Dear Valued Visitor,

We have noticed that you are using an ad blocker software.

Although advertisements on the web pages may degrade your experience, our business certainly depends on them and we can only keep providing you high-quality research based articles as long as we can display ads on our pages.

To view this article, you can disable your ad blocker and refresh this page or simply login.

We only allow registered users to use ad blockers. You can sign up for free by clicking here or you can login if you are already a member.

Whole Foods Market, Inc. (WFM), Danone SA (ADR) (DANOY), Annies Inc (BNNY): 3 Companies That Are Good for Your Health

Overall, Danone SA (ADR) (OTCMKTS:DANOY) grew its revenue and free cash flow 8% and 11% respectively in 2012. Its long-term debt to equity ratio calculates at 52%. Cash and investments represent 25% of its stockholder’s equity. Its return on equity clocks in at 14%.

The emerging world harbors a need for nutrition. The developed world needs healthier choices to cut down on obesity and on subsequent healthcare costs. Danone SA (ADR) (OTCMKTS:DANOY) can help fulfill this global need.

Organic everything

Organic food company Annies Inc (NYSE:BNNY)’smakes organic and natural versions of everything from pizza to mac & cheese, crackers and fruit snacks. The company went public in the early part of 2012.

In 2012, Annie’s revenue increased 20%. Its free cash flow swung from a negative $2 million to a positive $6 million. Annies Inc (NYSE:BNNY)’s possesses no long term debt. Its return on equity clocks in at 18%.

However, declining gross and operating margins should concern any prospective investor. In its most recent quarter, Annie’s (NYSE:BNNY) gross and operating margins declined 75 basis points and 95 basis points respectively.

In its most recent quarter, Annies Inc (NYSE:BNNY)’s gave guidance of 18% to 20% sales growth for FY 2014 and adjusted EPS growth of 21% to 26%. This gives indication of management’s belief that consumer preference for natural and organic foods will continue into next year.


On the whole, these companies cater to the growing natural and organic food markets. Growing pressures on the consumer from rising healthcare costs and the desire to live longer should serve as catalysts for fundamental growth. These companies deserve a place on your Motley Fool Watch List and warrant further research.

Speaking of making investors rich…It’s hard to believe that a grocery store could book investors more than 30 times their initial investment, but that’s just what Whole Foods has done for those who saw the organic trend coming some 20 years ago. However, it may not be too late to participate in the long-term growth of this organic foods powerhouse.

William Bias has no position in any stocks mentioned. The Motley Fool recommends Whole Foods Market. The Motley Fool owns shares of Whole Foods Market.

The article 3 Companies That Are Good for Your Health originally appeared on

Copyright © 1995 – 2013 The Motley Fool, LLC. All rights reserved. The Motley Fool has a disclosure policy.

DOWNLOAD FREE REPORT: Warren Buffett's Best Stock Picks

Let Warren Buffett, George Soros, Steve Cohen, and Daniel Loeb WORK FOR YOU.

If you want to beat the low cost index funds by 19 percentage points per year, look no further than our monthly newsletter.In this free report you can find an in-depth analysis of the performance of Warren Buffett's entire historical stock picks. We uncovered Warren Buffett's Best Stock Picks and a way to for Buffett to improve his returns by more than 4 percentage points per year.

Bonus Biotech Stock Pick: You can also find a detailed bonus biotech stock pick that we expect to return more than 50% within 12 months.
Subscribe me to Insider Monkey's Free Daily Newsletter
This is a FREE report from Insider Monkey. Credit Card is NOT required.