NYSE:FDP

Stock Analysis Report

Executive Summary

Fresh Del Monte Produce Inc., through its subsidiaries, produces, markets, and distributes fresh and fresh-cut fruits and vegetables in North America, Europe, the Middle East, Africa, Asia, and internationally.

Snowflake

Fundamentals

Adequate balance sheet and fair value.

Risks

  • Fresh Del Monte Produce is covered by less than 3 analysts.

Similar Companies

Share Price & News

How has Fresh Del Monte Produce's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

8.5%

NYSE:FDP

0.2%

US Food

1.1%

US Market


1 Year Return

-13.2%

NYSE:FDP

0.8%

US Food

2.1%

US Market

FDP underperformed the Food industry which returned -0.6% over the past year.

FDP underperformed the Market in United States of America which returned 2% over the past year.


Share holder returns

FDPIndustryMarket
7 Day8.5%0.2%1.1%
30 Day22.1%2.3%3.7%
90 Day12.9%3.2%2.3%
1 Year-12.6%-13.2%3.8%0.8%4.4%2.1%
3 Year-44.2%-45.9%-0.2%-8.8%47.0%37.4%
5 Year3.4%-2.2%45.3%27.9%61.6%43.8%

Price Volatility Vs. Market

How volatile is Fresh Del Monte Produce's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Fresh Del Monte Produce undervalued based on future cash flows and its price relative to the stock market?

42%

Discount to future cash flow value


Intrinsic Value Based on Future Cash Flows

Fresh Del Monte Produce's share price is below the future cash flow value, and at a moderate discount (> 20%).

Fresh Del Monte Produce's share price is below the future cash flow value, and at a substantial discount (> 40%).


Price Based on Earnings

Fresh Del Monte Produce is overvalued based on earnings compared to the US Food industry average.

Fresh Del Monte Produce is overvalued based on earnings compared to the United States of America market.


Price Based on Expected Growth

Fresh Del Monte Produce is poor value based on expected growth next year.


Price Based on Value of Assets

Fresh Del Monte Produce is good value based on assets compared to the US Food industry average.


Next Steps

Future Growth

How is Fresh Del Monte Produce expected to perform in the next 1 to 3 years based on estimates from 1 analyst?

43.0%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

Fresh Del Monte Produce's revenue is expected to grow by 4.8% yearly, however this is not considered high growth (20% yearly).

Fresh Del Monte Produce's earnings are expected to grow significantly at over 20% yearly.

Fresh Del Monte Produce's revenue growth is positive but not above the United States of America market average.

Fresh Del Monte Produce's earnings growth is expected to exceed the United States of America market average.

Fresh Del Monte Produce's earnings growth is expected to exceed the low risk savings rate of 2.7%.


Earnings per Share Growth Estimates


Future Return on Equity

Fresh Del Monte Produce is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).


Next Steps

Past Performance

How has Fresh Del Monte Produce performed over the past 5 years?

-11.8%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Fresh Del Monte Produce's year on year earnings growth rate was negative over the past 5 years and the most recent earnings are below average.

Fresh Del Monte Produce's 1-year earnings growth is negative, it can't be compared to the 5-year average.

Fresh Del Monte Produce's 1-year earnings growth is negative, it can't be compared to the US Food industry average.


Return on Equity

Fresh Del Monte Produce has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).


Return on Assets

Fresh Del Monte Produce used its assets less efficiently than the US Food industry average last year based on Return on Assets.


Return on Capital Employed

Fresh Del Monte Produce's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).


Next Steps

Financial Health

How is Fresh Del Monte Produce's financial position?


Financial Position Analysis

Fresh Del Monte Produce's short term (1 year) commitments are greater than its holdings of cash and other short term assets.

Fresh Del Monte Produce's cash and other short term assets cover its long term commitments.


Debt to Equity History and Analysis

Fresh Del Monte Produce's level of debt (36.7%) compared to net worth is satisfactory (less than 40%).

The level of debt compared to net worth has increased over the past 5 years (9.8% vs 36.7% today).

Debt is well covered by operating cash flow (22.3%, greater than 20% of total debt).

Interest payments on debt are well covered by earnings (EBIT is 3.3x coverage).


Balance Sheet

High level of physical assets or inventory.

Debt is covered by short term assets, assets are 1.6x debt.


Next Steps

Dividend

What is Fresh Del Monte Produce's current dividend yield, its reliability and sustainability?

0.76%

Current Dividend Yield


Dividend Yield and Payments Analysis

Fresh Del Monte Produce's pays a lower dividend yield than the bottom 25% of dividend payers in United States of America (1.45%).

Fresh Del Monte Produce's dividend is below the markets top 25% of dividend payers in United States of America (3.67%).

Fresh Del Monte Produce is not paying a notable dividend for United States of America, therefore no need to check if the payments are stable.

Fresh Del Monte Produce is not paying a notable dividend for United States of America, therefore no need to check if the payments are increasing.


Current Payout to Shareholders

No need to calculate the sustainability of Fresh Del Monte Produce's dividends as it is not paying a notable one for United States of America.


Future Payout to Shareholders

No need to calculate the sustainability of Fresh Del Monte Produce's dividends in 3 years as they are not expected to pay a notable one for United States of America.


Next Steps

Management

What is the CEO of Fresh Del Monte Produce's salary, the management and board of directors tenure and is there insider trading?

1.0yrs

Average management tenure


CEO

Mohammad Abu-Ghazaleh (77yo)

22.8yrs

Tenure

US$6,666,332

Compensation

Mr. Mohammad Abu-Ghazaleh has been Chairman and Chief Executive Officer of Fresh Del Monte Produce Inc. since 1996. He also serves as the Chairman of the Royal Jordanian Air Academy. From 1997 to 2010 he s ...


CEO Compensation Analysis

Mohammad's remuneration is higher than average for companies of similar size in United States of America.

Mohammad's compensation has been consistent with company performance over the past year, both up more than 20%.


Management Age and Tenure

1.0yrs

Average Tenure

57yo

Average Age

The average tenure for the Fresh Del Monte Produce management team is less than 2 years, this suggests a new team.


Board Age and Tenure

10.7yrs

Average Tenure

72yo

Average Age

The average tenure for the Fresh Del Monte Produce board of directors is over 10 years, this suggests they are a seasoned and experienced board.


Insider Trading

Fresh Del Monte Produce individual insiders have only sold shares in the past 3 months, but not in substantial volumes.


Recent Insider Transactions

SellUS$17,67209 Aug 19
Sergio Mancilla
EntityIndividual
Shares619
Max PriceUS$28.55
SellUS$64,82021 May 19
Michael Berthelot
EntityIndividual
Role
Lead Director
Lead Independent Director
Shares2,207
Max PriceUS$29.37
SellUS$6,32701 Apr 19
Eduardo Bezerra
EntityIndividual
Role
Chief Financial Officer
CFO, Chief Accounting Officer & Senior VP
Shares232
Max PriceUS$27.27
SellUS$59,58915 Mar 19
Edward Boykin
EntityIndividual
Shares2,207
Max PriceUS$27.00
SellUS$5,44607 Mar 19
Sergio Mancilla
EntityIndividual
Shares200
Max PriceUS$27.23
SellUS$117,34419 Nov 18
Hani Maher Al-Jaouhari
EntityIndividual
Shares3,640
Max PriceUS$35.49
SellUS$918,05819 Nov 18
Oussama Abu Ghazaleh
EntityIndividual
Shares30,000
Max PriceUS$31.50
SellUS$1,531,03319 Nov 18
Hanan Abu-Ghazaleh
EntityIndividual
Shares48,650
Max PriceUS$34.11

Ownership Breakdown


Management Team

  • Mohammad Abu-Ghazaleh (77yo)

    Chairman & CEO

    • Tenure: 22.8yrs
    • Compensation: US$6.67m
  • Nucci Cerioli (57yo)

    Senior Vice President of North America Operations

    • Tenure: 0.8yrs
  • Helmuth Lutty (60yo)

    Senior Vice President of Shipping Operations

    • Tenure: 1.7yrs
  • Christine Cannella

    Vice President of Global Corporate Communications & Investor Relations

    • Tenure: 0yrs
  • Youssef Zakharia (57yo)

    President & COO

    • Tenure: 0yrs
    • Compensation: US$2.03m
  • Hans Sauter (59yo)

    Senior Vice President of Corporate R&D

    • Tenure: 0.6yrs
  • Marlene Gordon (52yo)

    Senior VP

    • Tenure: 1.3yrs
  • Martha Jeifetz (46yo)

    Senior VP & Chief Human Resources

    • Tenure: 1.5yrs
  • Danny Dumas (50yo)

    Senior Vice President of North America Sales

    • Tenure: 0.4yrs
  • Eduardo Bezerra (44yo)

    CFO, Chief Accounting Officer & Senior VP

    • Tenure: 0.5yrs

Board Members

  • Mike Berthelot (68yo)

    Lead Independent Director

    • Tenure: 0.3yrs
    • Compensation: US$244.98k
  • John Dalton (77yo)

    Independent Director

    • Tenure: 20.3yrs
    • Compensation: US$237.48k
  • Amir Abu-Ghazaleh (72yo)

    Director

    • Tenure: 22.8yrs
    • Compensation: US$214.98k
  • Mohammad Abu-Ghazaleh (77yo)

    Chairman & CEO

    • Tenure: 22.8yrs
    • Compensation: US$6.67m
  • Mary Cloyd (64yo)

    Independent Director

    • Tenure: 0.3yrs
  • Madeleine Champion (74yo)

    Independent Director

    • Tenure: 10.7yrs
    • Compensation: US$227.48k
  • Ahmad Mohammad Abu-Ghazaleh (42yo)

    Director

    • Tenure: 1.3yrs
    • Compensation: US$143.30k

Company Information

Fresh Del Monte Produce Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Fresh Del Monte Produce Inc.
  • Ticker: FDP
  • Exchange: NYSE
  • Founded: 1886
  • Industry: Agricultural Products
  • Sector: Food, Beverage & Tobacco
  • Market Cap: US$1.534b
  • Shares outstanding: 48.36m
  • Website: https://www.freshdelmonte.com

Number of Employees


Location

  • Fresh Del Monte Produce Inc.
  • 190 Elgin Avenue
  • George Town
  • Grand Cayman
  • KY1-9005
  • Cayman Islands

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
FDPNYSE (New York Stock Exchange)YesOrdinary SharesUSUSDOct 1997
FDMDB (Deutsche Boerse AG)YesOrdinary SharesDEEUROct 1997

Biography

Fresh Del Monte Produce Inc., through its subsidiaries, produces, markets, and distributes fresh and fresh-cut fruits and vegetables in North America, Europe, the Middle East, Africa, Asia, and internation ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/09/16 23:42
End of Day Share Price2019/09/16 00:00
Earnings2019/06/28
Annual Earnings2018/12/28


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.