Bunge Shares Tumble Over 6% After Q2 Miss; CEO Highlights Strategic Moves Amid Cash Flow Concerns
Portfolio Pulse from Nabaparna Bhattacharya
Bunge Limited (NYSE:BG) shares fell over 6% after missing Q2 earnings and sales estimates. The company reported adjusted EPS of $1.73, below the $1.80 consensus, and sales of $13.24 billion, missing the $14.27 billion estimate. Despite lower Agribusiness performance, Bunge made progress on strategic priorities, including the sale of its interest in a sugar and bioenergy joint venture. Cash flow concerns were highlighted, with cash used for operations at $480 million compared to cash provided of $472 million last year. The company raised its full-year 2024 adjusted EPS outlook to $9.25.
July 31, 2024 | 1:16 pm
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Bunge Limited shares fell over 6% after missing Q2 earnings and sales estimates. The company reported adjusted EPS of $1.73, below the $1.80 consensus, and sales of $13.24 billion, missing the $14.27 billion estimate. Despite lower Agribusiness performance, Bunge made progress on strategic priorities, including the sale of its interest in a sugar and bioenergy joint venture. Cash flow concerns were highlighted, with cash used for operations at $480 million compared to cash provided of $472 million last year. The company raised its full-year 2024 adjusted EPS outlook to $9.25.
The significant miss on both earnings and sales estimates has led to a sharp decline in Bunge's stock price. The company's cash flow concerns and lower Agribusiness performance further contribute to the negative sentiment. However, the raised full-year EPS outlook provides a slight positive offset.
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