FLOWERS FOODS INC (FLO) Stock Fundamental Analysis
USA - NYSE:FLO - US3434981011 - Common Stock
11.88 USD
-0.05 (-0.42%)
11.9 USD
+0.02 (+0.17%)
Overall FLO gets a fundamental rating of 5 out of 10. We evaluated FLO against 87 industry peers in the Food Products industry. FLO has an excellent profitability rating, but there are some minor concerns on its financial health. FLO has a bad growth rate and is valued cheaply. FLO also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
FLO had positive earnings in the past year.
FLO had a positive operating cash flow in the past year.
Each year in the past 5 years FLO has been profitable.
Each year in the past 5 years FLO had a positive operating cash flow.
1.2 Ratios
FLO has a Return On Assets of 5.05%. This is in the better half of the industry: FLO outperforms 73.56% of its industry peers.
Looking at the Return On Equity, with a value of 15.37%, FLO belongs to the top of the industry, outperforming 85.06% of the companies in the same industry.
With a decent Return On Invested Capital value of 7.62%, FLO is doing good in the industry, outperforming 77.01% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for FLO is significantly below the industry average of 28.26%.
| 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
The Profit Margin of FLO (4.30%) is better than 67.82% of its industry peers.
FLO's Profit Margin has improved in the last couple of years.
With a decent Operating Margin value of 7.31%, FLO is doing good in the industry, outperforming 67.82% of the companies in the same industry.
In the last couple of years the Operating Margin of FLO has grown nicely.
FLO has a Gross Margin of 49.38%. This is amongst the best in 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.
Compared to 1 year ago, FLO has about the same amount of shares outstanding.
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
FLO has an Altman-Z score of 2.33. This is not the best score and indicates that FLO is in the grey zone with still only limited risk for bankruptcy at the moment.
With a Altman-Z score value of 2.33, FLO perfoms like the industry average, outperforming 57.47% of the companies in the same 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 75.86% 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.
With a Debt to Equity ratio value of 1.23, FLO is not doing good in the industry: 75.86% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.23 | ||
| Debt/FCF | 4.59 | ||
| Altman-Z | 2.33 |
ROIC/WACC1.1
WACC6.94%
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 67.82% 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.
Looking at the Quick ratio, with a value of 0.74, FLO is doing worse than 64.37% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.26 | ||
| Quick Ratio | 0.74 |
3. Growth
3.1 Past
FLO shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by -1.64%.
The Earnings Per Share has been growing slightly by 5.70% on average over the past years.
Looking at the last year, FLO shows a decrease in Revenue. The Revenue has decreased by -0.61% in the last year.
Measured over the past years, FLO shows a small growth in Revenue. The Revenue has been growing by 4.35% on average per year.
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
The Earnings Per Share is expected to decrease by -1.95% on average over the next years.
The Revenue is expected to grow by 1.04% on average over the next years.
EPS Next Y-16.62%
EPS Next 2Y-8.07%
EPS Next 3Y-5.16%
EPS Next 5Y-1.95%
Revenue Next Year2.82%
Revenue Next 2Y1.42%
Revenue Next 3Y0.95%
Revenue Next 5Y1.04%
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 decreasing.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 9.90, the valuation of FLO can be described as reasonable.
Based on the Price/Earnings ratio, FLO is valued cheaper than 85.06% of the companies in the same industry.
FLO is valuated cheaply when we compare the Price/Earnings ratio to 26.51, which is the current average of the S&P500 Index.
The Price/Forward Earnings ratio is 10.98, which indicates a very decent valuation of FLO.
Based on the Price/Forward Earnings ratio, FLO is valued cheaper than 85.06% of the companies in the same industry.
FLO is valuated cheaply when we compare the Price/Forward Earnings ratio to 22.53, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.9 | ||
| Fwd PE | 10.98 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, FLO is valued a bit cheaper than the industry average as 71.26% of the companies are valued more expensively.
FLO's Price/Free Cash Flow ratio is rather cheap when compared to the industry. FLO is cheaper than 90.80% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 6.54 | ||
| EV/EBITDA | 7.95 |
4.3 Compensation for Growth
The decent profitability rating of FLO may justify a higher PE ratio.
A cheap valuation may be justified as FLO's earnings are expected to decrease with -5.16% in the coming years.
PEG (NY)N/A
PEG (5Y)1.74
EPS Next 2Y-8.07%
EPS Next 3Y-5.16%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 8.20%, FLO is a good candidate for dividend investing.
In the last 3 months the price of FLO has falen by -27.34%. A price decline artificially increases the dividend yield. It may be a sign investors do not expect the dividend to last.
Compared to an average industry Dividend Yield of 5.23, FLO pays a better dividend. On top of this FLO pays more dividend than 96.55% of the companies listed in the same industry.
FLO's Dividend Yield is rather good when compared to the S&P500 average which is at 2.38.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 8.2% |
5.2 History
The dividend of FLO is nicely growing with an annual growth rate of 7.46%!
FLO has paid a dividend for at least 10 years, which is a reliable track record.
FLO has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
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.
FLO's earnings are declining while the Dividend Rate has been growing. This means the dividend growth is most likely not sustainable.
DP93.8%
EPS Next 2Y-8.07%
EPS Next 3Y-5.16%
11.88
-0.05 (-0.42%)
Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupFood, Beverage & Tobacco
GICS IndustryFood Products
Earnings (Last)
Earnings (Next)
Inst Owners85.86%
Inst Owner Change1.75%
Ins Owners2.31%
Ins Owner Change0.23%
Market Cap2.51B
Revenue(TTM)5.10B
Net Income(TTM)219.47M
Analysts51.43
Price Target16.32 (37.37%)
Short Float %9.68%
Short Ratio4.88
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 8.2% |
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)-2.29%
PT rev (3m)-14.67%
EPS NQ rev (1m)-0.65%
EPS NQ rev (3m)-11.69%
EPS NY rev (1m)-0.16%
EPS NY rev (3m)-4.72%
Revenue NQ rev (1m)0.08%
Revenue NQ rev (3m)-1.11%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-0.82%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.9 | ||
| Fwd PE | 10.98 | ||
| P/S | 0.49 | ||
| P/FCF | 6.54 | ||
| P/OCF | 4.91 | ||
| P/B | 1.76 | ||
| P/tB | N/A | ||
| EV/EBITDA | 7.95 |
EPS(TTM)1.2
EY10.1%
EPS(NY)1.08
Fwd EY9.11%
FCF(TTM)1.82
FCFY15.29%
OCF(TTM)2.42
OCFY20.36%
SpS24.14
BVpS6.76
TBVpS-3.6
PEG (NY)N/A
PEG (5Y)1.74
Graham Number13.51
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%
ROICexgc growth 3Y-3.32%
ROICexgc 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 | 2.33 |
F-Score7
WACC6.94%
ROIC/WACC1.1
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-16.62%
EPS Next 2Y-8.07%
EPS Next 3Y-5.16%
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 2Y1.42%
Revenue Next 3Y0.95%
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%
FLOWERS FOODS INC / FLO FAQ
What is the ChartMill fundamental rating of FLOWERS FOODS INC (FLO) stock?
ChartMill assigns a fundamental rating of 5 / 10 to FLO.
Can you provide the valuation status for FLOWERS FOODS INC?
ChartMill assigns a valuation rating of 7 / 10 to FLOWERS FOODS INC (FLO). This can be considered as Undervalued.
What is the profitability of FLO stock?
FLOWERS FOODS INC (FLO) has a profitability rating of 7 / 10.
What are the PE and PB ratios of FLOWERS FOODS INC (FLO) stock?
The Price/Earnings (PE) ratio for FLOWERS FOODS INC (FLO) is 9.9 and the Price/Book (PB) ratio is 1.76.
What is the financial health of FLOWERS FOODS INC (FLO) stock?
The financial health rating of FLOWERS FOODS INC (FLO) is 4 / 10.