Share Buyback Program Authorized by Fresh Del Monte Produce (NYSE:FDP)

Fresh Del Monte Produce (NYSE:FDP) declared that its board has initiated a share repurchase plan on Monday, February 24th, RTT News reports. The company plans to buyback $150.00 million in shares. This buyback authorization permits the company to purchase up to 10.4% of its shares through open market purchases. Shares buyback plans are generally a sign that the company’s leadership believes its stock is undervalued.

Fresh Del Monte Produce Stock Performance

Fresh Del Monte Produce stock traded down $0.90 during midday trading on Monday, reaching $29.98. 646,688 shares of the stock traded hands, compared to its average volume of 290,688. The company has a current ratio of 2.09, a quick ratio of 1.04 and a debt-to-equity ratio of 0.14. The firm has a fifty day moving average price of $31.63 and a two-hundred day moving average price of $30.97. The firm has a market cap of $1.44 billion, a price-to-earnings ratio of 90.85 and a beta of 0.39. Fresh Del Monte Produce has a fifty-two week low of $21.23 and a fifty-two week high of $35.27.

Fresh Del Monte Produce (NYSE:FDP) last issued its quarterly earnings results on Monday, February 24th. The company reported $0.26 earnings per share for the quarter, missing analysts’ consensus estimates of $0.42 by ($0.16). The company had revenue of $1.01 billion during the quarter, compared to analyst estimates of $1.03 billion. Fresh Del Monte Produce had a return on equity of 5.91% and a net margin of 0.36%. The company’s revenue was up .5% on a year-over-year basis. During the same period in the prior year, the company posted $0.25 earnings per share.

Fresh Del Monte Produce Increases Dividend

The business also recently declared a quarterly dividend, which will be paid on Friday, March 28th. Stockholders of record on Monday, March 10th will be paid a $0.30 dividend. This is a positive change from Fresh Del Monte Produce’s previous quarterly dividend of $0.25. This represents a $1.20 dividend on an annualized basis and a dividend yield of 4.00%. Fresh Del Monte Produce’s dividend payout ratio is currently 303.04%.

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.