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6 pts

Opinion on  Dean Foods Company (DF)     Sector: Consumer/Non-Cyclical  >  Industry: Food Processing
accelerating earnings growth

Jul 07, 2008 09:24 AM GMT
Astukphoto
Return Risk
-7.89% MID
Sr. Associate

Analyst Recommendation  

Today's stock selection:
DF Dean Foods
This stock hasn't very strong fundamentals but decline in the stock's price has provided buying opportunity.
Management has taken definitive actions to improve
shareholder value from the spin-off of TreeHouse
Foods in 2005 to a $15 per share special dividend in
2007. Management has focused on the branded
products business, reduced SKUs, and integrated
strategic acquisitions in the Dairy Group. However,
2007 was challenging due to increased dairy costs.
Though costs are expected to be volatile in 2008, the
decline in the stock s price has provided a buying
opportunity, since any relief from high dairy costs will
dramatically accelerate earnings growth.
http://www.zacks.com/newsroom/commentary/index_pdf.php?id=800...

Profitability
Profit Margin (ttm): 0.80%
Operating Margin (ttm): 4.59%
<spacer type="block" height="3" width="1"> </spacer>
Management Effectiveness
Return on Assets (ttm): 5.06%
Return on Equity (ttm): 8.41%
<spacer type="block" height="3" width="1"> </spacer>
Income Statement
Revenue (ttm): 12.27B
Revenue Per Share (ttm): 92.556
Qtrly Revenue Growth (yoy): 17.00%
Gross Profit (ttm): 2.74B
EBITDA (ttm): 797.43M
Net Income Avl to Common (ttm): 98.03M
Diluted EPS (ttm): 0.71
Qtrly Earnings Growth (yoy): -51.80%
<spacer type="block" height="3" width="1"> </spacer>
Balance Sheet
Total Cash (mrq): 40.98M
Total Cash Per Share (mrq): 0.27
Total Debt (mrq): 4.81B
Total Debt/Equity (mrq): 11.025
Current Ratio (mrq): 1.515
Book Value Per Share (mrq): 2.879
http://www.socialpicks.com/astuk/


DF:  This call was made on 07/07/08 @ $18.81
Rating:   Positive   $18.81 (07/07/08)
Gain/Loss:   -22.81% in 1420 days
Target:   $27.00 (+43.54%) in > one year


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