Fresh Del Monte Produce (FDP) AI Stock Analysis

• Market Cap: $1.73B
• Dividend Yield: 3.32%
• Average Volume (3M): 322.92K
• Price to Earnings (P/E): 22.1
• Beta (1Y): -0.03
• Revenue Growth: 1.11%
• EPS Growth: 414.23%
• Country: US
• Employees: 33,798
• Sector: Consumer Defensive
• Sector Strength: 42
• Industry: Agricultural Farm Products
• EPS (TTM): 0.69
• Shares Outstanding: 47,774,776
• 10 Day Avg. Volume: 273,994
• 30 Day Avg. Volume: 322,918
• PEG Ratio: >-0.01
• Price to Book (P/B): 0.80
• Price to Sales (P/S): 0.37
• P/FCF Ratio: 12.11
• Enterprise Value/Market Cap: 1.12
• Enterprise Value/Revenue: 0.45
• Enterprise Value/Gross Profit: 5.31
• Enterprise Value/Ebitda: 9.69
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): 2.73
• Revenue Forecast (FY): $4.37B

• Rating: 69 Neutral
• Price Target: $38.00 ▲(5.06% Upside)

Fresh Del Monte Produce's overall stock score is driven by its solid financial health and strategic focus on higher-margin categories. However, challenges in profitability and specific segments like bananas impact the score. Technical indicators and valuation suggest a cautious outlook, while the earnings call highlights both strategic successes and operational challenges.

Positive Factors

Strategic Focus on Higher-Margin Products

Focusing on higher-margin products can enhance profitability and provide a buffer against cost pressures in lower-margin segments, supporting long-term financial health.

Effective Debt Management

Effective debt management enhances financial stability and flexibility, allowing the company to invest in growth opportunities and weather economic fluctuations.

Positive Cash Flow Generation

Strong cash flow generation supports operational and strategic flexibility, enabling reinvestment in the business and potential dividend distributions.

Negative Factors

Banana Segment Challenges

Ongoing challenges in the banana segment due to diseases can lead to increased costs and reduced margins, impacting overall profitability.

Impairment Charges

Significant impairment charges can strain financial resources and reflect underlying operational challenges, potentially affecting future earnings.

Avocado Market Pressure

Price pressures in the avocado market can lead to reduced revenue and profitability, challenging the company's ability to maintain margins in this segment.

Fresh Del Monte Produce Business Overview & Revenue Model

Company Description

Fresh Del Monte Produce (FDP) is a global leader in the production, distribution, and marketing of fresh and fresh-cut fruits and vegetables. The company operates across various sectors, including agriculture, logistics, and retail, offering a wide range of products such as bananas, pineapples, avocados, tomatoes, and fruit snacks. With a commitment to quality and sustainability, FDP serves consumers through multiple channels, including grocery stores, foodservice operators, and export markets, leveraging its extensive supply chain and logistics capabilities.

How the Company Makes Money

Fresh Del Monte Produce generates revenue through multiple streams, primarily from the sale of fresh and processed fruits and vegetables. Key revenue sources include the sale of whole fruits, fresh-cut fruit products, and value-added items such as packaged salads and snacks. The company also benefits from strategic partnerships with retailers and foodservice providers, which enhance its distribution capabilities and market reach. Additionally, FDP engages in direct sales and exports, allowing it to penetrate international markets. Seasonal demand fluctuations and the company's ability to manage supply chain efficiencies further contribute to its financial performance.

Fresh Del Monte Produce Financial Statement Overview

Summary

Fresh Del Monte Produce exhibits solid financial health with stable growth and profitability metrics. The company demonstrates effective debt management and strong equity position, enhancing financial stability. Consistent cash flow generation supports operational and strategic flexibility. Although asset reduction presents a minor concern, the overall financial trajectory is positive, driven by improved profitability and cash conversion.

Income Statement

The income statement shows a stable revenue trajectory with a slight increase in TTM to $4.31 billion. Gross profit margin is steady at 8.69% for TTM. Net profit margin improved to 3.49% from negative figures in previous years, indicating enhanced profitability. EBIT and EBITDA margins are 4.58% and 5.80% respectively for TTM, reflecting stable operational efficiency. Revenue growth is modest with an increase of 0.78% from the previous year.

Balance Sheet

The balance sheet highlights a healthy equity ratio of 65.09% in TTM, suggesting strong asset backing by equity. The debt-to-equity ratio decreased over time, now at 0.12, indicating effective debt management. Return on equity improved to 7.30% in TTM, showcasing better returns for shareholders. However, total assets have slightly declined over recent years, which may restrict future growth potential if not addressed.

Cash Flow

The cash flow statement shows robust free cash flow growth of 11.15% in TTM, supporting potential reinvestment and dividend distribution. Operating cash flow to net income improved to 1.32, demonstrating strong cash generation relative to net income. Free cash flow to net income ratio stands at 0.97, indicating efficient conversion of earnings into free cash.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	4.32B	4.28B	4.32B	4.41B	4.25B	4.21B
Gross Profit	363.80M	357.20M	343.60M	307.50M	291.90M	259.00M
EBITDA	199.40M	274.20M	134.20M	230.10M	187.70M	158.70M
Net Income	80.20M	142.20M	-11.40M	98.60M	80.00M	49.20M
Balance Sheet
Total Assets	3.07B	3.10B	3.18B	3.46B	3.40B	3.26B
Cash, Cash Equivalents and Short-Term Investments	97.20M	32.60M	33.80M	17.20M	16.10M	16.50M
Total Debt	214.90M	411.30M	598.20M	737.30M	702.00M	685.20M
Total Liabilities	1.04B	1.09B	1.27B	1.48B	1.52B	1.46B
Stockholders Equity	2.01B	1.99B	1.90B	1.90B	1.80B	1.73B
Cash Flow
Free Cash Flow	176.20M	130.80M	120.20M	13.70M	30.00M	30.60M
Operating Cash Flow	229.50M	182.50M	177.90M	61.80M	128.50M	180.60M
Investing Cash Flow	-15.00M	20.40M	56.40M	-49.10M	-82.50M	-108.80M
Financing Cash Flow	-173.10M	-209.90M	-213.50M	-12.00M	-53.20M	-85.80M

Fresh Del Monte Produce Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 36.17
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For FDP, the sentiment is Positive. The current price of 36.17 is above the 20-day moving average (MA) of 35.70, above the 50-day MA of 34.81, and above the 200-day MA of 33.16, indicating a bullish trend. The MACD of 0.13 indicates Positive momentum. The RSI at 57.33 is Neutral, neither overbought nor oversold. The STOCH value of 51.80 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for FDP.

Fresh Del Monte Produce Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
CALM	84 Outperform	$4.02B	3.19	55.20%	10.46%	65.80%	197.95%
BG	74 Outperform	$18.66B	10.36	10.24%	2.88%	10.29%	17.32%
FDP	69 Neutral	$1.73B	22.07	3.95%	3.32%	1.11%	414.23%
DOLE	63 Neutral	$1.37B	47.26	8.75%	2.40%	7.09%	-83.75%
Sector *	62 Neutral	$20.33B	14.63	-3.31%	3.23%	1.93%	-12.26%
TSN	62 Neutral	$20.04B	42.52	2.60%	3.45%	2.12%	-40.75%
AGRO	52 Neutral	$804.94M	34.48	1.69%	4.35%	-7.37%	-84.53%

Fresh Del Monte Produce Corporate Events

Fresh Del Monte’s Mixed Earnings Call Highlights Challenges and Successes

The recent earnings call for Fresh Del Monte Produce revealed a mixed performance, with notable strengths in certain segments and significant challenges in others. The company showcased strong execution in its fresh and value-added products segment, alongside strategic asset divestment. However, the banana segment faced considerable hurdles due to disease pressures and market dynamics, impacting the overall performance.

Fresh Del Monte Reports Strategic Moves in Q3 2025

Fresh Del Monte Produce Inc. is a leading global producer, marketer, and distributor of high-quality fresh and fresh-cut fruits and vegetables, as well as prepared foods, operating primarily in the agriculture sector. The company is known for its vertically integrated operations and commitment to sustainability.

Fresh Del Monte Produce Reports Strong Q2 2025 Results

Fresh Del Monte Produce Inc. is a leading global producer, marketer, and distributor of high-quality fresh and fresh-cut fruit and vegetables, as well as prepared food products, primarily operating in the agricultural sector with a strong focus on innovation and sustainability.

Fresh Del Monte’s Earnings Call Highlights Growth and Challenges

The recent earnings call for Fresh Del Monte Produce painted a generally positive picture, highlighting significant growth in net sales and gross profit. This optimistic outlook is largely driven by robust demand for pineapple products and strategic expansions into new markets. However, the company faces challenges, including banana supply issues and logistical disruptions, which could pose potential headwinds.