NYSE:BG

Stock Analysis Report

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Executive Summary

Bunge Limited operates as an agribusiness and food company worldwide. More Details


Snowflake Analysis

Average dividend payer and fair value.


Similar Companies

Share Price & News

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


Latest Share Price and Events

Stable Share Price: BG's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

6.2%

BG

-1.3%

US Food

-2.4%

US Market


1 Year Return

-1.0%

BG

8.5%

US Food

18.2%

US Market

Return vs Industry: BG underperformed the US Food industry which returned 9% over the past year.

Return vs Market: BG underperformed the US Market which returned 19.5% over the past year.


Shareholder returns

BGIndustryMarket
7 Day6.2%-1.3%-2.4%
30 Day14.7%4.3%4.2%
90 Day27.3%3.6%6.3%
1 Year3.4%-1.0%11.2%8.5%20.9%18.2%
3 Year-14.5%-23.2%11.7%2.6%41.2%31.8%
5 Year-19.3%-31.1%16.5%0.6%84.8%63.9%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

32.7%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: BG ($54.6) is trading below our estimate of fair value ($81.12)

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


Price To Earnings Ratio

PE vs Industry: BG is unprofitable, so we can't compare its PE Ratio to the US Food industry average.

PE vs Market: BG is unprofitable, so we can't compare its PE Ratio to the US market.


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate BG's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: BG is good value based on its PB Ratio (1.7x) compared to the US Food industry average (2.2x).


Next Steps

Future Growth

How is Bunge forecast to perform in the next 1 to 3 years based on estimates from 7 analysts?

98.3%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: BG is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (2.2%).

Earnings vs Market: BG is forecast to become profitable over the next 3 years, which is considered above average market growth.

High Growth Earnings: BG's is expected to become profitable in the next 3 years.

Revenue vs Market: BG's revenue (2.2% per year) is forecast to grow slower than the US market (10% per year).

High Growth Revenue: BG's revenue (2.2% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: BG's Return on Equity is forecast to be low in 3 years time (10%).


Next Steps

Past Performance

How has Bunge performed over the past 5 years?

-62.4%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: BG is currently unprofitable.

Growing Profit Margin: BG is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: BG is unprofitable, and losses have increased over the past 5 years at a rate of 62.4% per year.

Accelerating Growth: Unable to compare BG's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: BG is unprofitable, making it difficult to compare its past year earnings growth to the Food industry (-5.6%).


Return on Equity

High ROE: BG has a negative Return on Equity (-21.83%), as it is currently unprofitable.


Next Steps

Financial Health

How is Bunge's financial position?


Financial Position Analysis

Short Term Liabilities: BG's short term assets ($11.5B) exceed its short term liabilities ($7.5B).

Long Term Liabilities: BG's short term assets ($11.5B) exceed its long term liabilities ($5.5B).


Debt to Equity History and Analysis

Debt Level: BG's debt to equity ratio (107.7%) is considered high.

Reducing Debt: BG's debt to equity ratio has increased from 63.2% to 107.7% over the past 5 years.

Debt Coverage: BG's operating cash flow is negative, therefore debt is not well covered.

Interest Coverage: BG is unprofitable, therefore interest payments are not well covered by earnings.


Balance Sheet


Next Steps

Dividend

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

3.66%

Current Dividend Yield


Upcoming Dividend Payment


Dividend Yield vs Market

Notable Dividend: BG's dividend (3.66%) is higher than the bottom 25% of dividend payers in the US market (1.62%).

High Dividend: BG's dividend (3.66%) is low compared to the top 25% of dividend payers in the US market (4.66%).


Stability and Growth of Payments

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

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


Current Payout to Shareholders

Dividend Coverage: BG is paying a dividend but the company is unprofitable.


Future Payout to Shareholders

Future Dividend Coverage: BG's dividends in 3 years are forecast to be covered by earnings (50.8% payout ratio).


Next Steps

Management

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

1.4yrs

Average management tenure


CEO

Greg Heckman (58 yo)

1.75yrs

Tenure

US$16,734,730

Compensation

Mr. Gregory A. Heckman, also known as Greg, serves as the Member of Advisory Council of The New York Stock Exchange since May 2020. He serves as Chief Executive Officer of Bunge Limited since April 25, 201 ...


CEO Compensation Analysis

Compensation vs Market: Greg's total compensation ($USD16.73M) is above average for companies of similar size in the US market ($USD7.31M).

Compensation vs Earnings: Greg's compensation has increased whilst the company is unprofitable.


Leadership Team

NamePositionTenureCompensationOwnership
Gregory Heckman
CEO & Director1.75yrsUS$16.73m0.18%
$ 13.7m
John Neppl
Executive VP & CFO1.42yrsUS$2.82m0.015%
$ 1.1m
Raul Padilla
President of Global Operations1.42yrsUS$5.80m0.052%
$ 3.9m
Christos Dimopoulos
President of Global Supply Chains2yrsUS$3.36m0.0071%
$ 539.1k
Brian Zachman
President of Global Risk Management1.75yrsUS$8.27m0.028%
$ 2.1m
J. Simmons
Principal Accounting Officer & Controller5.08yrsno datano data
Ruth Wisener
Vice President of Investor Relations1.58yrsno datano data
Joseph Podwika
Executive VP & Chief Legal Officer0.92yrno data0.011%
$ 818.9k
Deborah Borg
Chief HR & Communications Officerno datano data0.0094%
$ 719.8k
Pierre Mauger
Chief Transformation Officer1.42yrsno data0.0062%
$ 475.0k
Robert Coviello
Senior Vice President of Sustainability & Government Affairs1.42yrsno datano data
Robert Wagner
Chief Risk Officer1.33yrsno data0.0044%
$ 338.5k

1.4yrs

Average Tenure

52yo

Average Age

Experienced Management: BG's management team is not considered experienced ( 1.4 years average tenure), which suggests a new team.


Board Members

NamePositionTenureCompensationOwnership
Gregory Heckman
CEO & Director1.75yrsUS$16.73m0.18%
$ 13.7m
Kathleen Hyle
Independent Non-Executive Chair of the Board1.83yrsUS$497.25k0.016%
$ 1.2m
Paul Fribourg
Director2yrsUS$253.22k0.093%
$ 7.1m
Carol Browner
Independent Director7.17yrsUS$256.06k0.012%
$ 881.4k
J. Fyrwald
Independent Director1.83yrsUS$250.97k0.017%
$ 1.3m
Bernardo Hees
Independent Director0.83yrUS$73.67k0.00088%
$ 67.1k
Vinita Bali
Independent Director2.75yrsUS$248.39k0.0042%
$ 323.3k
Sheila Colleen Bair
Independent Director0.83yrUS$74.51k0.0012%
$ 94.5k
Mark Zenuk
Independent Director2.25yrsUS$263.97k0.0078%
$ 597.0k
Henry Winship
Independent Director2yrsUS$258.56kno data

2.0yrs

Average Tenure

61yo

Average Age

Experienced Board: BG's board of directors are not considered experienced ( 2 years average tenure), which suggests a new board.


Ownership

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


Insider Trading Volume

Insider Buying: BG insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

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


Top Shareholders

Company Information

Bunge Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Bunge Limited
  • Ticker: BG
  • Exchange: NYSE
  • Founded: 1818
  • Industry: Agricultural Products
  • Sector: Food, Beverage & Tobacco
  • Market Cap: US$7.625b
  • Shares outstanding: 139.64m
  • Website: https://www.bunge.com

Number of Employees


Location

  • Bunge Limited
  • 1391 Timberlake Manor Parkway
  • Saint Louis
  • Missouri
  • 63017
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
BGNYSE (New York Stock Exchange)YesCommon SharesUSUSDAug 2001
BU3DB (Deutsche Boerse AG)YesCommon SharesDEEURAug 2001
BG *BMV (Bolsa Mexicana de Valores)YesCommon SharesMXMXNAug 2001
0U6RLSE (London Stock Exchange)YesCommon SharesGBUSDAug 2001
BGEP.FOTCPK (Pink Sheets LLC)4.875% CNV PFDUSUSDNov 2006
BNGBASE (Buenos Aires Stock Exchange)CEDEAR EACH REP 5 COM USD0.01ARARSMay 2011

Biography

Bunge Limited operates as an agribusiness and food company worldwide. It operates in five segments: Agribusiness, Edible Oil Products, Milling Products, Sugar and Bioenergy, and Fertilizer. The Agribusines ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/10/19 23:55
End of Day Share Price2020/10/19 00:00
Earnings2020/06/30
Annual Earnings2019/12/31


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.