Solvency
An Altman-Z score of 2.37 indicates that FLO is not a great score, but indicates only limited risk for bankruptcy at the moment.
FLO has a Altman-Z score (2.37) which is comparable to the rest of the industry.
FLO has a debt to FCF ratio of 4.59. This is a neutral value as FLO would need 4.59 years to pay back of all of its debts.
FLO's Debt to FCF ratio of 4.59 is fine compared to the rest of the industry. FLO outperforms 77.01% of its industry peers.
FLO has a Debt/Equity ratio of 1.23. This is a high value indicating a heavy dependency on external financing.
FLO has a worse Debt to Equity ratio (1.23) than 75.86% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.23 | ||
| Debt/FCF | 4.59 | ||
| Altman-Z | 2.37 |
ROIC/WACC1.09
WACC6.97%
2.3 Liquidity
A Current Ratio of 1.26 indicates that FLO should not have too much problems paying its short term obligations.
FLO's Current ratio of 1.26 is on the low side compared to the rest of the industry. FLO is outperformed by 68.97% of its industry peers.
FLO has a Quick Ratio of 1.26. This is a bad value and indicates that FLO is not financially healthy enough and could expect problems in meeting its short term obligations.
FLO has a worse Quick ratio (0.74) than 64.37% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.26 | ||
| Quick Ratio | 0.74 |
3. Growth
3.1 Past
The earnings per share for FLO have decreased by -1.64% in the last year.
Measured over the past 5 years, FLO shows a small growth in Earnings Per Share. The EPS has been growing by 5.70% on average per year.
The Revenue has decreased by -0.61% in the past year.
The Revenue has been growing slightly by 4.35% on average over the past years.
EPS 1Y (TTM)-1.64%
EPS 3Y1.34%
EPS 5Y5.7%
EPS Q2Q%-16.67%
Revenue 1Y (TTM)-0.61%
Revenue growth 3Y5.63%
Revenue growth 5Y4.35%
Sales Q2Q%1.46%
3.2 Future
FLO is expected to show a decrease in Earnings Per Share. In the coming years, the EPS will decrease by -1.95% yearly.
The Revenue is expected to grow by 1.04% on average over the next years.
EPS Next Y-16.49%
EPS Next 2Y-7.97%
EPS Next 3Y-5.05%
EPS Next 5Y-1.95%
Revenue Next Year2.82%
Revenue Next 2Y1.44%
Revenue Next 3Y1%
Revenue Next 5Y1.04%
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 decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
FLO is valuated reasonably with a Price/Earnings ratio of 10.71.
Based on the Price/Earnings ratio, FLO is valued cheaper than 81.61% of the companies in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 27.69, FLO is valued rather cheaply.
A Price/Forward Earnings ratio of 11.85 indicates a reasonable valuation of FLO.
FLO's Price/Forward Earnings ratio is rather cheap when compared to the industry. FLO is cheaper than 83.91% of the companies in the same industry.
FLO is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 23.18, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.71 | ||
| Fwd PE | 11.85 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, FLO is valued a bit cheaper than the industry average as 70.11% of the companies are valued more expensively.
Based on the Price/Free Cash Flow ratio, FLO is valued cheaper than 90.80% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 7.08 | ||
| EV/EBITDA | 8.27 |
4.3 Compensation for Growth
FLO has a very decent profitability rating, which may justify a higher PE ratio.
FLO's earnings are expected to decrease with -5.05% in the coming years. This may justify a cheaper valuation.
PEG (NY)N/A
PEG (5Y)1.88
EPS Next 2Y-7.97%
EPS Next 3Y-5.05%
5. Dividend
5.1 Amount
FLO has a Yearly Dividend Yield of 7.86%, which is a nice return.
The stock price of FLO dropped by -21.59% in the last 3 months. With lower prices the dividend yield is higher, but it may be a sign investors do not trust the long term dividend.
FLO's Dividend Yield is rather good when compared to the industry average which is at 5.09. FLO pays more dividend than 96.55% of the companies in the same industry.
FLO's Dividend Yield is rather good when compared to the S&P500 average which is at 2.34.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 7.86% |
5.2 History
On average, the dividend of FLO grows each year by 7.46%, which is quite nice.
FLO has been paying a dividend for at least 10 years, so it has a reliable track record.
FLO has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)7.46%
Div Incr Years22
Div Non Decr Years22
5.3 Sustainability
FLO pays out 93.80% of its income as dividend. This is not a sustainable payout ratio.
The Dividend Rate of FLO has been growing, while earnings will be declining. This means the dividend growth is most likely not sustainable.
DP93.8%
EPS Next 2Y-7.97%
EPS Next 3Y-5.05%
NYSE:FLO (10/21/2025, 9:46:39 AM)
12.85
+0.1 (+0.78%)
Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupFood, Beverage & Tobacco
GICS IndustryFood Products
Earnings (Last)
Earnings (Next)
Inst Owners85.86%
Inst Owner Change1.58%
Ins Owners2.31%
Ins Owner Change0.23%
Market Cap2.71B
Analysts51.43
Price Target16.7 (29.96%)
Short Float %9.84%
Short Ratio5.21
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 7.86% |
Yearly Dividend0.96
Dividend Growth(5Y)7.46%
DP93.8%
Div Incr Years22
Div Non Decr Years22
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-3.65%
Min EPS beat(2)-7.75%
Max EPS beat(2)0.45%
EPS beat(4)3
Avg EPS beat(4)2.21%
Min EPS beat(4)-7.75%
Max EPS beat(4)11.18%
EPS beat(8)5
Avg EPS beat(8)0.31%
EPS beat(12)7
Avg EPS beat(12)1.66%
EPS beat(16)10
Avg EPS beat(16)3.51%
Revenue beat(2)0
Avg Revenue beat(2)-3.26%
Min Revenue beat(2)-3.76%
Max Revenue beat(2)-2.75%
Revenue beat(4)0
Avg Revenue beat(4)-2.73%
Min Revenue beat(4)-3.76%
Max Revenue beat(4)-1.69%
Revenue beat(8)0
Avg Revenue beat(8)-2.2%
Revenue beat(12)2
Avg Revenue beat(12)-1.69%
Revenue beat(16)4
Avg Revenue beat(16)-1.28%
PT rev (1m)0%
PT rev (3m)-12.67%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-11.5%
EPS NY rev (1m)-0.69%
EPS NY rev (3m)-4.57%
Revenue NQ rev (1m)0.08%
Revenue NQ rev (3m)-1.43%
Revenue NY rev (1m)0.02%
Revenue NY rev (3m)-1.12%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.71 | ||
| Fwd PE | 11.85 | ||
| P/S | 0.53 | ||
| P/FCF | 7.08 | ||
| P/OCF | 5.31 | ||
| P/B | 1.9 | ||
| P/tB | N/A | ||
| EV/EBITDA | 8.27 |
EPS(TTM)1.2
EY9.34%
EPS(NY)1.08
Fwd EY8.44%
FCF(TTM)1.82
FCFY14.13%
OCF(TTM)2.42
OCFY18.82%
SpS24.14
BVpS6.76
TBVpS-3.6
PEG (NY)N/A
PEG (5Y)1.88
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.05% | ||
| ROE | 15.37% | ||
| ROCE | 9.92% | ||
| ROIC | 7.62% | ||
| ROICexc | 7.64% | ||
| ROICexgc | 18.29% | ||
| OM | 7.31% | ||
| PM (TTM) | 4.3% | ||
| GM | 49.38% | ||
| FCFM | 7.52% |
ROA(3y)5.93%
ROA(5y)5.74%
ROE(3y)14.18%
ROE(5y)13.65%
ROIC(3y)9.98%
ROIC(5y)9.92%
ROICexc(3y)10.22%
ROICexc(5y)10.45%
ROICexgc(3y)19.22%
ROICexgc(5y)20.02%
ROCE(3y)13.04%
ROCE(5y)12.97%
ROICexcg growth 3Y-3.32%
ROICexcg growth 5Y5.84%
ROICexc growth 3Y-1.65%
ROICexc growth 5Y7.13%
OM growth 3Y-3.43%
OM growth 5Y4.23%
PM growth 3Y0.7%
PM growth 5Y4.04%
GM growth 3Y-0.18%
GM growth 5Y0.73%
F-Score7
Asset Turnover1.17
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.23 | ||
| Debt/FCF | 4.59 | ||
| Debt/EBITDA | 3.29 | ||
| Cap/Depr | 77.92% | ||
| Cap/Sales | 2.49% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 95.31% | ||
| Profit Quality | 174.74% | ||
| Current Ratio | 1.26 | ||
| Quick Ratio | 0.74 | ||
| Altman-Z | 2.37 |
F-Score7
WACC6.97%
ROIC/WACC1.09
Cap/Depr(3y)95.72%
Cap/Depr(5y)92.68%
Cap/Sales(3y)2.88%
Cap/Sales(5y)2.85%
Profit Quality(3y)125.18%
Profit Quality(5y)141.19%
High Growth Momentum
Growth
EPS 1Y (TTM)-1.64%
EPS 3Y1.34%
EPS 5Y5.7%
EPS Q2Q%-16.67%
EPS Next Y-16.49%
EPS Next 2Y-7.97%
EPS Next 3Y-5.05%
EPS Next 5Y-1.95%
Revenue 1Y (TTM)-0.61%
Revenue growth 3Y5.63%
Revenue growth 5Y4.35%
Sales Q2Q%1.46%
Revenue Next Year2.82%
Revenue Next 2Y1.44%
Revenue Next 3Y1%
Revenue Next 5Y1.04%
EBIT growth 1Y4.7%
EBIT growth 3Y2%
EBIT growth 5Y8.76%
EBIT Next Year42.85%
EBIT Next 3Y12.85%
EBIT Next 5Y8.49%
FCF growth 1Y130.51%
FCF growth 3Y12.24%
FCF growth 5Y1.28%
OCF growth 1Y66.92%
OCF growth 3Y6.19%
OCF growth 5Y2.37%