Based on the aggregated intelligence of 180,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, avocado and guacamole seller Calavo Growers
With that in mind, let's take a closer look at Calavo's business and see what CAPS investors are saying about the stock right now.
Calavo facts
| Headquarters (founded) | Santa Paula, Calif. (1924) |
| Market Cap | $406.4 million |
| Industry | Packaged foods and meats |
| Trailing-12-Month Revenue | $548.6 million |
| Management | Chairman/CEO Lecil Cole CFO Arthur Bruno |
| Return on Equity (average, past 3 years) | 16.5% |
| Cash/Debt | $3.6 million / $51.3 million |
| Dividend Yield | 2% |
| Competitors |
Chiquita Brands International Dole Food Fresh Del Monte Produce |
Sources: S&P Capital IQ and Motley Fool CAPS.
On CAPS, 95% of the 136 members who have rated Calavo believe the stock will outperform the S&P 500 going forward.
A few months ago, one of those Fools, johnnykillz, succinctly summed up the Calavo bull case:
A virtual monopoly on Hass avocados now with diversified sourcing ... to counteract weather impacts on crop yields. A high dividend, a stake on undervalued Limoneira, and expansion into higher-margin processed foods... Solid long-term food play that will also benefit from changing diets and demographic expansion of Latin population in America.
Of course, despite its strong five-star rating, Calavo may not be your top choice. If that's the case, we've compiled a special free report for investors called "Secure Your Future With 9 Rock-Solid Dividend Stocks," which uncovers several other juicy income opportunities. The report is 100% free, but it won't be around forever, so click here to access it now.
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