DANONE (BSN.DE) Stock Fundamental Analysis
FRA:BSN - Deutsche Boerse Ag - FR0000120644 - Common Stock - Currency: EUR
Taking everything into account, BSN scores 3 out of 10 in our fundamental rating. BSN was compared to 60 industry peers in the Food Products industry. While BSN is still in line with the averages on profitability rating, there are concerns on its financial health. BSN is valued expensive and it does not seem to be growing.
1. Profitability
1.1 Basic Checks
In the past year BSN was profitable.
In the past year BSN had a positive cash flow from operations.
In the past 5 years BSN has always been profitable.
Each year in the past 5 years BSN had a positive operating cash flow.
1.2 Ratios
The Return On Assets of BSN (2.21%) is comparable to the rest of the industry.
With a Return On Equity value of 5.99%, BSN perfoms like the industry average, outperforming 49.12% of the companies in the same industry.
BSN has a Return On Invested Capital (5.77%) which is comparable to the rest of the industry.
BSN had an Average Return On Invested Capital over the past 3 years of 5.56%. This is in line with the industry average of 6.86%.
The 3 year average ROIC (5.56%) for BSN is below the current ROIC(5.77%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.21% | ||
| ROE | 5.99% | ||
| ROIC | 5.77% |
ROA(3y)2.74%
ROA(5y)3.4%
ROE(3y)7.22%
ROE(5y)8.95%
ROIC(3y)5.56%
ROIC(5y)5.64%
1.3 Margins
BSN has a Profit Margin (3.69%) which is comparable to the rest of the industry.
In the last couple of years the Profit Margin of BSN has declined.
With a decent Operating Margin value of 12.83%, BSN is doing good in the industry, outperforming 73.68% of the companies in the same industry.
In the last couple of years the Operating Margin of BSN has declined.
BSN has a better Gross Margin (48.44%) than 75.44% of its industry peers.
BSN's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 12.83% | ||
| PM (TTM) | 3.69% | ||
| GM | 48.44% |
OM growth 3Y-3.56%
OM growth 5Y-2.72%
PM growth 3Y-27.27%
PM growth 5Y-19.71%
GM growth 3Y-0.48%
GM growth 5Y-0.41%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), BSN is destroying value.
BSN has more shares outstanding than it did 1 year ago.
BSN has less shares outstanding than it did 5 years ago.
The debt/assets ratio for BSN is higher compared to a year ago.
2.2 Solvency
An Altman-Z score of 2.25 indicates that BSN is not a great score, but indicates only limited risk for bankruptcy at the moment.
BSN's Altman-Z score of 2.25 is in line compared to the rest of the industry. BSN outperforms 50.88% of its industry peers.
The Debt to FCF ratio of BSN is 5.88, which is a neutral value as it means it would take BSN, 5.88 years of fcf income to pay off all of its debts.
BSN has a Debt to FCF ratio (5.88) which is in line with its industry peers.
A Debt/Equity ratio of 0.78 indicates that BSN is somewhat dependend on debt financing.
BSN's Debt to Equity ratio of 0.78 is on the low side compared to the rest of the industry. BSN is outperformed by 68.42% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.78 | ||
| Debt/FCF | 5.88 | ||
| Altman-Z | 2.25 |
ROIC/WACC0.98
WACC5.92%
2.3 Liquidity
BSN has a Current Ratio of 0.91. This is a bad value and indicates that BSN is not financially healthy enough and could expect problems in meeting its short term obligations.
The Current ratio of BSN (0.91) is worse than 78.95% of its industry peers.
A Quick Ratio of 0.74 indicates that BSN may have some problems paying its short term obligations.
BSN's Quick ratio of 0.74 is on the low side compared to the rest of the industry. BSN is outperformed by 63.16% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.91 | ||
| Quick Ratio | 0.74 |
3. Growth
3.1 Past
BSN shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 0.56%.
Measured over the past years, BSN shows a decrease in Earnings Per Share. The EPS has been decreasing by -0.22% on average per year.
Looking at the last year, BSN shows a decrease in Revenue. The Revenue has decreased by -4.54% in the last year.
Measured over the past years, BSN shows a small growth in Revenue. The Revenue has been growing by 2.30% on average per year.
EPS 1Y (TTM)0.56%
EPS 3Y1.96%
EPS 5Y-0.22%
EPS Q2Q%2.27%
Revenue 1Y (TTM)-4.54%
Revenue growth 3Y5.35%
Revenue growth 5Y2.3%
Sales Q2Q%-2.89%
3.2 Future
Based on estimates for the next years, BSN will show a small growth in Earnings Per Share. The EPS will grow by 6.00% on average per year.
The Revenue is expected to grow by 2.34% on average over the next years.
EPS Next Y3.64%
EPS Next 2Y5.5%
EPS Next 3Y6.25%
EPS Next 5Y6%
Revenue Next Year-1.96%
Revenue Next 2Y0.76%
Revenue Next 3Y1.77%
Revenue Next 5Y2.34%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 18.28, BSN is valued on the expensive side.
The rest of the industry has a similar Price/Earnings ratio as BSN.
Compared to an average S&P500 Price/Earnings ratio of 28.47, BSN is valued a bit cheaper.
A Price/Forward Earnings ratio of 16.61 indicates a correct valuation of BSN.
Compared to the rest of the industry, the Price/Forward Earnings ratio of BSN indicates a slightly more expensive valuation: BSN is more expensive than 61.40% of the companies listed in the same industry.
When comparing the Price/Forward Earnings ratio of BSN to the average of the S&P500 Index (92.74), we can say BSN is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.28 | ||
| Fwd PE | 16.61 |
4.2 Price Multiples
BSN's Enterprise Value to EBITDA is on the same level as the industry average.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of BSN is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 16.69 | ||
| EV/EBITDA | 9.12 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates BSN does not grow enough to justify the current Price/Earnings ratio.
PEG (NY)5.02
PEG (5Y)N/A
EPS Next 2Y5.5%
EPS Next 3Y6.25%
5. Dividend
5.1 Amount
BSN has a Yearly Dividend Yield of 3.09%.
BSN's Dividend Yield is a higher than the industry average which is at 3.24.
Compared to an average S&P500 Dividend Yield of 2.28, BSN pays a bit more dividend than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.09% |
5.2 History
On average, the dividend of BSN grows each year by 24.27%, which is quite nice.
Dividend Growth(5Y)24.27%
Div Incr Years2
Div Non Decr Years3
5.3 Sustainability
134.40% of the earnings are spent on dividend by BSN. This is not a sustainable payout ratio.
The dividend of BSN is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP134.4%
EPS Next 2Y5.5%
EPS Next 3Y6.25%
DANONE
FRA:BSN (2/4/2025, 7:00:00 PM)
65.46
-1.06 (-1.59%)
Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupFood, Beverage & Tobacco
GICS IndustryFood Products
Earnings (Last)
Earnings (Next)
Inst Owners54.49%
Inst Owner ChangeN/A
Ins Owners0%
Ins Owner ChangeN/A
Market Cap44.48B
Analysts72.57
Price Target69.96 (6.87%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.09% |
Yearly Dividend2
Dividend Growth(5Y)24.27%
DP134.4%
Div Incr Years2
Div Non Decr Years3
Ex-DateN/A
Surprises & Revisions
EPS beat(2)N/A
Avg EPS beat(2)N/A
Min EPS beat(2)N/A
Max EPS beat(2)N/A
EPS beat(4)N/A
Avg EPS beat(4)N/A
Min EPS beat(4)N/A
Max EPS beat(4)N/A
EPS beat(8)N/A
Avg EPS beat(8)N/A
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)N/A
Avg Revenue beat(2)N/A
Min Revenue beat(2)N/A
Max Revenue beat(2)N/A
Revenue beat(4)N/A
Avg Revenue beat(4)N/A
Min Revenue beat(4)N/A
Max Revenue beat(4)N/A
Revenue beat(8)N/A
Avg Revenue beat(8)N/A
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)1.15%
PT rev (3m)4.38%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)0.9%
EPS NY rev (3m)0.9%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0.06%
Revenue NY rev (3m)0.06%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.28 | ||
| Fwd PE | 16.61 | ||
| P/S | 1.63 | ||
| P/FCF | 16.69 | ||
| P/OCF | 12.63 | ||
| P/B | 2.66 | ||
| P/tB | N/A | ||
| EV/EBITDA | 9.12 |
EPS(TTM)3.58
EY5.47%
EPS(NY)3.94
Fwd EY6.02%
FCF(TTM)3.92
FCFY5.99%
OCF(TTM)5.18
OCFY7.92%
SpS40.04
BVpS24.64
TBVpS-10.05
PEG (NY)5.02
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.21% | ||
| ROE | 5.99% | ||
| ROCE | 11.32% | ||
| ROIC | 5.77% | ||
| ROICexc | 7.09% | ||
| ROICexgc | 48.71% | ||
| OM | 12.83% | ||
| PM (TTM) | 3.69% | ||
| GM | 48.44% | ||
| FCFM | 9.8% |
ROA(3y)2.74%
ROA(5y)3.4%
ROE(3y)7.22%
ROE(5y)8.95%
ROIC(3y)5.56%
ROIC(5y)5.64%
ROICexc(3y)6.63%
ROICexc(5y)6.61%
ROICexgc(3y)38.45%
ROICexgc(5y)35.29%
ROCE(3y)10.43%
ROCE(5y)10.57%
ROICexcg growth 3Y16.02%
ROICexcg growth 5Y3.63%
ROICexc growth 3Y4.15%
ROICexc growth 5Y1.16%
OM growth 3Y-3.56%
OM growth 5Y-2.72%
PM growth 3Y-27.27%
PM growth 5Y-19.71%
GM growth 3Y-0.48%
GM growth 5Y-0.41%
F-Score6
Asset Turnover0.6
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.78 | ||
| Debt/FCF | 5.88 | ||
| Debt/EBITDA | 2.56 | ||
| Cap/Depr | 52.52% | ||
| Cap/Sales | 3.15% | ||
| Interest Coverage | -6.46 | ||
| Cash Conversion | 68.78% | ||
| Profit Quality | 265.8% | ||
| Current Ratio | 0.91 | ||
| Quick Ratio | 0.74 | ||
| Altman-Z | 2.25 |
F-Score6
WACC5.92%
ROIC/WACC0.98
Cap/Depr(3y)60.63%
Cap/Depr(5y)63.35%
Cap/Sales(3y)3.51%
Cap/Sales(5y)3.67%
Profit Quality(3y)215.54%
Profit Quality(5y)176.02%
High Growth Momentum
Growth
EPS 1Y (TTM)0.56%
EPS 3Y1.96%
EPS 5Y-0.22%
EPS Q2Q%2.27%
EPS Next Y3.64%
EPS Next 2Y5.5%
EPS Next 3Y6.25%
EPS Next 5Y6%
Revenue 1Y (TTM)-4.54%
Revenue growth 3Y5.35%
Revenue growth 5Y2.3%
Sales Q2Q%-2.89%
Revenue Next Year-1.96%
Revenue Next 2Y0.76%
Revenue Next 3Y1.77%
Revenue Next 5Y2.34%
EBIT growth 1Y-0.2%
EBIT growth 3Y1.61%
EBIT growth 5Y-0.48%
EBIT Next Year34.37%
EBIT Next 3Y14.41%
EBIT Next 5Y10.46%
FCF growth 1Y27.44%
FCF growth 3Y8.99%
FCF growth 5Y3.65%
OCF growth 1Y14.99%
OCF growth 3Y5.08%
OCF growth 5Y2.05%