DAR Stock Analysis — Darling Ingredients
Sector: Consumer staples
AI Verdict
You're paying a low price for next year's earnings, but the numbers only make sense if the massive profit rebound actually happens — the supply chain moat helps, but this is a high-expectations bet.
Competitive Moat
Darling Ingredients transforms animal by-products and food waste into sustainable ingredients for agriculture, feed, and renewable energy, giving it a supply chain moat that is hard to replicate. Its vertically integrated operations and exclusive sourcing relationships with food processors create barriers for new entrants.
Summary
DAR is drawing attention because analysts expect a staggering 1501.7% jump in earnings next year.
Where It Stands
DAR trades at 10.2x next year's earnings, a steep drop from its current 163.8x trailing P/E, with consensus forecasting 1501.7% EPS growth — a massive reset that makes the forward multiple look unusually cheap for consumer staples.
Key Metrics
- Trailing P/E: 163.8x
- Forward P/E: 10.2x
- PEG Ratio: 0.11
- Earnings Growth: +15.0%
- Revenue Growth: +0.1%
- 52-Week High: $69.98
- 52-Week Low: $29.15
Analyst Consensus
16 Buy · 2 Hold · 0 Sell (18 analysts)
Bull Case
With a forward P/E of 10.2x and 1501.7% expected EPS growth, the stock is cheap for the explosive earnings rebound analysts are predicting.
Bear Case
If the forward P/E reverts even halfway toward the sector median of 20x but the growth fails to materialize, the stock could see a sharp correction from its current premium valuation.
Catalyst to Watch
Watch for the next quarterly earnings — any sign that the 1501.7% EPS growth is delayed or missed could trigger a major rerating.