Fresh Del Monte Produce Inc. (NYSE:FDP) Sees Large Increase in Short Interest

Fresh Del Monte Produce Inc. (NYSE:FDP - Get Free Report) saw a large increase in short interest in the month of February. As of February 15th, there was short interest totalling 900,900 shares, an increase of 24.7% from the January 31st total of 722,300 shares. Based on an average daily volume of 321,200 shares, the days-to-cover ratio is presently 2.8 days. Currently, 2.3% of the company's stock are short sold.

Fresh Del Monte Produce Stock Up 2.4 %

FDP stock traded up $0.72 on Friday, reaching $31.23. 426,930 shares of the company traded hands, compared to its average volume of 270,367. Fresh Del Monte Produce has a one year low of $21.23 and a one year 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 company has a market cap of $1.50 billion, a P/E ratio of 94.64 and a beta of 0.33. The firm has a fifty day simple moving average of $31.07 and a 200-day simple moving average of $31.13.

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

Remove Ads

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 $0.30 dividend. This is a positive change from Fresh Del Monte Produce's previous quarterly dividend of $0.25. The ex-dividend date of this dividend is Monday, March 10th. This represents a $1.20 dividend on an annualized basis and a dividend yield of 3.84%. Fresh Del Monte Produce's dividend payout ratio (DPR) is presently 40.40%.

Fresh Del Monte Produce announced that its board has approved a share buyback program on Monday, February 24th that allows the company to repurchase $150.00 million in shares. This repurchase authorization allows the company to buy up to 10.4% of its shares through open market purchases. Shares repurchase programs are generally an indication that the company's management believes its shares are undervalued.

Analysts Set New Price Targets

Separately, StockNews.com lowered Fresh Del Monte Produce from a "buy" rating to a "hold" rating in a research report on Friday.

Insider Activity

In other news, SVP Ziad Nabulsi sold 1,725 shares of the firm's stock in a transaction that occurred on 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 transaction, the senior vice president now owns 11,498 shares in the company, valued at $349,769.16. This trade represents a 13.05 % decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, CFO Monica Vicente sold 2,532 shares of the firm's stock in a transaction that occurred on Monday, March 3rd. The shares were sold at an average price of $30.42, for a total value of $77,023.44. Following the transaction, the chief financial officer now directly owns 10,808 shares of the company's stock, valued at approximately $328,779.36. This trade represents a 18.98 % decrease in their position. The disclosure for this sale can be found here. Insiders sold a total of 9,321 shares of company stock worth $283,545 in the last quarter. 30.10% of the stock is owned by company insiders.

Institutional Trading of Fresh Del Monte Produce

Institutional investors and hedge funds have recently modified their holdings of the business. Parvin Asset Management LLC bought a new stake in shares of Fresh Del Monte Produce in the 4th quarter worth $30,000. Sterling Capital Management LLC increased its holdings in shares of Fresh Del Monte Produce by 795.0% in the 4th quarter. Sterling Capital Management LLC now owns 1,083 shares of the company's stock worth $36,000 after purchasing an additional 962 shares in the last quarter. McIlrath & Eck LLC bought a new stake in shares of Fresh Del Monte Produce in the 4th quarter worth $48,000. Sherman Asset Management Inc. bought a new stake in shares of Fresh Del Monte Produce in the fourth quarter worth $54,000. Finally, State of Wyoming bought a new stake in shares of Fresh Del Monte Produce in the fourth quarter worth $54,000. Institutional investors own 64.83% of the company's stock.

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.