Investors Appear Satisfied With BRF S.A.'s (BVMF:BRFS3) Prospects
Jun 21
Brazilian (BOVESPA) Food Industry Analysis
UpdatedJun 21, 2024
DataAggregated Company Financials
Companies14
- 7D4.0%
- 3M13.7%
- 1Y36.4%
- YTD15.1%
Over the last 7 days, the Food industry has risen 1.7%, driven by gains from BRF of 9.2%. This takes the industry's 12 month performance to a gain of 31%. Looking forward, earnings are forecast to grow by 41% annually.
Industry Valuation and Performance
Has the Brazilian Food Industry valuation changed over the past few years?
| Date | Market Cap | Revenue | Earnings | PE | Absolute PE | PS |
|---|---|---|---|---|---|---|
| Fri, 21 Jun 2024 | R$152.9b | R$614.3b | R$4.7b | 10.8x | 32.4x | 0.2x |
| Sun, 19 May 2024 | R$153.4b | R$613.5b | R$4.2b | 12.3x | 36.7x | 0.3x |
| Tue, 16 Apr 2024 | R$135.4b | R$610.8b | -R$561,519,000.00 | 10.1x | -241.2x | 0.2x |
| Thu, 14 Mar 2024 | R$134.3b | R$614.1b | -R$2,884,476,000.00 | 10.3x | -46.5x | 0.2x |
| Sat, 10 Feb 2024 | R$128.0b | R$601.0b | -R$4,079,340,000.00 | 9.2x | -31.4x | 0.2x |
| Mon, 08 Jan 2024 | R$129.6b | R$602.7b | -R$3,848,941,000.00 | 9.9x | -33.7x | 0.2x |
| Wed, 06 Dec 2023 | R$134.2b | R$602.7b | -R$3,848,941,000.00 | 9.7x | -34.9x | 0.2x |
| Fri, 03 Nov 2023 | R$116.4b | R$610.0b | R$4.0b | 9.3x | 29.3x | 0.2x |
| Sun, 01 Oct 2023 | R$111.5b | R$609.8b | R$4.0b | 10x | 27.7x | 0.2x |
| Tue, 29 Aug 2023 | R$113.1b | R$609.6b | R$3.8b | 10.7x | 29.7x | 0.2x |
| Thu, 27 Jul 2023 | R$110.3b | R$615.1b | R$14.2b | 9.1x | 7.8x | 0.2x |
| Sat, 24 Jun 2023 | R$107.2b | R$614.9b | R$14.4b | 8.2x | 7.5x | 0.2x |
| Mon, 22 May 2023 | R$100.3b | R$614.6b | R$14.4b | 8.1x | 6.9x | 0.2x |
| Wed, 19 Apr 2023 | R$91.7b | R$607.0b | R$21.6b | 7.8x | 4.2x | 0.2x |
| Fri, 17 Mar 2023 | R$100.9b | R$610.3b | R$25.8b | 9.7x | 3.9x | 0.2x |
| Sun, 12 Feb 2023 | R$100.9b | R$595.3b | R$29.0b | 9.4x | 3.5x | 0.2x |
| Tue, 10 Jan 2023 | R$107.3b | R$594.8b | R$29.2b | 6.4x | 3.7x | 0.2x |
| Thu, 08 Dec 2022 | R$107.0b | R$594.8b | R$29.2b | 6.9x | 3.7x | 0.2x |
| Sat, 05 Nov 2022 | R$131.1b | R$572.0b | R$34.1b | 7.7x | 3.8x | 0.2x |
| Mon, 03 Oct 2022 | R$125.0b | R$571.5b | R$34.1b | 6.7x | 3.7x | 0.2x |
| Wed, 31 Aug 2022 | R$145.8b | R$571.4b | R$34.1b | 7.7x | 4.3x | 0.3x |
| Fri, 29 Jul 2022 | R$146.9b | R$547.6b | R$32.2b | 7.7x | 4.6x | 0.3x |
| Sun, 26 Jun 2022 | R$143.8b | R$547.5b | R$32.2b | 8.3x | 4.5x | 0.3x |
| Tue, 24 May 2022 | R$153.0b | R$547.0b | R$32.0b | 9.1x | 4.8x | 0.3x |
| Thu, 21 Apr 2022 | R$166.8b | R$521.8b | R$30.0b | 10.6x | 5.6x | 0.3x |
| Sat, 19 Mar 2022 | R$170.2b | R$499.9b | R$27.6b | 11.2x | 6.2x | 0.3x |
| Mon, 14 Feb 2022 | R$167.7b | R$490.6b | R$27.6b | 12x | 6.1x | 0.3x |
| Wed, 12 Jan 2022 | R$162.3b | R$489.8b | R$27.6b | 11.4x | 5.9x | 0.3x |
| Fri, 10 Dec 2021 | R$158.0b | R$489.8b | R$27.6b | 12.1x | 5.7x | 0.3x |
| Sun, 07 Nov 2021 | R$184.0b | R$462.6b | R$23.5b | 12.3x | 7.8x | 0.4x |
| Tue, 05 Oct 2021 | R$181.1b | R$455.5b | R$22.5b | 12.2x | 8x | 0.4x |
| Thu, 02 Sep 2021 | R$156.5b | R$455.4b | R$22.5b | 11.4x | 6.9x | 0.3x |
| Sat, 31 Jul 2021 | R$161.8b | R$455.4b | R$22.5b | 11.4x | 7.2x | 0.4x |
Price to Earnings Ratio
6.9x
Current Industry PE
- Investors are optimistic on the Brazilian Food industry, and appear confident in long term growth rates.
- The industry is trading at a PE ratio of 36.6x which is higher than its 3-year average PE of -4.0x.
- The industry is trading close to its 3-year average PS ratio of 0.25x.
Past Earnings Growth
- The earnings for companies in the Food industry have declined 43% per year over the last three years.
- Meanwhile revenues for these companies have grown 11% per year.
- This means that although more sales are being generated, either the cost of doing business or the level of investment back into businesses has increased, which has decreased profits.
Industry Trends
Which industries have driven the changes within the Brazilian Consumer Staples industry?
| BR Market | 0.67% | |
| Consumer Staples | 0.54% | |
| Food | 4.02% | |
| Packaged Foods and Meats | 4.57% | |
| Agricultural Products | -0.056% | |
Industry PE
- Investors are most optimistic about the Packaged Foods and Meats industry which is trading above its 3-year average PE ratio of 3.2x.
- Analysts are expecting annual earnings growth of 43.6%, which is higher than its past year's earnings decline of 23.5% per year.
- Investors are most pessimistic about the Agricultural Products industry, although it looks like investor sentiment has improved given that it's trading above its 3-year average of 9.3x.
Forecasted Growth
- Analysts are most optimistic on the Packaged Foods and Meats industry, expecting annual earnings growth of 44% over the next 5 years.
- This is better than its past earnings decline of 23% per year.
- In contrast, the Agricultural Products industry is expected to see its earnings grow by 17% per year over the next few years.
Top Stock Gainers and Losers
Which companies have driven the market over the last 7 days?
| Company | Last Price | 7D | 1Y | Valuation | |
|---|---|---|---|---|---|
| BRFS3 BRF | R$20.31 | 9.0% +R$2.8b | 113.8% | PS0.6x | |
| JBSS3 JBS | R$29.53 | 3.2% +R$2.0b | 71.9% | PE32.1x | |
| SMTO3 São Martinho | R$32.88 | 7.0% +R$723.3m | -8.8% | PE7.7x | |
| MRFG3 Marfrig Global Foods | R$11.13 | 5.8% +R$562.6m | 49.4% | PS0.08x | |
| BEEF3 Minerva | R$6.58 | 6.8% +R$246.5m | -35.4% | PE38.5x |
