Seneca Foods (SENEA) AI Stock Analysis

• Market Cap: $595.79M
• Dividend Yield: N/A
• Average Volume (3M): 32.52K
• Price to Earnings (P/E): 15.7
• Beta (1Y): -0.05
• Revenue Growth: 4.01%
• EPS Growth: 22.46%
• Country: US
• Employees: 2,800
• Sector: Consumer Defensive
• Sector Strength: 93
• Industry: Packaged Foods
• EPS (TTM): 5.49
• Shares Outstanding: 5,252,348
• 10 Day Avg. Volume: 33,117
• 30 Day Avg. Volume: 32,523
• PEG Ratio: 0.70
• Price to Book (P/B): N/A
• Price to Sales (P/S): 0.39
• Price to Cash Flow (P/CF): 1.30
• P/FCF Ratio: 1.30
• 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: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0

Seneca Foods' overall stock score of 71 reflects a stable financial foundation with strong cash flow and prudent financial management. The technical indicators suggest positive momentum, although caution is advised due to potential overbought conditions. The company's strategic financial flexibility through recent corporate events supports growth potential. While valuation is reasonable, the absence of a dividend yield may limit attractiveness to certain investors.

Seneca Foods Business Overview & Revenue Model

Company Description

Seneca Foods Corporation provides packaged fruits and vegetables in the United States and internationally. The company offers canned, frozen, and bottled produce; jarred fruit; and snack chips and other food products under the private label, as well as under various national and regional brands that the company owns or licenses, including Seneca, Libby's, Aunt Nellie's, Cherryman, Green Valley, and READ. It also packs canned and frozen vegetables under contract packing agreements. In addition, the company engages in the sale of cans and ends, as well as trucking and aircraft operations. It provides its products to grocery outlets, including supermarkets, mass merchandisers, limited assortment stores, club stores, and dollar stores; and food service distributors, restaurant chains, industrial markets, other food packagers, and export customers in 90 countries, as well as federal, state, and local governments for school and other feeding programs. The company was incorporated in 1949 and is headquartered in Marion, New York.

How the Company Makes Money

Seneca Foods generates revenue through the manufacturing and sale of packaged food products, primarily canned, frozen, and snack items. Its key revenue streams include sales to major retail chains, food service operators, and industrial clients. The company leverages its extensive network of manufacturing facilities and distribution centers to ensure efficient production and delivery of its goods. Additionally, Seneca Foods benefits from long-standing relationships and contracts with large retailers and other partners, which provide consistent demand and contribute significantly to its earnings. The company's focus on sustainability and quality also helps in maintaining a competitive edge in the market.

Seneca Foods Financial Statement Overview

Summary

Seneca Foods presents a stable financial position with consistent margins and a balanced approach to leveraging. The Income Statement score of 70 indicates stable performance, albeit with slight revenue decline. The Balance Sheet score of 60 reflects moderate profitability and reasonable debt management, while the Cash Flow score of 75 highlights strong cash flow metrics. Overall, the financials demonstrate resilience with potential for growth if revenue trends improve.

Income Statement

Seneca Foods shows a stable performance with a Gross Profit Margin of 10.09% and a Net Profit Margin of 2.49% for TTM. However, there is a slight decline in revenue growth with a negative rate of -0.48% from the previous year. The EBIT Margin stands at 5.12%, and the EBITDA Margin is 7.38%, indicating moderate operational efficiency.

Balance Sheet

The company's Debt-to-Equity Ratio is 0.69, reflecting a reasonable balance between debt and equity, though slightly higher than the industry norm. ROE is moderate at 6.26%, suggesting average profitability on equity. The Equity Ratio is 50%, indicating a balanced approach to asset financing.

Cash Flow

Seneca Foods demonstrates strong free cash flow generation with a Free Cash Flow to Net Income Ratio of 6.71. The Operating Cash Flow to Net Income Ratio is 7.53, showcasing efficient cash generation relative to earnings. However, the Free Cash Flow Growth Rate is highly volatile, with significant improvement from a negative position in the past year.

Breakdown
TTM	Mar 2024	Mar 2023	Mar 2022	Mar 2021	Mar 2020
Income Statement		Total Revenue
1.54B	1.46B	1.51B	1.39B	1.47B	1.34B
	Gross Profit
155.45M	188.22M	135.90M	147.93M	232.19M	141.89M
	EBIT
78.84M	107.23M	52.94M	70.34M	181.07M	70.52M
	EBITDA
126.68M	161.20M	69.74M	110.30M	179.61M	95.80M
	Net Income Common Stockholders
38.38M	63.32M	33.14M	46.20M	126.10M	52.34M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
7.42M	4.48M	12.26M	10.90M	59.84M	10.70M
	Total Assets
719.33M	1.38B	1.24B	947.03M	909.35M	909.31M
	Total Debt
214.28M	650.82M	492.45M	178.12M	169.41M	312.48M
	Net Debt
206.86M	646.34M	480.20M	167.22M	109.57M	301.78M
	Total Liabilities
384.32M	801.10M	660.19M	363.19M	331.53M	514.95M
	Stockholders Equity
335.01M	582.89M	583.46M	583.84M	577.82M	394.36M
Cash Flow		Free Cash Flow
257.24M	-119.60M	-283.42M	-23.21M	111.75M	61.63M
	Operating Cash Flow
288.76M	-82.96M	-212.80M	30.15M	183.18M	127.32M
	Investing Cash Flow
-52.22M	-47.20M	-64.88M	-45.19M	2.26M	-43.16M
	Financing Cash Flow
-238.05M	129.76M	279.02M	-33.90M	-136.30M	-84.94M

Seneca Foods Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 83.22
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SENEA, the sentiment is Negative. The current price of 83.22 is below the 20-day moving average (MA) of 87.01, above the 50-day MA of 82.35, and above the 200-day MA of 69.58, indicating a neutral trend. The MACD of 2.13 indicates Negative momentum. The RSI at 64.79 is Neutral, neither overbought nor oversold. The STOCH value of 80.24 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for SENEA.

Seneca Foods Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
CALM	76 Outperform	$4.53B	7.18	34.26%	4.63%	15.57%	38.87%
SENEA	71 Outperform	$595.79M	15.74	6.35%	―	4.01%	22.46%
HRL	71 Outperform	$16.90B	22.31	9.54%	3.70%	-1.84%	-5.14%
FDP	71 Outperform	$1.46B	10.32	7.32%	3.44%	-0.95%	―
Sector *	62 Neutral	$20.19B	14.01	-16.14%	3.22%	1.15%	3.41%
BGS	55 Neutral	$520.73M	―	-36.94%	11.55%	-6.30%	-258.92%
THS	54 Neutral	$1.30B	47.59	1.67%	―	-4.59%	-42.81%

Seneca Foods Corporate Events

Seneca Foods Enhances Financial Flexibility with New Loan

Seneca Foods Corporation has entered into a new Loan and Security Agreement establishing a senior revolving credit facility of up to $450 million, which is seasonally adjusted to a maximum of $400 million. This agreement, replacing a prior loan arrangement, is aimed at enhancing the company’s financial flexibility for various corporate purposes, including acquisitions and capital expenditures, while imposing certain financial covenants and restrictions.