Fresh Del Monte Produce, Inc. (NYSE:FDP) Short Interest Update

Key Points

• Short interest fell 22.5% in April to 1,329,279 shares (about 4.1% of shares short), with a days-to-cover of 5.4 based on average daily volume.
• Several analysts (including Weiss Ratings and Wall Street Zen) have upgraded FDP to a Buy rating, and the company recently reported an EPS beat of $0.70 versus $0.28 consensus.
• Company insiders have been net sellers — the COO and SVP sold shares in March and insiders offloaded 33,151 shares (~$1.39M) over the last 90 days, though insiders still own about 30.1% of the stock.

Fresh Del Monte Produce, Inc. (NYSE:FDP - Get Free Report) was the recipient of a significant drop in short interest during the month of April. As of April 15th, there was short interest totaling 1,329,279 shares, a drop of 22.5% from the March 31st total of 1,714,405 shares. Based on an average daily trading volume, of 247,113 shares, the days-to-cover ratio is currently 5.4 days. Currently, 4.1% of the shares of the company are short sold.

Wall Street Analysts Forecast Growth

FDP has been the subject of several recent research reports. Weiss Ratings raised Fresh Del Monte Produce from a "hold (c+)" rating to a "buy (b-)" rating in a report on Monday, February 23rd. Wall Street Zen raised shares of Fresh Del Monte Produce from a "hold" rating to a "buy" rating in a research note on Saturday, February 21st. One equities research analyst has rated the stock with a Buy rating, According to data from MarketBeat, the company currently has a consensus rating of "Buy".

Insider Activity

In related news, COO Mohammed Abbas sold 3,458 shares of the business's stock in a transaction dated Wednesday, March 4th. The stock was sold at an average price of $42.28, for a total value of $146,204.24. Following the transaction, the chief operating officer owned 59,930 shares in the company, valued at $2,533,840.40. The trade was a 5.46% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is available at the SEC website. Also, SVP Gianpaolo Renino sold 6,297 shares of the company's stock in a transaction that occurred on Friday, March 6th. The shares were sold at an average price of $41.46, for a total value of $261,073.62. Following the sale, the senior vice president directly owned 3,198 shares of the company's stock, valued at approximately $132,589.08. This represents a 66.32% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Over the last 90 days, insiders have sold 33,151 shares of company stock valued at $1,391,225. Insiders own 30.10% of the company's stock.

Hedge Funds Weigh In On Fresh Del Monte Produce

Several hedge funds have recently added to or reduced their stakes in FDP. QRG Capital Management Inc. acquired a new position in Fresh Del Monte Produce during the first quarter worth about $214,000. Y Intercept Hong Kong Ltd purchased a new stake in Fresh Del Monte Produce in the 1st quarter valued at approximately $450,000. Louisiana State Employees Retirement System purchased a new position in Fresh Del Monte Produce during the first quarter worth $588,000. Baker Ellis Asset Management LLC acquired a new stake in shares of Fresh Del Monte Produce during the first quarter valued at $447,000. Finally, SG Americas Securities LLC raised its stake in Fresh Del Monte Produce by 56.8% in the 1st quarter. SG Americas Securities LLC now owns 43,207 shares of the company's stock valued at $1,740,000 after purchasing an additional 15,644 shares during the last quarter. 64.83% of the stock is currently owned by hedge funds and other institutional investors.

Fresh Del Monte Produce Price Performance

FDP traded up $0.13 on Wednesday, hitting $42.06. 22,550 shares of the company were exchanged, compared to its average volume of 257,359. Fresh Del Monte Produce has a fifty-two week low of $31.43 and a fifty-two week high of $43.58. The company has a debt-to-equity ratio of 0.09, a quick ratio of 1.06 and a current ratio of 2.16. The firm has a market capitalization of $2.00 billion, a P/E ratio of 22.37 and a beta of 0.28. The business's fifty day moving average is $41.74 and its 200 day moving average is $38.45.

Fresh Del Monte Produce (NYSE:FDP - Get Free Report) last posted its quarterly earnings results on Thursday, February 19th. The company reported $0.70 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $0.28 by $0.42. The company had revenue of $968.20 million during the quarter, compared to the consensus estimate of $1.01 billion. Fresh Del Monte Produce had a net margin of 2.10% and a return on equity of 7.63%. The company's revenue for the quarter was up .6% on a year-over-year basis. During the same period last year, the firm earned $0.26 EPS.

Fresh Del Monte Produce Dividend Announcement

The company also recently declared a quarterly dividend, which will be paid on Thursday, June 11th. Stockholders of record on Tuesday, May 19th will be paid a dividend of $0.30 per share. This represents a $1.20 annualized dividend and a dividend yield of 2.9%. The ex-dividend date of this dividend is Tuesday, May 19th. Fresh Del Monte Produce's payout ratio is 63.83%.

About Fresh Del Monte Produce

Fresh Del Monte Produce Inc is a leading producer, marketer and distributor of fresh and fresh-cut fruits and vegetables worldwide. The company offers a wide range of products including bananas, pineapples, melons, grapes and avocados, along with value-added items such as fruit salads, vegetable trays and snack packs under the Del Monte® brand.

Founded in 1989 as a spin-off from Del Monte, Fresh Del Monte has developed a global supply chain that spans production farms, ripening facilities and packaging centers across Latin America, North America, Europe, Asia and Africa.

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