5 Best Stocks to Buy for Early Retirement

4. General Mills, Inc. (NYSE: GIS)

Number of Hedge Fund Holders: 31

General Mills, Inc. (NYSE: GIS) is a Minnesota-based multinational food and retail firm founded in 1928. It is placed fourth on our list of 10 best stocks to buy for early retirement. General Mills stock has returned more than 12% to investors over the past three months. Some of the famous brands owned by the company include Cheerios, Cinnamon Toast Crunch, Cocoa Puffs, Cookie Crisp, Fruit by the Foot, Haagen-Dazs, Kix, Raisin Nut Bran, Total, Totino’s, Trix, Wanchai Ferry, Wheaties, Yoki, and Yoplait, among others.  

In earnings for the third fiscal quarter, disclosed in late March, General Mills, Inc. (NYSE: GIS) posted earnings per share of $0.82, just missing market estimates by $0.02. The revenue over the period was $4.5 billion, beating market predictions by $60 million. 

In its Q4 2020 investor letter, Nelson Capital Management, an asset management firm, highlighted a few stocks and General Mills, Inc. (NYSE: GIS) was one of them. Here is what the fund said:

“We purchased a position in General Mills (tkr: GIS). General Mills is a manufacturer and marketer of branded consumer foods and pet food products sold mainly through retail stores. It has greatly benefited from the “people eating at home” theme during the pandemic. Although this growth driver is likely to persist through 2021, that is not the main reason to own General Mills. The management team has done an excellent job diversifying product lines, and has successfully identified new trends and brought products forth accordingly. Some notable brands and products include Annie’s, Cheerios, Betty Crocker, Blue Buffalo, EPIC, Pillsbury and Yoplait. General Mills has maintained a healthy balance sheet, consistent with industry practice. It is relatively inexpensive with a P/E ratio of 15x (about half that of Hormel) and pays a 3.4% dividend, making it a great core holding within the consumer staples sector.”