Boulder Brands Inc (BDBD), H.J. Heinz Company (HNZ), General Mills, Inc. (GIS): Socially Responsible Investing Is Gluten Free

Page 1 of 2

Millions of Americans, this blogger included, are finding that they feel better and are losing weight by eliminating wheat gluten from their diet. According to the book “The Wheat Belly,” it is not just the gluten in wheat that has become extremely hard to digest through genetic modifications, and it is wise to avoid the whole plant.

I predict that in the next twenty years, wheat will either be re-engineered to remove the genetic modifications that make it both indigestible and addictive, or gluten free alternatives such as rice, amaranth and other grains will be revived and made the standard. This means that either conventional food companies will have to adapt (and some are), or the new gluten-free companies will end up winning market share and become solid long term stock plays.

Boulder Brands

Boulder Brands Inc (NASDAQ:BDBD)

The forerunner and owner of both the Udi’s and Glutino brands is Boulder Brands Inc (NASDAQ:BDBD), formerly known as Smart Balance. A small- to mid- cap with a bright future, Boulder Brands Inc (NASDAQ:BDBD) changed its name in January.

With a one year price change of 76.9%, a quick ratio of 0.8 and a current ratio of 1.5 suggesting reasonable debt amounts, not to mention a reasonable beta of 1.02, this stock looks like a bargain at around $10 per share (with 59.5 million outstanding shares). Imperial Capital just initiated coverage on this stock, giving it an “outperform” rating. The firm set a price target of $16, and expect a three year price growth rate of 10%.

One area for concern is the high PE ratio: 161.81. It may make sense to buy a small amount now, and watch the PE ratio.

H.J. Heinz Company and Berkshire Hathaway Inc. (NYSE:BRK.A)

One of the big boys beginning to play in the gluten free space is H.J. Heinz Company (NYSE:HNZ), which has announced the completion of its acquisition by Berkshire Hathaway.  Given this acquisition, we can’t base an analysis on H.J. Heinz Company (NYSE:HNZ)’s fundamentals alone, but the company is well-posed to leverage its gluten free BiAglut brand for success in the gluten free space, which is mostly now distributed in Europe. Most of the major Celiac disease sites have a link to the BiAglut website. H.J. Heinz Company (NYSE:HNZ) is a household name; should it decide to sweep this market, it has both the resources and marketing capacity to do so.

Page 1 of 2
blog comments powered by Disqus
Insider Monkey Headlines
Insider Monkey Small Cap Strategy
Insider Monkey Small Cap Strategy

Insider Monkey beat the market by 52 percentage points in 24 months Click to see monthly returns in table format!

Lists

The 10 Biggest Airports in the World

The 5 Most Gang Infested Cities In America

The 34 Smartest Countries in the World

The 10 Countries with the Highest Suicide Rates

The 10 Most Technologically Advanced Countries in the World

The 10 Safest Countries in the World to Live in Peace

The 10 Top Selling Smartphones in the World 2014

The 12 Biggest Shopping Centers in the World

The 10 Friendliest Countries in the World

Qihoo 360 Technology Co Ltd (QIHU), Actavis plc (ACT), Yahoo! Inc. (YHOO) Among 20 Long Ideas from Sohn Canada

The 10 Laziest Countries in the World

The 10 Most Polluted Countries in the World

The 10 Most Dangerous Cities in America 2014

The Top 10 Gold Producing Countries in the World

The 10 Tallest Buildings in the World

The 10 Richest Stand Up Comedians in the World

The 10 Fattest Countries in the World

The 5 Best Summer Jobs for Teens

The 10 Most Religious Countries in the World Keeping the Faith

The 10 Most Educated Countries in the World

The 10 Most Popular Cell Phones in the World

The 10 Drunkest Countries in the World

The 10 Most Expensive Private Schools in the World

The 10 Smallest Countries in the World

Walking Dead Season 5 Spoilers You’ll Wish You Didn’t Know

The 10 Poorest Countries in the World

The 10 Greenest Countries in the World

The Top 10 Countries with the Highest Population in the World

The 10 Most Visited Countries in the World

The Top 10 Star Wars Characters in the Iconic Series

The 10 Most Expensive Android Phones in the World

5 Reasons Why The Illuminati Is Real and a Threat to Society

The 6 Scariest Halloween Costumes Ever Screamed At

The 4 Biggest Hedge Fund Managers in the World Today

The 15 Most Densely Populated Countries in the World

The 10 Biggest Tea Drinking Countries in the World

Top 6 Ways to Improve Your Checkout Process and Close Sales

The 5 Most Profitable Online Businesses You Can Start Today

The 20 Most Profitable Hospitals in the US

The 5 Most Profitable Home Businesses to Start

The 7 Teams that Will Win the Stanley Cup in 2015

The Top 10 Most Expensive Digital Cameras to Snap Stunning Shots With

The 10 Highest Quality Fast Food Restaurants In America Today

The 8 Best Halloween Decorating Ideas to Spook Up Your House

10 Marvel Women that Should Get a Movie Right Now

The 20 Best Remixes of Popular Songs that Will Make You Forget the Originals

7 Most Expensive Cities in the World

5 Least Expensive Cities in the World

10 Celebrities Who Believe In Scientology

10 High Margin Food Products to Build a Business Around

Subscribe

Enter your email:

Delivered by FeedBurner

X

Thanks! An email with instructions is sent to !

Your email already exists in our database. Click here to go to your subscriptions

Insider Monkey returned 47.6% in its first year! Wondering How?

Download a complete edition of our newsletter for free!