Investors looking for stocks in the Food - Miscellaneous sector might want to consider either Kraft Heinz (KHC) or Danone (DANOY) . But which of these two stocks offers value investors a better bang for their buck right now? We'll need to take a closer look.The best way to find great value stocks is to pair a strong Zacks Rank with an impressive grade in the Value category of our Style Scores system. The proven Zacks Rank puts an emphasis on earnings estimates and estimate revisions, while our Style Scores ...

Financial Data and Key Metrics Changes - The company reported a Q1 net sales increase of 4.1% year-over-year on a like-for-like basis, with a positive volume/mix contribution of 1.2% [30][107] - Pricing normalized with a contribution of 2.9%, while currency effects and hyperinflation had a negative impact of 1.6% [107] - The company confirmed its guidance for the year, expecting like-for-like sales growth in the 3% to 5% range and a moderate improvement in operating margin [37] Business Line Data and Key Metrics Changes - The EDP category grew by 3% on a like-for-like basis, with volume/mix up by 1% [46][55] - Specialized Nutrition grew by 3.8% on a like-for-like basis, driven by strong dynamics in medical nutrition and resilient performance in infant nutrition [113] - Waters category saw a significant increase of 8.1%, largely driven by Mizone in China, which grew over 27% [31][35] Market Data and Key Metrics Changes - North America delivered a solid Q1 with sales up 2.5%, primarily driven by volume/mix growth of 1.5% [24] - Latin America reported like-for-like sales growth of 4.1%, with pricing up 6.8% but volume/mix down 2.6% due to the licensing out of the Paulista milk brand [36][19] - The China, North Asia & Oceania zone experienced a strong start with like-for-like sales up 8.9%, driven by a 6.9% increase in volume/mix [35] Company Strategy and Development Direction - The company is focusing on a balanced growth algorithm and improving structural resilience by rotating its portfolio, including the disposal of underperforming assets [32] - There is a strategic emphasis on premiumization and channel diversification, particularly in the Waters category [31] - The company aims to enhance its competitiveness through selective price increases and a focus on differentiated product ranges [85] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the growth trajectory for the remainder of the year, despite a volatile external environment [5][4] - The company is closely monitoring geopolitical situations and their potential impacts but has not seen significant effects on its business so far [104] - Management highlighted the importance of maintaining market share and protecting the balance sheet during challenging macroeconomic conditions [87] Other Important Information - The company is experiencing shipment disruptions due to price negotiations with retailers, but most of these issues are expected to be resolved soon [33][55] - The company is optimistic about the performance of its high-protein product lines, which are expected to become a billion-dollar platform [90] Q&A Session All Questions and Answers Question: Why is the company cautious despite a strong Q1 performance? - Management indicated that while Q1 growth was strong, they are being cautious due to the unpredictable nature of the external environment and the need for a balanced growth approach [41][85] Question: What is the impact of hyperinflation on the company's performance? - Hyperinflation primarily affects operations in Argentina and Turkey, but the company is managing to protect market shares and maintain cash delivery [87] Question: How is the company addressing the performance of its plant-based products in the U.S.? - Management acknowledged previous pricing issues but noted that they are seeing signs of stabilization in market shares and are implementing strategies to improve competitiveness [100][80] Question: What is the company's strategy regarding the Waters category? - The company is focused on protecting its unique mineral water sources and ensuring high-quality standards, which has contributed to strong performance in this category [69] Question: How is the company managing its pricing strategy in Europe and North America? - The company is implementing selective price increases on differentiated product ranges while navigating shipment disruptions and maintaining a firm stance in negotiations [85][57]

Pots of Activia yoghurt, manufactured by Danone SA, sit on display.Bloomberg | Getty ImagesThe CEO of French consumer goods giant Danone downplayed the threat of obesity drugs on its food business, arguing that consumers were likely to turn to healthy products as part of their new weight loss regime.Antoine de Saint-Affrique said that surging demand for drugs like Wegovy and Mounjaro would only increase consumer appetite for more nutritional products."We see ourselves as extremely complementary to GLP-1s," ...

| --- | |---------------------------------| | | | Company Participants | | Mathilde Rodie - Head, IR | | Antoine de Saint-Affrique - CEO | | Juergen Esser - CFO | | Conference Call Participants | | Guillaume Delmas - UBS | | Jon Cox - Kepler | | Warren Ackerman - Barclays | | Pascal Boll - Stifel | | Bruno Monteyne - Bernstein | | Charlie Higgs - Redburn | | Celine Pannuti - JPMorgan | | David Hayes - Jefferies | | | I would now like to hand the conference over to your speaker today, Mathilde Rodie, Head of ...

Nestle S.A. (OTC:NSRGF, VTX:NESN) and Danone (OTCQX:DANOY) have both signalled food prices could climb more slowly over the coming year after such sharp increases have hit demand at both. Nestle reported organic sales growth of 7.2% for the year to December, below analysts’ expectations for 7.4%. Danone (OTCQX:DANOY) said like-for-like sales had climbed by 7% meanwhile, with price increases offsetting a 0.4% decline in volumes. Such price rises have become commonplace in shops in recent years, with the two ...

French food-manufacturing multinational Danone (OTCQX:DANOY) has announced a 7% reduction in the wholesale price of its powdered Aptamil baby formula products following an investigation by the UK's Competition and Markets Authority (CMA) into high formula prices. The CMA's scrutiny was triggered by significant price hikes in the baby formula sector, with Danone's prices having risen by 25% over two years. Data shared by the CMA showed that the cost of an 800g pack of Aptamil increased by 26% to £14.50 betwe ...

In today’s business landscape, consumers’ and investors’ growing focus on supply chain scrutiny is unrelenting but good news for eco-friendly stocks. This trend underscores a critical need for transparency, pushing companies to invest heavily in sustainable supply chain practices. Failing to do so risks alienating customers and investors, potentially eroding revenue streams. This shift toward sustainability and transparency isn’t just an environmental gesture; it’s a strategic move aligning with environment ...

PRICE NORMALIZATION 2 | --- | --- | --- | --- | |---------|---------|-------|-------| | - 5.9 % | - 3.3 % | | 0.8 | | | | | - % | | H2 22 | | H1 23 | Q3 23 | 3 | --- | --- | --- | --- | |------------------------------------------------------|-------------------------|--------------------|---------------------------------------------| | EDP EUROPE TRANSFORMATION STARTS DELIVERING RESULTS | | MIZONE TURNAROUND | BOOSTING MEDICAL NUTRITION PORTFOLIO REACH | | | | | | | | | | | | Distribution Share of shelf del ...

ToplineGlobal shipping firms—including Denmark’s AP Møller-Maersk and Germany’s Hapag-Lloyd—have paused and rerouted operations in the Red Sea due to risks of attacks by Yemen’s rebel Houthi group, leading some companies to warn of shortages and delays as they seek alternative trading routes.Ikea and Danone have warned of shipping delays as they seek alternative trade routes. (Photo by ... [+] Warren Little/Getty Images)Getty Images Key FactsOver 100 container ships have been rerouted around the southern ti ...

Danone S.A. (OTCQX:DANOY) Q3 2023 Earnings Conference Call October 26, 2023 11:45 AM ET Company Participants Mathilde Rodie - Head, IR Juergen Esser - CFO Conference Call Participants Bruno Monteyne - Bernstein Celine Pannuti - JPMorgan Guillaume Delmas - UBS Jon Cox - Kepler Pascal Boll - Stifel Warren Ackerman - Barclays Mathilde Rodie Good morning everyone. Thank you for being with us this morning for our Q3 Results Call. I'm with Juergen Esser, the CFO, who will go through some prepared remarks, before ...