Saputo (TSE:SAP) Sets New 52-Week High – Still a Buy?

Saputo Inc. (TSE:SAP)’s share price reached a new 52-week high during trading on Thursday . The stock traded as high as C$42.15 and last traded at C$41.95, with a volume of 287655 shares. The stock had previously closed at C$41.08.

Wall Street Analyst Weigh In

A number of brokerages have recently issued reports on SAP. National Bankshares lifted their price target on Saputo from C$36.00 to C$38.00 in a research report on Monday, November 10th. BMO Capital Markets raised their target price on shares of Saputo from C$34.00 to C$37.00 in a research note on Monday, November 10th. Scotiabank lifted their target price on shares of Saputo from C$36.00 to C$37.00 and gave the company an “outperform” rating in a research report on Wednesday, October 8th. CIBC raised their price objective on shares of Saputo from C$36.00 to C$40.00 in a research report on Monday, November 10th. Finally, Desjardins lifted their price objective on shares of Saputo from C$40.00 to C$45.00 and gave the stock a “buy” rating in a report on Friday, December 19th. Six research analysts have rated the stock with a Buy rating, According to MarketBeat, the company presently has a consensus rating of “Buy” and a consensus target price of C$40.38.

Saputo Price Performance

The firm has a market capitalization of C$17.01 billion, a P/E ratio of -207.45, a PEG ratio of 0.56 and a beta of 0.18. The business’s 50-day simple moving average is C$39.88 and its 200 day simple moving average is C$34.83. The company has a quick ratio of 0.67, a current ratio of 1.53 and a debt-to-equity ratio of 51.68.

Saputo (TSE:SAP) last announced its quarterly earnings data on Thursday, November 6th. The company reported C$0.45 earnings per share for the quarter. Saputo had a negative net margin of 0.84% and a negative return on equity of 2.20%. The firm had revenue of C$4.72 billion during the quarter. Sell-side analysts forecast that Saputo Inc. will post 1.7735369 earnings per share for the current year.

Saputo Dividend Announcement

The firm also recently declared a quarterly dividend, which was paid on Friday, December 12th. Shareholders of record on Friday, December 12th were given a dividend of $0.20 per share. This represents a $0.80 annualized dividend and a yield of 1.9%. The ex-dividend date was Tuesday, December 2nd. Saputo’s dividend payout ratio is presently -385.00%.

About Saputo

Saputo is a global dairy processor domiciled in Canada (28% of fiscal 2022 sales) with operations in the United States (43%), the U.K. (6%), and other international markets (23%). It sells cheese, cream, fluid milk, and other dairy products. In the retail segment (50% of revenue), its mix of brands include Saputo, Armstrong, Cheer, Cathedral City, and Frylight. Saputo also competes in food service (30% of revenue) and industrials (20% of revenue), which houses its ingredients business.