Danone S.A.

OTCPK:DANO.Y Stock Report

Market Cap: US$44.0b

Danone Valuation

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

Below Fair Value: DANO.Y ($13.65) is trading below our estimate of fair value ($20.17)

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

Key Valuation Metric

Which metric is best to use when looking at relative valuation for DANO.Y?

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

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

Price to Earnings Ratio vs Peers

How does DANO.Y's PE Ratio compare to its peers?

The above table shows the PE ratio for DANO.Y vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average22.6x
HSY Hershey
19.9x2.7%US$35.2b
GIS General Mills
15.3x3.6%US$36.8b
KHC Kraft Heinz
28.2x28.4%US$38.6b
K Kellanova
27.1x9.0%US$28.0b
DANO.Y Danone
41.5x18.5%US$41.6b

Price-To-Earnings vs Peers: DANO.Y is expensive based on its Price-To-Earnings Ratio (41.5x) compared to the peer average (22.6x).

Price to Earnings Ratio vs Industry

How does DANO.Y's PE Ratio compare vs other companies in the US Food Industry?

5 CompaniesPrice / EarningsEstimated GrowthMarket Cap
GCEH Global Clean Energy Holdings
0.4xn/aUS$49.55m
SEED Origin Agritech
2xn/aUS$16.25m
FAMI Farmmi
1.9xn/aUS$3.00m
IDBH.F Industrias Bachoco. de
0.0002xn/aUS$59.94k
DANO.Y 41.5xIndustry Avg. 19.9xNo. of Companies8PE01224364860+
5 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: DANO.Y is expensive based on its Price-To-Earnings Ratio (41.5x) compared to the US Food industry average (19.9x).

Price to Earnings Ratio vs Fair Ratio

What is DANO.Y'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.

DANO.Y PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio41.5x
Fair PE Ratio29.6x

Price-To-Earnings vs Fair Ratio: DANO.Y is expensive based on its Price-To-Earnings Ratio (41.5x) compared to the estimated Fair Price-To-Earnings Ratio (29.6x).

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

Analyst Forecast: Insufficient data to show price forecast.

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