Manufactures and markets branded and private label ready-to-eat (RTE) cereal and hot cereal products. Now — the numbers.
Revenue is spread across several lines; no single product carries the company.
This is an established company with proven profits.
Average growth of 13% a year over the last 4 years. Every year shown ended in profit.
The market pays 10.8× for every dollar of annual profit — cheap, which is either an opportunity or a warning.
Against companies in its own sector, it looks cheaper than 83% of them.
Analysts' average target sits 40% above today's price.
We compared this company with its own sector across five subjects.
A score of 50 means class average.
Profit indicators sit around the sector average.
Clearly below the class average.
The price looks reasonable next to what the company earns.
Sales are growing strongly for its sector.
Clearly below the class average.
Price Momentum: The stock has lagged the market in recent months; investor interest is weak right now.
Financial Strength: The cash-and-debt balance is thin; the buffer for hard times is slim.
The stock trades 34% below its peak. The market has trimmed its expectations for the company.
Over the last 4 years, sales grew about 13% a year on average.
It met or beat analyst expectations in 8 of the last 8 quarters — consistency is a promise kept.
Over the last 12 months, company executives reported 133 buys and 77 sells. Management buying with its own money is usually read as a good sign.
Buyers haven’t stepped back in yet; the price hasn’t found its footing. Report-card grade: 33/100. For a turnaround signal, the stock first needs to close the gap with the market.
The balance sheet offers little cushion against a rough stretch. Report-card grade: 49/100.
The share set aside for the future is small; the pace of new ideas may slow.
On our five-subject report card, POST sits in the middle of the class: some subjects shine, others don’t. The grade moves as the numbers move.
The takeaway: POST is an established business that has proven its profits for years. The real debate here isn’t the price — it’s whether the company can keep up this pace.