Steady quarter for AGT

Article Excerpt

AGT FOOD & INGREDIENTS $29.79 (Toronto symbol AGT; TSINetwork Rating: Extra Risk) (306-525-4490; www.alliancegrain.com; Shares outstanding: 23.1 million; Market cap: $684.0 million; Dividend yield: 2.0%) earned $0.44 a share in the three months ended June 30, 2015, up 2.3% from $0.43 a year earlier. Revenue gained 5.1%, to $378.2 million from $359.8 million. The gains came from recent acquisitions and higher processing activity. AGT continues to benefit from its plan to focus on more-profitable products, such as ingredients and packaged foods, as opposed to simply cleaning, splitting and bagging bulk crops. Food makers use these ingredients in products such as baked goods, soups and beverages, as well as pet food and animal feed. The stock trades at a reasonable 18.3 times the $1.63 a share AGT will probably earn in 2015. It yields 2.0%. AGT Food & Ingredients is a buy. buy…