One major difference between now and the past...The emergence of protein demand that never existed before from the non US countries. That demand is not going away and will only grow. This is why beef prices have stayed high and continue to rise globally. World Health Organization published last year a detailed report on income and protein consumption and found it to be almost perfectly correlated across all cultures...
So if beef prices rise switching will happen and this is why the floor in chicken prices is much higher and stronger than in any previous cycle. To draw a comparison look at Oil, it traded 20-40/bbl for decades then boom new range 60-100...Why?? same factors emerging demand and restricted supply GLOBALLY...
We all have different opinions but these changes are real..
Comment about rising feed costs in posters comments can be taken the complete opposite they have collapsed...
I think we will see a big beat, because on conf call after Q2 CEO said July was huge, look it up...that leaves Aug/Sept which looking at Chicken prices they rose...
I think your right just off by a day...today opened lower and fought up and only closed negative in last few minutes...The selling is abating and I thing we could see a great run 2-3 before earnings then if good were going back to 32..
Keep it up I am buying loads and come November just like last 2 quarters when earnings get announced you will be digesting large very large losses when stock pops through 20
Boulder Brands (NASDAQ:BDBD) CEO Stephen B. Hughes sold 10,000 shares of the stock in a transaction that occurred on Thursday, October 9th. The shares were sold at an average price of $12.06, for a total value of $120,600.00.
Exactly there is no change. Reading the 2nd quarter conf call Q&A the CEO states that July was exceptional and since then prices have dropped for feed considerably and volumes have risen for the company.
No Propane drag
Interest cost down
Feed costs down
Chicken volume up
Looking at the USDA daily chicken prices there is zero pullback in pricing...In fact beef continues to move to all time highs meaning there will be shifting to chicken as its more affordable and thus eat up any temporary volume increase which SAFM spoke to being a 1 quarter issue..
That said this is no reason to see the shares of PPC dive from 32 to 26, makes no sense to an investor even with a short term outlook
Sentiment: Strong Buy
Spot chicken prices have not dropped a penny and beef prices have moved up again which always helps on menu selections...32 to 27 is a good pullback may not time it to the dime but that's a big drop
Sentiment: Strong Buy
there is no broker comments at all and chicken still is at the grocery stores
wow after an internal audit