Kraft Foods Group Inc (KRFT): With a Stock Like Smucker’s, It Has to be Good!

Smucker’s has done well in the past, but previous quarters are not necessarily indicative of continued growth. Below are both past and present indicators that point to continued growth for Smucker’s:

For the quarter that ended on Jan. 31, the company earned $154.2 million, or $1.42 per share, up from $116.8 million, or $1.03 per share, in the same quarter in 2012. Smucker’s net income jumped 32%. Overall revenue rose 6%, to $1.56 billion from $1.47 billion.

The coffee business of Smucker’s appreciated quite nicely in the third quarter, as profit shot up 27%. Smucker’s acquisition of Folgers in 2008 appears to be paying off nicely.

Smucker’s is planning on expanding production of the Jif peanut butter brand, which already has a large grip on the majority market share.

Smucker’s has ambitious plans to roll out new and improved product lines and is planning expand its presence in China. Kraft Foods Group Inc (NASDAQ:KRFT), on the other hand, struggles to create innovative food products, and Smucker’s is producing goods that can easily draw customers away from Kraft.

Conclusion

Overall, Smucker’s and Campbell’s both have continued to serve up delectable returns for investors, while Kraft has had to wrangle with decreasing sales and fewer innovative ideas. Smucker’s is especially poised to continue to provide great returns to investors. As the Smucker’s advertising slogan famously proclaims, “With a name like Smucker’s, it has to be good!”

The article With a Stock Like Smucker’s, It Has to be Good! originally appeared on Fool.com and is written by Evan Buck.

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