Topic: Growth Stocks

The Wall Street Stock Forecaster Hotline – Friday, May 29, 2009

Article Excerpt

H.J. HEINZ CO., $36.58, New York symbol HNZ, reported this week that it earned $923.1 million in its 2009 fiscal year, which ended April 29. That’s up 9.3% from $844.9 million a year earlier. Earnings per share rose 10.3%, to $2.90 from $2.63, on fewer shares outstanding. Sales rose 0.8%, to $10.15 billion from $10.07 billion. However, the company gets about 60% of its sales from overseas markets, and the higher U.S. dollar hurt their contribution. If you exclude the negative impact of currency rates, sales rose 7.4%. The company continues to focus on developing countries, such as China, India and Russia, for growth. Strong baby-food demand in China helped push up fiscal 2009 sales in emerging markets by 15.7%. As well, Heinz is now the largest seller of ketchup and other condiments in Russia. This should help Heinz offset slower sales growth in North America (up 6.4% in fiscal 2009). The recession is prompting more people to eat at home, but…