10 Best Cookies and Crackers Stocks to Buy

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1. Kellanova (NYSE:K)

Number of Hedge Fund Holders: 64

Kellanova (NYSE:K) serves as a leading company in global snacking, international cereal and noodles, plant-based foods, and North American frozen breakfast. Kellanova was launched in 2023 and builds over the strong brand equity and legacy created over the past 117 years as Kellogg Company.

Kellanova remains powered by differentiated brands including Pringles, Pop-Tarts, Kellogg’s Rice Krispies Treats, RXBAR, Eggo, MorningStar Farms, Special K, and Coco Pops. The company owns popular cracker brands including Club Crackers and Cheez-It. 50% of its net sales came from five of the most differentiated brands in the world in 2022, one of which was Cheez-It.

With a majority of sales being driven by global snacks and emerging markets, the company boasts a more growth-oriented portfolio. Kellanova has grown net sales by approximately $3 billion from 2019 to 2022. Alongside a solid portfolio and a track record of growth, the firm benefits from a world-class supply chain and marketing capabilities as well as a rapidly expanding reach across channels.

Kellanova (NYSE:K) is all set to begin its new journey as a part of Mars, the global leader in pet care, snacking, and food. The Mars acquisition of the company is expected to close within the first half of 2025. While the company is rearing for the next chapter, it closed its third quarter on a good note, with earnings per share continuing their double-digit growth momentum and a double-digit operating profit growth sustained.

While we acknowledge the potential of K as an investment, our conviction lies in the belief that some deeply undervalued AI stocks hold greater promise for delivering higher returns, and doing so within a shorter timeframe. If you are looking for a deeply undervalued AI stock that is more promising than K but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.

READ NEXT: 8 Best Wide Moat Stocks to Buy Now and 30 Most Important AI Stocks According to BlackRock.

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