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Market Cap

€38.4b

Last Updated

2021/05/06 18:56 UTC

Data Sources

Company Financials +

Executive Summary

Danone S.A. operates in the food and beverage industry in Europe, Noram, Latin America, the Asia Pacific, Africa, and the Middle East. More Details


Snowflake Analysis

Established dividend payer and fair value.


Similar Companies

Share Price & News

How has Danone's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: BN is less volatile than 75% of French stocks over the past 3 months, typically moving +/- 3% a week.

Volatility Over Time: BN's weekly volatility (3%) has been stable over the past year.


Market Performance


7 Day Return

-0.2%

BN

-0.4%

FR Food

0.2%

FR Market


1 Year Return

-6.3%

BN

-0.1%

FR Food

42.8%

FR Market

Return vs Industry: BN underperformed the French Food industry which returned 2.3% over the past year.

Return vs Market: BN underperformed the French Market which returned 44.9% over the past year.


Shareholder returns

BNIndustryMarket
7 Day-0.2%-0.4%0.2%
30 Day0.5%0.1%3.9%
90 Day10.6%11.6%11.5%
1 Year-3.0%-6.3%3.1%-0.1%46.1%42.8%
3 Year-3.8%-9.6%-5.5%-10.8%28.3%17.8%
5 Year9.8%-2.3%6.9%-3.8%86.0%59.6%

Long-Term Price Volatility Vs. Market

How volatile is Danone's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Danone undervalued compared to its fair value and its price relative to the market?

27.5%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: BN (€58.99) is trading below our estimate of fair value (€81.33)

Significantly Below Fair Value: BN is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: BN is poor value based on its PE Ratio (19.7x) compared to the FR Food industry average (17.7x).

PE vs Market: BN is good value based on its PE Ratio (19.7x) compared to the French market (24.4x).


Price to Earnings Growth Ratio

PEG Ratio: BN is poor value based on its PEG Ratio (2.7x)


Price to Book Ratio

PB vs Industry: BN is overvalued based on its PB Ratio (2.4x) compared to the FR Food industry average (1.2x).


Future Growth

How is Danone forecast to perform in the next 1 to 3 years based on estimates from 23 analysts?

7.4%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: BN's forecast earnings growth (7.4% per year) is above the savings rate (0.4%).

Earnings vs Market: BN's earnings (7.4% per year) are forecast to grow slower than the French market (20.4% per year).

High Growth Earnings: BN's earnings are forecast to grow, but not significantly.

Revenue vs Market: BN's revenue (2.5% per year) is forecast to grow slower than the French market (6.9% per year).

High Growth Revenue: BN's revenue (2.5% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: BN's Return on Equity is forecast to be low in 3 years time (13.1%).


Past Performance

How has Danone performed over the past 5 years?

4.3%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: BN has high quality earnings.

Growing Profit Margin: BN's current net profit margins (8.2%) are higher than last year (7.6%).


Past Earnings Growth Analysis

Earnings Trend: BN's earnings have grown by 4.3% per year over the past 5 years.

Accelerating Growth: BN's earnings growth over the past year (1.4%) is below its 5-year average (4.3% per year).

Earnings vs Industry: BN earnings growth over the past year (1.4%) underperformed the Food industry 1.4%.


Return on Equity

High ROE: BN's Return on Equity (12.5%) is considered low.


Financial Health

How is Danone's financial position?


Financial Position Analysis

Short Term Liabilities: BN's short term assets (€10.6B) exceed its short term liabilities (€10.3B).

Long Term Liabilities: BN's short term assets (€10.6B) do not cover its long term liabilities (€16.1B).


Debt to Equity History and Analysis

Debt Level: BN's debt to equity ratio (95.3%) is considered high.

Reducing Debt: BN's debt to equity ratio has increased from 87.6% to 95.3% over the past 5 years.

Debt Coverage: BN's debt is not well covered by operating cash flow (19.1%).

Interest Coverage: BN's interest payments on its debt are well covered by EBIT (16.1x coverage).


Balance Sheet


Dividend

What is Danone current dividend yield, its reliability and sustainability?

3.29%

Current Dividend Yield


Upcoming Dividend Payment

TodayMay 07 2021Ex Dividend DateMay 10 2021Dividend Pay DateMay 12 20212 days from Ex DividendBuy in the next 3 days to receive the upcoming dividend

Dividend Yield vs Market

Notable Dividend: BN's dividend (3.29%) is higher than the bottom 25% of dividend payers in the French market (1.29%).

High Dividend: BN's dividend (3.29%) is low compared to the top 25% of dividend payers in the French market (4.02%).


Stability and Growth of Payments

Stable Dividend: BN's dividends per share have been stable in the past 10 years.

Growing Dividend: BN's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonable payout ratio (64.9%), BN's dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: BN's dividends in 3 years are forecast to be covered by earnings (56.9% payout ratio).


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

1.2yrs

Average management tenure


CEO

Véronique Penchienati-Bosetta (53 yo)

0.17

Tenure

Ms. Véronique Penchienati-Bosetta serves as Chief Executive Officer of International at Danone S.A. since October 2020 and also serves its Co-Chief Executive Officer since March 2021. She served as an Exec...


Leadership Team

Experienced Management: BN's management team is not considered experienced ( 1.2 years average tenure), which suggests a new team.


Board Members

Experienced Board: BN's board of directors are considered experienced (7.1 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Danone S.A.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Danone S.A.
  • Ticker: BN
  • Exchange: ENXTPA
  • Founded: 1899
  • Industry: Packaged Foods and Meats
  • Sector: Food, Beverage & Tobacco
  • Market Cap: €38.409b
  • Shares outstanding: 649.80m
  • Website: https://www.danone.com

Number of Employees


Location

  • Danone S.A.
  • 15, Rue Du Helder
  • Paris
  • Ile-de-France
  • 75439
  • France

Listings


Biography

Danone S.A. operates in the food and beverage industry in Europe, Noram, Latin America, the Asia Pacific, Africa, and the Middle East. The company operates through three segments: Essential Dairy & Plant-B...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/05/06 18:56
End of Day Share Price2021/05/06 00:00
Earnings2020/12/31
Annual Earnings2020/12/31


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.