Supervalu
New York symbol SVU, is the second-largest supermarket operator in the United States behind Kroger.
We’re always on the lookout for new stocks that we feel offer
conservative investors strong growth with limited risk. International
Flavors & Fragrances (this issue), is a good example.
At the same time, we constantly monitor our current recommendations
for reasons that might cause us to change our opinion.
Here are six with limited prospects that we now see as sells:
HARTE-HANKS INC. $12 (New York …read more »
Supervalu Inc., New York symbol SVU operates 2,394 company-owned and franchised supermarkets. The Wall Street stock’s major banners include Save-A-Lot, Albertsons and Jewel-Osco. Supervalu gets 77% of its revenue from its retail stores. It gets the remaining 23% by supplying food to 1,900 independent grocery stores.
The company continues to focus on its core business of food retailing, and has stopped …read more »
SuperValu Inc. (New York symbol SVU) operates about 2,500 company-owned and franchised supermarkets. Major banners include Save-A-Lot, Albertsons and Jewel-Osco. Supervalu gets 76% of its revenue from its retail stores. It gets the remaining 24% by supplying food to 1,890 independent stores.
The company continues to focus on its core business of food retailing, and has stopped selling other items, …read more »
Food sellers Sysco and Supervalu stand to gain from increasing restaurant traffic and grocery store sales as the economy recovers. However, they could have trouble passing along higher food and other costs to their customers. We feel both stocks will likely make little progress in the next few months.
SYSCO CORP. $31 (New York symbol SYY; Conservative Growth Portfolio, Consumer sector; …read more »
SUPERVALU INC. $14 (New York symbol SVU, Conservative Growth Portfolio, Consumer sector; Shares outstanding: 230 million; Market cap: $3.2 billion; Price-to-sales ratio: 0.1; WSSF Rating: Average) is the second-largest supermarket operator in the U.S. behind Kroger. Its 2,500 stores account for roughly 78% of its revenue. The remaining 22% comes from its food wholesale operations, which supply its own stores …read more »
The recession has forced many consumers to cut their restaurant visits. When they do go out, many are switching to less-expensive establishments and skipping extras, like appetizers and dessert. Consumers are also waiting for sales instead of buying groceries at regular prices. These factors are bad news for Sysco and Supervalu, two of the largest food sellers in the U.S. …read more »
SYMANTEC CORP. $14 (Nasdaq symbol SYMC; Aggressive Growth Portfolio, Manufacturing & Industry sector; Shares outstanding: 839.1 million; Market cap: $11.7 billion; WSSF Rating: Average) has agreed to acquire UK-based MessageLabs for $695 million in cash. MessageLabs offers online software that helps users protect their email and instant messaging services from spam and junk emails. Symantec plans to use MessageLab’s technology …read more »
SUPERVALU INC. $33 (New York symbol SVU, Conservative Growth Portfolio, Consumer sector; Shares outstanding: 212.3 million; Market cap: $6.8 billion; WSSF Rating: Average) is the second-largest supermarket operator in the United States behind Kroger. Its 2,480 stores account for roughly 80% of its revenue. The remaining 20% comes from its food wholesale operations, which supply about 2,200 grocery stores.
The company …read more »
CINTAS CORP. $38 (Nasdaq symbol CTAS; Aggressive Growth Portfolio, Manufacturing & Industry sector; Shares outstanding: 158.7 million; Market cap: $6.0 billion; WSSF Rating: Average) earned $2.09 a share in its fiscal year ended May 31, 2007, up 8.9% from $1.92 a year earlier. Revenues rose 8.8%, to $3.7 billion from $3.4 billion.
Outsourcing has hurt demand for workplace uniforms at factories. …read more »
CHEVRON CORP. $78 (New York symbol CVX; Conservative Growth Portfolio, Resources sector; Shares outstanding: 2.2 billion; Market cap: $171.6 billion; WSSF Rating: Above average) has teamed up with WEYERHAEUSER CORP. $77 (New York symbol WY; Conservative Growth Portfolio, Resources sector; Shares outstanding: 241.0 million; Market cap: $18.6 billion; WSSF Rating: Average) to develop new ways to make biofuels such as …read more »
