Danone to sell Chinese unit in bid to blunt shareholder dissent

  • French yogurt maker Danone (OTCQX:DANOY +1.2%) said yesterday it will sell its stake in China Mengniu Dairy, valued at more than $1B, to fund stock buybacks and return the proceeds to shareholders, aiming to appease disgruntled investors.
  • The news comes as Danone 's board meets to discuss its response to calls from investors such as Artisan Partners Asset Management and Bluebell Capital Partners for management changes.
  • Danone Chairman and CEO Emmanuel Faber is facing demands for him to give up one or both of his positions at the company, which he has led since 2014, after Danone shares lost 25% of their value last year.

    Danone fundamentals

    Over the current book year the total revenue will be 23.68 billion euros (consensus estimates). This is slightly more than 2020's revenue of 23.62 billion euros.

    Historical revenues and results Danone plus estimates 2020

    koersdata Danone

    The analysts expect for 2021 a net profit of 2.16 billion euros. The majority of the analysts expects for this year a profit per share of 3.34 euros. Based on this the price/earnings-ratio is 16.97.

    Huge dividend Danone

    For this year the analysts expect a dividend of 2 euros per share. The dividend yield is then 3.53 percent. The average dividend yield of the food producers equals a low 0.94 percent.

    Danone 's market capitalization is based on the number of outstanding shares around 36.78 billion euros. The Danone stock was the past 12 months quite unstable. Since last March the stock is 4 percent lower. This year the stock price moved between 46 and 66 euro.

    Historical stock prices Danone

    historical stocks danone

    Click here for dividend Danone. On Friday the stock closed at 56.68 euros.

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