Flowers Foods Inc. Common Stock (FLO)

FairStock Score: 42/100 — MIXED

Key Financials

AI Analysis

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

I am a value investor, so I start with what I know. Flowers Foods sells everyday bakery products—fresh breads, buns, rolls, snacks, tortillas—under brands such as Nature's Own, DKB, Canyon Bakehouse, Wonder, and Tastykake, distributed directly to stores. That is a defensive category, and the 0.40 beta and 8.42% dividend yield suggest the market treats it as steady. But steadiness is not prosperity. In fiscal Q2 2026, the quarter ended 2026-07-18, revenue was $1.2B and net income was $40.7M, or diluted EPS $0.19; in fiscal Q2 2025, the quarter ended 2025-07-12, net income was $58.4M and diluted EPS $0.28. For FY2025, the year ended 2026-01-03, revenue was $5.3B, net income $83.8M, and diluted EPS $0.40; for FY2024, the year ended 2024-12-28, net income was $248.1M and diluted EPS $1.17. That is a severe profit decline. The balance sheet carries D/E of 1.52, and FairStock's Altman Z-Score of 0.82 is a warning. Still, free cash flow is $306.1M, a 24.2% FCF yield, and the Piotroski F-Score is 6/9. At the $5.97 close on 2026-10-13, FairStock calculates P/B of 0.96 and labels it an ASSET PLAY, while the Graham Number is $6.04, leaving only 1.16% margin of safety. FairStock's P/E is 22.96 on $0.26 EPS, so the stock is not statistically cheap on earnings. I see a decent brand-and-distribution business with cash generation, but weak profits and leverage. The price is near asset value, not a screaming bargain.

In plain English: Flowers Foods makes packaged bakery goods such as bread, buns, tortillas, and snacks under brands including Nature's Own, Wonder, and Tastykake. The company still produces cash, but recent profits have fallen sharply compared with a year earlier. At the recent price, the stock trades near the value of its net assets and close to what its current earnings and net assets alone might justify, so it looks fair rather than clearly cheap or expensive.

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Data as of 2026-10-13 close · note generated 2026-10-15 · model deepseek-flash

Sources (SEC EDGAR): fiscal Q2 2026 10-Q (period ended 2026-07-18) · fiscal Q1 2026 10-Q (period ended 2026-04-25) · fiscal Q3 2025 10-Q (period ended 2025-10-04) · fiscal Q2 2025 10-Q (period ended 2025-07-12) · FY2025 10-K (period ended 2026-01-03) · FY2024 10-K (period ended 2024-12-28) · FY2023 10-K (period ended 2023-12-30)

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