Mission Produce, Inc. (AVO) stock analysis
Close on Nov 12, 2026Market cap $1.01BP/E 384.7Yield –
StockData Score
Prices as of Nov 11, 2026How the score works
Weak5 of 30 checks passed
Mission Produce passes 5 of the 30 checks behind our score; 6 could not be run for lack of data and count as not passed. Each dot in the shape is one check — hover it for the numbers.
- Valuation
- 1/6
- Growth
- 2/6
- Past performance
- 1/6
- Financial health
- 1/6
- Dividend
- 0/6
What stands out
Earnings grew over 5 years
Net income grew 5.5% a year on average over the last five fiscal years.
Guidance raised
Mission Produce raised its full year fiscal 2026 total capital expenditures outlook on Jun 8, 2026.
P/B below the industry
Mission Produce's price-to-book of 1.35 is below the Consumer staples median of 2.48.
Gross margin improving
Gross margin was 11.4% over the last twelve months, against 11.3% a year earlier.
What to watch
Margin of safety under 20%
The price is 106% above fair value, so there is no margin of safety.
Trading above fair value
The share price of $11.78 is above our fair value estimate of $5.72.
Return on equity under 15%
Return on equity was 0.2% over the last twelve months and averaged 3.1% over five years; we look for 15% on both.
Return on capital under 10%
Return on invested capital was 1.4%, below the 10% that usually covers the cost of capital.
Valuation1/6
P/E above its 5-year median
Mission Produce's P/E of 392.7 is above its own 5-year median of 31.2.
P/E above the industry
Mission Produce's P/E of 392.7 is above the Consumer staples median of 23.3.
EV/EBITDA above its 5-year median
Mission Produce's EV/EBITDA of 21.8 is above its 5-year median of 12.6.
P/B below the industry
Mission Produce's price-to-book of 1.35 is below the Consumer staples median of 2.48.
Trading above fair value
The share price of $11.78 is above our fair value estimate of $5.72.
Margin of safety under 20%
The price is 106% above fair value, so there is no margin of safety.
Growth2/6
Revenue growing under 10% a year
Revenue grew 10.0% a year over the last three fiscal years, short of the 10% we look for.
EPS growth over 3 years
Needs positive EPS three years ago and today.
Earnings growth not accelerating
Net income grew -95.9% over the last twelve months, against a 5-year average of 5.5% a year.
Growing slower than the industry
Revenue grew -6.2% over the last twelve months; the Consumer staples median is 3.7%.
Guidance raised
Mission Produce raised its full year fiscal 2026 total capital expenditures outlook on Jun 8, 2026.
Gross margin improving
Gross margin was 11.4% over the last twelve months, against 11.3% a year earlier.
Past performance1/6
Return on equity under 15%
Return on equity was 0.2% over the last twelve months and averaged 3.1% over five years; we look for 15% on both.
Return on capital under 10%
Return on invested capital was 1.4%, below the 10% that usually covers the cost of capital.
Return on equity below the industry
Mission Produce's return on equity of 0.2% is below the Consumer staples median of 5.3%.
Earnings grew over 5 years
Net income grew 5.5% a year on average over the last five fiscal years.
Net margin below its 5-year average
Net margin was 0.1% over the last twelve months, against a 5-year average of 1.4%.
Net margin below the industry
Mission Produce's net margin of 0.1% is below the Consumer staples median of 1.9%.
Financial health1/6
High debt
Debt is 52.4% of shareholders' equity, above the 40% we consider low.
Debt rising against equity
Debt to equity rose from 36.8% five years ago to 52.4%.
Debt not well covered by cash flow
Operating cash flow over the last twelve months equals 10.3% of total debt; we look for at least 20%.
Interest not well covered
Operating income covers interest expense 2.2 times; we look for at least 5.
Short-term assets cover short-term debts
Current assets are 1.92 times current liabilities.
Bankruptcy risk in the grey zone
The Altman Z-score is 2.07; above 3 is the safe zone and below 1.8 the distress zone.
Dividend0/6
No dividend
Mission Produce has not paid a dividend in the last twelve months.
Yield against Treasuries
No dividend.
Yield against the market
No dividend.
Dividend stability
No dividend.
Earnings cover
No dividend.
Cash-flow cover
No dividend.
Fair value
How we estimate itOur estimate per share
$5.72
The share price is 106% above this estimate.
| Method | Multiple used | Own 5Y median | Industry median | Value per share | Weight |
|---|---|---|---|---|---|
| P/Eleft out, too far from the others | 27.3× | 31.2× | 23.3× | $0.82 | – |
| EV/EBITDA | 13.1× | 12.6× | 13.6× | $5.71 | 70% |
| P/Bleft out, too far from the others | 2.0× | 1.6× | 2.5× | $17.76 | – |
| Earnings power | 7.4% cost of equity | – | – | $5.75 | 30% |
| Fair value | $5.72 | 100% | |||
Valuation over time
Using the earnings and balance sheet published at each date, not today's.
- P/E at month end
- Own 5-year median 31.2
- Consumer staples median 23.3
An estimate from reported numbers and market multiples, not a price target or investment advice. It can be far off for companies whose profits are about to change sharply.
Market risk
From the past year of daily prices.
Liquidity
Medium risk
- Average value traded per day
- $9.37M
- Value traded per 1% price move
- $6.21M
Downside
Medium risk
- Typical loss in a bad month
- 19.8%
- Volatility (annualized)
- 37%
- Sharpe ratio, 1 year
- -0.29
- Beta to the S&P 500 (5Y)
- 0.40
Typical bad-month loss, week by week
Margins
Share of revenue, fiscal years 2018 to 2025
Gross margin
Operating margin
Net margin
Growth rates
Compound annual growth to fiscal 2025
| Per year | 1 year | 3 years | 5 years | 10 years | Five-year pace |
|---|---|---|---|---|---|
| Revenue | +12.7% | +10.0% | +10.0% | – | |
| Gross profit | +5.4% | +21.4% | +5.2% | – | |
| Operating income | -0.8% | – | -1.0% | – | |
| Net income | +2.7% | – | +5.5% | – | |
| EPS, diluted | +1.9% | – | +3.3% | – | |
| Free cash flow | -39.2% | – | +26.2% | – |
Returns and balance sheet
8 fiscal years. Hover a measure to see how it is calculated.
| Measure | FY2018 | FY2020 | FY2025 | Trend |
|---|---|---|---|---|
| Return on equity | – | 6.8% | 6.6% | |
| Return on assets | – | – | 3.9% | |
| Current ratio | – | 3.18 | 1.95 | |
| Debt to equity | – | 0.37 | 0.17 | |
| Net debt to EBITDA | – | 0.54× | 0.36× | |
| Interest coverage | – | 10.2× | 6.9× | |
| Inventory turnover | – | – | 14.3× | |
| Capex to revenue | – | 7.8% | 3.7% | |
| Diluted shares | – | 64M | 71M |
Where the cash went
Fiscal 2021 to 2025, five years combined
Mission Produce generated $293.40M from operations and spent $274.70M on capital expenditure, dividends and share buybacks. 98% of that went back into the business.
DuPont analysis
Return on equity split into margin, efficiency and leverage
| Fiscal year | Net margin | Asset turnover | Equity multiplier | Return on equity |
|---|---|---|---|---|
| FY2025 | 2.7% | 1.42× | 1.72× | 6.6% |
| FY2024 | 3.0% | 1.31× | 1.79× | 7.0% |
| FY2023 | -0.3% | 1.06× | 1.78× | -0.6% |
| FY2022 | -3.3% | 1.19× | 1.69× | -6.7% |
| FY2021 | 5.0% | 1.08× | 1.64× | 8.9% |
Piotroski F-Score
Nine tests of profitability, balance sheet and efficiency, fiscal 2025 against fiscal 2024
- ProfitableNet income above zero$37.70M
- Cash generatingOperating cash flow above zero$88.60M
- Return on assets improvedROA up on the prior year4.0% → 3.9%
- Earnings backed by cashOperating cash flow above net income$88.60M vs $37.70M
- Less leverageLong-term debt to assets fell11.4% → 9.4%
- Better liquidityCurrent ratio rose1.87 → 1.95
- No dilutionShare count did not rise71M → 71M
- Gross margin improvedGross margin up on the prior year12.35% → 11.55%
- More efficientAsset turnover rose1.35 → 1.43
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