What's are the strongest stocks in the Food & Beverage sector?
Coke? Pepsi? P&G?
Answers
2222 points
readytoretire answered 11 months ago …
Coke and Pepsi both qualify as strong stocks. P&G does also, but I would not consider it in the food & beverage sector. I like Kraft, but their dividend rate is right at 50%, and they have loaded up with debt, so I am not sure of them. Heinz is another one that I like, but it's dividend is at 55%. They do have a good stash of cash.
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457 points
SallyG answered 11 months ago …
P&G has been transferring some of its food lines (most recently Folger's Coffee, but also peanut butter [Jif?]) to J.M. Smucker (SJM is the symbol, I believe). They were going to spin off Folger's independently, but chose to sell to SJM. There was a fairly complicated choice for P&G investors; I elected to do nothing and consider buying SMJ when I have free cash.
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4085 points
EthanR answered 11 months ago …
Using the interactive performance comparison chart, I analyzed the recent performance of the following stocks: PEP, KO, PG, SJM, HNZ, KFT, and CPB. These are the results, draw your own conclusions:
200 DAYS: 3 strongest stocks: PG, CPB, SJM
90 DAYS: 3 strongest stocks: PG, SJM, KO
60 DAYS: 3 strongest stocks: PG, KO, SJM
30 DAYS: 3 strongest stocks: SJM, PEP, KO
9 DAYS: 3 strongest stocks: SJM, PEP, HNZ
Over the past 200 and 90 days all the stocks were down considerably (so much for food being safe stocks during a recession), however recently most of these were up. SJM was up 8% over the past 30 days.
731 points
thinker70 answered 11 months ago …
My preference would be Nestle for two primary reasons: 1) Being a Swiss company it has built in currency protection as the dollar declines so both dividends and share price increases could be juiced by currency movements.
2) It is a STABLE broadly diverified company with worldwide sales, what more could you ask for?
3963 points
MNSL answered 11 months ago …
Thinker70 is correct. Nestle in one of the best food companies in the world.
Numbers of brokers recommended have increased to 12 from 07 now. I think it is better to invest in undervalued stocks with above average return in then next 05 years.
However there are some neglected and less known food companies will have above average growth in the next 18 months and next two decades. Some of these companies are operating from South America and Asia Pacific region.
Current mess has made short supply in some areas and there will be strong demand for these products in the next 18 months and next 05 years.
