Tuesday, July 6, 2010

Top Consumer Stocks 1H 2010 – HSY, MJN, DPS, EL


Consumer goods stocks have outperformed the market in the first-half of 2010 by a significant margin. The sector as a whole is in the red, but there have been outstanding performances by some individual names. Here are four top consumer stocks from the first-half of 2010.
Sweet Tooth
With a 34.7% advance in the first-half of the year, The Hershey Company (NYSE: HSY) is off to a stellar start. The stock set a new 52-week high last month and has only pulled back slightly in the days since.
In Q1, net sales spiked 13.9% as Hershey benefitted from volume gains. Hershey also experienced a 410 basis point margin improvement. The stock presently carries a dividend yield of 2.7%. Traders looking to take a long or short position in Hershey can check out our free HSY trading report for an in-depth technical analysis of the stock.
Another consumer play that has gotten off to an encouraging start in the first six months of 2010 is Mead Johnson Nutrition (NYSE: MJN). The children’s nutritional products maker has churned out a 17.1% return so far this year. In Q1, the company’s sales were up 10% versus the year-ago quarter. Traders looking to buy this stock can review our free MJN trading report for help with implementing adequate risk controls.
The Doctor’s Orders
Dr Pepper Snapple Group (NYSE: DPS) has posted a 31.7% gain in the opening half of 2010. The stock is trading just below its 52-week high and is up 68.4% from the level it was trading at a year-ago. Its forward P/E is sitting at 13.5 right now.
In Q1, the company’s reported net sales ticked down slightly, but its bottler case sales volume rose 3%. The company strengthened its balance sheet by paying down $405 million in debt and it bought back $202 million in common stock. Traders pondering a position in Dr Pepper Snapple are advised to consult with our free DPS trading report prior to pulling the trigger.
Powered in part by a fiscal Q3 which showed a 10% pop in net sales, Estee Lauder(NYSE: EL) has seen its stock price run up 18.7% in the first-half of 2010. The stock has been on fire during its 77.0% advance over the course of the past year.
Estee Lauder’s skin care segment has prospered with strong contributions from its international business and the company has also been able to help out its bottom line with cost-saving initiatives. Traders looking to trade this stock can benefit from checking out our free EL trading report beforehand.

No comments: