📊 FDP Key Takeaways
Is FDP a Good Investment? Thesis Analysis
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.
Why Buy 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
FDP Investment Risks to Consider
- 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
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
FDP Financial Metrics
💡 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 Profitability Ratios
FDP vs Default Sector
How FRESH DEL MONTE PRODUCE INC compares to Default sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is FDP Overvalued or Undervalued?
Based on fundamental analysis, FRESH DEL MONTE PRODUCE INC has mixed fundamental signals relative to the Default 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.
FDP Balance Sheet & Liquidity
FDP 5-Year Financial Trend & Growth Analysis
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 Growth Metrics (YoY)
FDP Quarterly 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.
FDP Capital Allocation
FDP SEC 10-K & 10-Q Filing Analysis
Access official SEC EDGAR filings for FRESH DEL MONTE PRODUCE INC (CIK: 0001047340)
📋 Recent SEC Filings
| Date | Form | Document | Action |
|---|---|---|---|
| Mar 11, 2026 | 4 | xslF345X05/wk-form4_1773267055.xml | View → |
| Mar 10, 2026 | 4 | xslF345X05/wk-form4_1773176446.xml | View → |
| Mar 10, 2026 | 4 | xslF345X05/wk-form4_1773176438.xml | View → |
| Mar 5, 2026 | 4 | xslF345X05/wk-form4_1772754318.xml | View → |
| Mar 5, 2026 | 4 | xslF345X05/wk-form4_1772754309.xml | View → |
❓ Frequently Asked Questions about FDP
What is the AI rating for FDP?
FRESH DEL MONTE PRODUCE INC (FDP) has an AI rating of HOLD with 62% 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.
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.
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 March 2026, FRESH DEL MONTE PRODUCE INC has a HOLD rating with 62% 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 Default stocks?
Vs Default sector averages: Net margin 2.1% (avg: 12%), ROE 4.5% (avg: 15%), current ratio 2.16 (avg: 1.8).