Skip to main content

POST STOCK WRITE UP


POST (POST HOLDINGS)

  • P/E: 127.4
  • GAAP DILUTED Y-O-Y GROWTH LAST QUARTER: $1.07
  • SECTOR: CONSUMER NON-DURABLES
  • ASSETS-LIABILITIES: 148
  • DIVIDEND: NONE

Although famous primarily for its cereal, Post is rapidly expanding its business. Utilizing cost-cutting techniques in combination with the innovation of popular products, the company experienced exponential growth in its most recent quarter. Post has an opportunity to grow in competition with other US cereal leaders Kellogg, and General Mills.
Post has only 1 cereal in the top 10 best-selling cold cereals and 2 in the top 10 best-selling warm cereals, and produces less than half the revenue of Kellogg last year. However, Post is diversifying its product base with the introduction of Premier Protein, and the expansion of its Dymatize protein powder. Dymatize is a leading brand in the whey protein market geared towards bodybuilders, while Premier Protein is marketed to casual fitness enthusiasts. Post also owns a successful brand of cage free egg whites. Consequently, Post is experiencing sales growth in the burgeoning low-fat protein supplement market. Post acquired weetabix, which will substantially increase its market share and profit in the cereal market. However, weetabix is an established brand and not a newer, growing brand.
For the most recent quarter, the company delivered a 2% reduction in costs, while still delivering an increase in revenue. Consequently, the company's Active Nutrition segment increased over 200% in profit, while its primary Post segment increased just under 30% in profit. The company's Michael Foods Group declined due to market conditions and a lack of expansion in the segment.
Post has an excellent assets-liabilities ratio, giving it the opportunity to innovate even further than it has already with its on-hand cash. The company has an extremely high P/E currently calculated at 127.4, but boasts a forward P/E of only 26.8 according to Gurufocus. Its solid track record of earnings growth, developed brand presence, and innovation have lead to steady growth since its low of 58 in 1/2016.

SOURCES:






Labels:

Comments

Post a Comment

Popular posts from this blog

PXD STOCK WRITE UP

 PXD (PIONEER NATURAL RESOURCES) P/E: N/A GAAP DILUTED Y-O-Y EPS GROWTH LAST QUARTER: $.67 SECTOR: ENERGY MINERALS ASSETS-LIABILITIES: 1.58 DIVIDEND: .04% Pioneer Natural Resources has recently made the jaw-dropping switch from negative EPS to positive with its last quarter. Situated in the largest oil-producing region in the US, the company is utilizing its good fortune to produce profits. The company has a good balance sheet, a wealth of resources, and a business model which has afforded it growth. This last quarter does not mark the first occasion on which Pioneer has posted a profit. In 2014, and 2012, Pioneer posted a positive EPS for the full year. While the 2016 oil and gas revenues have grown from 2015, the 2014 and 2012 levels were higher. The company's revenue from oil and gas is largely based on market prices. In order to mitigate the market volatility, Pioneer has made efforts to reduce their cost of production, according to their earnin...
1 comment
Read more

AAPL STOCK WRITE UP

AAPL (APPLE) P/E: 17.1 GAAP DILUTED Y-O-Y EPS GROWTH LAST QUARTER: $.2 SECTOR: ELECTRONIC TECHNOLOGY ASSETS-LIABILITIES: 1.67 DIVIDEND: .57% Apple is a technology company famous for their cell phones, tablets, and music store. The company has a solid balance sheet, and a history of earnings growth. The company reported 5/2/2017. Both revenues and gross margins increased, as well as the expenditure on R&D. Therefore, the company posted quality EPS growth in the past quarter. The revenues and EPS beat wall street expectations, and revenue missed estimize's consensus expectation. Cash flows, and accounts receivable, however, decreased in the last quarter. Inventory, which some consider to be a red flag for technology stocks, also increased. Tim Cook has been employed by Apple since 1998, and held the title of CEO since 2011. He is also on the board of directors with Nike. According to IDC, Apple's market share in the cell phone bus...
Post a Comment
Read more

CLS STOCK WRITE UP

CLS (CELESTICA) P/E: 15.1 GAAP DILUTED EPS Y-O-Y GROWTH LAST QUARTER: $.14 SECTOR: ELECTRONIC TECHNOLOGY ASSETS-LIABILITIES: 1.78 DIVIDEND: none Celestica, a spinoff from IBM, manufactures electronics and provides supply chain services for a variety of businesses. The company has successfully improved upon its operating margins and revenue during its last fiscal year. Reporting April 20 th before market open, the company will try to beat Wall street expectations of $.28 and its own guidance of $.24-$.3. Celestica provides services for the communications, consumer, server, and storage industries, as well as working in diversified companies. This wide array of services gives Celestica the opportunity to expand on revenue when one of its segments is lagging. Rather than developing new products to boost revenue, Celestica must rely on increasing customer satisfaction by managing supply chains well for its clients. In order to showcase their services,...
Post a Comment
Read more