olivLaw · US equity research
Del Monte Corporation DMC
Agricultural Production-Crops · SIC 0100 · Vertical: Agricultural Production-Crops (SIC 0100)
Del Monte Corporation (formerly Fresh Del Monte Produce) is a vertically integrated producer and distributor of fresh fruit and vegetables, with bananas, pineapples and avocados in its portfolio. In 2026 it acquired assets of Del Monte Foods, which expanded its prepared foods business but also added margin pressure. Net sales for the second quarter of fiscal 2026 reached 1219.1 million USD, with gross margin at 9.9%.
The AI analysis may be outdated: new filings came after its sources (see the «AI analysis» section).
At the close of 04 Nov 2026, Del Monte Corporation (DMC) stock was 28.70 USD (+5.71% on the day), with market capitalisation 1.4 bn USD, P/E 16.8 on diluted EPS of 1.71 USD over the last 12 months, dividend yield 4.18%, beta 0.10, 52-week range 26.90–43.02 USD. Latest reported quarter (Q3 2026): revenue of 1.1 bn USD (+7.2% YoY), net income of 18.3 m USD, diluted EPS 0.39 USD.
Data as of · AI analysis dated · Source: SEC filings and closing prices, computed by olivLaw.
Price history
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Technical reading
- RSI (14)
- 47.1
- neutral
- Bollinger (20, 2)
- 26.93 – 31.14
- in the lower half of the band · %B 0.42 · band width 14.5%
- SMA 50 / 200
- 30.28 / 34.26
- downtrend (price < SMA50 < SMA200)
- MACD (12, 26, 9)
- -0.69 / -0.59
- MACD below signal
Indicators describe past prices; on their own they do not predict direction. On our history the RSI ≤ 40 filter added no return (see the signals methodology).
Performance
| Company | S&P 500 | vs S&P 500 | Vertical median | |
|---|---|---|---|---|
| 1 month | −4.0% | −1.1% | −2.9 pp | — |
| 3 months | −3.5% | −0.5% | −3.1 pp | — |
| 6 months | −23.5% | +4.4% | −27.9 pp | — |
| Year to date | −19.4% | +12.3% | −31.8 pp | — |
| 1 year | −20.6% | +13.5% | −34.1 pp | −26.0% |
| 3 years | +24.8% | +76.4% | −51.6 pp | −31.5% |
| 5 years | −3.4% | +63.7% | −67.1 pp | — |
Price returns, dividends excluded.
Quarterly results
Latest quarter: Q3 2026 · 25 Sept 2026
Quarterly margins
Quarterly statements · USD
| Fiscal year | Q4 '24 | Q1 '25 | Q2 '25 | Q3 '25 | Q4 '25 | Q1 '26 | Q2 '26 | Q3 '26 |
|---|---|---|---|---|---|---|---|---|
| Revenue | 1.0 bn | 1.1 bn | 1.2 bn | 1.0 bn | 1.0 bn | 1.0 bn | 1.2 bn | 1.1 bn |
| Cost of revenue | 944.5 m | 1.0 bn | 1.1 bn | 941.1 m | 913.5 m | 955.1 m | 1.1 bn | 992.7 m |
| Gross profit | 68.7 m | 92.2 m | 120.1 m | 80.8 m | 106.0 m | 89.0 m | 121.3 m | 102.6 m |
| SG&A | 48.3 m | 48.1 m | 51.3 m | 52.1 m | 61.2 m | 51.1 m | 72.6 m | 67.2 m |
| Operating income | 30.3 m | 44.9 m | 68.3 m | -21.8 m | 46.0 m | 20.1 m | 33.5 m | 29.1 m |
| Depreciation & amortisation | 19.3 m | 18.5 m | 18.4 m ≈ | 18.3 m ≈ | 17.3 m | 16.1 m | 20.3 m ≈ | 20.1 m ≈ |
| Interest expense | 3.6 m | 3.4 m | 3.2 m | 2.5 m | 2.0 m | 2.2 m | 6.6 m | 6.4 m |
| Pre-tax income | 23.9 m | 38.8 m | 71.5 m | -23.9 m | 44.5 m | 18.5 m | 27.6 m | 25.8 m |
| Income tax | 3.5 m | 6.9 m | 14.1 m | 4.2 m | 12.2 m | 7.8 m | 6.1 m | 7.1 m |
| Net income | 20.4 m | 31.1 m | 56.8 m | -29.1 m | 31.9 m | 10.0 m | 21.2 m | 18.3 m |
| Diluted EPS | 0.42 ≈ | 0.64 | 1.18 | -0.61 | 0.67 ≈ | 0.21 | 0.44 | 0.39 |
| Operating cash flow | -4.7 m | 46.1 m | 113.1 m ≈ | 75.0 m ≈ | 10.9 m | 44.1 m | 49.9 m ≈ | -40.9 m ≈ |
| Capex | 17.6 m | 10.0 m | 11.6 m ≈ | 14.1 m ≈ | 28.1 m | 14.4 m | 25.8 m ≈ | 29.0 m ≈ |
| Dividends paid | 11.9 m | 14.4 m | 14.4 m ≈ | 14.3 m ≈ | 14.3 m | 14.2 m | 14.3 m ≈ | 14.0 m ≈ |
| Share repurchases | 0 | 7.6 m | 0 ≈ | 7.2 m ≈ | 15.0 m | 4.0 m | 16.1 m ≈ | 0 ≈ |
≈ derived quarter (cumulative difference / share-days average)
E/P over time
E/P = trailing-12-month diluted EPS / price at quarter end. E/P is the inverse of P/E and stays defined when earnings are negative.
Today's P/E sits at the 46 percentile of its own 28-quarter history (min 9.0, median 18.6, max 282.4; quarters with earnings only).
Fiscal years
| Fiscal year | 2017 | 2018 | 2019 | 2021 | 2022 | 2023 | 2024 | 2025 |
|---|---|---|---|---|---|---|---|---|
| Revenue | 4.1 bn | 4.5 bn | 4.5 bn | 4.3 bn | 4.4 bn | 4.3 bn | 4.3 bn | 4.3 bn |
| Revenue YoY | +1.9% | +10.0% | −0.1% | unavailable | +4.5% | −2.7% | −0.9% | +1.0% |
| Net income | 120.8 m | -21.9 m | 66.5 m | 80.0 m | 98.6 m | -11.4 m | 142.2 m | 90.7 m |
| Net income YoY | −46.3% | −118.1% | unavailable | unavailable | +23.2% | −111.6% | unavailable | −36.2% |
| Diluted EPS | 2.39 | -0.45 | 1.37 | 1.68 | 2.06 | -0.24 | 2.96 | 1.88 |
| Diluted EPS YoY | −44.8% | −118.8% | unavailable | unavailable | +22.6% | −111.7% | unavailable | −36.5% |
| net % | 3.0% | -0.5% | 1.5% | 1.9% | 2.2% | -0.3% | 3.3% | 2.1% |
| Free cash flow | 55.7 m | 96.1 m | 46.8 m | 30.0 m | 13.7 m | 120.2 m | 130.8 m | 181.3 m |
Reported results vs expectations
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Balance sheet & financial health
Fiscal year 2025 · 26 Dec 2025
- Cash
- 35.7 m USD
- Financial debt
- 1.5 m USD
- Net debt
- -34.2 m USD
- Equity
- 2.0 bn USD
- Total assets
- 3.1 bn USD
- Debt / equity
- 0.00x
- Current ratio
- 2.16x
- ROE
- 4.5%
- ROA
- 2.9%
- FCF margin
- 4.2%
Financial statements (source on every figure)
Revenue and net income (USD)
Margins
Income statement · USD
| Line | 2019 | 2021 | 2022 | 2023 | 2024 | 2025 | Source (latest year) |
|---|---|---|---|---|---|---|---|
| Revenue | 4.5 bn | 4.3 bn | 4.4 bn | 4.3 bn | 4.3 bn | 4.3 bn | SEC (XBRL)· 19 Feb 2026verified |
| Cost of revenue | 4.2 bn | 3.9 bn | 4.1 bn | 4.0 bn | 3.9 bn | 3.9 bn | SEC (XBRL)· 19 Feb 2026verified |
| Gross profit | 306.4 m | 303.8 m | 340.2 m | 350.7 m | 357.9 m | 399.1 m | SEC (XBRL)· 19 Feb 2026verified |
| SG&A | 201.5 m | 192.9 m | 186.8 m | 186.7 m | 196.9 m | 212.7 m | SEC (XBRL)· 19 Feb 2026verified |
| Operating income | 114.1 m | 111.0 m | 156.3 m | 58.5 m | 196.3 m | 137.4 m | SEC (XBRL)· 19 Feb 2026verified |
| Depreciation & amortisation | 97.9 m | 96.8 m | 92.5 m | 84.8 m | 78.5 m | 72.5 m | SEC (XBRL)· 19 Feb 2026verified |
| EBITDA | 212.0 m ≈ | 207.8 m ≈ | 248.8 m ≈ | 143.3 m ≈ | 274.8 m ≈ | 209.9 m ≈ | SEC (XBRL)· 19 Feb 2026derived |
| Interest expense | 25.4 m | 20.3 m | 24.4 m | 24.1 m | 18.4 m | 11.2 m | SEC (XBRL)· 19 Feb 2026verified |
| Pre-tax income | 90.7 m | 81.9 m | 117.8 m | 16.5 m | 170.7 m | 130.9 m | SEC (XBRL)· 19 Feb 2026verified |
| Income tax | 21.4 m | 2.0 m | 20.1 m | 18.1 m | 29.1 m | 37.4 m | SEC (XBRL)· 19 Feb 2026verified |
| Net income | 66.5 m | 80.0 m | 98.6 m | -11.4 m | 142.2 m | 90.7 m | SEC (XBRL)· 19 Feb 2026verified |
| Diluted EPS | 1.37 | 1.68 | 2.06 | -0.24 | 2.96 | 1.88 | SEC (XBRL)· 19 Feb 2026verified |
| Weighted average diluted shares | 48.4 m | 47.7 m | 47.9 m | 48.0 m | 48.0 m | 48.2 m | SEC (XBRL)· 19 Feb 2026verified |
| Dividend per share | 0.14 | 0.50 | 0.60 | 0.75 | 1.00 | 1.20 | SEC (XBRL)· 19 Feb 2026verified |
≈ computed by olivLaw from the reported lines of the same year: Operating income + Depreciation & amortisation.
Balance sheet · USD
| Line | 2019 | 2021 | 2022 | 2023 | 2024 | 2025 | Source (latest year) |
|---|---|---|---|---|---|---|---|
| Cash | 33.3 m | 16.1 m | 17.2 m | 33.8 m | 32.6 m | 35.7 m | SEC (XBRL)· 19 Feb 2026verified |
| Receivables | 363.9 m | 342.9 m | 373.5 m | 387.0 m | 393.2 m | 376.1 m | SEC (XBRL)· 19 Feb 2026verified |
| Inventories | 551.8 m | 602.8 m | 669.0 m | 599.9 m | 595.3 m | 581.9 m | SEC (XBRL)· 19 Feb 2026verified |
| Current assets | 1.1 bn | 1.1 bn | 1.2 bn | 1.1 bn | 1.1 bn | 1.1 bn | SEC (XBRL)· 19 Feb 2026verified |
| Property, plant & equipment, net | 1.4 bn | 1.4 bn | 1.3 bn | 1.3 bn | 1.2 bn | 1.1 bn | SEC (XBRL)· 19 Feb 2026verified |
| Goodwill | 423.7 m | 423.7 m | 422.9 m | 401.9 m | 396.3 m | 390.0 m | SEC (XBRL)· 19 Feb 2026verified |
| Intangibles (excl. goodwill) | 158.2 m | 142.8 m | 135.0 m | 33.3 m | 33.2 m | 33.1 m | SEC (XBRL)· 19 Feb 2026verified |
| Total assets | 3.3 bn | 3.4 bn | 3.5 bn | 3.2 bn | 3.1 bn | 3.1 bn | SEC (XBRL)· 19 Feb 2026verified |
| Accounts payable | 522.2 m | 580.1 m | 549.9 m | 479.0 m | 476.0 m | 467.3 m | SEC (XBRL)· 19 Feb 2026verified |
| Short-term debt | 300.0 k | 1.3 m | 1.3 m | 1.4 m | 1.5 m | 1.5 m | SEC (XBRL)· 19 Feb 2026verified |
| Current liabilities | 562.9 m | 629.2 m | 607.0 m | 540.6 m | 533.1 m | 529.3 m | SEC (XBRL)· 19 Feb 2026verified |
| Total liabilities | 1.6 bn | 1.5 bn | 1.5 bn | 1.3 bn | 1.1 bn | 1.0 bn | SEC (XBRL)· 19 Feb 2026verified |
| Equity | 1.7 bn | 1.8 bn | 1.9 bn | 1.9 bn | 2.0 bn | 2.0 bn | SEC (XBRL)· 19 Feb 2026verified |
Cash flow · USD
| Line | 2019 | 2021 | 2022 | 2023 | 2024 | 2025 | Source (latest year) |
|---|---|---|---|---|---|---|---|
| Operating cash flow | 169.1 m | 128.5 m | 61.8 m | 177.9 m | 182.5 m | 245.1 m | SEC (XBRL)· 19 Feb 2026verified |
| Capex | 122.3 m | 98.5 m | 48.1 m | 57.7 m | 51.7 m | 63.8 m | SEC (XBRL)· 19 Feb 2026verified |
| Free cash flow | 46.8 m ≈ | 30.0 m ≈ | 13.7 m ≈ | 120.2 m ≈ | 130.8 m ≈ | 181.3 m ≈ | SEC (XBRL)· 19 Feb 2026derived |
| Investing cash flow | -52.2 m | -82.5 m | -49.1 m | 56.4 m | 20.4 m | -48.7 m | SEC (XBRL)· 19 Feb 2026verified |
| Financing cash flow | -108.9 m | -53.2 m | -12.0 m | -213.5 m | -209.9 m | -165.7 m | SEC (XBRL)· 19 Feb 2026verified |
| Dividends paid | 6.7 m | 23.7 m | 28.7 m | 35.9 m | 47.8 m | 57.4 m | SEC (XBRL)· 19 Feb 2026verified |
| Share repurchases | 17.9 m | 0 | 0 | 11.8 m | 0 | 29.8 m | SEC (XBRL)· 19 Feb 2026verified |
≈ computed by olivLaw from the reported lines of the same year: Operating cash flow − Capex.
Computed indicators
Growth
Profitability
Returns
Balance sheet
Liquidity
Cash
Efficiency
Market and valuation
1 indicators that do not apply to the sector.
Valuation
olivLaw classification
Score: 50 / 100
A scoring methodology on indicators and valuation, not investment advice.
(margin_of_safety <= -0.25 & agreement in ['high', 'medium'])
Closing price
04 Nov 2026Source: olivLaw, closing series
Market cap: 1.4 bn USD
Key indicators
Coverage and freshness
Score by group
- Balance sheet98
- Valuation42
- Quality41
- Growth0
- Returns97
Estimated value range
The combined range = the median of the valid methods' low, central and high values; it is not a probability interval and does not cover every result. Envelope of all methods: 15.77 – 61.80 USD.
Valuation assumptions are editorial choices, not measured; beta is not measured.
Method ranges (USD per share)
— — Mid · ▏ Price
Valuation methods
- DCF (discounted cash flow)unavailable · the base of the ratio is not positive
- Peers: EV/EBITDA26.60 – 61.80 (Mid 32.26)3 companies used · median multiple 7.4x · quartiles 6.1x – 14.3xAGRO, AGRZ, DOLE
- Peers: P/E16.62 – 30.26 (Mid 22.74)4 companies used · median multiple 13.3x · quartiles 9.8x – 17.7xAGRO, CTVA, DOLE, VFF
- Dividend discount (DDM)15.77 – 21.21 (Mid 18.09)
Classification (SIC) comparables group by industry code, not by economic activity; the direct group is an editorial selection by activity. Members' multiples are on their own trailing twelve months, at their own latest close.
Assumptions (illustrative, editorial)
- Risk-free rate
- 4.3%
- Equity risk premium
- 5.0%
- Beta (default)
- 1.00
- Cost of equity
- 9.3%
- Terminal growth
- 2.5%
Factor scorecard
Unattractive profile · Score 50/100
| Factor | Value | Score | Weight used |
|---|---|---|---|
| ROIC · Quality | 4.7% | 57 (vs peers) | 11% |
| Net margin · Quality | 1.9% | 55 (vs peers) | 7% |
| FCF conversion · Quality | -40.9% | 0 (on a fixed band) | 7% |
| Revenue CAGR 3Y · Growth | -0.9% | 0 (on a fixed band) | 9% |
| EPS CAGR 3Y · Growth | -3.0% | 0 (on a fixed band) | 9% |
| Net debt / EBITDA · Balance sheet | -0.1x | 100 (on a fixed band) | 11% |
| Interest coverage · Balance sheet | 7.5x | 92 (on a fixed band) | 7% |
| Current ratio · Balance sheet | 2.3x | 100 (on a fixed band) | 4% |
| P/E (TTM) · Valuation | 16.8x | 40 (vs peers) | 11% |
| EV/EBITDA · Valuation | 6.6x | 76 (on a fixed band) | 11% |
| FCF yield · Valuation | -2.5% | 0 (on a fixed band) | 9% |
| Shareholder yield (distributions) · Returns | 6.8% | 97 (on a fixed band) | 7% |
| Payout ratio (FCF) · Returns | unavailable | unavailable | — |
Factors without a value were dropped; the remaining weights were renormalised.
Score groups
- Balance sheet98/100 · 3/3 factors with a value
- Growth0/100 · 2/2 factors with a value
- Quality41/100 · 3/3 factors with a value
- Returns· partial97/100 · 1/2 factors with a value
- Valuation42/100 · 3/3 factors with a value
A «partial» group is computed from under half of its weight or from one factor: it is not a full assessment of the group.
Memo
DEL MONTE CORPORATION (DMC). Latest full fiscal year: 2025; data up to 2026-09-25.
Figures computed from the financial statements: revenue 4.3 bn USD in 2025; YoY growth 1.0%; net margin 1.9%; ROE 4.0%; net debt/EBITDA -0.1x.
The estimated value range is 16.62–30.26 USD per share (median of 3 methods, agreement: medium); assumptions are illustrative. Against the central value of 22.74 USD, the price of 28.70 USD leaves a potential of -20.8% (value / price − 1) and a margin of safety of -26.2% (1 − price / value). The range is the median of the methods' low, central and high values, not a probability interval.
olivLaw score 50/100, methodological classification: unattractive profile (score, margin of safety and method agreement together; not a judgement of the right price). Groups assessed only in part: returns. Not investment advice.
Text generated deterministically from the figures shown; no language model. Not investment advice.
What supports the thesis
- Net debt / EBITDA: -0.1x
- Interest coverage: 7.5x
- Current ratio: 2.3x
- EV/EBITDA: 6.6x
- Shareholder yield (distributions): 6.8%
What contradicts it
- FCF conversion: -40.9%
- Revenue CAGR 3Y: -0.9%
- EPS CAGR 3Y: -3.0%
- FCF yield: -2.5%
Not assessed (insufficient data or a ratio without meaning): Payout ratio (FCF).
Versus the vertical median
Agricultural Production-Crops (SIC 0100) · same industry (4-digit SIC) · compared with 11 companies
Multiples and returns vs the median
Price rebased to 100 (monthly, 5 years)
Companies in the vertical
| Market cap | P/E | ROE | Net margin | Revenue YoY | 1A / 3A | |
|---|---|---|---|---|---|---|
| CTVACorteva, Inc. | 8.2 bn | 8.1 | 4.0% | 5.7% | +2.9% | +21% / +81% |
| DMCDel Monte Corporation | 1.4 bn | 16.8 | 4.0% | 1.9% | +1.0% | −21% / +25% |
| AGROAdecoagro S.A. | 1.3 bn | 10.3 | 7.1% | 6.1% | +16.9% | +14% / −19% |
| DOLEDole plc | 1.3 bn | 21.9 | 4.5% | 0.6% | +8.2% | −4% / +20% |
| VFFVillage Farms International, Inc. | 358.3 m | 16.4 | 7.6% | 9.8% | +10.2% | −26% / +271% |
| LMNRLimoneira Company | 190.7 m | — | -25.7% | -33.0% | −16.6% | −24% / −31% |
| AGRZAgroz Inc. | 42.0 m | 48.0 | 25.6% | 8.6% | unavailable | −98% / unavailable |
| LOCLLocal Bounti Corporation | 22.1 m | — | — | -130.5% | +26.8% | −61% / −73% |
| TULPBloomia Holdings, Inc. | 10.9 m | — | -87.9% | -23.2% | unavailable | −40% / −54% |
| SEEDOrigin Agritech Limited | 8.6 m | — | — | -58.4% | −20.6% | −49% / −64% |
| EDBLEdible Garden AG Incorporated | 1.4 m | — | -197.1% | -51.0% | −7.6% | −100% / −100% |
| LNDBrasilAgro – Brazilian Agricultural Real Estate Company | — | — | 6.3% | 15.7% | +13.8% | −12% / −32% |
1- and 3-year price returns: for DMC from daily closes (the same as the performance table), for the other companies from month-end closes.
olivLaw engine forecast
The world engine ran after the company's latest material disclosure. Probabilities are of TOUCHING a level within the horizon (not closing there) and sit next to the random walk (p_rw), the no-information benchmark.
The engine has no published run for this company yet.
Valuation scenarios (editable assumptions)
Illustrative scenarios
Illustrative: not forecasts and without probabilities. Each case is one coherent set of assumptions, computed on today's figures.
Estimated price (USD)
| Estimated price | Bear | Base | Bull |
|---|---|---|---|
| 1 years | 16.24 Total return -40% · Per year -40% | 28.80 Total return 5% · Per year 5% | 43.49 Total return 57% · Per year 57% |
| 3 years | 14.10 Total return -42% · Per year -17% | 28.28 Total return 11% · Per year 4% | 47.12 Total return 80% · Per year 22% |
| 5 years | 12.24 Total return -44% · Per year -11% | 27.76 Total return 17% · Per year 3% | 51.05 Total return 105% · Per year 15% |
- Exit P/E± 7.07
- Net margin± 4.95
- Annual revenue growth± 4.28
- Annual dilution± 0.42
AI analysis
AI-generatedAI-generated analysis (Claude) from cited public sources; it may contain errors. Not investment advice. As of 27 Oct 2026 · Model: claude-haiku-5-5.
Possibly outdated: the newest document it read is from 31 Jul 2026; since then the company filed 8-K (28 Oct 2026 · results), 10-Q (28 Oct 2026).
In brief
Del Monte Corporation (formerly Fresh Del Monte Produce) is a vertically integrated producer and distributor of fresh fruit and vegetables, with bananas, pineapples and avocados in its portfolio. In 2026 it acquired assets of Del Monte Foods, which expanded its prepared foods business but also added margin pressure. Net sales for the second quarter of fiscal 2026 reached 1 1219.1 million USD, with gross margin at 1 9.9%.
SWOT
Strengths
- A brand recognised for more than a century, a vertically integrated chain with own production and a global distribution network that support quality and consistent supply 1.
- Leading positions in pineapples, bananas and fresh-cut produce in the United States and other markets, with a broad range of value-added products 1.
- The Del Monte Foods acquisition placed the brand under one owner and extended the portfolio into prepared foods, which carries higher margins than bananas 3.
Weaknesses
- Banana segment margins are very thin, and higher production and transport costs reduced profitability in the second quarter of 2026 3.
- Long-term debt rose sharply after the acquisition, and selling and administrative expenses increased, pressuring results 3.
- Dependence on a small number of large customers and a few independent growers exposes the company to contract and volume risk 1.
Opportunities
- Placing the Del Monte brand under one owner could allow a joint strategy for fresh and shelf-stable products with cost savings 2.
- The fresh-cut and convenience food market could grow, and the company could extend services to convenience stores and foodservice operators 1.
- If cost reduction and portfolio reorganisation succeed, returns on assets could improve, according to the company's plans 3.
Risks
- Tariffs and trade policyhigh
Changes in US tariffs can raise product costs and reduce orders, and the company may not fully pass increases on to customers 12.
- Volatile margins in bananas and pineappleshigh
Prices are hard to predict and fuel and transport costs are outside the company's control, which could hurt margins if they cannot be passed on 13.
- Integration of Del Monte Foodsmedium
Integrating the acquired assets and achieving cost synergies could take longer than planned, and acquisition costs already affected quarterly results 3.
- Transfer pricing tax disputesmedium
Tax authorities in three jurisdictions issued deficiency claims that the company disputes; the outcome could affect cash flows 2.
- Customer and supplier concentrationmedium
Losing a major customer or an important independent grower could affect sales and profits, and a Philippine grower contract expired in February 2026 1.
Investment thesis
What would need to be true (bull case)
- If the Del Monte Foods integration succeeds, the prepared foods segment could add higher margins and reduce dependence on very low-margin bananas 3.
- The leading position in fresh-cut produce and a long-established brand could support demand in mature markets, especially North America 1.
- If portfolio reorganisation and cost reduction deliver the expected effect, adjusted profitability could recover gradually 3.
What would break the thesis
- Very thin banana gross margins and shipping disruption could keep pressuring results if costs cannot be passed on 3.
- Long-term debt rose after the acquisition, and integration costs could reduce available cash flow 3.
- Tariff uncertainty and tax disputes could create unexpected expenses or delay refunds 2.
What to watch
- Results of the Del Monte Foods integration and prepared foods segment marginQ3 2026
- Banana segment gross margin and the effect of ocean freight costsQ3 2026
- Decision on IEEPA tariff refunds and new US tariffs2026
- Outcome of transfer pricing tax disputes as reported in the next annual reportnext 10-K
Products, market & competition
AI-generatedAI-generated analysis (Claude) from cited public sources; it may contain errors. Not investment advice. As of 27 Oct 2026 · Model: claude-haiku-5-5.
Possibly outdated: the newest document it read is from 31 Jul 2026; since then the company filed 8-K (28 Oct 2026 · results), 10-Q (28 Oct 2026).
The business
The company produces, sources, distributes and markets fresh and fresh-cut fruit and vegetables, mainly under the Del Monte brand, with sales in more than 80 countries. After the Del Monte Foods acquisition in March 2026 it reports four segments: fresh and value-added products, bananas, prepared foods, and other products and services 2. In fiscal 2025, North America accounted for 1 58% of net sales, and the 2026 acquisition was priced at approximately 1 285 million USD plus assumed liabilities 1.
The company sources 52% of the fresh produce it sold in 2025 from company-controlled farms, with the rest from independent growers 1. Main sourcing areas are Central and South America, the Philippines and Africa, with Costa Rica the largest sourcing location 1. Logistics include its own refrigerated ships and warehouses, and third-party freight services are an ancillary business 1.
After exiting the Mann Packing business in December 2025, the company focused its portfolio on higher-return businesses 1. The Del Monte Foods acquisition closed on March 19, 2026 and placed the Del Monte brand under a single owner for the first time in nearly four decades 2. The company now trades as Del Monte Corporation on the NYSE under DMC 3.
Segments
Fresh and value-added products
This segment includes pineapples, fresh-cut fruit and vegetables, avocados and non-tropical fruit. Pineapples were 1 16% of net sales in fiscal 2025, avocados 1 8%, and fresh-cut produce 1 20%. Segment sales fell in the second quarter of 2026, reflecting the Mann Packing exit and lower avocado prices from industry oversupply 3.
Bananas
Bananas are the largest segment, at 1 34% of net sales in fiscal 2025, and the company ranks third as a banana marketer in the United States 1. In the second quarter of 2026 segment gross margin fell to 2.3%, due to lower volumes in North America and Asia and higher production and freight costs 3.
Market context
The fresh fruit and vegetable market is competitive, with volatile margins, and banana and pineapple prices depend on supply, demand and transport costs 1. The fresh-cut market is growing, supported by demand for healthy ready-to-eat food, and large retailers increasingly seek suppliers covering the full range 1. Retail consolidation can put downward pressure on selling prices 1.
The macroeconomic outlook remains uncertain because of US tariff policy, the Middle East conflict and disruption in the Strait of Hormuz, which raised transport and fuel costs 2. In the first six months of 2026 the company recorded 0.6 million USD of customer claims and 1.7 million USD of other product-related charges 2.
Trends
- Tariffs and the Supreme Court rulingmixed
US tariffs raised product costs, which the company has largely offset through higher prices. The February 2026 Supreme Court decision invalidated IEEPA tariffs, but new US tariffs were announced; the company could receive refunds, with uncertainty over amount and timing 2.
- Middle East conflict and shippingheadwind
Disruptions in the Strait of Hormuz and the Red Sea raised fuel, fertilizer and shipping costs, and margins could shrink if these costs cannot be passed on to customers 2.
- Growing demand for fresh-cut and ready-to-eat foodtailwind
The company expects the fresh-cut market to keep growing, supported by demand for healthy and convenient food, and large branded suppliers could benefit from investment in modern facilities 1.
- Integration of Del Monte Foodsmixed
The acquisition adds canned and shelf-stable products, but integration and cost reduction are ongoing. If integration succeeds, the prepared foods segment could support margins; if not, profitability pressure could persist 23.
Competitive position
In bananas and pineapples the company competes with a limited number of large multinational and regional producers, while in other fruit and vegetables it faces many small producers 1. The fresh-cut market is highly fragmented with local and regional distributors, and prepared foods is a mature, intensely competitive market 1.
Competition depends on price, quality, brand recognition and innovation, and losing large customers or reduced orders could affect results 1. Competitors develop new varieties and products that could be more effective or less costly 1.
- Fresh Del Monte Produce (former name of the company, used in 2025 filings)
The company's previous name, used in its 2025 reports; no separate competitor is identified in the sources.
- Large multinational banana and pineapple producers
The source mentions a limited number of large multinational and regional producers without naming them.
- Regional producers and distributors of fresh-cut produce
The fresh-cut market is fragmented with local and regional distributors, not named in the sources.
- Private-label brands of large retailers
Retailers can launch own-label products that compete directly with the Del Monte brand, per the sources.
Links, dependencies and risks
Who the company is tied to, from its own SEC filings (customers, suppliers, production, partners, competitors, countries, regulation), from the 5 %+ holders' statements (13D/13G) and from what other companies say about it. Click a node for its evidence; on a listed company the graph moves to it.
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News & filings
In the press
- Del Monte enters fresh fruit joint venture in ChinaYahoo Finance — News · 02 Sept 2026 · EN
- Killings continue on Del Monte farm in Kenya, families say, after G4S hired for securityThe Guardian World · 13 Jul 2026 · RO
- Del Monte Corporation Reunites After 37 YearsBloomberg Markets · 29 Jun 2026 · EN
The latest news item in our archive is from 02 Sept 2026; the newest SEC filing is from 28 Oct 2026. The press archive comes from the RSS feeds we follow and does not necessarily cover the latest event — the filings alongside do.
SEC filings
- Quarterly report28 Oct 2026
- Current report28 Oct 2026Results of operations · Financial statements and exhibits
- Quarterly report31 Jul 2026
- Current report29 Jul 2026Results of operations · Financial statements and exhibits
- Current report21 Jul 2026Material agreement · Creation of a direct financial obligation · Financial statements and exhibits
- Current report04 Jun 2026Shareholder vote
- Quarterly report06 May 2026
- Current report05 May 2026Results of operations · Financial statements and exhibits
- Current report28 Apr 2026Other events · Financial statements and exhibits
- Proxy statement24 Apr 2026
Sources
- [1] Form 10-K, fiscal year ended 2025-12-26 · SEC / Del Monte Corporation · 19 Feb 2026
- [2] Form 10-Q, quarter ended 2026-06-26 · SEC / Del Monte Corporation · 31 Jul 2026
- [3] Form 8-K, results release (exhibit 99.1) · SEC / Del Monte Corporation · 29 Jul 2026
Figures computed by olivLaw from SEC filings and closing prices; the qualitative analysis is AI-generated from cited sources. Not investment advice.