POST - Flowers Foods: A Downgrade On Profit Concerns Is Warranted As Earnings Near
2024-05-14 12:27:11 ET
Summary
- Flowers Foods, Inc., a multi-billion-dollar food company, receives a downgrade due to weakness in profitability.
- The company's revenue has grown, but profitability has worsened, even despite the increase in revenue being driven by higher prices.
- Management remains optimistic about the future, but concerns about market share and industry-wide issues persist.
When it comes to investing, it is a good thing to be flexible and to change your opinion as the facts change. One thing that I have been working on is not only acknowledging my mistakes, but also becoming stricter when it comes to what opportunities I evaluate favorably. This has resulted in some companies receiving downgrades, especially those that have suffered weakness on the bottom line. One good example of this can be seen by looking at Flowers Foods, Inc. ( FLO ), a multi-billion-dollar food company known largely for its presence in the fresh and frozen bakery products market....
Flowers Foods: A Downgrade On Profit Concerns Is Warranted As Earnings Near