Fresh Del Monte Produce (NYSE:FDP) Lowered to “Hold” Rating by StockNews.com

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

Fresh Del Monte Produce Trading Up 2.9 %

FDP opened at $30.44 on Tuesday. Fresh Del Monte Produce has a 12-month low of $21.23 and a 12-month high of $35.27. 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 stock has a market capitalization of $1.46 billion, a PE ratio of 92.25 and a beta of 0.33. The firm’s fifty day moving average price is $30.53 and its 200 day moving average price is $31.20.

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

Fresh Del Monte Produce announced that its Board of Directors has authorized a share repurchase plan on Monday, February 24th that allows the company to buyback $150.00 million in shares. This buyback authorization allows the company to buy up to 10.4% of its shares through open market purchases. Shares buyback plans are often an indication that the company’s leadership believes its shares are undervalued.

Fresh Del Monte Produce Increases Dividend

The firm also recently announced a quarterly dividend, which will be paid on Friday, March 28th. Shareholders of record on Monday, March 10th will be issued 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 a boost from Fresh Del Monte Produce’s previous quarterly dividend of $0.25. The ex-dividend date of this dividend is Monday, March 10th. Fresh Del Monte Produce’s dividend payout ratio is 40.40%.

Insider Activity at Fresh Del Monte Produce

In other news, SVP Ziad Nabulsi sold 1,725 shares of the business’s stock in a transaction on Monday, March 3rd. The shares were sold at an average price of $30.42, for a total transaction of $52,474.50. Following the completion of the transaction, the senior vice president now owns 11,498 shares of the company’s stock, valued at approximately $349,769.16. The trade was a 13.05 % decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which can be accessed through the SEC website. Also, COO Mohammed Abbas sold 5,064 shares of the stock in a transaction dated Monday, March 3rd. The stock was sold at an average price of $30.42, for a total transaction of $154,046.88. Following the completion of the sale, the chief operating officer now directly owns 45,560 shares in the company, valued at approximately $1,385,935.20. This trade represents a 10.00 % decrease in their position. The disclosure for this sale can be found here. Insiders sold a total of 9,321 shares of company stock valued at $283,545 in the last quarter. Insiders own 30.10% of the company’s stock.

Institutional Trading of Fresh Del Monte Produce

Large investors have recently added to or reduced their stakes in the business. Charles Schwab Investment Management Inc. boosted 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 worth $31,329,000 after acquiring an additional 59,521 shares in the last quarter. Barclays PLC lifted its stake in Fresh Del Monte Produce by 185.7% in the 3rd quarter. Barclays PLC now owns 70,694 shares of the company’s stock worth $2,087,000 after acquiring an additional 45,952 shares in the last quarter. JPMorgan Chase & Co. boosted its position in Fresh Del Monte Produce by 25.5% during the 3rd 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 during the period. Empowered Funds LLC grew its stake in Fresh Del Monte Produce by 5.1% during the 4th quarter. Empowered Funds LLC now owns 262,063 shares of the company’s stock valued at $8,703,000 after acquiring an additional 12,723 shares in the last quarter. Finally, CWA Asset Management Group LLC acquired a new position in shares of Fresh Del Monte Produce in the 4th quarter valued at about $625,000. 64.83% of the stock is currently owned by institutional investors and hedge funds.

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.