NYSE:FLO

Stock Analysis Report

Executive Summary

Flowers Foods, Inc. produces and markets bakery products in the United States.

Snowflake

Fundamentals

Established dividend payer with adequate balance sheet.


Similar Companies

Share Price & News

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


Latest Share Price and Events


Market Performance


7 Day Return

0.4%

NYSE:FLO

-0.5%

US Food

0.2%

US Market


1 Year Return

11.2%

NYSE:FLO

-1.4%

US Food

-0.7%

US Market

FLO outperformed the Food industry which returned -1.1% over the past year.

FLO outperformed the Market in United States of America which returned 0.3% over the past year.


Share holder returns

FLOIndustryMarket
7 Day0.4%-0.5%0.2%
30 Day-2.9%-1.3%-2.7%
90 Day-0.9%2.0%1.6%
1 Year15.2%11.2%1.5%-1.4%1.6%-0.7%
3 Year67.0%49.7%-7.8%-15.7%40.0%30.9%
5 Year37.0%16.2%40.9%24.2%53.8%36.8%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Flowers Foods undervalued based on future cash flows and its price relative to the stock market?

9%

Discount to future cash flow value


Intrinsic Value Based on Future Cash Flows

Flowers Foods's share price is below the future cash flow value, but not at a moderate discount (< 20%).

Flowers Foods's share price is below the future cash flow value, but not at a substantial discount (< 40%).


Price Based on Earnings

Flowers Foods is good value based on earnings compared to the US Food industry average.

Flowers Foods is overvalued based on earnings compared to the United States of America market.


Price Based on Expected Growth

Flowers Foods is poor value based on expected growth next year.


Price Based on Value of Assets

Flowers Foods is overvalued based on assets compared to the US Food industry average.


Next Steps

Future Growth

How is Flowers Foods expected to perform in the next 1 to 3 years based on estimates from 7 analysts?

6.8%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

Flowers Foods's revenue is expected to grow by 1.3% yearly, however this is not considered high growth (20% yearly).

Flowers Foods's earnings are expected to grow by 6.8% yearly, however this is not considered high growth (20% yearly).

Flowers Foods's revenue growth is positive but not above the United States of America market average.

Flowers Foods's earnings growth is positive but not above the United States of America market average.

Flowers Foods's earnings growth is expected to exceed the low risk savings rate of 2.7%.


Earnings per Share Growth Estimates


Future Return on Equity

Unable to establish if Flowers Foods will efficiently use shareholders’ funds in the future without estimates of Return on Equity.


Next Steps

Past Performance

How has Flowers Foods performed over the past 5 years?

-3.0%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Flowers Foods's year on year earnings growth rate was negative over the past 5 years, however the most recent earnings are above average.

Flowers Foods's 1-year earnings growth exceeds its 5-year average (26.7% vs -3%)

Flowers Foods's earnings growth has exceeded the US Food industry average in the past year (26.7% vs -19.4%).


Return on Equity

Flowers Foods has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).


Return on Assets

Flowers Foods used its assets less efficiently than the US Food industry average last year based on Return on Assets.


Return on Capital Employed

Flowers Foods's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).


Next Steps

Financial Health

How is Flowers Foods's financial position?


Financial Position Analysis

Flowers Foods is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.

Flowers Foods's long term commitments exceed its cash and other short term assets.


Debt to Equity History and Analysis

Flowers Foods's level of debt (69.8%) compared to net worth is high (greater than 40%).

The level of debt compared to net worth has been reduced over the past 5 years (73.6% vs 69.8% today).

Debt is well covered by operating cash flow (39.4%, greater than 20% of total debt).

Interest payments on debt are well covered by earnings (EBIT is 27.7x coverage).


Balance Sheet

High level of physical assets or inventory.

Debt is not covered by short term assets, assets are 0.6x debt.


Next Steps

Dividend

What is Flowers Foods's current dividend yield, its reliability and sustainability?

3.38%

Expected Dividend Yield


Upcoming Dividend Payment

Purchase Flowers Foods before the 'Buy Limit' to receive their next dividend payment.


Dividend Yield and Payments Analysis

Flowers Foods's pays a higher dividend yield than the bottom 25% of dividend payers in United States of America (1.48%).

Flowers Foods's dividend is below the markets top 25% of dividend payers in United States of America (3.83%).

Dividends per share have been stable in the past 10 years.

Dividends per share have increased over the past 10 years.


Current Payout to Shareholders

Dividends paid are covered by earnings (1.2x coverage).


Future Payout to Shareholders

Dividends after 3 years are expected to be covered by earnings (1.3x coverage).


Next Steps

Management

What is the CEO of Flowers Foods's salary, the management and board of directors tenure and is there insider trading?

2.3yrs

Average management tenure


CEO

A. McMullian (49yo)

0.3yrs

Tenure

0

Mr. A. Ryals McMullian, Jr., is President and Chief Executive Officer of Flowers Foods, Inc. since May, 2019 and has been its Director since August 16, 2019. He served as Chief Operating Officer at Flowers ...


Management Age and Tenure

2.3yrs

Average Tenure

59yo

Average Age

The tenure for the Flowers Foods management team is about average.


Board Age and Tenure

6.6yrs

Average Tenure

68.5yo

Average Age

The tenure for the Flowers Foods board of directors is about average.


Insider Trading

No 3 month open market individual insider trading information.


Recent Insider Transactions

BuyUS$31,31018 Mar 19
Debo Mukherjee
EntityIndividual
Shares1,550
Max PriceUS$20.20

Ownership Breakdown


Management Team

  • Stephen Avera (63yo)

    Chief Legal Counsel

    • Tenure: 2.3yrs
    • Compensation: US$613.90k
  • Allen Shiver (63yo)

    Non-Executive Special Advisor

    • Tenure: 0.3yrs
    • Compensation: US$1.41m
  • R. Kinsey (58yo)

    CFO & Chief Administrative Officer

    • Tenure: 11.9yrs
    • Compensation: US$754.44k
  • Karyl Lauder (63yo)

    Senior VP & Chief Accounting Officer

    • Tenure: 12.6yrs
  • Bradley Alexander (60yo)

    Chief Operating Officer

    • Tenure: 0.3yrs
    • Compensation: US$717.45k
  • A. McMullian (49yo)

    President

    • Tenure: 0.3yrs
  • Stephanie Tillman (48yo)

    VP of Compliance & Assistant General Counsel

    • Tenure: 8.6yrs
  • David Wheeler (56yo)

    Chief Sales Officer

    • Tenure: 2.3yrs
    • Compensation: US$573.76k
  • J. Rieck

    Treasurer & VP of Investor Relations & Financial Analysis

    • Tenure: 3.1yrs
  • Harish Ramani

    Senior VP & Chief Information Officer

    • Tenure: 1.9yrs

Board Members

  • Amos McMullian (81yo)

    Chairman Emeritus

    • Tenure: 13.6yrs
    • Compensation: US$482.43k
  • George Deese (73yo)

    Non-Executive Chairman of The Board

    • Tenure: 4.7yrs
    • Compensation: US$647.48k
  • Jim Spear (64yo)

    Independent Director

    • Tenure: 4.6yrs
    • Compensation: US$252.50k
  • Dave Singer (63yo)

    Independent Director

    • Tenure: 9.6yrs
    • Compensation: US$245.00k
  • C. Wood (75yo)

    Independent Director

    • Tenure: 18.4yrs
    • Compensation: US$332.10k
  • Mel Stith (72yo)

    Independent Director

    • Tenure: 15.1yrs
    • Compensation: US$230.00k
  • Ben Griswold (78yo)

    Presiding Director

    • Tenure: 6.6yrs
    • Compensation: US$260.00k
  • Margaret Lewis (65yo)

    Independent Director

    • Tenure: 5.3yrs
    • Compensation: US$244.12k
  • A. McMullian (49yo)

    President

    • Tenure: 0.3yrs
  • Rhonda Gass (55yo)

    Independent Director

    • Tenure: 3.6yrs
    • Compensation: US$244.67k

Company Information

Flowers Foods, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Flowers Foods, Inc.
  • Ticker: FLO
  • Exchange: NYSE
  • Founded: 1919
  • Industry: Packaged Foods and Meats
  • Sector: Food, Beverage & Tobacco
  • Market Cap: US$4.823b
  • Shares outstanding: 211.51m
  • Website: https://www.flowersfoods.com

Number of Employees


Location

  • Flowers Foods, Inc.
  • 1919 Flowers Circle
  • Thomasville
  • Georgia
  • 31757
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
FLONYSE (New York Stock Exchange)YesCommon StockUSUSDMar 2001
FWFDB (Deutsche Boerse AG)YesCommon StockDEEURMar 2001

Biography

Flowers Foods, Inc. produces and markets bakery products in the United States. The company operates through two segments, Direct-Store-Delivery and Warehouse Delivery. The Direct-Store-Delivery segment pro ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/08/20 23:37
End of Day Share Price2019/08/20 00:00
Earnings2019/07/13
Annual Earnings2018/12/29


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.