DANONE SA (BN) AI Stock Analysis

• Market Cap: €47.68B
• Dividend Yield: 2.93%
• Average Volume (3M): 908.28K
• Price to Earnings (P/E): 26.0
• Beta (1Y): 0.07
• Revenue Growth: 0.54%
• EPS Growth: 83.09%
• Country: FR
• Employees: 89,528
• Sector: Consumer Defensive
• Sector Strength: 42
• Industry: Packaged Foods
• EPS (TTM): 1.61
• Shares Outstanding: 681,394,500
• 10 Day Avg. Volume: 897,382
• 30 Day Avg. Volume: 908,282
• PEG Ratio: 0.16
• Price to Book (P/B): 2.35
• Price to Sales (P/S): 1.53
• P/FCF Ratio: 14.41
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: €81.25
• Price Target Upside: 10.57% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 12

• Rating: 71 Outperform
• Price Target: €79.00 ▲(7.51% Upside)

The overall stock score of 71 reflects Danone's strong financial performance and stable balance sheet, which are the most significant contributors to the score. Technical analysis suggests neutral market sentiment, and valuation metrics indicate a moderate position. The absence of recent earnings call data or significant corporate events highlights the importance of financial health in the assessment.

Positive Factors

Negative Factors

DANONE SA Business Overview & Revenue Model

Company Description

Danone S.A. operates in the food and beverage industry in Europe, Noram, Latin America, the Asia Pacific, Africa, and the Middle East. The company operates through three segments: Essential Dairy & Plant-Based, Specialized Nutrition, and Waters. It produces and distributes yogurts; milk products; coffee creamers, drinks, and beverages; plant-based products; and ice creams, desserts, and nutritional powdered protein products under the Actimel, Activia, Alpro, Aptamil, Danette, Danio, Danonino, evian, Nutricia, Nutrilon, Volvic, as well as under the licensed brands, including International Delight, Dunkin' Donuts, and Bailey's. The company also offers specialized nutrition products for pregnant and breastfeeding mothers, infants, and young children under the Aptamil, Nutrilon, Gallia, Cow & Gate, Blédina, Bebelac, Olvarit, and Happy Family Organics brands. In addition, it provides tube feeding products under the Nutrison name; oral nutritional supplements under the Fortimel and NutriDrink names; and hypoallergenic products for children with allergies primarily under the Aptamil ProSyneo, Aptamil Pepti Syneo, and Neocate Syneo names. Further, the company offers water with natural fruit extracts, fruit juice, and vitamins under the evian, Volvic, Aqua, Mizone, Bonafont, Villavicencio, Villa del Sur, Hayat, Sirma, Fontvella, Lanjarón, Salus, Aqua d'Or, and Zywiec Zdroj brands. It distributes its products through retail chains and traditional market outlets; convenience stores; hospitals, clinics, and pharmacies; and e-commerce. The company was formerly known as Groupe Danone and changed its name to Danone S.A. in April 2009. Danone S.A. was incorporated in 1899 and is headquartered in Paris, France.

How the Company Makes Money

DANONE SA generates revenue through the sale of its various food and beverage products across multiple segments. Its key revenue streams include dairy products, which comprise yogurt and cheese, plant-based products, including dairy alternatives like almond and soy milk, bottled water sales, and specialized nutrition products for infants and medical needs. The company employs a direct-to-consumer approach as well as partnerships with retailers and distributors to expand its market reach. Significant partnerships with health-focused organizations and sustainability initiatives also enhance its brand value and consumer loyalty, further contributing to its earnings. Additionally, Danone invests in innovation and marketing strategies to drive sales and adapt to changing consumer preferences, which are crucial for maintaining its competitive advantage in the global food market.

DANONE SA Financial Statement Overview

Summary

Danone SA exhibits strong financial health with improving profitability and reduced leverage. The stable gross profit margin, enhanced net profit margin, and strong equity figures indicate prudent financial management. However, stagnant revenue growth reflects competitive pressures.

Income Statement

Danone SA shows a stable gross profit margin with a consistent EBIT and EBITDA margin over the years. The net profit margin improved significantly in 2024 compared to 2023, indicating enhanced profitability. However, revenue growth has been stagnant, reflecting competitive industry pressures.

Balance Sheet

The company's balance sheet reflects strong equity figures, with a notable reduction in total debt by 2024, resulting in a debt-to-equity ratio of 0. This indicates prudent financial management and reduced leverage risk. The equity ratio has remained stable, showcasing a solid financial foundation.

Cash Flow

Danone demonstrates robust free cash flow generation with positive growth in free cash flow from 2023 to 2024. The operating cash flow to net income ratio indicates efficient cash generation relative to earnings. However, fluctuations in investing and financing cash flows suggest potential volatility in capital allocation strategies.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	27.36B	27.38B	27.62B	27.66B	24.28B	23.62B
Gross Profit	13.81B	13.61B	13.08B	12.74B	11.52B	11.35B
EBITDA	4.84B	4.77B	3.81B	4.00B	3.58B	4.30B
Net Income	1.84B	2.02B	881.00M	959.00M	1.92B	1.96B
Balance Sheet
Total Assets	43.76B	45.29B	44.49B	45.28B	45.42B	42.78B
Cash, Cash Equivalents and Short-Term Investments	6.01B	6.16B	6.00B	4.68B	5.86B	4.27B
Total Debt	15.20B	14.80B	15.60B	14.16B	16.21B	16.04B
Total Liabilities	27.84B	27.44B	28.26B	27.29B	28.05B	26.48B
Stockholders Equity	15.86B	17.80B	16.18B	17.92B	17.27B	16.20B
Cash Flow
Free Cash Flow	2.87B	2.91B	2.60B	2.09B	2.43B	2.00B
Operating Cash Flow	3.85B	3.83B	3.44B	2.96B	3.47B	2.97B
Investing Cash Flow	-921.00M	-463.00M	-834.00M	-749.00M	561.00M	-610.00M
Financing Cash Flow	-2.68B	-3.82B	-1.94B	-1.93B	-4.03B	-2.27B

DANONE SA Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 73.48
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For FR:BN, the sentiment is Positive. The current price of 73.48 is below the 20-day moving average (MA) of 73.51, above the 50-day MA of 71.41, and above the 200-day MA of 69.25, indicating a neutral trend. The MACD of 0.70 indicates Positive momentum. The RSI at 52.10 is Neutral, neither overbought nor oversold. The STOCH value of 10.19 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for FR:BN.

DANONE SA Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
LOUP	73 Outperform	3.07B	12.39	10.64%	1.75%	2.02%	-19.46%
SAVE	73 Outperform	853.07M	7.78	6.16%	2.55%	5.14%	11.66%
BN	71 Outperform	€47.68B	25.99	11.27%	2.93%	0.54%	83.09%
BON	42 Neutral	234.10M	-1.90	0.00%	2.60%	-4.12%	-13922.22%
Sector *	62 Neutral	$20.33B	14.63	-3.31%	3.23%	1.93%	-12.26%