|Written by GSCR Staff|
|Wednesday, 20 August 2014 06:52|
Back to school season is here. On top of that there is still time to get on board for the seasonal accumulation here as well.
One of our November 2013 30-30 picks may be the one for you to pounce on for a bounce this fall. Inventure Foods, Inc. (NASDAQ – SNAK - $11.83) is just above the 1% mark in the green since then. The stock reached $14.50 in early April this year before the bottom fell out over the next three months with a precipitous 20% drop to $10.52 in early July. The back to school jump is now in process.
As a refresher here is quick overview of Inventure Foods. The Company has healthy/natural snack food products include that include Rader Farms frozen berries, Boulder Canyon Natural Foods brand kettle cooked potato chips, Jamba branded blend-and- serve smoothie kits under license from Jamba Juice Company, and private label frozen fruit and healthy/natural snacks. The Company's indulgent specialty snack food products comprise T.G.I. Friday’s brand snacks; Nathan’s Famous brand snack products, Vidalia brand snack products, Poore Brothers kettle cooked potato chips, Bob’s Texas Style kettle cooked chips, and Tato Skins brand potato snacks. It also manufactures and distributes private label and co-branded fruit and snack chip products for grocery chains and natural stores. The Company sells its products directly and through a network of brokers and distributors to grocery, natural, mass, drug, club, value, vending, food service, and convenience stores in the United States and internationally.
The forward P/E is nearly half the trailing P/E at 17 versus 32 for SNAK. Moreover the 5-year PEG is just over 1 at 1.37 which is a positive for the longer term investors. For the traders, SNAK is now above the 20 and 50 day moving average. With a current ratio of 2, which indicates a 2 to 1 ratio of current assets including cash to current liabilities, the Company remains in a solid position to maintain and further innovate in its product line and improve and grow its marketing channels.
We think SNAK gets back above $15 this year.
Have a great day!
Disclosure: Goldman Small Cap Research analysts are neither long nor short these shares but may elect to purchase the stock within the next 48 hours.
This Market Monitor blog was prepared for informational purposes only. Goldman Small Cap Research, (a division of Two Triangle Consulting Group, LLC) produces research via two formats: Goldman Select Research, which typically highlights small cap companies, and Goldman Opportunity Research, which features micro cap companies in a sponsored research format. Thus, the Select product reflects the Firm’s internally generated stock ideas while the Opportunity product reflects sponsored research reports.
Goldman Small Cap Research is not affiliated in any way with Goldman Sachs & Co.
It is important to note that while we may track performance separately, we utilize the same coverage criteria in determining coverage of all stocks in both research formats. Please view the company’s individual disclosures for each engagement, which can be found in each company-specific report. All information contained in this blog, newsletter and in our reports were provided by the Companies or generated from our own due diligence. Our analysts are responsible only to the public, and are paid in advance to eliminate pecuniary interests, retain editorial control, and ensure independence. Analysts are compensated on a per report basis and not on the basis of his/her recommendations.
The information used and statements of fact made have been obtained from sources considered reliable but we neither guarantee nor represent the completeness or accuracy. Goldman Small Cap Research did not make an independent investigation or inquiry as to the accuracy of any information provided by the Company, or other firms. Goldman Small Cap Research relied solely upon information provided by the Company through its filings, press releases, presentations, and through its own internal due diligence for accuracy and completeness. Such information and the opinions expressed are subject to change without notice. A Goldman Small Cap Research blog, report, note, or newsletter is not intended as an offering, recommendation, or a solicitation of an offer to buy or sell the securities mentioned or discussed.
This blog does not take into account the investment objectives, financial situation, or particular needs of any particular person. This blog does not provide all information material to an investor’s decision about whether or not to make any investment. Any discussion of risks in this presentation is not a disclosure of all risks or a complete discussion of the risks mentioned. Neither Goldman Small Cap Research, nor its parent, is registered as a securities broker-dealer or an investment adviser with FINRA or with any state securities regulatory authority.
ALL INFORMATION IN THIS BLOG, REPORT OR NEWSLETTER IS PROVIDED “AS IS” WITHOUT WARRANTIES, EXPRESSED OR IMPLIED, OR REPRESENTATIONS OF ANY KIND. TO THE FULLEST EXTENT PERMISSIBLE UNDER APPLICABLE LAW, TWO TRIANGLE CONSULTING GROUP, LLC WILL NOT BE LIABLE FOR THE QUALITY, ACCURACY, COMPLETENESS, RELIABILITY OR TIMELINESS OF THIS INFORMATION, OR FOR ANY DIRECT, INDIRECT, CONSEQUENTIAL, INCIDENTAL, SPECIAL OR PUNITIVE DAMAGES THAT MAY ARISE OUT OF THE USE OF THIS INFORMATION BY YOU OR ANYONE ELSE (INCLUDING, BUT NOT LIMITED TO, LOST PROFITS, LOSS OF OPPORTUNITIES, TRADING LOSSES, AND DAMAGES THAT MAY RESULT FROM ANY INACCURACY OR INCOMPLETENESS OF THIS INFORMATION). TO THE FULLEST EXTENT PERMITTED BY LAW, TWO TRIANGLE CONSULTING GROUP, LLC WILL NOT BE LIABLE TO YOU OR ANYONE ELSE UNDER ANY TORT, CONTRACT, NEGLIGENCE, STRICT LIABILITY, PRODUCTS LIABILITY, OR OTHER THEORY WITH RESPECT TO THIS PRESENTATION OF INFORMATION.
For more information, visit our Disclaimer: www.goldmanresearch.com