SunOpta Inc. Common Stock (STKL)

FairStock Score: 40/100 — MIXED

Key Financials

AI Analysis

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

I look for businesses that earn high returns on capital, carry modest debt, and sell at a discount to intrinsic value. SunOpta, at $6.50 on 2026-05-15, with a $768.6M market cap, is a consumer-defensive maker of plant-based beverages and fruit-based foods. In the latest filed quarter, fiscal Q4 2025, revenue was $219.2M and net income was $5.8M, a 2.64% net margin. That is a real business with positive trailing free cash flow of $18.8M, but the 2.4% FCF yield is not compelling. FairStock calculates ROE of 9.02% and ROCE of 4.46%, which are modest. Debt is high, with D/E of 2.00 and an Altman Z-Score of 0.63, a Graham-style warning rather than a margin of safety. On the positive side, FairStock's Piotroski F-Score is 8/9, suggesting recent financial improvement, and the data set lists revenue growth of 13.18% and profit growth of 160.08%, though those figures are not tied to a named filing period here. Valuation is the rub. At the 2026-05-15 close, FairStock's P/E is 50, P/B is 4.51, EV/EBITDA is 14.59, and the Graham Number is $2.05, giving a margin of safety of -217.07%. The PEG ratio of 0.31 only looks cheap if that rapid profit growth persists. SunOpta has improving operations, but I see no obvious durable moat in competitive plant-based beverages. I would need a much lower price or much higher returns on capital before calling it a bargain.

In plain English: SunOpta makes plant-based drinks, oat creamers, protein shakes, teas and broths. The business is growing and produced a profit in its latest reported quarter, but profit margins are thin and it carries a lot of debt. At $6.50, the stock looks expensive compared with its earnings and assets, so it needs continued improvement to justify the price.

The full AI analysis, bull and bear case and key monitorables are in FairStock Pro.

Data as of 2026-05-15 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