Fructivore Investments

Cal-Maine Foods (CALM) is one of the largest egg producers in the United States, with a market cap of roughly $675 million. Of this, $213 million is represented by excess cash and short term investments, and the free cash flow yield on the balance is roughly 16%, or 15% when considering average profit margins over the last five years.  Although egg prices are highly sensitive to supply, Cal-Maine has been expanding specialty eggs as a portion of gross sales. Specialty are organic, cage-free, etc., and more importantly are both less sensitive to supply and offer higher profit margins.

Please my full opinion on Cal-Maine at

http://seekingalpha.com/article/271363-cal-maine-foods-profit-opportunity-in-the-egg-business

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Investing by grocca