Danone Valuation

Is BN N 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 BN N when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: BN N (MX$1362.38) is trading below our estimate of fair value (MX$1740.66)

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


Key Valuation Metric

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

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

The above table shows the Price to Earnings ratio for BN N. This is calculated by dividing BN N's market cap by their current earnings.
What is BN N's PE Ratio?
PE Ratio41.5x
Earnings€1.00b
Market Cap€41.64b

Price to Earnings Ratio vs Peers

How does BN N's PE Ratio compare to its peers?

The above table shows the PE ratio for BN N vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average14.6x
BIMBO A Grupo Bimbo. de
20.7x20.7%Mex$258.5b
GRUMA B Gruma. de
12.4x7.0%Mex$124.5b
BACHOCO B Industrias Bachoco. de
14xn/aMex$50.9b
BAFAR B Grupo Bafar. de
11.4xn/aMex$36.3b
BN N Danone
41.5x18.5%Mex$41.6b

Price-To-Earnings vs Peers: BN N is expensive based on its Price-To-Earnings Ratio (41.5x) compared to the peer average (14.6x).


Price to Earnings Ratio vs Industry

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

2 CompaniesPrice / EarningsEstimated GrowthMarket Cap
BN N 41.5xIndustry Avg. 9.8xNo. of Companies14PE0816243240+
2 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: BN N is expensive based on its Price-To-Earnings Ratio (41.5x) compared to the South American Food industry average (9.8x).


Price to Earnings Ratio vs Fair Ratio

What is BN N'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.

BN N PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio41.5x
Fair PE Ration/a

Price-To-Earnings vs Fair Ratio: Insufficient data to calculate BN N's Price-To-Earnings Fair Ratio for valuation analysis.


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 BN N forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
Currentn/a
Mex$1,460.93
0%
9.4%Mex$1,742.62Mex$1,198.05n/a22
Nov ’25n/a
Mex$1,443.21
0%
8.5%Mex$1,624.91Mex$1,191.60n/a22
Oct ’25n/a
Mex$1,407.28
0%
9.6%Mex$1,578.37Mex$1,205.70n/a22
Sep ’25n/a
Mex$1,364.34
0%
9.2%Mex$1,535.65Mex$1,173.06n/a22
Aug ’25n/a
Mex$1,289.81
0%
9.2%Mex$1,458.50Mex$1,114.13n/a22
Jul ’25Mex$1,108.87
Mex$1,242.57
+12.1%
9.3%Mex$1,411.12Mex$1,038.74n/a22
Jun ’25n/a
Mex$1,157.69
0%
9.5%Mex$1,313.78Mex$967.09n/a22
May ’25n/a
Mex$1,153.87
0%
10.2%Mex$1,314.15Mex$912.61n/a22
Apr ’25n/a
Mex$1,139.71
0%
10.6%Mex$1,302.24Mex$904.34n/a22
Mar ’25n/a
Mex$1,159.49
0%
11.1%Mex$1,334.06Mex$907.90n/a23
Feb ’25Mex$1,152.06
Mex$1,155.53
+0.3%
11.4%Mex$1,345.87Mex$915.94n/a23
Jan ’25n/a
Mex$1,110.14
0%
12.6%Mex$1,311.76Mex$890.12n/a22
Dec ’24Mex$1,113.01
Mex$1,111.13
-0.2%
12.4%Mex$1,320.02Mex$895.73n/a22
Nov ’24n/a
Mex$1,110.82
0%
12.2%Mex$1,317.62Mex$894.10n/a22
Oct ’24n/a
Mex$1,083.73
0%
13.1%Mex$1,289.96Mex$792.40n/a22
Sep ’24Mex$979.93
Mex$1,105.22
+12.8%
13.3%Mex$1,323.65Mex$801.65n/a24
Aug ’24n/a
Mex$1,104.83
0%
12.3%Mex$1,305.68Mex$790.76n/a23
Jul ’24Mex$1,036.79
Mex$1,127.46
+8.7%
12.4%Mex$1,310.41Mex$804.97Mex$1,108.8722
Jun ’24Mex$1,045.07
Mex$1,144.90
+9.6%
13.1%Mex$1,340.94Mex$823.72n/a22
May ’24Mex$1,180.82
Mex$1,177.09
-0.3%
13.1%Mex$1,392.41Mex$855.34n/a22
Apr ’24n/a
Mex$1,161.34
0%
14.1%Mex$1,411.17Mex$866.86n/a22
Mar ’24Mex$1,049.25
Mex$1,104.62
+5.3%
13.9%Mex$1,355.15Mex$832.45n/a23
Feb ’24Mex$1,019.07
Mex$1,141.00
+12.0%
15.1%Mex$1,439.85Mex$843.34Mex$1,152.0622
Jan ’24Mex$1,029.93
Mex$1,197.74
+16.3%
14.3%Mex$1,470.48Mex$861.28n/a22
Dec ’23n/a
Mex$1,152.29
0%
12.2%Mex$1,411.47Mex$826.72Mex$1,113.0123
Nov ’23Mex$983.20
Mex$1,123.04
+14.2%
12.4%Mex$1,370.29Mex$802.60n/a24

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


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