5 Great Food Stocks Offering Tasty Profits

Taking advantage of the product with the strongest demand in the world, food companies are often very solid performers. During the instability that Wall Street has faced since the global economic crisis, many in the food sector have still provided strong gains for investors. For anyone looking to gobble up some nice returns, five food stocks to consider are Hormel Foods Corp (HRL), General Mills Inc (GIS), Kellogg Co (K), ConAgra Foods Inc (CAG) and Campbell Soup Co (CPB).

Hormel Foods Corp

Austin, MN-based Hormel has been in the food business since 1891, offering a variety of meat and food products. The company has recently had great success with its entry into the Mexican food market, thanks to its MegaMex brand. Hormel reported 150% growth in MegaMex in just two years, adding to the company’s record success. Currently trading around $29 per share, the company is close to breaking through its 52-week range of $ 25.24 – $30.50, while paying a $0.60 dividend for a yield of 2.1%.

Hormel is positioned to see additional gains this year. The share price recently crossed over both its 50-day and 200-day moving averages, suggesting a bullish rise. The company has a price to earnings ratio over 16, while reporting a quarterly revenue growth of 2 percent. The company has a reasonable payout ratio of just 29%, while building up nearly $400 million in levered free cash flow. With the success of its MegaMex line in the United States and a growing international presence, Hormel is in a strong position for investors seeking new holdings. To continue reading, click here.