JDE Peet's NV (JDEP) AI Stock Analysis

• Market Cap: €15.19B
• Dividend Yield: 2.31%
• Average Volume (3M): 1.04M
• Price to Earnings (P/E): 24.5
• Beta (1Y): 0.13
• Revenue Growth: 14.96%
• EPS Growth: 16.05%
• Country: NL
• Employees: 20,820
• Sector: Consumer Defensive
• Sector Strength: 42
• Industry: Packaged Foods
• EPS (TTM): 1.33
• Shares Outstanding: 488,178,650
• 10 Day Avg. Volume: 966,011
• 30 Day Avg. Volume: 1,043,389
• PEG Ratio: 0.28
• Price to Book (P/B): 0.73
• Price to Sales (P/S): 0.92
• P/FCF Ratio: 7.75
• 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: €28.07
• Price Target Upside: -9.80% Downside
• Rating Consensus: Hold
• Number of Analyst Covering: 8

• Rating: 71 Outperform
• Price Target: €34.00 ▲(9.25% Upside)

JDE Peet's NV exhibits strong financial performance and positive earnings call sentiment, with robust sales growth and cash flow management. However, technical indicators suggest caution due to overbought conditions, and valuation metrics indicate a fair but not undervalued stock.

Positive Factors

Revenue Growth

The significant organic sales growth indicates strong market demand and effective pricing strategies, supporting long-term revenue expansion.

Cash Flow Management

Robust cash flow management enhances financial stability and provides flexibility for strategic investments and shareholder returns.

Debt Management

Effective debt management reduces financial risk and improves the company's ability to invest in growth opportunities.

Negative Factors

Challenges in Peet's Segment

Significant EBIT decline in Peet's segment highlights vulnerability to inflation and pricing pressures, potentially affecting profitability.

Impact of Green Coffee Prices

Rising green coffee prices increase input costs, challenging margin sustainability and necessitating further pricing adjustments.

APAC EBIT Decline

EBIT decline in APAC reflects regional challenges in managing inflation and pricing, impacting overall profitability in key markets.

JDE Peet's NV Business Overview & Revenue Model

Company Description

JDE Peet's N.V., together with its subsidiaries, provides various coffee and tea products and solutions to serve consumer needs worldwide. The company operates through CPG Europe, CPG LARMEA, CPG APAC, Out-of-Home, and Peet's segments. It offers multi-serve coffee, and single-serve and double-shot coffee capsules; and pads and pods, instant coffee, whole beans, ready-to-drink coffee beverages, various leaf and packaged tea, and professional tea products, as well as rents or sells professional solutions and complementary coffee systems. The company sells its products under the Douwe Egberts, Kenco, Peet's, L'OR, Stumptown, TiOra, Gevalia, Pickwick, PILAO, Intelligentsia, Senseo, Jacobs, Moccona, Super, OldTown, Ofçay, Mighty Leaf Tea, and Tassimo brands through CPG and out-of-home sales channels. It operates 505 coffee stores under the Peet's, Intelligentsia, Stumptown, OldTown, and 12Oz brands in the United States, China, Malaysia, and Italy, as well as through webshops, and third-party e-tailers and e-commerce marketplaces. The company serves various businesses, such as hotels, hospitals, restaurants, cruise liners, and retirement homes, as well as distributors for distribution to the customer; and offices, universities, airports, and sports venues. JDE Peet's N.V. was incorporated in 2018 and is headquartered in Amsterdam, the Netherlands.

How the Company Makes Money

JDE Peet's NV generates revenue primarily through the sale of coffee and tea products across various channels, including retail stores, online platforms, and through out-of-home services like cafes and restaurants. The company's diverse portfolio of well-established brands allows it to capture a broad market segment and cater to different consumer tastes and preferences. JDE Peet's also capitalizes on strategic partnerships and distribution agreements, enhancing its market reach and brand presence globally. Additionally, the company invests in product innovation and sustainability initiatives to maintain a competitive edge and support long-term growth in the competitive beverage industry.

JDE Peet's NV Financial Statement Overview

Summary

JDE Peet's NV demonstrates strong revenue growth and profitability, with effective debt management and robust cash flow generation. However, improvements in net income growth and ROE could further enhance financial performance.

Income Statement

JDE Peet's NV has demonstrated consistent revenue growth, with a notable increase of 7.9% from 2023 to 2024. The company maintains a solid gross profit margin of 36.8% and a healthy net profit margin of 6.3% for 2024. EBIT and EBITDA margins are strong at 11.9% and 16.0%, respectively, indicating operational efficiency. Overall, the income statement reflects a positive growth trajectory and profitability, though net income growth could improve further.

Balance Sheet

The balance sheet shows a strong equity position with an equity ratio of 46.7%. The company has improved its financial leverage with a debt-to-equity ratio dropping to zero in 2024, showcasing effective debt management. Return on equity is moderate at 5.1%. While the balance sheet indicates stability, further enhancement of ROE would be beneficial.

Cash Flow

JDE Peet's NV exhibits robust cash flow management with a significant increase in free cash flow by 100% from 2023 to 2024. The operating cash flow to net income ratio is 2.45, suggesting efficient conversion of earnings into cash. Free cash flow to net income ratio is impressive at 1.86, indicating strong cash generation relative to profits.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	9.67B	8.84B	8.19B	8.15B	7.00B	6.65B
Gross Profit	3.11B	3.26B	3.02B	3.00B	2.97B	2.83B
EBITDA	1.21B	1.42B	1.04B	1.51B	1.51B	1.32B
Net Income	618.00M	561.00M	367.00M	771.00M	765.00M	308.00M
Balance Sheet
Total Assets	23.52B	24.04B	23.14B	22.63B	21.62B	20.74B
Cash, Cash Equivalents and Short-Term Investments	937.00M	1.26B	2.05B	967.00M	662.00M	414.00M
Total Debt	4.90B	5.57B	5.92B	4.97B	4.88B	5.48B
Total Liabilities	12.69B	12.90B	12.03B	11.49B	10.46B	10.40B
Stockholders Equity	10.78B	11.09B	11.04B	11.05B	11.02B	10.20B
Cash Flow
Free Cash Flow	1.32B	1.04B	522.00M	1.36B	1.37B	877.00M
Operating Cash Flow	1.60B	1.37B	823.00M	1.61B	1.62B	1.13B
Investing Cash Flow	-282.00M	-1.18B	-226.00M	-293.00M	-293.00M	-230.00M
Financing Cash Flow	-1.48B	-979.00M	491.00M	-1.02B	-1.11B	-1.22B

JDE Peet's NV Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 31.12
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Negative
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For NL:JDEP, the sentiment is Positive. The current price of 31.12 is below the 20-day moving average (MA) of 31.20, above the 50-day MA of 28.37, and above the 200-day MA of 21.93, indicating a neutral trend. The MACD of 0.71 indicates Positive momentum. The RSI at 72.19 is Negative, neither overbought nor oversold. The STOCH value of 45.24 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for NL:JDEP.

JDE Peet's NV Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
JDEP	71 Outperform	€15.19B	24.55	―	2.31%	14.96%	16.05%
AD	66 Neutral	30.01B	16.62	13.14%	3.47%	2.93%	3.21%
SLIGR	63 Neutral	461.14M	17.17	5.10%	4.80%	-2.70%	576.55%
Sector *	62 Neutral	$20.33B	14.63	-3.31%	3.23%	1.93%	-12.26%