Bunge Global SA, the leading agribusiness and food company, witnessed a significant 5.39% decline in its stock price during pre-market trading on Wednesday. This pre-market plunge came after the company reported disappointing fourth-quarter earnings and provided a muted outlook for the current fiscal year, citing geopolitical uncertainties as a major factor hampering visibility.
The company's adjusted earnings per share for the fourth quarter stood at $2.13, falling short of analysts' expectations of $2.24 and marking a substantial 42% decrease compared to the same period last year. The lower-than-expected results were primarily attributed to a global glut in crop prices, which weighed on Bunge's margins and processing results, particularly in its core Agribusiness segment.
Furthermore, Bunge Global SA projected full-year adjusted earnings per share of around $7.75 for 2025, missing the consensus estimate of $8.71. The company's CEO, Greg Heckman, cited heightened geopolitical uncertainty as a key factor limiting forward visibility, likely alluding to the ongoing trade tensions between the United States and China, as well as the potential for tariffs on agricultural products.
Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.