Danone SA (DANOY) AI Stock Analysis

• Market Cap: $57.65B
• Dividend Yield: 2.62%
• Average Volume (3M): 384.97K
• Price to Earnings (P/E): 28.8
• Beta (1Y): -0.16
• Revenue Growth: 1.11%
• EPS Growth: 84.32%
• Country: US
• Employees: 89,528
• Sector: Consumer Defensive
• Sector Strength: 42
• Industry: Packaged Foods
• EPS (TTM): 0.37
• Shares Outstanding: 3,406,972,400
• 10 Day Avg. Volume: 243,427
• 30 Day Avg. Volume: 384,967
• PEG Ratio: 0.16
• Price to Book (P/B): 2.34
• Price to Sales (P/S): 1.52
• P/FCF Ratio: 14.30
• Enterprise Value/Market Cap: 1.10
• Enterprise Value/Revenue: 2.32
• Enterprise Value/Gross Profit: 4.60
• Enterprise Value/Ebitda: 13.78
• 1Y Price Target: $19.20
• Price Target Upside: 5.49% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 1

• Rating: 75 Outperform
• Price Target: $20.50 ▲(12.64% Upside)

Danone SA's strong financial performance and positive technical indicators are the primary drivers of its overall stock score. The company's robust balance sheet and cash flow metrics provide a solid foundation, while the bullish technical trend supports potential price appreciation. The relatively high P/E ratio suggests caution, but the dividend yield offers some compensation for valuation concerns.

Danone SA Business Overview & Revenue Model

Company Description

Danone SA (DANOY) is a multinational food-products corporation headquartered in Paris, France. The company operates in several sectors, primarily focusing on dairy products, plant-based products, water, and specialized nutrition. Danone's core offerings include yogurt, milk, infant formula, and medical nutrition products, catering to a diverse consumer base while emphasizing health and wellness. The company is committed to sustainability and aims to contribute to a healthier world through its products and initiatives.

How the Company Makes Money

Danone generates revenue through multiple key streams, primarily from the sale of its dairy and plant-based products, which include yogurts and cheese, as well as bottled water and nutrition products. The company leverages strong brand recognition and innovation to drive sales across its product lines. In addition, Danone's specialized nutrition segment, which includes infant formula and medical nutrition, represents a significant revenue source, catering to both health-conscious consumers and those with specific dietary needs. Strategic partnerships with retailers and distributors enhance Danone's market reach. The company's commitment to sustainability and health-oriented products aligns with current consumer trends, contributing positively to its revenue growth.

Danone SA Financial Statement Overview

Summary

Danone SA exhibits a strong financial position with solid profitability and cash flow metrics. Despite a slight revenue decline, the company maintains strong margins and a debt-free balance sheet, positioning it well for future growth. The robust cash flow generation further supports its financial health.

Income Statement

Danone SA shows a stable financial performance with a strong Gross Profit Margin of 49.7% and an improving Net Profit Margin of 7.4% for the latest year. Revenue growth remains a challenge with a slight decline of 0.9% from the previous year. The EBIT and EBITDA margins are healthy at 12.3% and 17.4%, respectively, indicating good operational efficiency.

Balance Sheet

The balance sheet of Danone SA is robust with a Debt-to-Equity Ratio of 0.0, indicating no debt burden, which is a significant improvement from the previous year. The Return on Equity stands at 11.4%, showcasing effective utilization of shareholder equity. The Equity Ratio is 39.3%, reflecting a solid equity base supporting total assets.

Cash Flow

Danone SA's cash flow statements demonstrate strong Free Cash Flow growth of 12.1% year-over-year. The Operating Cash Flow to Net Income Ratio is 1.9, indicating healthy cash flow generation relative to net income. The Free Cash Flow to Net Income Ratio of 1.4 suggests efficient conversion of earnings into free cash flow.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	27.36B	27.38B	27.62B	27.66B	24.28B	23.62B
Gross Profit	13.81B	13.61B	13.08B	12.74B	11.52B	11.35B
EBITDA	4.61B	4.77B	4.75B	4.25B	4.15B	4.42B
Net Income	1.84B	2.02B	881.00M	959.00M	1.92B	1.96B
Balance Sheet
Total Assets	43.76B	45.29B	44.49B	45.28B	45.42B	42.78B
Cash, Cash Equivalents and Short-Term Investments	6.01B	6.16B	6.00B	4.68B	5.86B	4.27B
Total Debt	14.54B	14.80B	15.60B	14.16B	16.21B	16.50B
Total Liabilities	27.84B	27.44B	28.26B	27.29B	28.05B	26.48B
Stockholders Equity	15.86B	17.80B	16.18B	17.92B	17.27B	16.20B
Cash Flow
Free Cash Flow	2.87B	2.91B	2.60B	2.09B	2.43B	2.00B
Operating Cash Flow	3.85B	3.83B	3.44B	2.96B	3.47B	2.97B
Investing Cash Flow	-921.00M	-463.00M	-834.00M	-749.00M	561.00M	-610.00M
Financing Cash Flow	-2.68B	-3.82B	-2.06B	-1.93B	-4.03B	-2.36B

Danone SA Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 18.20
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For DANOY, the sentiment is Positive. The current price of 18.2 is above the 20-day moving average (MA) of 17.72, above the 50-day MA of 17.47, and above the 200-day MA of 16.17, indicating a bullish trend. The MACD of 0.24 indicates Negative momentum. The RSI at 54.84 is Neutral, neither overbought nor oversold. The STOCH value of 52.72 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for DANOY.

Danone SA Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
DANOY	―	$57.65B	28.81	10.94%	2.62%	1.11%	84.32%
GIS	―	$25.10B	8.82	30.98%	5.14%	-3.26%	25.58%
CPB	―	$9.02B	14.94	15.64%	5.15%	6.40%	6.17%
HRL	―	$11.71B	15.67	9.46%	5.45%	0.65%	-3.76%
Sector *	―	$20.33B	14.63	-3.31%	3.23%	1.93%	-12.26%
KHC	―	$29.09B	―	-9.73%	6.56%	-3.70%	-431.05%
SJM	―	$10.92B	―	-21.32%	4.25%	2.54%	-293.39%

Danone SA Corporate Events

Danone SA ADR Reports Strong H1 2025 Performance

Danone SA ADR is a multinational food-products corporation based in Paris, France, primarily engaged in the production of dairy products, bottled water, and specialized nutrition products. The company is known for its commitment to health-focused offerings and innovation in the food and beverage industry.