ASSOCIATED BRITISH FOODS PLC OR
Associated British Foods operates globally through 5 segments: Grocery, Ingredients, Agriculture, Sugar, and Retail. The Grocery segment manufactures various food products for retail, wholesale, and foodservice businesses. The Ingredients segment produces bakery ingredients, enzymes, and other specialties. The Agriculture segment manufactures animal feeds and provides agriculture services. The Sugar segment grows, processes, and sells sugar beet and cane to industrial users. The Retail segment operates Primark and Penneys clothing chains.
Overview
Strengths
- Current Price to Earnings Ratio (10.97) is lower than the sector mean (62.33).
- Price to book ratio (1.43) is lower than the sector mean (5.03).
- The company has low debt. Net Debt to EBITDA Ratio is -0.23 and it is lower than the sector mean.
- The company has high returns. ROIC (24.36%) is higher than the sector mean (10.87%).
- EV/EBITDA (4.88) is lower than the sector mean (27.63).
- EV/EBIT (6.99) is lower than the sector mean.
- Price to free cash flow (9.45) is lower than the sector mean.
Weaknesses
- With a depreciation Potential of -84.13%, based on our fundamental analysis, it suggests the stock may be overvalued.
- Analysts expect revenues to decline in the coming year.
Key Financial Data
| Indicator | Value |
|---|
| PER | 11.1 |
| EV/EBITDA | 4.9 |
| Price/Free Cash Flow' | 9.6 |
| ROIC | 24.4% |
| Net Debt/EBITDA | -0.2 |