John B. Sanfilippo & Son, Inc. (NASDAQ:JBSS)

CAPS Rating: 4 out of 5

The Company is a processor and marketer of tree nuts and peanuts in the United States.

Results 1 - 9 of 9

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Member Avatar chris293 (86.71) Submitted: 9/10/2013 2:15:47 AM : Outperform Start Price: $21.21 JBSS Score: +19.66

This is healthy food compamy.

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Member Avatar tutaemeia (88.74) Submitted: 12/26/2012 4:45:27 PM : Outperform Start Price: $17.00 JBSS Score: +31.39

Iam not nuts and I love peanuts ;)

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Member Avatar GirlsUnder30 (97.32) Submitted: 12/18/2012 7:59:35 AM : Outperform Start Price: $17.44 JBSS Score: +30.35

This is my only really nutty play.

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Member Avatar ikkyu2 (99.29) Submitted: 5/15/2011 3:36:37 PM : Outperform Start Price: $8.50 JBSS Score: +194.79

Deez nuts.

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Member Avatar GrowthnValue (< 20) Submitted: 5/15/2011 2:16:52 PM : Outperform Start Price: $8.50 JBSS Score: +194.79

Long watchlist (I know there is a watchlist function on CAPS, but I don't seem to actually watch the stocks on that list)

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Member Avatar tiintellect (74.00) Submitted: 4/18/2011 5:44:52 PM : Outperform Start Price: $10.37 JBSS Score: +129.63

They grow and shell their own pecans... one of the fasted growing food items of the Chinese palate... money on the plate...

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Member Avatar GoldorTin (61.84) Submitted: 2/2/2010 6:54:51 PM : Outperform Start Price: $14.09 JBSS Score: +26.16

No peanuts here when this company takes off.

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Member Avatar colmust2 (69.74) Submitted: 9/13/2006 2:04:26 PM : Outperform Start Price: $8.92 JBSS Score: +166.94

JBSS is trading at 0.6x tangible book value and 0.2x sales. Their recent fiscal year has been horrendous, due to nut costs that have been high but are now coming down. Unfortunately, the company only buys nuts once per year, so they are still working off their high cost inventory, particularly in almonds, which don't run out until the end of October 2006. Going forward from here we will see steady increases in earnings.

JBSS is a cyclical company, but not cyclical with the economy. The company's cycle is based on commodity prices for nuts. And right now the company is emerging from a cyclical trough, and at the same time the company's valuation is at a trough (I believe the company is trading at less than 5x normalized earnings).

If the company can get back to their historical average gross margin of 17%, they should be able to earn $2+ per share, which I expect to happen by FY 08 (year ending in June). By FY 09, due to cost savings from the plant rationalization project, $2.50 per share should be possible.

Slap a 10x forward multiple on those earnings and you are looking at more than a double from current prices.

Risk reward is very favorable - on the downside you are trading already at a discount to tangible book value, so it's hard to see the stock go down much further from here.

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Member Avatar bassy31 (72.32) Submitted: 7/31/2006 3:33:06 PM : Outperform Start Price: $11.33 JBSS Score: +91.96

Trading at a significant discount to book value...which is probably why Seth Klarman's been a *big* buyer recently....

Results 1 - 9 of 9

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