This poultry producer beat last quarter’s estimates by a whopping 50 cents per share, bringing home earnings per share of $1.53. The company also recorded double-digit sales increases and margin improvements.
Industrias Bachoco S.A.B. de C.V. (IBA)
from Positive Patterns
Industrias Bachoco S.A.B. de C.V. (IBA) is still cheap. The shares of this poultry producer in Mexico and the United States sell for about 14 times this year earnings, and I do believe IBA will see better growth than that in the future.
I am going to raise my buy recommendation up to $56 but not past that. The company has 2.5 times as much cash as debt, strong (FREE) cash flow and all sorts of future growth opportunities. Even better, management owns control of the stock, and does as an excellent job of it, as you can see in their track record. This is a very promising future growth stock.
Bob Howard, Positive Patterns, P.O. Box 310, Turners, MO 65765, 417-887-4486, March 24, 2015