SunOpta (STKL) AI Stock Analysis

• Market Cap: $752.85M
• Dividend Yield: N/A
• Average Volume (3M): 942.63K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.15
• Revenue Growth: 10.90%
• EPS Growth: 96.02%
• Country: US
• Employees: 1,248
• Sector: Consumer Defensive
• Sector Strength: 67
• Industry: Packaged Foods
• EPS (TTM): 0.04
• Shares Outstanding: 118,186,070
• 10 Day Avg. Volume: 1,303,628
• 30 Day Avg. Volume: 942,630
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• Enterprise Value/Market Cap: 1.53
• Enterprise Value/Revenue: 1.51
• Enterprise Value/Gross Profit: 11.54
• Enterprise Value/Ebitda: 18.75
• 1Y Price Target: $8.83
• Price Target Upside: 40.16% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 4

• Rating: 59 Neutral
• Price Target: $6.50 ▲(3.17% Upside)

SunOpta's score is driven by strong earnings call results, highlighting revenue and EBITDA growth. However, financial performance is hindered by net losses and high leverage, while technical indicators suggest bearish trends.

Positive Factors

Financial Guidance

SunOpta's raised guidance for 2025 suggests further upside potential, supporting the Outperform rating.

Operational Execution

Improving operational execution—including squeezing more unit output from its existing manufacturing footprint and assets—is contributing to underlying margin improvement and EBIT growth ahead of that of sales.

Volume Growth

SunOpta is experiencing double-digit volume growth, which indicates strong demand for its products.

Negative Factors

Depreciation Impact

Gross margin of 10.3% was slightly below our 15.3% estimate due to additional depreciation from newly launched production assets, along with short-term investments aimed at enhancing long-term supply chain efficiency.

Gross Margin

Q4's modest upside to revenue & EBITDA was overshadowed by lighter gross margin, including growth investments & temporary supply chain dislocation, and lighter FY25 guidance for revenue and EBITDA.

SunOpta Business Overview & Revenue Model

Company Description

SunOpta Inc. is a leading global provider of organic and non-GMO food and beverage products, focusing on the sourcing, processing, and packaging of a variety of plant-based foods. The company operates in two primary segments: the Plant-Based Foods and Beverages segment, which includes products such as almond milk, oat milk, and other dairy alternatives; and the Fruit and Vegetables segment, which encompasses frozen and dehydrated fruit and vegetable products. SunOpta emphasizes sustainability and innovation in its offerings, catering to the growing consumer demand for health-conscious and environmentally friendly food options.

How the Company Makes Money

SunOpta generates revenue through multiple streams primarily from the sale of its plant-based foods and beverages, as well as fruit and vegetable products. The company sells its products to various customers, including grocery retailers, food service operators, and ingredient manufacturers. Key revenue sources include retail sales of branded and private label products, bulk sales to food manufacturers, and contract manufacturing services. Additionally, SunOpta benefits from strategic partnerships with other companies in the food industry, which enhance its distribution capabilities and market reach. The growing consumer trend towards plant-based diets and organic products further supports its revenue potential.

SunOpta Financial Statement Overview

Summary

SunOpta shows signs of operational improvement with revenue growth and better margins. However, ongoing net losses and high leverage pose significant risks to financial stability.

Income Statement

SunOpta's income statement shows a modest revenue growth of 2.60% in the TTM, with improving EBIT and EBITDA margins of 3.23% and 8.15% respectively. However, the company is still operating at a net loss with a negative net profit margin of -2.02%, indicating ongoing challenges in achieving profitability.

Balance Sheet

The balance sheet reflects a high debt-to-equity ratio of 2.42, suggesting significant leverage which could pose risks. The return on equity is negative due to net losses, but the company maintains an equity ratio of 22.42%, indicating a stable asset base.

Cash Flow

SunOpta's cash flow statement highlights a positive free cash flow growth of 52.07% in the TTM, with strong operating cash flow to net income ratio of -4.46, suggesting solid operational performance despite net losses. However, free cash flow to net income is negative, reflecting challenges in turning profits into free cash.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	763.00M	723.73M	630.30M	934.66M	812.62M	789.21M
Gross Profit	99.70M	96.30M	88.62M	122.85M	98.08M	109.08M
EBITDA	61.36M	53.71M	38.22M	41.31M	36.08M	11.16M
Net Income	-5.97M	-17.39M	-175.02M	-9.52M	-4.14M	-47.30M
Balance Sheet
Total Assets	704.94M	668.53M	669.42M	855.85M	755.12M	585.62M
Cash, Cash Equivalents and Short-Term Investments	2.16M	1.55M	306.00K	679.00K	227.00K	251.00K
Total Debt	404.76M	392.68M	379.14M	399.12M	275.83M	107.06M
Total Liabilities	529.90M	504.88M	493.89M	508.58M	421.99M	252.69M
Stockholders Equity	175.04M	148.59M	175.53M	347.27M	333.13M	332.93M
Cash Flow
Free Cash Flow	42.68M	18.10M	-31.28M	-68.05M	-104.80M	66.94M
Operating Cash Flow	72.54M	50.03M	14.84M	60.58M	-21.43M	91.70M
Investing Cash Flow	-26.21M	-18.68M	44.03M	-106.82M	-94.45M	324.52M
Financing Cash Flow	-48.07M	-31.09M	-50.80M	46.70M	115.86M	-417.68M

SunOpta Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 6.30
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For STKL, the sentiment is Positive. The current price of 6.3 is above the 20-day moving average (MA) of 6.15, above the 50-day MA of 6.05, and below the 200-day MA of 6.32, indicating a neutral trend. The MACD of <0.01 indicates Negative momentum. The RSI at 54.72 is Neutral, neither overbought nor oversold. The STOCH value of 85.44 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for STKL.

SunOpta Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
LWAY	80 Outperform	$448.50M	42.69	14.46%	―	9.19%	-23.91%
SENEA	72 Outperform	$723.63M	16.92	7.04%	―	7.30%	-13.73%
NATR	72 Outperform	$287.11M	22.47	9.15%	―	4.33%	-6.33%
Sector *	63 Neutral	$21.01B	14.53	-7.26%	3.13%	3.36%	-7.91%
STKL	59 Neutral	$752.85M	―	-1.34%	―	10.90%	96.02%
BGS	48 Neutral	$332.82M	―	-35.36%	17.63%	-6.91%	-83.51%
HAIN	46 Neutral	$159.75M	―	-31.83%	―	-8.50%	-186.18%

SunOpta Corporate Events

SunOpta Holds Annual Shareholders Meeting, Key Decisions Made

On May 22, 2025, SunOpta Inc. held its Annual and Special Meeting of Shareholders where key decisions were made, including the election of eight directors and the appointment of Ernst & Young LLP as the independent auditor for the upcoming year. Additionally, shareholders approved an amendment to the employee stock purchase plan, eliminating its termination date, and reconfirmed the company’s shareholder rights plan, reflecting continued support for the company’s strategic direction.

The most recent analyst rating on (STKL) stock is a Buy with a $10.00 price target. To see the full list of analyst forecasts on SunOpta stock, see the STKL Stock Forecast page.