Fresh Del Monte Produce (NYSE:FDP) Cut to Hold at StockNews.com

StockNews.com downgraded shares of Fresh Del Monte Produce (NYSE:FDP) from a buy rating to a hold rating in a report published on Tuesday.

Fresh Del Monte Produce Stock Up 2.9 %

FDP stock opened at $30.44 on Tuesday. The company has a debt-to-equity ratio of 0.14, a current ratio of 2.09 and a quick ratio of 1.04. The company has a market cap of $1.46 billion, a price-to-earnings ratio of 92.25 and a beta of 0.33. Fresh Del Monte Produce has a 12 month low of $21.23 and a 12 month high of $35.27. The company has a fifty day moving average price of $30.53 and a 200 day moving average price of $31.20.

Fresh Del Monte Produce (NYSE:FDP) last announced its earnings results on Monday, February 24th. The company reported $0.26 earnings per share for the quarter, missing the consensus estimate of $0.42 by ($0.16). Fresh Del Monte Produce had a net margin of 0.36% and a return on equity of 5.91%. The company had revenue of $1.01 billion during the quarter, compared to analysts’ expectations of $1.14 billion. During the same quarter last year, the business posted $0.25 earnings per share. The company’s revenue for the quarter was up .5% compared to the same quarter last year.

Fresh Del Monte Produce declared that its Board of Directors has authorized a share buyback program on Monday, February 24th that allows the company to buyback $150.00 million in outstanding shares. This buyback authorization allows the company to buy up to 10.4% of its shares through open market purchases. Shares buyback programs are typically a sign that the company’s board of directors believes its stock is undervalued.

Fresh Del Monte Produce Increases Dividend

The firm also recently announced a quarterly dividend, which will be paid on Friday, March 28th. Stockholders of record on Monday, March 10th will be paid a dividend of $0.30 per share. This represents a $1.20 dividend on an annualized basis and a dividend yield of 3.94%. This is an increase from Fresh Del Monte Produce’s previous quarterly dividend of $0.25. The ex-dividend date is Monday, March 10th. Fresh Del Monte Produce’s dividend payout ratio is 40.40%.

Insider Activity at Fresh Del Monte Produce

In related news, CFO Monica Vicente sold 2,532 shares of the firm’s stock in a transaction that occurred on Monday, March 3rd. The shares were sold at an average price of $30.42, for a total value of $77,023.44. Following the sale, the chief financial officer now directly owns 10,808 shares of the company’s stock, valued at approximately $328,779.36. This trade represents a 18.98 % decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. Also, SVP Ziad Nabulsi sold 1,725 shares of the stock in a transaction that occurred on Monday, March 3rd. The stock was sold at an average price of $30.42, for a total transaction of $52,474.50. Following the transaction, the senior vice president now directly owns 11,498 shares in the company, valued at approximately $349,769.16. This represents a 13.05 % decrease in their position. The disclosure for this sale can be found here. Insiders sold 9,321 shares of company stock valued at $283,545 in the last ninety days. Corporate insiders own 30.10% of the company’s stock.

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently added to or reduced their stakes in the company. Rhumbline Advisers increased its position in Fresh Del Monte Produce by 0.3% during the 4th quarter. Rhumbline Advisers now owns 104,348 shares of the company’s stock worth $3,465,000 after purchasing an additional 320 shares in the last quarter. Carolina Wealth Advisors LLC boosted its position in Fresh Del Monte Produce by 2.6% during the 4th quarter. Carolina Wealth Advisors LLC now owns 19,403 shares of the company’s stock worth $644,000 after purchasing an additional 486 shares during the period. Waterfront Wealth Inc. increased its holdings in Fresh Del Monte Produce by 2.4% in the 4th quarter. Waterfront Wealth Inc. now owns 22,592 shares of the company’s stock valued at $750,000 after purchasing an additional 526 shares in the last quarter. Bank of Montreal Can raised its position in Fresh Del Monte Produce by 7.4% in the fourth quarter. Bank of Montreal Can now owns 9,669 shares of the company’s stock valued at $321,000 after purchasing an additional 666 shares during the period. Finally, MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. lifted its stake in shares of Fresh Del Monte Produce by 3.7% during the fourth quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 19,211 shares of the company’s stock worth $638,000 after purchasing an additional 684 shares in the last quarter. Institutional investors and hedge funds own 64.83% of the company’s stock.

Fresh Del Monte Produce Company Profile

Fresh Del Monte Produce Inc, through its subsidiaries, produces, markets, and distributes fresh and fresh-cut fruits and vegetables in North America, Central America, South America, Europe, the Middle East, Africa, Asia, and internationally. It operates through three segments: Fresh and Value-Added Products, Banana, and Other Products and Services.