Dole (NYSE:DOLE) Posts Quarterly Earnings Results

Dole (NYSE:DOLE) issued its quarterly earnings results on Monday. The company reported $0.33 EPS for the quarter, missing analysts’ consensus estimates of $0.36 by ($0.03), Briefing.com reports. Dole had a net margin of 0.56% and a return on equity of 7.81%. The company’s quarterly revenue was up 11.6% compared to the same quarter last year. During the same period in the previous year, the firm posted $0.35 EPS.

Here are the key takeaways from Dole’s conference call:

• Solid Q1 performance with revenue up 12% year?over?year and adjusted EBITDA of $100M in line with expectations, driven by strong consumer demand and favorable FX.
• Management reiterates a full?year target of at least $400M adjusted EBITDA, expecting Q3–Q4 to benefit from bunker surcharge lags, dynamic pricing in diversified divisions, and contract price adjustments.
• Fresh Fruit profitability was pressured by elevated fruit sourcing costs, the appreciating Costa Rican colón and higher input/fuel costs (expected to peak in Q2), causing a year?over?year decline in adjusted EBITDA for the segment.
• Diversified Americas outperformed with adjusted EBITDA up 29%, helped by a strong Chilean cherry season, higher export volumes and synergies from the Oppy/DDNA integration.
• Capital allocation plans include routine CapEx of ~$100M, opportunistic share buybacks, a planned ~$100M automation/development investment targeting ~12–15% returns, and expected ~$75M net proceeds from the sale of the Guayaquil port.

Dole Stock Down 0.0%

DOLE opened at $14.88 on Monday. The firm has a market capitalization of $1.42 billion, a P/E ratio of 28.07, a price-to-earnings-growth ratio of 1.26 and a beta of 0.67. Dole has a one year low of $12.52 and a one year high of $16.57. The company has a fifty day moving average price of $14.90 and a 200-day moving average price of $14.76. The company has a debt-to-equity ratio of 0.54, a current ratio of 1.17 and a quick ratio of 0.83.

Dole Dividend Announcement

The company also recently declared a quarterly dividend, which was paid on Wednesday, April 8th. Shareholders of record on Wednesday, March 18th were issued a $0.085 dividend. This represents a $0.34 annualized dividend and a yield of 2.3%. The ex-dividend date of this dividend was Wednesday, March 18th. Dole’s dividend payout ratio (DPR) is presently 64.15%.

Institutional Investors Weigh In On Dole

Large investors have recently added to or reduced their stakes in the business. Balyasny Asset Management L.P. bought a new position in Dole in the 3rd quarter worth about $10,924,000. Panview Capital Ltd boosted its position in shares of Dole by 104.6% during the 4th quarter. Panview Capital Ltd now owns 1,431,975 shares of the company’s stock valued at $21,465,000 after acquiring an additional 731,975 shares during the last quarter. Fort Baker Capital Management LP bought a new stake in shares of Dole during the 3rd quarter valued at about $7,469,000. Dimensional Fund Advisors LP grew its holdings in shares of Dole by 13.7% during the fourth quarter. Dimensional Fund Advisors LP now owns 4,339,203 shares of the company’s stock worth $65,044,000 after purchasing an additional 523,287 shares in the last quarter. Finally, Millennium Management LLC bought a new position in shares of Dole in the first quarter worth approximately $6,749,000.

Analyst Ratings Changes

DOLE has been the topic of a number of research reports. Wall Street Zen cut Dole from a “buy” rating to a “hold” rating in a research note on Saturday, March 7th. Weiss Ratings downgraded shares of Dole from a “hold (c+)” rating to a “hold (c)” rating in a research note on Wednesday, April 29th. Finally, Deutsche Bank Aktiengesellschaft reissued a “hold” rating and issued a $15.00 price target (down from $18.00) on shares of Dole in a research report on Monday, March 30th. Three research analysts have rated the stock with a Hold rating, Based on data from MarketBeat.com, Dole has a consensus rating of “Hold” and a consensus target price of $15.50.

About Dole

Dole plc is a global producer, marketer and distributor of fresh fruits and vegetables. The company’s product range includes bananas, pineapples, berries, grapes, salads and a variety of other fresh and packaged produce, sold under the Dole brand and through private-label arrangements. Dole’s operations span the full fresh-produce value chain, from farming and sourcing to packing, ripening, cold?chain logistics and wholesale and retail distribution, supporting both retail grocery and foodservice customers.

The company traces its commercial heritage to the early 20th century Hawaiian pineapple business founded by James Dole and has evolved through subsequent corporate restructurings and combinations.