Danone (XSWX:BN) ROE %: 9.56% (As of Dec. 2025) — 18% Below Median


XSWX:BN Danone SA XSWX:BN
70 GF Score
Price CHF62.26
GF Value CHF60.08
Valuation Fairly Valued
! 2 Warning Signs
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What is Danone ROE %?

Danone XSWX:BN 70 ROE % is 9.56% as of Dec. 2025, which is 18% below its 10-year median of 11.60. GuruFocus rates XSWX:BN with a GF Score™ of 70/100 and a GF Value™ of CHF60.08 (Fairly Valued). The stock has 2 warning signs investors should review. Among 1,915 Consumer Packaged Goods companies, Danone ranks better than 65.33% on this metric.

ROE % is calculated as Net Income divided by its average Total Stockholders Equity over a certain period of time. Danone's annualized net income for the quarter that ended in Dec. 2025 was CHF1,465 Mil. Danone's average Total Stockholders Equity over the quarter that ended in Dec. 2025 was CHF15,332 Mil. Therefore, Danone's annualized ROE % for the quarter that ended in Dec. 2025 was 9.56%.

The historical rank and industry rank for Danone's ROE % or its related term are showing as below:

XSWX:BN' s ROE % Range Over the Past 10 Years
Min: 5.17   Med: 11.6   Max: 17.77
Current: 10.83

During the past 13 years, Danone's highest ROE % was 17.77%. The lowest was 5.17%. And the median was 11.60%.

XSWX:BN's ROE % is ranked better than
65.33% of 1915 companies
in the Consumer Packaged Goods industry
Industry Median: 6.75 vs XSWX:BN: 10.83

Danone  (XSWX:BN) ROE % Explanation

ROE % measures the rate of return on the ownership interest (shareholder's equity) of the common stock owners. It measures a firm's efficiency at generating profits from every unit of shareholders' equity (also known as net assets or assets minus liabilities). ROE % shows how well a company uses investment funds to generate earnings growth. ROE %s between 15% and 20% are considered desirable.

The factors that affect a company's ROE % can be illustrated with the three-step DuPont Analysis:

ROE %(Q: Dec. 2025 )
=Net Income/Total Stockholders Equity
=1465.026/15331.806
=(Net Income / Revenue )*(Revenue / Total Assets)*(Total Assets / Total Stockholders Equity)
=(1465.026 / 25280.58)*(25280.58 / 41549.1385)*(41549.1385 / 15331.806)
=Net Margin %*Asset Turnover*Equity Multiplier
=5.8 %*0.6085*2.71
=ROA %*Equity Multiplier
=3.53 %*2.71
=9.56 %

With this breakdown, it is clear that if a company grows its Net Profit Margin, its Asset Turnover, or its Leverage, it can grow its ROE %.

The factors that affect a company's ROE % can also be illustrated with the five-step DuPont Analysis:

ROE %(Q: Dec. 2025 )
=Net Income/Total Stockholders Equity
=1465.026/15331.806
=(Net Income / Pre-Tax Income) * (Pre-Tax Income / Operating Income) * (Operating Income / Revenue) * (Revenue / Total Assets) * (Total Assets / Total Stockholders Equity)
= (1465.026 / 2142.486) * (2142.486 / 3835.198) * (3835.198 / 25280.58) * (25280.58 / 41549.1385) * (41549.1385 / 15331.806)
= Tax Burden * Interest Burden * Operating Margin % * Asset Turnover * Equity Multiplier
= 0.6838 * 0.5586 * 15.17 % * 0.6085 * 2.71
=9.56 %

Note: The net income data used here is two times the semi-annual (Dec. 2025) net income data. The Revenue data used here is two times the semi-annual (Dec. 2025) revenue data. The same rule applies to Pre-Tax Income and Operating Income.
* In the five-step DuPont Analysis, Operating Income is only available for non-financial companies. Thus, for Insurance companies, we use EBIT as a substitution of Operating Income. For Banks, both Operating Income and EBIT is unavailable. Thus we combined Interest Burden and Operating Margin % into Pretax Margin %, and the DuPont Analysis is divided into four components instead.

* 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

Net Income is used.

Because a company can increase its ROE % by having more financial leverage, it is important to watch the equity multiplier when investing in high ROE % companies. Like ROA %, ROE % is calculated with only 12 months data. Fluctuations in company's earnings or business cycles can affect the ratio drastically. It is important to look at the ratio from a long term perspective.

Asset light businesses require very few assets to generate very high earnings. Their ROE %s can be extremely high.


Danone ROE % Related Terms


Danone ROE % Historical Data

* Premium members only.

The historical data trend for Danone's ROE % 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.

Danone ROE % Chart

Danone Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
ROE %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 11.28 5.31 5.04 11.84 10.51

Danone Semi-Annual Data
Jun16 Dec16 Jun17 Dec17 Jun18 Dec18 Jun19 Dec19 Jun20 Dec20 Jun21 Dec21 Jun22 Dec22 Jun23 Dec23 Jun24 Dec24 Jun25 Dec25
ROE % 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 -2.55 14.96 9.15 12.39 9.56

XSWX:BN vs KHC, GIS: ROE % Comparison

For the Packaged Foods subindustry, Danone's ROE %, along with its competitors' market caps and ROE % 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.


Danone ROE % vs Consumer Packaged Goods Industry

For the Consumer Packaged Goods industry and Consumer Defensive sector, Danone's ROE % distribution charts can be found below:

* The bar in red indicates where Danone's ROE % falls into.


XSWX:BN
70GF Score
Danone SA XSWX:BN
ROE % is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Danone ROE % Calculation

Danone's annualized ROE % for the fiscal year that ended in Dec. 2025 is calculated as

ROE %=Net Income (A: Dec. 2025 )/( (Total Stockholders Equity (A: Dec. 2024 )+Total Stockholders Equity (A: Dec. 2025 ))/ count )
=1702.977/( (16613.636+15785.898)/ 2 )
=1702.977/16199.767
=10.51 %

Danone's annualized ROE % for the quarter that ended in Dec. 2025 is calculated as

ROE %=Net Income (Q: Dec. 2025 )/( (Total Stockholders Equity (Q: Jun. 2025 )+Total Stockholders Equity (Q: Dec. 2025 ))/ count )
=1465.026/( (14877.714+15785.898)/ 2 )
=1465.026/15331.806
=9.56 %

* 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.

In the calculation of annual ROE %, the net income of the last fiscal year and the average total shareholder equity over the fiscal year are used. In calculating the quarterly data, the net income data used here is two times the semi-annual (Dec. 2025) net income data. ROE % is displayed in the 30-year financial page.

Frequently Asked Questions Learn more about ROE % →
What does a ROE % of 9.56% mean?
Danone (XSWX:BN) has a ROE % of 9.56% as of Dec. 2025. Return on equity is the ratio of current-period net income to average two-period total equity. View historical data on Danone and its competitors. This is 18% below median its historical median of 11.60. Over the past decade, Danone's ROE % has ranged from 5.17 to 17.77. According to the industry distribution chart, Danone ranks #664 out of 1915 companies in the Consumer Packaged Goods industry, placing it in the top 34.7%.
Is Danone's ROE % too high?
Danone's current ROE % of 9.56% is 18% below median its 10-year median of 11.60. Over the past 10 years, this metric has ranged from a low of 5.17 to a high of 17.77. The Consumer Packaged Goods industry median ROE % is 6.75. Danone's value of 9.56% is 41.6% above this industry median. Based on the distribution chart, Danone ranks #664 out of 1915 companies in the Consumer Packaged Goods industry, which is above the industry midpoint. Overall, Danone has a GF Score™ of 70/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Danone's ROE % compare to KHC and GIS?
According to the Consumer Packaged Goods industry distribution chart, Danone ranks #664 out of 1915 companies for ROE %. This puts Danone in the upper half of its industry. The industry median ROE % is 6.75. Danone's value of 9.56% is 41.6% above this benchmark. Historically, Danone's own ROE % has ranged from 5.17 to 17.77 over the past decade. While the company's 10-year median is 11.60 vs. the industry median of 6.75, Danone has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good ROE % for a Consumer Packaged Goods company?
The median ROE % among Consumer Packaged Goods companies is 6.75, based on 1,915 companies in the industry. Companies in the top quartile (top 25%) have a ROE % significantly above this median, while those in the bottom quartile fall well below. However, ROE % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Danone's current ROE % of 9.56% is 41.6% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high ROE % mean?
A high ROE % can signal that a stock is expensive relative to its fundamentals. Return on equity is the ratio of current-period net income to average two-period total equity. View historical data on Danone and its competitors. For the Consumer Packaged Goods industry, the median ROE % is 6.75 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Danone's current ROE % is 9.56%, which is 18% below median its own 10-year median of 11.60. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Danone stock overvalued right now?
Based on GuruFocus' analysis, Danone (XSWX:BN) is currently considered Fairly Valued. The stock's GF Value™ is CHF60.08, compared to a current price of CHF62.26 — trading 3.6% above its estimated fair value. The current ROE % is 9.56%, which is 18% below median its 10-year median of 11.60 and 41.6% above the Consumer Packaged Goods industry median of 6.75. Danone's overall GF Score™ is 70/100 with 2 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is ROE % calculated?
ROE % is calculated from a company's financial statements. For Danone (XSWX:BN), the current ROE % is 9.56% as of Dec. 2025. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is Danone (XSWX:BN) Overvalued in 2026?

Based on GuruFocus' analysis, Danone stock appears to be overvalued. The current stock price of CHF62.26 is trading 3.6% above its estimated GF Value™ of CHF60.08. GuruFocus considers Danone to be Fairly Valued.

Key valuation signals for XSWX:BN:

  • ROE %: 9.56% (18% below median its 10-year median of 11.60)
  • GF Value™: CHF60.08 vs. price of CHF62.26 (3.6% above fair value)
  • GF Score™: 70/100 with 2 warning signs
  • Industry Position: 41.6% above the Consumer Packaged Goods median (#664 of 1915)

No single metric tells the full story. See the XSWX:BN stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Danone Business Description

Address 59-61 rue La Fayette, Paris, FRA, 75009
Danone is a global food and beverage industry leader with more than EUR 27 billion annual revenue. Its operations are organized into three broad segments: essential dairy and plant-based products, representing just over half of group revenue; specialized nutrition; and bottled water. The firm's portfolio includes well-known brands such as Danone/Dannon dairy products, Alpro plant-based dairy, Aptamil infant milk formula, Evian and Volvic bottled water, and leading medical nutrition brands.
70GF Score

Get the complete analysis for XSWX:BN

ROE % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

CHF62.26
Price
CHF60.08
GF Value