📊 FDP Key Takeaways
Is Fresh Del Monte Produce Inc. (FDP) a Good Investment?
Fresh Del Monte demonstrates solid financial health with strong liquidity, conservative leverage, and robust free cash flow generation, but faces headwinds from declining profitability and margin compression. The modest revenue growth of 1.0% YoY combined with a 3.0% net income decline suggests operational challenges that warrant caution despite fundamentally sound balance sheet metrics.
Fresh Del Monte Produce shows solid financial health, with low leverage, strong liquidity, and healthy free cash flow generation supporting resilience in a low-margin business. However, growth quality is mixed: revenue rose only modestly, net income declined, and diluted EPS fell sharply, suggesting limited operating leverage and possible pressure from costs, share count, or non-operating factors. The fundamentals support stability more than clear earnings acceleration.
Why Buy Fresh Del Monte Produce Inc. Stock? FDP Key Strengths
- Strong liquidity position with 2.16x current ratio and 1.06x quick ratio indicating solid short-term financial flexibility
- Robust free cash flow generation of $181.3M (4.2% FCF margin) providing capacity for capital allocation and debt service
- Conservative capital structure with 0.09x debt-to-equity ratio and 12.3x interest coverage ratio demonstrating financial stability
- Substantial operating cash flow of $245.1M supporting sustainable dividend and reinvestment capacity
- Strong balance sheet with low debt-to-equity of 0.09x and solid interest coverage of 12.3x
- Healthy liquidity profile with a 2.16x current ratio and positive free cash flow of $181.3M
- Positive operating profitability and cash generation despite operating in a structurally low-margin sector
FDP Stock Risks: Fresh Del Monte Produce Inc. Investment Risks
- Declining profitability with net income down 3.0% YoY and diluted EPS contracting 36.5% YoY despite flat revenue growth signals operational decompression
- Margin compression evident across all profit levels (gross, operating, net) suggesting pricing pressure or rising input costs in agricultural commodities
- Weak profitability ratios (2.1% net margin, 3.0% ROA, 4.5% ROE) indicate limited earnings power relative to asset base and capital employed
- Anemic revenue growth of only 1.0% YoY in a commodity-focused business raises concerns about market saturation or competitive positioning
- Very thin margins leave earnings vulnerable to input cost inflation, pricing pressure, and supply chain disruptions
- Revenue growth of just 1.0% with net income down 3.0% points to weak profit expansion quality
- Sharp 36.5% decline in diluted EPS may indicate earnings volatility or shareholder dilution risk
Key Metrics to Watch
- Gross margin trend - critical indicator of commodity price pressures and production costs
- Operating income growth and margin stability - measure of operational execution and overhead control
- Free cash flow sustainability - ensure FCF generation remains resilient amid margin pressures
- Revenue growth acceleration - must demonstrate ability to grow volume or improve pricing power
- Return on equity improvement - currently 4.5% ROE is suboptimal; watch for margin recovery initiatives
- Operating margin and gross margin trend
- Free cash flow consistency relative to net income
Fresh Del Monte Produce Inc. (FDP) Financial Metrics & Key Ratios
💡 AI Analyst Insight
The relatively thin 4.2% FCF margin may limit capital allocation flexibility. Strong liquidity with a 2.16x current ratio provides a solid financial cushion.
FDP Profit Margin, ROE & Profitability Analysis
FDP vs Market Sector: How Fresh Del Monte Produce Inc. Compares
How Fresh Del Monte Produce Inc. compares to Market sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is Fresh Del Monte Produce Inc. Stock Overvalued? FDP Valuation Analysis 2026
Based on fundamental analysis, Fresh Del Monte Produce Inc. has mixed fundamental signals relative to the Market sector in 2026.
Note: This is a fundamental analysis based on SEC filings. For P/E ratio, price targets, and market-based valuation, consult financial data providers. This is not investment advice.
Fresh Del Monte Produce Inc. Balance Sheet: FDP Debt, Cash & Liquidity
FDP Revenue & Earnings Growth: 5-Year Financial Trend
5-Year Trend Summary: Fresh Del Monte Produce Inc.'s revenue has remained relatively flat over the 5-year period, with a 4% decline. The most recent EPS of $-0.24 indicates the company is currently unprofitable.
FDP Revenue Growth, EPS Growth & YoY Performance
FDP Quarterly Earnings & Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q3 2025 | $1.0B | -$29.1M | $-0.61 |
| Q2 2025 | $1.1B | $53.6M | $1.12 |
| Q1 2025 | $1.1B | $26.1M | $0.55 |
| Q3 2024 | $1.0B | $8.4M | $0.17 |
| Q2 2024 | $1.1B | $47.7M | $0.99 |
| Q1 2024 | $1.1B | $26.1M | $0.55 |
| Q3 2023 | $1.0B | $8.4M | $0.17 |
| Q2 2023 | $1.2B | $21.2M | $0.44 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
Fresh Del Monte Produce Inc. Dividends, Buybacks & Capital Allocation
FDP SEC Filings: Latest 10-K & 10-Q Analysis
Access official SEC EDGAR filings for Fresh Del Monte Produce Inc. (CIK: 0001047340)
📋 Recent SEC Filings
❓ Frequently Asked Questions about FDP
What is the AI rating for FDP?
Fresh Del Monte Produce Inc. (FDP) has a Combined AI Rating of HOLD from Claude (HOLD) and ChatGPT (HOLD) with 68% combined confidence, based on fundamental analysis of SEC EDGAR filings.
What are FDP's key strengths?
Claude: Strong liquidity position with 2.16x current ratio and 1.06x quick ratio indicating solid short-term financial flexibility. Robust free cash flow generation of $181.3M (4.2% FCF margin) providing capacity for capital allocation and debt service. ChatGPT: Strong balance sheet with low debt-to-equity of 0.09x and solid interest coverage of 12.3x. Healthy liquidity profile with a 2.16x current ratio and positive free cash flow of $181.3M.
What are the risks of investing in FDP?
Claude: Declining profitability with net income down 3.0% YoY and diluted EPS contracting 36.5% YoY despite flat revenue growth signals operational decompression. Margin compression evident across all profit levels (gross, operating, net) suggesting pricing pressure or rising input costs in agricultural commodities. ChatGPT: Very thin margins leave earnings vulnerable to input cost inflation, pricing pressure, and supply chain disruptions. Revenue growth of just 1.0% with net income down 3.0% points to weak profit expansion quality.
What is FDP's revenue and growth?
Fresh Del Monte Produce Inc. reported revenue of $4.3B.
Does FDP pay dividends?
Fresh Del Monte Produce Inc. pays dividends, with $57.4M distributed to shareholders in the trailing twelve months.
Where can I find FDP SEC filings?
Official SEC filings for Fresh Del Monte Produce Inc. (CIK: 0001047340) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is FDP's EPS?
Fresh Del Monte Produce Inc. has a diluted EPS of $1.88.
How is the AI analysis conducted?
Two independent AI systems — Claude (Anthropic) and ChatGPT (OpenAI) — analyze SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports. Each AI evaluates financial health, profitability ratios, balance sheet strength, and growth metrics. The combined rating reflects both perspectives for balanced insights.
Is FDP a good stock to buy right now?
Based on our AI fundamental analysis in April 2026, Fresh Del Monte Produce Inc. has a HOLD rating with 68% confidence. Review the strengths and risks sections above before making a decision. This is not investment advice.
Is FDP stock overvalued or undervalued?
Valuation metrics for FDP: ROE of 4.5% (sector avg: 15%), net margin of 2.1% (sector avg: 12%). Compare these metrics with sector averages to assess valuation.
Should I buy FDP stock in 2026?
Our dual AI analysis gives Fresh Del Monte Produce Inc. a combined HOLD rating for 2026. Revenue is data pending, with profitability at or below sector average. Always conduct your own research.
What is FDP's free cash flow?
Fresh Del Monte Produce Inc.'s operating cash flow is $245.1M, with capital expenditures of $63.8M. FCF margin is 4.2%.
How does FDP compare to other Market stocks?
Vs Default sector averages: Net margin 2.1% (avg: 12%), ROE 4.5% (avg: 15%), current ratio 2.16 (avg: 1.8).