Bunge Shares Climb 1.19% Amid 457th-Ranked $200M Volume as Acquisition and Insider Buys Spark Renewed Interest

On August 25, 2025, Bunge (BG) traded higher by 1.19% amid a 29.34% decline in trading volume to $200 million, ranking 457th in market activity. The stock’s performance followed a strategic acquisition and insider activity, signaling renewed investor interest in the agribusiness giant.

The company announced plans to acquire International Flavors & Fragrances’ (IFF) soy lecithin and soy protein processing assets, a $240 million revenue-generating division employing 250 globally. The deal, expected to close by year-end, aligns with Bunge’s focus on consolidating high-margin assets and expanding its specialty ingredients portfolio. IFF cited operational distractions and low margins in the soy segment as key divestiture drivers.

Insider buying also influenced market sentiment. Christopher Mahoney, a Bunge director, purchased 5,000 shares in early August, while institutional ownership remains strong at 86.23%. The stock’s 8.8 P/E ratio, significantly below the basic materials sector average, highlights its valuation appeal. Analysts have assigned a “Moderate Buy” rating, supported by projected 13.1% earnings growth and a 3.18% dividend yield.

Short interest in BG has declined by 17.06% over the past month, reflecting improved investor confidence. However, the PEG ratio of 5.82 suggests potential overvaluation relative to earnings growth. The acquisition of IFF’s soy business and recent earnings beat of $1.19 per share in July underscore Bunge’s strategic positioning in the agribusiness sector.

A backtest of a strategy buying the top 500 volume stocks daily and holding for one day from 2022 to 2025 yielded a 31.52% total return over 365 days, with a 0.98% average daily gain. The approach showed volatility, peaking at 7.02% in June 2023 and dropping 4.65% in September 2022, but maintained a positive trend overall.