Bega Cheese Ltd BGA

Stock XASX Rating as of Oct 22, 2026

A$6.36 −0.04 (0.63%)

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As of Oct 23, 2026, 5:10:27 AM Delayed Price Closed

Company Report

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Bega's Brands Lack Sufficient Pricing Power to Warrant an Economic Moat

Angus Hewitt Aug 24, 2026

Despite Bega Group's strategic shift toward a more diverse product offering, we expect dairy products to continue to represent the majority of sales over the next decade, exposing the company to commodity pricing and volatile input costs. We do not think Bega has carved an economic moat required to consistently generate economic profits, and we expect its powerful customers to limit margin growth potential.

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Price vs Fair Value

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BGA is trading at a LOCK|pHbb<x premium.

Price

A$6.40

Oct 22, 2026

Fair Value

LOCK|nQ

Aug 24, 2026

Uncertainty

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1-Star Price: LOCK|W$@
5-Star Price: LOCK|TdP
Economic Moat: LOCK|qV
Capital Allocation: LOCK|Jg^!dD

Bulls Say, Bears Say

Bulls

Bega Group's strategic shift away from dairy products lowers its exposure to volatile milk prices and diversifies earnings.

Bears

Changing consumer trends toward dairy-free and vegan diets could lead to declines in per capita dairy and cheese consumption, weighing on the majority of Bega's earnings.

Trading Information

Previous Close Price: A$6.40
Day Range: A$6.33–6.45
52-Week Range: A$5.00–6.89
Bid/Ask: A$6.35 / A$6.42
Shares Outstanding: 305.82M
Market Cap: A$1.95B
Volume/Avg: 577,905 / 645,846

Key Statistics

Price/Earnings (Normalized): 27.16
Price/Sales: 0.52
Dividend Yield (Trailing): 2.27%
Dividend Yield (Forward): 2.34%
Dividend Payment Schedule: Apr, Oct
Total Yield: 2.27%

Company Profile

Bega Group is an Australia-based dairy processor and food manufacturer of well-known brands including Bega Cheese and Vegemite. Bega operates two segments: The branded segment produces consumer packaged goods primarily sold through the supermarket and foodservice channels, while the bulk segment produces commodity dairy ingredients primarily sold through the business-to-business channel.

Sector: Consumer Defensive
Industry: Packaged Foods
Stock Style Box: Small Core
Total Number of Employees: 1,700
Website: https://www.begagroup.com.au

Competitors

Valuation

Metric	BGA	KHC	ATM
Price/Earnings (Normalized)	27.16	10.37	22.27
Price/Book Value	1.96	0.83	5.80
Price/Sales	0.52	1.19	3.18
Price/Cash Flow	15.24	7.68	47.04

Price/Earnings

BGA

KHC

ATM

Financial Strength

Metric	BGA	KHC	ATM
Quick Ratio	0.54	0.57	1.14
Current Ratio	1.21	1.06	1.61
Interest Coverage	3.09	−4.59	268.94

Quick Ratio

BGA

KHC

ATM

Profitability

Metric	BGA	KHC	ATM
Return on Assets (Normalized)	3.24%	3.58%	12.31%
Return on Equity (Normalized)	6.93%	7.08%	18.09%
Return on Invested Capital (Normalized)	6.27%	5.47%	16.03%

Return on Assets

BGA

KHC

ATM

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