Chiquita: Valuation And Analysis Series Part 2

Chiquita Valuations and Analysis

My latest article about Chiquita Valuations and Analysis Part 2 has been published on seekingalpha.com and can be viewed here for those wanting to follow the discussion in the comments section.

In post one of this series on Dole (NYSE:DOLE) and its competitors here, I got into a valuation of Dole and the potential spin-off that could unlock its value.

In my next two posts I will detail two of Dole’s biggest competitors, first Chiquita (NYSE:CQB) and then Fresh Del Monte (NYSE:FDP). I will value both of the companies and detail their businesses.

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In the fourth post of this series I will attempt to determine if a merger between any of the three companies should happen, and what I think would be the best options. I will go over the margins of each company and try to determine if any of the three have any sustainable competitive advantages. I will also put forth my thesis of which one, if any, would be a good long-term buy without the possibility of a spin-off or merger from any of the companies.

I will start with the valuations of Chiquita, and then get into the details and analysis of the company.

Chiquita Brands International is a leading international marketer and distributor of high-quality fresh and value-added food products from energy-rich Chiquita bananas and complimentary fruits to nutritious blends of convenient green salads, according to the description taken from its website.It does business under the Chiquita and Fresh Express premium brands and other related trademarks and operates in nearly 70 countries worldwide. For further information please refer to the website.

Both Chiquita valuations were done on 6-20-2012. All numbers are in millions of U.S. dollars, except per share information, unless otherwise noted. Valuations done using March 2012 10Q and 2011 10K.

These valuations are done by me, using my estimates, and are not a recommendation for you to buy the stock.