Rankings Food, drinks & restaurants Danone
Danone
72
15070100
A view of the same findings, not a new score. How it works
A strong score: the model found few serious problems, but analysts see limited upside from here.
Biggest deductions
- Margin−3
- Quality of growth−3
- Multiples vs own history and peers−3
Strengths
- Pricing power and gross margin+2
- Dividend and buybacks from FCF+1
- Diversified base+1
How the score is built
From 100 to 72, step by step: points off for the business, the price and the cracks, back for documented strengths, then three data adjustments.
Start
Score
Hover or select a step to see what drove it. Steps with findings open them below.
Key numbers
As of 3 Nov 2026. Analyst targets tend to be optimistic; read upside as a hint, not a forecast.
- Price
- 66.92 EUR
- Median analyst target
- 79.00 EUR
- Upside to median
- +18.1%
- Analysts
- 22
- Target range
- 59.00 – 93.00 EUR
- 52-week change
- −13%
- P/E (trailing)
- 22.2
- Forward P/E
- 16.0
- PEG
- 3.28
Findings
Every deduction and every plus, with its source. Open a step to read them.
Business
Is the company getting stronger, not just bigger? · 4 findings−8 of −30
- −3MarginThe operating margin is 13.5% (13.3% recurring in H1 2026) – up from 12.2% in 2022, but clearly below food peers such as Nestlé and Unilever, and recurring EPS rose only 0.9% in H1.
- −3Quality of growthRevenue has stood still for four years (EUR 27.7bn in 2022, 27.3bn in 2025, 27.5bn TTM), and the largest segment, dairy and plant-based (EDP), has shrunk from 14.8 to EUR 13.2bn. The Q2 growth beat was 'price-driven' according to Jefferies; volume in North America only +0.7%.
- −1ROICROIC has risen from 6.8–7.1% (2022–23) to 10.0%, but is still only average for a consumer brand group; ROE 12.2%.
- −1Capital allocationThe pace of acquisitions has been stepped up (Huel for about EUR 1bn, Made Group and The Akkermansia Company; EUR 775m in acquisitions TTM), and gross debt has risen from 15.1 to EUR 17.4bn in half a year.
Price
Today's multiples against the company's own history and its peers. · 1 finding−3 of −35
- −3Multiples vs own history and peersForward P/E 14.6 vs 14.0–19.2 in 2021–25; EV/EBITDA 9.6 vs 10.0–13.1; P/FCF 15.8 vs 14.4–18.1. At the bottom of its own history and below Unilever (forward P/E about 16), but EV/FCF is 19.6, and the FCF yield has fallen to 6.3% because FCF has gone from 2.9 to 2.4bn EUR.
Cracks
Cash flow, customers, debt, insiders, guidance and what sits behind the headline numbers. · 4 findings−9 of −35
- −3Food safetyAptamil and Cow & Gate infant formula was recalled in several countries in January–February 2026 due to the toxin cereulide from Chinese ARA oil, and in September a So Delicious ice cream was recalled in the US – the second time in under a year for the same product.
- −3Customers are shifting (China)Growth in China, North Asia and Oceania fell from 10.3% in Q1 to 3.6% in Q2 due to 'competitive pressure in a category that is normalising' (infant formula) – the region has been the group's growth engine.
- −2Macro and supplySpecialised nutrition was hit by supply disruptions linked to the Iran conflict, and management still calls the headwind significant.
- −1Debt and liquidityNet debt EUR 9.1bn (2.0x EBITDA), current ratio 0.97 and Altman Z 2.2; new bond issue of EUR 1.5bn in September.
Plus
Only documented strengths. · 3 findings+4 of +15
- +2Pricing power and gross marginGross margin has been lifted from 46.1% in 2022 to 50.0% TTM, and prices rose 1.8% in H1 alongside positive volume/mix.
- +1Dividend and buybacks from FCFDividend (EUR 1.44bn) and buybacks (0.29bn) on a TTM basis are below FCF of 2.42bn; the dividend has been raised four years in a row.
- +1Diversified baseThree categories (dairy, specialised nutrition, water) and growth in all regions in H1: EMEA +3.6%, Americas +4.3%, Asia/Pacific +5.2%.
Caveats
What the score does not capture, or where the data is weak.
Reported EPS (3.02 EUR TTM) is below recurring EPS (about 3.80 for 2025); forward P/E 14.6 is based on adjusted figures, trailing P/E 19.7 on reported. Organic growth (+3.5% in H1) is driven equally by price (+1.8%) and volume/mix (+1.7%). Huel (about 1 bn EUR), Made Group and The Akkermansia Company were bought in 2026, so reported growth gets help from acquisitions. Net debt/EBITDA of 2.0x is moderate; new bonds of 1.5 bn EUR were issued in September. Possible lawsuits following the cereulide recall and insider trading have not been investigated. The stock has fallen about 10% since August (RSI 27) without a single clear news item. Q3 revenue about 26 Oct 2026.
Also in Food, drinks & restaurants
The highest scores in the same industry.
