Aug 14 2019
Food and beverage
Recent Research
Glanbia, Downward guidance revision led by GPN
Jul 31 2019
Meet your Food and beverage Research team
Food and beverage
Is growth the new margin of safety?
Against a backdrop of accommodative monetary policy, the importance of growth to valuation has risen exponentially. The classic barometer for ‘margin of safety’ has also shifted –...
Kerry Group
Reassuring update – good foundation for FY delivery
In the context of an underwhelming results season from its peer set, Kerry’s interim report and outlook reassures and suggests continued operating momentum through H2 2019. Kerry...
DSM
Good delivery against a more challenging backdrop
DSM continues to execute well in an environment with broadening complexities. Momentum slowed in the key Human Nutrition segment as larger food and beverage customers showed signs of...
Danone
Improving execution triggers modest upgrade
Danone’s interim result was notable in so far as it simultaneously lifted gross and EBIT margin – a dynamic that was absent in FY17 and FY18. The out-turn impressed in the context of...
C&C
Matthew Clark Bibendum – building a downstream moat
The acquisition of Matthew Clark Bibendum (MCB) materially enhances C&C’s position across the UK drinks supply chain – offering a scale route-to-market for suppliers and a composite...
Danone
Rethinking Danone
The vestiges of inconsistent financial delivery at Danone are being discarded. Recent execution (margin expansion) in an inflationary cost environment gives us confidence that...
Origin Enterprises
Capital Markets Day showcases supply chain relevance; maiden five-year targets revealed
Origin’s management presented a robust defence of its supply chain relevance and potential at its recent Capital Markets Day. Maiden five-year targets reflect a pragmatic growth...
Origin Enterprises
Contrarians at the farm-gate
Key debates around Origin’s equity are evolving, with the focus now on farm subsidy changes, supply chain and technology adoption at farm-gate. Despite the rate of change, we believe...
ARYZTA
Depressed valuation as the market awaits evidence of productivity programme
Despite ongoing inflationary pressures and a tepid demand environment, we expect ARYZTA to reiterate FY guidance on March 12th (Davy model weighted to H2). The equity contract...
Kerry Group
FY results to demonstrate continuing strong underlying performance
We expect Kerry’s FY results (February 19th) to confirm achievement of its EPS guidance. For 2019, we anticipate continuing good volume momentum and margin expansion in Taste &...
