BUNGE GLOBAL SA (BG) Stock Fundamental Analysis
NYSE:BG - New York Stock Exchange, Inc. - CH1300646267 - Common Stock - Currency: USD
Overall BG gets a fundamental rating of 5 out of 10. We evaluated BG against 88 industry peers in the Food Products industry. BG has only an average score on both its financial health and profitability. BG has a valuation in line with the averages, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
In the past year BG was profitable.
In the past year BG had a positive cash flow from operations.
In the past 5 years BG has always been profitable.
The reported operating cash flow has been mixed in the past 5 years: BG reported negative operating cash flow in multiple years.
1.2 Ratios
BG has a Return On Assets of 4.57%. This is in the better half of the industry: BG outperforms 62.50% of its industry peers.
Looking at the Return On Equity, with a value of 10.39%, BG is in the better half of the industry, outperforming 65.91% of the companies in the same industry.
With a decent Return On Invested Capital value of 7.56%, BG is doing good in the industry, outperforming 72.73% of the companies in the same industry.
BG had an Average Return On Invested Capital over the past 3 years of 10.77%. This is in line with the industry average of 9.00%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.57% | ||
| ROE | 10.39% | ||
| ROIC | 7.56% |
ROA(3y)6.65%
ROA(5y)6.66%
ROE(3y)16.17%
ROE(5y)18.73%
ROIC(3y)10.77%
ROIC(5y)10.22%
1.3 Margins
BG's Profit Margin of 2.14% is in line compared to the rest of the industry. BG outperforms 50.00% of its industry peers.
BG's Profit Margin has declined in the last couple of years.
The Operating Margin of BG (3.39%) is comparable to the rest of the industry.
BG's Operating Margin has improved in the last couple of years.
BG has a worse Gross Margin (6.39%) than 79.55% of its industry peers.
In the last couple of years the Gross Margin of BG has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 3.39% | ||
| PM (TTM) | 2.14% | ||
| GM | 6.39% |
OM growth 3Y-7.82%
OM growth 5Y6.69%
PM growth 3Y-14.75%
PM growth 5YN/A
GM growth 3Y2.27%
GM growth 5Y3.43%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so BG is still creating some value.
The number of shares outstanding for BG has been reduced compared to 1 year ago.
Compared to 5 years ago, BG has less shares outstanding
BG has a worse debt/assets ratio than last year.
2.2 Solvency
The Debt to FCF ratio of BG is 11.90, which is on the high side as it means it would take BG, 11.90 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of BG (11.90) is comparable to the rest of the industry.
A Debt/Equity ratio of 0.51 indicates that BG is somewhat dependend on debt financing.
BG has a Debt to Equity ratio (0.51) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.51 | ||
| Debt/FCF | 11.9 | ||
| Altman-Z | N/A |
ROIC/WACC1.05
WACC7.21%
2.3 Liquidity
A Current Ratio of 2.15 indicates that BG has no problem at all paying its short term obligations.
Looking at the Current ratio, with a value of 2.15, BG is in the better half of the industry, outperforming 68.18% of the companies in the same industry.
A Quick Ratio of 1.27 indicates that BG should not have too much problems paying its short term obligations.
The Quick ratio of BG (1.27) is better than 70.45% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.15 | ||
| Quick Ratio | 1.27 |
3. Growth
3.1 Past
The earnings per share for BG have decreased strongly by -32.77% in the last year.
Measured over the past years, BG shows a very strong growth in Earnings Per Share. The EPS has been growing by 20.28% on average per year.
BG shows a very negative growth in Revenue. In the last year, the Revenue has decreased by -10.80%.
Measured over the past years, BG shows a small growth in Revenue. The Revenue has been growing by 5.24% on average per year.
EPS 1Y (TTM)-32.77%
EPS 3Y-10.8%
EPS 5Y20.28%
EPS Q2Q%-42.43%
Revenue 1Y (TTM)-10.8%
Revenue growth 3Y-3.53%
Revenue growth 5Y5.24%
Sales Q2Q%-9.33%
3.2 Future
The Earnings Per Share is expected to grow by 0.15% on average over the next years.
Based on estimates for the next years, BG will show a small growth in Revenue. The Revenue will grow by 3.89% on average per year.
EPS Next Y-12.22%
EPS Next 2Y-1.25%
EPS Next 3Y0.15%
EPS Next 5YN/A
Revenue Next Year4.41%
Revenue Next 2Y3.11%
Revenue Next 3Y3.89%
Revenue Next 5YN/A
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
BG is valuated reasonably with a Price/Earnings ratio of 8.59.
Compared to the rest of the industry, the Price/Earnings ratio of BG indicates a rather cheap valuation: BG is cheaper than 90.91% of the companies listed in the same industry.
BG is valuated cheaply when we compare the Price/Earnings ratio to 28.29, which is the current average of the S&P500 Index.
With a Price/Forward Earnings ratio of 9.79, the valuation of BG can be described as very reasonable.
95.45% of the companies in the same industry are more expensive than BG, based on the Price/Forward Earnings ratio.
BG's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 21.08.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.59 | ||
| Fwd PE | 9.79 |
4.2 Price Multiples
BG's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. BG is cheaper than 85.23% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, BG is valued a bit cheaper than the industry average as 61.36% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 20.19 | ||
| EV/EBITDA | 5.56 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)0.42
EPS Next 2Y-1.25%
EPS Next 3Y0.15%
5. Dividend
5.1 Amount
BG has a Yearly Dividend Yield of 3.71%.
Compared to an average industry Dividend Yield of 4.43, BG pays a bit more dividend than its industry peers.
BG's Dividend Yield is a higher than the S&P500 average which is at 2.57.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.71% |
5.2 History
The dividend of BG has a limited annual growth rate of 3.89%.
BG has been paying a dividend for at least 10 years, so it has a reliable track record.
BG has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)3.89%
Div Incr Years4
Div Non Decr Years23
5.3 Sustainability
BG pays out 33.25% of its income as dividend. This is a sustainable payout ratio.
The dividend of BG is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP33.25%
EPS Next 2Y-1.25%
EPS Next 3Y0.15%
78.96
+2.58 (+3.38%)
Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupFood, Beverage & Tobacco
GICS IndustryFood Products
Earnings (Last)
Earnings (Next)
Inst Owners90.97%
Inst Owner Change0%
Ins Owners0.98%
Ins Owner Change6.45%
Market Cap10.58B
Analysts78
Price Target90.81 (15.01%)
Short Float %2.95%
Short Ratio2.41
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.71% |
Yearly Dividend2.71
Dividend Growth(5Y)3.89%
DP33.25%
Div Incr Years4
Div Non Decr Years23
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-2.17%
Min EPS beat(2)-7.78%
Max EPS beat(2)3.43%
EPS beat(4)2
Avg EPS beat(4)1.45%
Min EPS beat(4)-7.78%
Max EPS beat(4)16.61%
EPS beat(8)5
Avg EPS beat(8)10.25%
EPS beat(12)7
Avg EPS beat(12)11.93%
EPS beat(16)11
Avg EPS beat(16)29.39%
Revenue beat(2)0
Avg Revenue beat(2)-2.63%
Min Revenue beat(2)-3.35%
Max Revenue beat(2)-1.9%
Revenue beat(4)0
Avg Revenue beat(4)-5.46%
Min Revenue beat(4)-9.94%
Max Revenue beat(4)-1.9%
Revenue beat(8)1
Avg Revenue beat(8)-5.7%
Revenue beat(12)3
Avg Revenue beat(12)-4.77%
Revenue beat(16)6
Avg Revenue beat(16)-0.02%
PT rev (1m)-3.45%
PT rev (3m)-16.51%
EPS NQ rev (1m)-0.48%
EPS NQ rev (3m)-40.33%
EPS NY rev (1m)-0.19%
EPS NY rev (3m)-14.76%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)2.05%
Revenue NY rev (1m)0%
Revenue NY rev (3m)2.15%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.59 | ||
| Fwd PE | 9.79 | ||
| P/S | 0.2 | ||
| P/FCF | 20.19 | ||
| P/OCF | 5.57 | ||
| P/B | 0.97 | ||
| P/tB | 1.04 | ||
| EV/EBITDA | 5.56 |
EPS(TTM)9.19
EY11.64%
EPS(NY)8.07
Fwd EY10.22%
FCF(TTM)3.91
FCFY4.95%
OCF(TTM)14.18
OCFY17.96%
SpS396.42
BVpS81.7
TBVpS75.92
PEG (NY)N/A
PEG (5Y)0.42
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.57% | ||
| ROE | 10.39% | ||
| ROCE | 10.32% | ||
| ROIC | 7.56% | ||
| ROICexc | 9.23% | ||
| ROICexgc | 9.73% | ||
| OM | 3.39% | ||
| PM (TTM) | 2.14% | ||
| GM | 6.39% | ||
| FCFM | 0.99% |
ROA(3y)6.65%
ROA(5y)6.66%
ROE(3y)16.17%
ROE(5y)18.73%
ROIC(3y)10.77%
ROIC(5y)10.22%
ROICexc(3y)12.86%
ROICexc(5y)11.97%
ROICexgc(3y)13.65%
ROICexgc(5y)12.78%
ROCE(3y)14.6%
ROCE(5y)14.18%
ROICexcg growth 3Y-15.42%
ROICexcg growth 5Y5.22%
ROICexc growth 3Y-14.88%
ROICexc growth 5Y6.42%
OM growth 3Y-7.82%
OM growth 5Y6.69%
PM growth 3Y-14.75%
PM growth 5YN/A
GM growth 3Y2.27%
GM growth 5Y3.43%
F-Score5
Asset Turnover2.13
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.51 | ||
| Debt/FCF | 11.9 | ||
| Debt/EBITDA | 2.45 | ||
| Cap/Depr | 294.02% | ||
| Cap/Sales | 2.59% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 83.7% | ||
| Profit Quality | 46.09% | ||
| Current Ratio | 2.15 | ||
| Quick Ratio | 1.27 | ||
| Altman-Z | N/A |
F-Score5
WACC7.21%
ROIC/WACC1.05
Cap/Depr(3y)226.28%
Cap/Depr(5y)171.37%
Cap/Sales(3y)1.77%
Cap/Sales(5y)1.37%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-32.77%
EPS 3Y-10.8%
EPS 5Y20.28%
EPS Q2Q%-42.43%
EPS Next Y-12.22%
EPS Next 2Y-1.25%
EPS Next 3Y0.15%
EPS Next 5YN/A
Revenue 1Y (TTM)-10.8%
Revenue growth 3Y-3.53%
Revenue growth 5Y5.24%
Sales Q2Q%-9.33%
Revenue Next Year4.41%
Revenue Next 2Y3.11%
Revenue Next 3Y3.89%
Revenue Next 5YN/A
EBIT growth 1Y-44.59%
EBIT growth 3Y-11.07%
EBIT growth 5Y12.28%
EBIT Next Year8.3%
EBIT Next 3Y7.4%
EBIT Next 5YN/A
FCF growth 1Y-76.03%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-42.56%
OCF growth 3YN/A
OCF growth 5YN/A