Fresh Del Monte Produce (NYSE:FDP) Shares Gap Down on Disappointing Earnings

Fresh Del Monte Produce Inc. (NYSE:FDP)’s share price gapped down prior to trading on Friday after the company announced weaker than expected quarterly earnings. The stock had previously closed at $26.03, but opened at $25.28. Fresh Del Monte Produce shares last traded at $24.20, with a volume of 73,934 shares trading hands.

The company reported $0.34 EPS for the quarter, missing the consensus estimate of $0.60 by ($0.26). Fresh Del Monte Produce had a negative net margin of 0.26% and a positive return on equity of 5.11%. The company had revenue of $1.11 billion during the quarter, compared to analysts’ expectations of $1.15 billion. During the same quarter in the prior year, the company earned $0.55 earnings per share. The business’s revenue for the quarter was down 1.8% on a year-over-year basis.

Fresh Del Monte Produce Increases Dividend

The firm also recently announced a quarterly dividend, which was paid on Friday, March 29th. Investors of record on Thursday, March 7th were given a dividend of $0.25 per share. This represents a $1.00 dividend on an annualized basis and a yield of 4.13%. The ex-dividend date was Wednesday, March 6th. This is an increase from Fresh Del Monte Produce’s previous quarterly dividend of $0.20. Fresh Del Monte Produce’s dividend payout ratio is -400.00%.

Analysts Set New Price Targets

Separately, TheStreet cut shares of Fresh Del Monte Produce from a “b-” rating to a “c” rating in a report on Monday, February 26th.

Insider Buying and Selling

In other Fresh Del Monte Produce news, Director Ghazaleh Amir Abu purchased 10,000 shares of the business’s stock in a transaction on Wednesday, February 28th. The shares were purchased at an average cost of $23.62 per share, for a total transaction of $236,200.00. Following the acquisition, the director now owns 3,264,308 shares of the company’s stock, valued at $77,102,954.96. The transaction was disclosed in a document filed with the SEC, which can be accessed through the SEC website. In related news, SVP Jesus Rodriguez Calvo sold 2,402 shares of the stock in a transaction dated Thursday, March 14th. The stock was sold at an average price of $24.59, for a total transaction of $59,065.18. The sale was disclosed in a legal filing with the SEC, which is available at the SEC website. Also, Director Ghazaleh Amir Abu bought 10,000 shares of the stock in a transaction on Wednesday, February 28th. The stock was purchased at an average price of $23.62 per share, for a total transaction of $236,200.00. Following the completion of the purchase, the director now directly owns 3,264,308 shares in the company, valued at $77,102,954.96. The disclosure for this purchase can be found here. Insiders have sold 10,569 shares of company stock valued at $258,509 over the last 90 days. 29.70% of the stock is owned by corporate insiders.

Hedge Funds Weigh In On Fresh Del Monte Produce

A number of hedge funds and other institutional investors have recently modified their holdings of FDP. Parallel Advisors LLC boosted its stake in shares of Fresh Del Monte Produce by 197.6% during the 4th quarter. Parallel Advisors LLC now owns 1,119 shares of the company’s stock valued at $29,000 after purchasing an additional 743 shares in the last quarter. Strs Ohio purchased a new stake in Fresh Del Monte Produce in the third quarter worth $41,000. SG Americas Securities LLC bought a new position in Fresh Del Monte Produce in the third quarter worth $177,000. Quantbot Technologies LP lifted its position in Fresh Del Monte Produce by 1,526.5% during the third quarter. Quantbot Technologies LP now owns 8,214 shares of the company’s stock valued at $212,000 after buying an additional 7,709 shares during the period. Finally, Leuthold Group LLC bought a new stake in shares of Fresh Del Monte Produce during the 3rd quarter valued at $223,000. 64.83% of the stock is currently owned by hedge funds and other institutional investors.

Fresh Del Monte Produce Stock Down 6.9 %

The company has a debt-to-equity ratio of 0.21, a quick ratio of 1.01 and a current ratio of 2.12. The stock’s 50-day moving average price is $25.07 and its two-hundred day moving average price is $24.81. The stock has a market capitalization of $1.16 billion, a PE ratio of -97.32 and a beta of 0.54.

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.