Fresh produce company Fresh Del Monte (NYSE:FDP) will be reporting results tomorrow before market hours. Here’s what to expect.

Fresh Del Monte Produce beat analysts’ revenue expectations by 3% last quarter, reporting revenues of $1.02 billion, up 1.6% year on year. It was a stunning quarter for the company, with an impressive beat of analysts’ EPS estimates and a solid beat of analysts’ gross margin estimates.

Is Fresh Del Monte Produce a buy or sell going into earnings? Read our full analysis here, it’s free.

This quarter, analysts are expecting Fresh Del Monte Produce’s revenue to grow 2.5% year on year to $1.03 billion, a reversal from the 3% decrease it recorded in the same quarter last year. Adjusted earnings are expected to come in at $0.37 per share.

Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Fresh Del Monte Produce has missed Wall Street’s revenue estimates five times over the last two years.

Looking at Fresh Del Monte Produce’s peers in the perishable food segment, some have already reported their Q4 results, giving us a hint as to what we can expect. Freshpet delivered year-on-year revenue growth of 22%, missing analysts’ expectations by 0.6%, and Tyson Foods reported revenues up 2.3%, topping estimates by 1%. Freshpet traded down 23.2% following the results while Tyson Foods’s stock price was unchanged.

Read our full analysis of Freshpet’s results here and Tyson Foods’s results here.

Inflation has progressed towards the Fed’s 2% goal as of late, leading to strong stock market performance. Recent rate cuts and the 2024 Presidential election's conclusion added further sparks to the market, and while some of the perishable food stocks have shown solid performance, the group has generally underpeformed, with share prices down 2.8% on average over the last month. Fresh Del Monte Produce is down 2.6% during the same time and is heading into earnings with an average analyst price target of $39 (compared to the current share price of $30.88).

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