Dean Foods Stock Analysis, Valuation (NYSE:DF)
Take a look at Amigobulls Dean Foods stock analysis video. Our analyst opinion covering the buy and sell arguments for DF stock is shown in the video.
Note: Amigobulls stock rating is our opinion based on the historical performance of the company's fundamentals. It is not indicative of the future performance of the stock.
Dean Foods Co Stock Rating 2.3/5
Amigobulls DF stock analysis relies on business fundamentals such as Dean Foods revenue growth, profits and return on equity measures from the latest quarter 2018 Q1 earnings. Dean Foods valuation analysis is based on relative valuation multiples like PE ratio and price to sales ratio. Dean Foods stock rating encapsulates our opinion about the company based on the fundamentals.
Should you buy DF stock?
- The Dean Foods stock currently trades at a price to earnings ratio of 13, compared to the sector average of 21.5. We rate this as a positive.
- When compared with the Consumer Staples sector average PS ratio of 1.6, the price-to-sales ratio of 0.1 for DF stock is attractive.
Should you sell DF stock?
- Dean Foods sales declined by -0.8% year on year in 2018-03.
- Revenue declined at a CAGR of -8.6 over the last 5 years.
- Dean Foods's TTM operating margin of 1.23 was rather poor.
- Dean Foods posted a TTM Net margin of 0.9%.
- With a debt/equity ratio of 1.4, Dean Foods is highly leveraged in comparison to Consumer Staples peers.
Amigobulls Dean Foods stock analysis helps in evaluating the financial statements of a company to arrive at a conclusion about the fair value of DF stock. Fundamental analysis of a company is the most often used approach to find the intrinsic value of a stock.
Among the financials of the company, Dean Foods revenue growth along with the profit or net income give a clear picture of the financial health. Investors could make use of DF technical analysis to check whether the fundamental story is reflected in the market sentiment.