Marfrig Global Foods S.A.

BOVESPA:MRFG3 Stock Report

Market Cap: R$14.8b

Marfrig Global Foods Valuation

Is MRFG3 undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

2/6

Valuation Score 2/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of MRFG3 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: MRFG3 (R$16.66) is trading above our estimate of fair value (R$9.28)

Significantly Below Fair Value: MRFG3 is trading above our estimate of fair value.


Key Valuation Metric

Which metric is best to use when looking at relative valuation for MRFG3?

Key metric: As MRFG3 is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for MRFG3. This is calculated by dividing MRFG3's market cap by their current earnings.
What is MRFG3's PE Ratio?
PE Ratio2.2x
EarningsR$6.78b
Market CapR$14.80b

Price to Earnings Ratio vs Peers

How does MRFG3's PE Ratio compare to its peers?

The above table shows the PE ratio for MRFG3 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average8.3x
SMTO3 São Martinho
7.1x1.4%R$8.0b
MDIA3 M. Dias Branco Indústria e Comércio de Alimentos
8.5x15.3%R$6.9b
13x-25.2%R$42.6b
CAML3 Camil Alimentos
4.7x-5.2%R$2.1b
MRFG3 Marfrig Global Foods
2.2x-137.2%R$14.8b

Price-To-Earnings vs Peers: MRFG3 is good value based on its Price-To-Earnings Ratio (2.2x) compared to the peer average (8.3x).


Price to Earnings Ratio vs Industry

How does MRFG3's PE Ratio compare vs other companies in the South American Food Industry?

2 CompaniesPrice / EarningsEstimated GrowthMarket Cap
MRFG3 2.2xIndustry Avg. 10.3xNo. of Companies15PE0816243240+
2 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: MRFG3 is good value based on its Price-To-Earnings Ratio (2.2x) compared to the South American Food industry average (9.9x).


Price to Earnings Ratio vs Fair Ratio

What is MRFG3's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

MRFG3 PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio2.2x
Fair PE Ratio0.8x

Price-To-Earnings vs Fair Ratio: MRFG3 is expensive based on its Price-To-Earnings Ratio (2.2x) compared to the estimated Fair Price-To-Earnings Ratio (0.8x).


Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst MRFG3 forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentR$16.66
R$18.73
+12.4%
11.5%R$23.00R$14.00n/a12
Dec ’25R$18.77
R$18.43
-1.8%
13.0%R$23.00R$14.00n/a12
Nov ’25R$15.37
R$17.81
+15.9%
13.6%R$23.00R$14.00n/a12
Oct ’25R$13.75
R$16.97
+23.4%
20.3%R$23.00R$10.00n/a11
Sep ’25R$14.56
R$15.89
+9.1%
22.1%R$23.00R$10.00n/a12
Aug ’25R$11.73
R$13.74
+17.1%
20.0%R$18.50R$8.70n/a12
Jul ’25R$12.57
R$14.38
+14.4%
18.2%R$18.50R$10.00n/a11
Jun ’25R$11.28
R$13.75
+21.9%
18.9%R$18.00R$10.00n/a11
May ’25R$9.45
R$12.99
+37.4%
20.6%R$18.00R$9.65n/a11
Apr ’25R$10.31
R$13.07
+26.8%
25.7%R$18.00R$7.00n/a12
Mar ’25R$9.80
R$12.99
+32.5%
27.1%R$18.00R$6.00n/a12
Feb ’25R$9.20
R$12.78
+38.9%
26.9%R$18.00R$6.00n/a12
Jan ’25R$9.70
R$12.47
+28.6%
27.7%R$18.00R$6.00n/a12
Dec ’24R$10.04
R$11.47
+14.2%
30.3%R$18.00R$6.00R$18.7711
Nov ’24R$6.50
R$11.34
+74.4%
32.1%R$18.00R$6.00R$15.3711
Oct ’24R$7.13
R$11.34
+59.0%
32.1%R$18.00R$6.00R$13.7511
Sep ’24R$7.36
R$12.42
+68.8%
45.3%R$27.84R$6.00R$14.5613
Aug ’24R$7.45
R$12.06
+61.8%
46.8%R$28.00R$6.00R$11.7314
Jul ’24R$7.27
R$11.90
+63.7%
48.4%R$28.00R$6.00R$12.5714
Jun ’24R$6.65
R$12.08
+81.6%
48.9%R$28.00R$6.00R$11.2814
May ’24R$6.51
R$12.61
+93.8%
46.8%R$28.00R$6.00R$9.4514
Apr ’24R$6.64
R$13.60
+104.8%
44.4%R$28.00R$6.00R$10.3115
Mar ’24R$6.57
R$15.63
+138.0%
57.4%R$40.00R$8.00R$9.8015
Feb ’24R$8.11
R$20.53
+153.2%
47.3%R$40.00R$8.00R$9.2015
Jan ’24R$8.70
R$21.33
+145.2%
42.8%R$40.00R$8.00R$9.7015
Dec ’23R$8.14
R$24.60
+202.2%
55.6%R$65.00R$8.00R$10.0415

Analyst Forecast: Target price is less than 20% higher than the current share price.


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Company Analysis and Financial Data Status

DataLast Updated (UTC time)
Company Analysis2024/12/25 18:32
End of Day Share Price 2024/12/23 00:00
Earnings2024/09/30
Annual Earnings2023/12/31

Data Sources

The data used in our company analysis is from S&P Global Market Intelligence LLC. The following data is used in our analysis model to generate this report. Data is normalised which can introduce a delay from the source being available.

PackageDataTimeframeExample US Source *
Company Financials10 years
  • Income statement
  • Cash flow statement
  • Balance sheet
Analyst Consensus Estimates+3 years
  • Forecast financials
  • Analyst price targets
Market Prices30 years
  • Stock prices
  • Dividends, Splits and Actions
Ownership10 years
  • Top shareholders
  • Insider trading
Management10 years
  • Leadership team
  • Board of directors
Key Developments10 years
  • Company announcements

* example for US securities, for non-US equivalent regulatory forms and sources are used.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.

Analysis Model and Snowflake

Details of the analysis model used to generate this report is available on our Github page, we also have guides on how to use our reports and tutorials on Youtube.

Learn about the world class team who designed and built the Simply Wall St analysis model.

Industry and Sector Metrics

Our industry and section metrics are calculated every 6 hours by Simply Wall St, details of our process are available on .

Analyst Sources

Marfrig Global Foods S.A. is covered by 30 analysts. 10 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.

AnalystInstitution
Benjamin TheurerBarclays
Gabriel Vaz de LimaBarclays
Mary Cleia da SilvaBB Banco de Investimento S.A.