Fresh Del Monte Produce (NYSE:FDP) Stock Rating Lowered by StockNews.com

StockNews.com downgraded shares of Fresh Del Monte Produce (NYSE:FDP) from a buy rating to a hold rating in a research note issued to investors on Friday morning.

Fresh Del Monte Produce Stock Performance

Shares of FDP opened at $31.23 on Friday. The stock has a 50 day moving average of $31.11 and a 200 day moving average of $31.08. The company has a market capitalization of $1.50 billion, a price-to-earnings ratio of 94.64 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 current ratio of 2.09, a quick ratio of 1.04 and a debt-to-equity ratio of 0.14.

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

Fresh Del Monte Produce announced that its board has approved a share repurchase program on Monday, February 24th that authorizes the company to repurchase $150.00 million in outstanding shares. This repurchase authorization authorizes the company to buy up to 10.4% of its shares through open market purchases. Shares repurchase programs are often a sign that the company’s management believes its stock is undervalued.

Fresh Del Monte Produce Increases Dividend

The business also recently announced a quarterly dividend, which will be paid on Friday, March 28th. Stockholders of record on Monday, March 10th will be given a dividend of $0.30 per share. This is an increase 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 3.84%. The ex-dividend date of this dividend is Monday, March 10th. Fresh Del Monte Produce’s dividend payout ratio is currently 40.40%.

Insider Activity at Fresh Del Monte Produce

In other news, CFO Monica Vicente sold 2,532 shares of the stock in a transaction on Monday, March 3rd. The stock was sold at an average price of $30.42, for a total transaction of $77,023.44. Following the completion of the transaction, the chief financial officer now owns 10,808 shares in the company, valued at approximately $328,779.36. This represents a 18.98 % decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, SVP Ziad Nabulsi sold 1,725 shares of Fresh Del Monte Produce stock in a transaction dated Monday, March 3rd. The stock was sold at an average price of $30.42, for a total value of $52,474.50. Following the completion of the sale, the senior vice president now directly owns 11,498 shares of the company’s stock, valued at approximately $349,769.16. This trade represents a 13.05 % decrease in their position. The disclosure for this sale can be found here. Over the last quarter, insiders have sold 9,321 shares of company stock worth $283,545. Insiders own 30.10% of the company’s stock.

Hedge Funds Weigh In On Fresh Del Monte Produce

A number of institutional investors and hedge funds have recently added to or reduced their stakes in the business. Charles Schwab Investment Management Inc. lifted its stake in shares of Fresh Del Monte Produce by 5.9% during the 3rd quarter. Charles Schwab Investment Management Inc. now owns 1,060,576 shares of the company’s stock valued at $31,329,000 after buying an additional 59,521 shares in the last quarter. Barclays PLC raised its holdings in Fresh Del Monte Produce by 185.7% during the 3rd quarter. Barclays PLC now owns 70,694 shares of the company’s stock valued at $2,087,000 after acquiring an additional 45,952 shares during the period. JPMorgan Chase & Co. lifted its position in shares of Fresh Del Monte Produce by 25.5% during the third quarter. JPMorgan Chase & Co. now owns 437,998 shares of the company’s stock worth $12,938,000 after acquiring an additional 88,900 shares in the last quarter. Chesapeake Capital Corp IL bought a new position in shares of Fresh Del Monte Produce in the third quarter worth $592,000. Finally, Empowered Funds LLC grew its position in shares of Fresh Del Monte Produce by 5.1% in the fourth quarter. Empowered Funds LLC now owns 262,063 shares of the company’s stock valued at $8,703,000 after purchasing an additional 12,723 shares in the last quarter. Institutional investors own 64.83% of the company’s stock.

About Fresh Del Monte Produce

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.