Fresh Del Monte Produce Inc. Common Stock (FDP)

FairStock Score: 56/100 — STEADY

Key Financials

Current Price$29.33
Market Cap$2.0B
P/E Ratio20.23
ROE3.57%
Dividend Yield4.11%
SectorConsumer Defensive

AI Analysis

AI-generated, general educational analysis — not personal investment advice.

Fresh Del Monte is a consumer-defensive company, but produce is not a wonderful business. In fiscal Q1 2026, the quarter shown as 2026-Q1, revenue was $1.0 billion and net income was only $10.0 million, a margin of 0.96%. That tells me the company handles a lot of volume but keeps very little profit. Return on equity is just 3.57% and return on capital 3.34%, both weak. The balance sheet is acceptable, with debt-to-equity of 0.31 and an Altman Z-Score of 2.10, but a Piotroski F-Score of 4/9 suggests mixed financial momentum. The company generated $174.9 million of trailing free cash flow, an 8.7% FCF yield on the $2.0 billion market cap, and pays a 4.11% dividend yield. At a price of $29.33 on 2026-07-17, P/B is 0.69, while the Graham Number is $37.17, implying a 21.09% margin of safety. Yet P/E is 20.23 on EPS of $1.45, EV/EBITDA is 13.53, and the provided growth figures are negative. The 52-week range is $26.47 to $43.58, so the shares are near the low end. Brand recognition helps, but bananas, pineapples, and fresh-cut produce are largely commodity-like; pricing power is limited and spoilage risk is real. This looks like a statistically cheap, low-return business with optionality if margins recover. I would want evidence of durable profit improvement before calling it a bargain. The FairStock Score of 56/100 and Lynch category of none, because only 0 years of filed results are available when 3 are needed, reinforce caution.

In plain English: Fresh Del Monte Produce sells fresh fruit and vegetables, including bananas, pineapples, and fresh-cut produce. The business looks weak right now: sales and profits have been falling, and profit margins are very thin. The stock price looks somewhat cheap compared with its assets and dividend, but not clearly cheap compared with its weak earnings.

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Data as of 2026-07-17 close · note generated 2026-10-15 · model deepseek-flash

Fundamentals from company filings and market-data providers; prices are end-of-day, not real-time. AI-generated analysis is general and educational — not personal investment advice. Scoring methodology · Score test · Disclaimer