Tuesday, September 29, 2009
Pork Producer Smithfield Foods Needs a Cash Cow
Smithfield Foods (SFD-$13.46) will continue to raise hogs and produce fresh pork, but management is intent on changing the cyclical nature of profits. Going forward, packaged-meats sold under the Armour, Butterball, and LunchMakers (among other) brands, will playing a larger role. Uncertainty exists at to whether CEO Larry Pope & his current management can “get the job done. ” In the first-quarter of 2010, packaged-meat sales of pork products actually declined two percent, as increases in average selling prices could not offset a 9 percent decline in volumes. Read More at BNET Food Industries….