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Fresh Del Monte Produce (Fresh Del Monte Produce) Graham Number : $36.55 (As of Dec. 2023)


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What is Fresh Del Monte Produce Graham Number?

Graham Number is a figure that measures a stock's fundamental value by taking into account the company's earnings per share and book value per share. The Graham number is the upper bound of the price range that a defensive investor should pay for the stock. According to the theory, any stock price below the Graham number is considered undervalued, and thus worth investing in.

As of today (2024-04-25), the stock price of Fresh Del Monte Produce is $25.74. Fresh Del Monte Produce's graham number for the quarter that ended in Dec. 2023 was $36.55. Therefore, Fresh Del Monte Produce's Price to Graham Number ratio for today is 0.70.

The historical rank and industry rank for Fresh Del Monte Produce's Graham Number or its related term are showing as below:

FDP' s Price-to-Graham-Number Range Over the Past 10 Years
Min: 0.7   Med: 1.08   Max: 2.51
Current: 0.7

During the past 13 years, the highest Price to Graham Number ratio of Fresh Del Monte Produce was 2.51. The lowest was 0.70. And the median was 1.08.

FDP's Price-to-Graham-Number is ranked better than
70.11% of 1258 companies
in the Consumer Packaged Goods industry
Industry Median: 1.26 vs FDP: 0.70

Graham Number is a combination of asset valuation and earnings power valuation. It is a very conservative way of valuing a stock.


Fresh Del Monte Produce Graham Number Historical Data

The historical data trend for Fresh Del Monte Produce's Graham Number can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Fresh Del Monte Produce Graham Number Chart

Fresh Del Monte Produce Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Graham Number
Get a 7-Day Free Trial Premium Member Only Premium Member Only 25.55 18.39 31.32 35.68 32.14

Fresh Del Monte Produce Quarterly Data
Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23
Graham Number Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 35.60 33.74 39.74 38.40 36.55

Competitive Comparison of Fresh Del Monte Produce's Graham Number

For the Farm Products subindustry, Fresh Del Monte Produce's Price-to-Graham-Number, along with its competitors' market caps and Price-to-Graham-Number data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Fresh Del Monte Produce's Price-to-Graham-Number Distribution in the Consumer Packaged Goods Industry

For the Consumer Packaged Goods industry and Consumer Defensive sector, Fresh Del Monte Produce's Price-to-Graham-Number distribution charts can be found below:

* The bar in red indicates where Fresh Del Monte Produce's Price-to-Graham-Number falls into.



Fresh Del Monte Produce Graham Number Calculation

Graham Number is a concept based on Ben Graham's conservative valuation of companies.

Fresh Del Monte Produce's Graham Number for the fiscal year that ended in Dec. 2023 is calculated as

Graham Number
=sqrt of (22.5* Tangible Book per Share *EPS without NRI)
=sqrt of (22.5*30.677*1.497)
=32.14

Fresh Del Monte Produce's Graham Number for the quarter that ended in Dec. 2023 is calculated as

Graham Number
=sqrt of (22.5*Tangible Book per Share*EPS without NRI (TTM))
=sqrt of (22.5*30.677*1.935)
=36.55

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.


Fresh Del Monte Produce  (NYSE:FDP) Graham Number Explanation

Ben Graham actually did not publish a formula like this. But he wrote in The Intelligent Investor (1948 version) regarding to the criteria for purchases:

Current price should not be more than 15 times average earnings of the past three years.

Current price should not be more than 1.5 times the book value last reported. However, a multiplier of earnings below 15 could justify a correspondingly higher multiplier of assets. As a rule of thumb we suggest that the product of the multiplier times the ratio of price to book value should not exceed 22.5. (This figure corresponds to 15 times earnings and 1.5 times book value. It would admit an issue selling at only 9 times earnings and 2.5 times asset value, etc.)

Unlike valuation methods such as DCF or Discounted Earnings, the Graham number does not take growth into the valuation. Unlike the valuation methods based on book value alone, it takes into account the earnings power. Therefore, the Graham Number is a combination of asset valuation and earnings power valuation.

In general, the Graham number is a very conservative way of valuing a stock. It cannot be applied to companies with negative book values.

Fresh Del Monte Produce's Price to Graham number Ratio for today is calculated as

Price to Graham number=Share Price (Today)/Graham number (Q: Dec. 2023 )
=25.74/36.55
=0.70

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.


Be Aware

Please keep these in mind:

1. Graham Number does not take growth into account. Therefore it underestimates the values of the companies that have good earnings growth. We feel that if the earnings per share grows more than 10% a year, Graham Number underestimates the value.
2. Graham Number punishes the companies that have temporarily low earnings. Therefore, an average of earnings makes more sense in the calculation of Graham Number.
3. Graham Numbers underestimates companies that are light with book.


Fresh Del Monte Produce Graham Number Related Terms

Thank you for viewing the detailed overview of Fresh Del Monte Produce's Graham Number provided by GuruFocus.com. Please click on the following links to see related term pages.


Fresh Del Monte Produce (Fresh Del Monte Produce) Business Description

Traded in Other Exchanges
Address
87 Mary Street, George Town, P.O. Box 698, 4th Floor, Apollo House, c/o H&C Corporate Services Ltd, Grand Cayman, CYM, KY1-1107
Fresh Del Monte Produce Inc is an integrated producer, marketer & distributor of high-quality & fresh-cut fruit & vegetables. It operates in three segments, Fresh and value-added products segment, which includes pineapples, fresh-cut fruit, fresh-cut vegetables, melons, vegetables, non-tropical fruit, other fruit and vegetables, avocados, and prepared foods, Banana segment & Other products and services segment, including the third-party freight & logistic services business & the Jordanian poultry and meats business. The majority is from the Fresh and value-added products segment. Geographically, it operates in North America, Europe, Asia, the Middle East, and Other, out of which the highest is from North America.
Executives
Jesus Rodriguez Calvo officer: SVP, NA Sales & Marketing C/O FRESH DEL MONTE PRODUCE INC, P.O. BOX 149222, CORAL GABLES FL 33114
Tarek Ahmad Betti officer: Chief Human Resources Officer C/O FRESH DEL MONTE PRODUCE INC., P.O. BOX 149222, CORAL GABLES FL 33114
Michael J Berthelot director P O BOX 7277, RANCHO SANTA FE CA 92067
Mohammed Abbas officer: V.P. Middle East and N. Africa C/O FRESH DEL MONTE PRODUCE INC., P.O. BOX 149222, CORAL GABLES FL 33134
Monica Vicente officer: SVP, Chief Financial Officer C/O FRESH DEL MONTE PRODUCE INC., P.O. BOX 149222, CORAL GABLES FL 33114
Effie D Silva officer: SVP, General Counsel & Secy C/O FRESH DEL MONTE PRODUCE INC., P.O. BOX 149222, CORAL GABLES FL 33114
Reyes Jorge Pelaez officer: VP, Central America C/O FRESH DEL MONTE PRODUCE INC., PO BOX 149222, CORAL GABLES FL 33114
Sergio Mancilla officer: VP South America C/O FRESH DEL MONTE PRODUCE INC., P.O. BOX 149222, CORAL GABLES FL 33114
Hans Sauter officer: SVP, R&D and Agriculture C/O FRESH DEL MONTE PRODUCE INC.,, PO BOX 149222, CORAL GABLES FL 33114
Ziad Nabulsi officer: SVP, North American Operations C/O FRESH DEL MONTE PRODUCE INC, P.O. BOX 149222, CORAL GABLES FL 33114
Helmuth Lutty officer: SVP, Shipping Operations C/O FRESH DEL MONTE PRODUCE INC., PO BOX 149222, CORAL GABLES FL 33114
Gianpaolo Renino officer: V.P. Europe and Africa C/O FRESH DEL MONTE, INC., PO BOX 149222, CORAL GABLES FL 33134
Mohammad Abu-ghazaleh director, 10 percent owner, officer: Chief Executive Officer P.O. BOX 149222, CORAL GABLES FL 33114-9222
Eduardo Guarita Bezerra officer: SVP and CFO C/O FRESH DEL MONTE PRODUCE INC., PO BOX 149222, CORAL GABLES FL 33134
Marlene Gordon officer: SVP, General Counsel C/O FRESH DEL MONTE PRODUCE INC.,, PO BOX 149222, CORAL GABLES FL 33134