Maple Leaf Foods (MFI) AI Stock Analysis

• Market Cap: C$3.49B
• Dividend Yield: 4.65%
• Average Volume (3M): 202.52K
• Price to Earnings (P/E): 36.8
• Beta (1Y): 0.39
• Revenue Growth: 3.16%
• EPS Growth: N/A
• Country: CA
• Employees: 13,500
• Sector: Consumer Defensive
• Sector Strength: 63
• Industry: Packaged Foods
• EPS (TTM): 0.43
• Shares Outstanding: 123,956,990
• 10 Day Avg. Volume: 129,114
• 30 Day Avg. Volume: 202,516
• PEG Ratio: 0.02
• Price to Book (P/B): 1.82
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -9.86
• 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: C$34.88
• Price Target Upside: 23.34% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 4

• Rating: 72 Outperform
• Price Target: C$31.00 ▲(9.62%Upside)

Maple Leaf Foods showcases strong earnings call results and strategic initiatives, contributing positively to the score. Financial performance indicates solid cash flow management, though profitability remains a challenge. Technical analysis shows positive momentum, tempered by potential overvaluation. The strategic spin-off of pork operations is expected to create additional value.

Maple Leaf Foods Business Overview & Revenue Model

Company Description

Maple Leaf Foods Inc. produces food products in the United States, Canada, Japan, China, and internationally. It produces various food products, including prepared meats, ready-to-cook and ready-to-serve meals, snacks kits, fresh pork and poultry, and plant protein products. The company offers its products under various brands, including Maple Leaf, Schneiders, Greenfield Natural Meat Co., Swift, Prime, Maple Leaf Natural Selections, Mina, Big Stick, Cappola, Deli Express, Field Roast Grain Meat Co., Holiday, Hygrade, Larsen, Lightlife, Lunch Mate, Main Street Deli, Maple Leaf Foodservice, Mitchell's, Olympic Craft Meats, Parma, Shopsy's, Sunrise, and Swift. Maple Leaf Foods Inc. is based in Mississauga, Canada.

How the Company Makes Money

Maple Leaf Foods generates revenue primarily through the sale of its wide range of meat products to retail, foodservice, and industrial customers. The company operates numerous processing facilities across Canada, enabling it to produce and distribute its products efficiently. Key revenue streams include branded retail sales, private-label products, and foodservice partnerships. Maple Leaf Foods also emphasizes its sustainable and premium product lines, which cater to the growing consumer demand for high-quality and ethically produced food. Strategic partnerships and acquisitions further enhance its market position and expand its product offerings, contributing to its overall earnings.

Maple Leaf Foods Financial Statement Overview

Summary

Maple Leaf Foods maintains a solid financial foundation with stable revenue growth and efficient cash flow management. Profitability margins face challenges, but operational efficiency and cash generation are strong. The balance sheet reflects manageable debt levels, though equity returns could improve.

Income Statement

Maple Leaf Foods demonstrates moderate revenue growth with a TTM revenue of CAD 4.98 billion, marking a slight increase from the previous annual period. Gross profit margin stands at 15.48% for TTM, showing consistent performance, although lower than historical highs. Net profit margin is relatively low at 1.90%, indicating pressure on profitability. Both EBIT and EBITDA margins show stability, with EBITDA margin at 10.91% TTM, suggesting reasonable operating efficiency despite industry challenges.

Balance Sheet

The debt-to-equity ratio is approximately 1.18, reflecting a balanced but leveraged financial structure. Return on equity is modest at 6.02% TTM, indicating limited profitability from equity investments. The equity ratio stands at 35.44%, suggesting a stable capital structure with room for improvement in equity financing. Overall, the balance sheet shows a stable position with manageable debt levels.

Cash Flow

The company shows a strong free cash flow growth rate of 79% from the previous year, indicating effective cash management and operational efficiency. The operating cash flow to net income ratio is robust at 4.10 TTM, highlighting strong cash conversion. The free cash flow to net income ratio is 3.92, suggesting excellent cash generation capabilities relative to net earnings.

Breakdown
TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
4.98B	4.90B	4.87B	4.74B	4.52B	4.30B
	Gross Profit
771.44M	780.01M	451.37M	424.14M	659.08M	703.05M
	EBIT
329.53M	342.87M	46.31M	-7.58M	192.01M	193.95M
	EBITDA
543.51M	561.19M	279.62M	-8.99M	373.43M	387.62M
	Net Income Common Stockholders
94.61M	96.60M	-124.98M	-311.89M	102.82M	113.28M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
119.05M	175.91M	203.36M	91.08M	162.03M	100.83M
	Total Assets
4.44B	4.43B	4.60B	4.44B	4.39B	3.86B
	Total Debt
1.86B	1.88B	2.13B	1.89B	1.43B	986.18M
	Net Debt
1.74B	1.70B	1.93B	1.80B	1.27B	885.36M
	Total Liabilities
2.86B	2.89B	3.09B	2.78B	2.35B	1.93B
	Stockholders Equity
1.57B	1.54B	1.51B	1.66B	2.04B	1.93B
Cash Flow		Free Cash Flow
370.94M	464.92M	-21.30M	-306.42M	-275.56M	-111.09M
	Operating Cash Flow
387.48M	464.92M	176.88M	49.32M	304.79M	321.45M
	Investing Cash Flow
-71.36M	-82.54M	-188.57M	-377.01M	-623.48M	-417.43M
	Financing Cash Flow
-403.46M	-409.84M	123.97M	256.74M	379.90M	99.53M

Maple Leaf Foods Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 28.28
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Negative
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:MFI, the sentiment is Positive. The current price of 28.28 is above the 20-day moving average (MA) of 27.55, above the 50-day MA of 26.09, and above the 200-day MA of 23.01, indicating a bullish trend. The MACD of 0.56 indicates Positive momentum. The RSI at 70.52 is Negative, neither overbought nor oversold. The STOCH value of 82.10 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for TSE:MFI.

Maple Leaf Foods Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
HLF	78 Outperform	C$536.17M	7.00	14.49%	5.04%	-4.45%	90.27%
JWEL	76 Outperform	C$1.52B	28.46	11.64%	3.12%	12.62%	47.37%
MFI	72 Outperform	C$3.49B	36.84	6.05%	4.65%	3.16%	―
PBH	68 Neutral	C$3.57B	30.03	6.75%	4.27%	6.29%	24.34%
Sector *	65 Neutral	$8.73B	15.14	4.69%	4.60%	3.64%	-2.51%
SAP	60 Neutral	C$11.09B	42.30	-2.51%	2.84%	9.20%	-147.37%

Maple Leaf Foods Corporate Events

Maple Leaf Foods Shareholders Approve Strategic Spin-Off of Pork Operations

Maple Leaf Foods Inc. announced that its shareholders have approved the spin-off of its pork operations to form Canada Packers Inc. This strategic move aims to create two independent companies with distinct business models and growth potentials, enhancing Maple Leaf Foods’ focus on being a purpose-driven, protein-focused, branded consumer packaged goods company. The spin-off, which received overwhelming shareholder support, is expected to be completed in the second half of 2025, pending regulatory approvals. Additionally, all incumbent directors were re-elected to the Board, and other resolutions, including the reappointment of KPMG LLP as auditors, were approved.

The most recent analyst rating on (TSE:MFI) stock is a Buy with a C$31.00 price target. To see the full list of analyst forecasts on Maple Leaf Foods stock, see the TSE:MFI Stock Forecast page.

Maple Leaf Foods Reaffirms Commitment to Board Diversity

Maple Leaf Foods has reaffirmed its commitment to board diversity, maintaining a policy to have at least 30% representation from each gender on its Board of Directors. Although the current representation of women has temporarily decreased to 27%, the company plans to appoint another woman director by its 2026 annual meeting. This move underscores Maple Leaf Foods’ dedication to diversity and inclusion, which is an important aspect of its corporate governance and may influence its industry positioning and stakeholder relations.

The most recent analyst rating on (TSE:MFI) stock is a Buy with a C$31.00 price target. To see the full list of analyst forecasts on Maple Leaf Foods stock, see the TSE:MFI Stock Forecast page.

Maple Leaf Foods Proposes Spin-off to Focus on Protein-Centric Strategy

Maple Leaf Foods has announced its 2025 Notice of Annual and Special Meeting of Shareholders, highlighting a significant proposal for the spin-off of its pork operations into a new independent company, Canada Packers Inc. This strategic move aims to position Maple Leaf Foods as a focused, protein-centric company while establishing Canada Packers as a leader in sustainable pork production. The spin-off is expected to enhance the companies’ abilities to meet global protein demand and create value for stakeholders.

The most recent analyst rating on (TSE:MFI) stock is a Buy with a C$31.00 price target. To see the full list of analyst forecasts on Maple Leaf Foods stock, see the TSE:MFI Stock Forecast page.

Maple Leaf Foods Reports Strong Q1 2025 Results and Advances Strategic Separation

Maple Leaf Foods reported an 8.2% increase in revenue and a 43% rise in Adjusted EBITDA for the first quarter of 2025, reflecting strong performance across its Prepared Foods, Poultry, and Pork units. The company is advancing its strategic plan to separate its Pork operations into a standalone entity, Canada Packers Inc., aiming to enhance its market positioning as a leader in sustainable protein products. The separation is expected to be completed in the second half of 2025, which could create significant value for stakeholders.

Maple Leaf Foods Advances Spin-Off of Pork Operations

Maple Leaf Foods has announced progress in its plan to spin off its pork operations into a new independent company, Canada Packers Inc. This strategic move is intended to enhance focus and unlock value by allowing each entity to pursue distinct growth opportunities. The spin-off will position Maple Leaf Foods as a focused protein company while Canada Packers Inc. will become a leader in premium, sustainably produced pork products. The transaction is expected to create value for stakeholders by optimizing operations and providing more focused investment opportunities.