Gruma S.A.B. de C.V. (NYSE:GMK)

CAPS Rating: 5 out of 5

The Company is a corn flour and tortilla producer and distributor.

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Player Avatar Mktintelanalyst (< 20) Submitted: 6/19/2009 8:49:25 AM : Outperform Start Price: $4.29 GMK Score: +61.74

GMK one notch away from very bullish on stockta.com. Open gap yesterday. Very bullish candle pattern. breakout at $4.60?

Fundamentally - meat prices are being discounted at local supermarkets. As meat prices decline feeding margins get squeezed. Deceased feed demand would lower corn prices further. Looks like we have a bumper corn crop coming with decreased demand. This would expand milling margins for possibly record profits for Gruma going into 2010.

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