I am retired and take educated guesses on all things financial.

April 15, 2010

April 15, 2010: A Tasty Stock Is J&J Snack Foods

If you are a vegan or into organic locally-grown foodstuffs, leave the room now.

Anyone with a taste for Cinnabon Cinna Pretzel, Funnel Cake, Mrs. GoodCookie,Texas Twist,Slush Puppie, Minute Maid Juice Bars, Luigi's Italian Ices? How about a nice super-stuffed PretzelFil or an Arctic Blast?

J&J Snack Foods (JJSF) is a nationwide purveyor of tasty treats and snacks. The distributor of all the above and more (a Mary B's Biscuit, perhaps?), J&J has done a commendable job successfully marketing quality snack food. The company also has Whole Fruit and California Natural within it's stable of tummy satisfying treats.

Of interest to shareholders, the company will announce its results and projections in a conference call April 23rd. Last quarter (January 2010), the company handily beat street expectations, earning $0.38/ share vs. the $0.27 prediction average.

JJSF trades at $43.30/share, with a 52 week range of $32.10/44.90. It sports a 1% yield and has a market cap of approximately $797m. The company has show steady growth both internally and through strategic acquisitions. J&J Snack Foods has no debt.

President and Chairman Gerald Shreiber proudly states that JJSF was "born of ashes and dust by destiny, and represents all of what is right in this country. This tiny eight employee company that was purchased out of bankruptcy in 1971 found niches, gathered special people and products and mixed them together carefully, with the passion and pride that is the essence of the American Dream. We are and will remain conservative with our discipline and liberal with our thinking."

You have to root for a President that is so proud of his company.

And while I do not recommend an "overweight" position, JJSF itself may be a wholesome addition to your portfolio.

The author has no position in JJSF at this time.

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