Cal-Maine Foods(CALM)

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Cal-Maine Foods(CALM) - 2025 Q3 - Quarterly Results
2025-04-08 20:16
Financial Performance - Quarterly net sales reached $1.4 billion, with net income of $508.5 million, or $10.38 per diluted share, compared to $703.1 million and $146.7 million, respectively, in the same quarter last year[11] - Cal-Maine Foods reported net sales of $1,417,685,000 for the 13 weeks ended March 1, 2025, a significant increase from $703,076,000 in the same period last year, representing a growth of approximately 101%[37] - The gross profit for the same quarter was $716,115,000, compared to $218,572,000 in the prior year, indicating a gross profit margin increase from 31.1% to 50.5%[37] - The net income attributable to Cal-Maine Foods for the 39 weeks ended March 1, 2025, was $877,573,000, a substantial increase from $164,647,000 in the same period last year[37] Production and Sales - The average number of layer hens increased by 14% year-over-year, and the breeder flocks grew by 33% compared to the prior-year quarter[3] - A record 331.4 million dozen shell eggs were sold, representing a 10.2% increase from 300.8 million dozen in the third quarter of fiscal 2024[13] - The net average selling price per dozen eggs was $4.060, up from $2.247 a year ago, reflecting higher market prices due to reduced supply from HPAI[12] - Farm production costs per dozen were 5.7% lower than the prior-year period, primarily due to favorable commodity pricing for key feed ingredients[16] Acquisitions and Investments - The company announced a definitive agreement to acquire Echo Lake Foods for approximately $258 million, expected to close by the end of fiscal 2025[6] - Echo Lake Foods generated annual revenues of approximately $240 million in 2024, with a five-year CAGR of about 10%[6] - The acquisition of Echo Lake Foods is expected to be accretive to Cal-Maine Foods' earnings starting in fiscal 2026, with significant operational synergies anticipated[7] - The company announced a definitive agreement to acquire Echo Lake Foods, aiming to diversify its product mix and reduce financial volatility[29] Shareholder Returns - The company approved a $500 million share repurchase program and declared a cash dividend of approximately $170 million, or $3.46 per share[3] - Cal-Maine Foods has a new share repurchase program authorized for up to $500 million, although no shares were repurchased during the third quarter of 2025[25][24] Financial Position - Cash and short-term investments increased to $1,240,373,000 as of March 1, 2025, up from $812,377,000 on June 1, 2024[39] - The total assets of Cal-Maine Foods reached $3,081,569,000, compared to $2,184,761,000 in the previous year, reflecting a growth of approximately 41%[39] Regulatory and Compliance - The company is cooperating with a civil investigative demand related to an antitrust investigation into nationwide egg price increases[26] - The company expects support from the USDA, which announced up to $1 billion in investments to address issues affecting the domestic egg supply[27] Share Statistics - The weighted average shares outstanding for diluted earnings per share was 48,971,000 for the quarter, slightly up from 48,884,000 in the previous year[37] Biosecurity Measures - The company has invested over $70 million in biosecurity technology and measures since 2015 to combat ongoing HPAI threats[3]
Cal-Maine Foods: Taking The Right Steps To Adapt To Cage-Free Eggs Demand
Seeking Alpha· 2025-03-13 05:22
Core Viewpoint - Cal-Maine is the leading U.S. egg producer, benefiting from a vertically integrated approach in a fragmented market, but faces challenges due to the increasing demand for cage-free eggs [1] Company Overview - Cal-Maine operates as the largest egg producer in the United States, utilizing a vertically integrated business model [1] Market Dynamics - The company has capitalized on its position in a fragmented market, which has allowed it to maintain a competitive edge [1] - There is a growing consumer demand for cage-free eggs, which is testing the company's adaptability to changing market preferences [1]
CALM Trades at a Premium to Industry: Should You Buy the Stock?
ZACKS· 2025-03-10 17:20
Core Viewpoint - CalMaine Foods, Inc. (CALM) is outperforming the agriculture products industry, with significant growth in stock price and earnings driven by high egg prices and demand [1][4][9]. Financial Performance - CALM's stock has increased by 49.1% over the past year, while the agriculture industry has declined by 8.4% [4]. - The company reported earnings per share of $4.47 in Q2 fiscal 2025, a substantial increase from $0.35 in the same quarter last year, with sales rising 82.5% to $955 million [9][10]. Return Metrics - Return on equity stands at 33.7%, significantly higher than the sector average of 10.4% and the S&P 500's 31.1% [6]. - Return on assets is at 27.1%, compared to the sector's 5.2% and the S&P 500's 8.3%, indicating efficient asset utilization [6]. Analyst Sentiment - The Zacks Consensus Estimate for CALM's earnings in 2025 and 2026 has increased by 82.6% and 34.4%, respectively, reflecting positive analyst sentiment [7]. Growth Drivers - CALM is investing $60 million in new capital projects to expand cage-free capacity, which includes adding production capacity for 1.1 million cage-free layer hens and 250,000 pullets by late summer 2025 [11]. - The company is also expanding its egg product processing facility in Georgia with a $15 million investment to produce extended shelf-life liquid egg products [12]. - Recent acquisitions, including assets from Deal-Rite Feeds, Inc., will help lower production costs and improve efficiencies [13]. Market Conditions - High egg prices are driven by supply constraints due to outbreaks of highly pathogenic avian influenza (HPAI), which have led to the depopulation of 30.3 million birds this year [10][15]. - The USDA has initiated a $1 billion strategy to combat HPAI and stabilize egg prices, which includes funding for biosecurity and financial relief for affected farmers [16]. Strategic Initiatives - CALM is diversifying its product offerings by investing in ventures like Meadowcreek Foods and Crepini Foods, aiming to reach major retailers with value-added egg products [14]. - The company's expansion into specialty egg production and cage-free operations positions it for long-term growth and competitive advantage [17].
Why Cal-Maine Stock Popped on Wednesday
The Motley Fool· 2025-02-26 16:53
Core Viewpoint - The U.S. government is taking measures to address the egg shortage by importing eggs and investing in the egg production industry, which is expected to positively impact Cal-Maine Foods' costs and profits [1][4][6]. Group 1: Egg Shortage and Government Response - The Biden administration has ordered the culling of over 140 million egg-laying hens due to avian flu concerns, leading to a significant decrease in egg supply and rising prices [2]. - Turkey plans to sell 420 million eggs to the U.S. this year, which is six times the amount imported in 2024, but this will only replace the output of approximately 1.4 million U.S. hens [3]. Group 2: Government Investment - The U.S. Secretary of Agriculture announced a plan to invest up to $1 billion to address the egg crisis, including $100 million for new vaccines, $400 million in subsidies for affected egg producers, and $500 million for biosecurity measures [4]. - The government is also considering expanding the list of countries from which eggs can be imported, moving beyond Turkey to include three or four additional countries [5]. Group 3: Implications for Cal-Maine Foods - The influx of government subsidies and spending to promote egg production is likely to lower costs for Cal-Maine Foods and improve its profitability, although the exact impact remains uncertain [6].
Bull of the Day: Cal-Maine Foods (CALM)
ZACKS· 2025-02-18 12:15
Cal-Maine Foods, Inc. (CALM) is selling a record number of eggs, thanks to the egg shortage. This Zacks Rank #1 (Strong Buy) has soaring earnings. But is it too late to buy the stock?Cal-Maine Foods is the largest producer and distributor of fresh shell eggs in the United States. It produces, grades, packages, and distributes fresh shell eggs, including conventional, cage-free, organic, brown, free-range, pasture-raised, and nutritionally enhanced eggs.Cal-Maine Foods Saw Record Egg Sales in the Fiscal Seco ...
Revitalist Announces Filing of Audited Financial Statements for the Year-Ended December 31, 2022 and Provides Update on Cease Trade Order
Newsfile· 2025-02-18 11:00
Revitalist Announces Filing of Audited Financial Statements for the Year-Ended December 31, 2022 and Provides Update on Cease Trade OrderFebruary 18, 2025 6:00 AM EST | Source: Revitalist Lifestyle & Wellness LtdVancouver, British Columbia--(Newsfile Corp. - February 18, 2025) - Revitalist Lifestyle and Wellness Ltd. (CSE: CALM) (OTCQB: RVLWF) (FSE: 4DO) (the "Company") wishes to announce that, further to its news release dated May 8, 2023, it has filed its audited financial statements and the ...
4 Stocks to Buy on Trump's Turbocharged News Cycle
Investor Place· 2025-02-09 17:00
Market Reactions - Recent policy announcements from President Trump have caused significant volatility in the markets, affecting shares of Canadian-producing companies like Alcoa Corp. and oil prices, which entered a bull market before declining due to geopolitical discussions [1] - The rapid changes in market conditions have led to notable price swings in various asset classes, including bonds, cryptocurrencies, and gold [1] Quantitative Trading Systems - Many investors are increasingly utilizing quantitative trading systems to manage their trades and reduce emotional decision-making [2] - A specific trading system developed by InvestorPlace Senior Analyst Luke Lango employs algorithms to react quickly to market news, with recommendations aimed at yielding returns in as little as 5 days [2] Wealth Windows Concept - Luke Lango refers to specific market opportunities as "wealth windows," which can transform small investments into substantial gains [3] - Historical performance examples include stock gains of 48.3% in a year for ADMA Biologics, 54.3% in eight months for Enel Chile, and 119.7% in one year for Bioventus [3] Cryptocurrency Opportunities - The current political climate, particularly Trump's favorable stance towards cryptocurrency, is expected to create significant trading opportunities in this asset class [4] - Lango's system identifies patterns that could lead to substantial price increases in cryptocurrencies within 90 days or less [8] Company-Specific Insights - Fox Corp. (FOXA) has seen a surge in viewership and ad revenues, with profits expected to rise from $1.5 billion in fiscal 2024 to $2 billion in fiscal 2025, driven by a volatile news cycle [13][15] - Intuit Inc. (INTU), known for TurboTax, is poised for growth as tax filing becomes more complicated, with shares previously surging 75% following Trump's last tax overhaul [18] - Cal-Maine Foods Inc. (CALM), the largest U.S. egg producer, is expected to benefit from a severe egg shortage due to avian flu, with shares historically rising during such shortages [20][21] - Douglas Dynamics Inc. (PLOW), a manufacturer of snow control equipment, is anticipated to see a rebound in demand following significant snowfall in early 2025, with earnings expected to surge by 36% this year [27]
What Makes Cal-Maine Foods (CALM) a Strong Momentum Stock: Buy Now?
ZACKS· 2025-02-07 18:01
Core Viewpoint - Momentum investing focuses on following a stock's recent price trends, aiming to buy high and sell higher, with the expectation that established trends will continue [1] Company Overview: Cal-Maine Foods (CALM) - Cal-Maine Foods currently holds a Momentum Style Score of A, indicating strong momentum characteristics [2] - The company has a Zacks Rank of 1 (Strong Buy), suggesting it is expected to outperform the market [3] Price Performance - Over the past week, CALM shares increased by 1.12%, while the Zacks Agriculture - Products industry declined by 0.69% [5] - In a longer timeframe, CALM's shares rose by 3.86% over the past month, compared to the industry's 0.63% [5] - Over the last quarter, CALM shares increased by 20.27%, and over the past year, they gained 95.98%, significantly outperforming the S&P 500's increases of 2.97% and 24.31% respectively [6] Trading Volume - The average 20-day trading volume for CALM is 792,419 shares, which serves as a bullish indicator when combined with rising stock prices [7] Earnings Outlook - In the past two months, one earnings estimate for CALM has increased, while none have decreased, raising the consensus estimate from $8.54 to $15.59 [9] - For the next fiscal year, one estimate has moved upwards with no downward revisions during the same period [9] Conclusion - Considering all factors, CALM is classified as a 1 (Strong Buy) stock with a Momentum Score of A, making it a strong candidate for near-term investment [11]
All You Need to Know About Cal-Maine (CALM) Rating Upgrade to Strong Buy
ZACKS· 2025-02-06 18:00
Investors might want to bet on Cal-Maine Foods (CALM) , as it has been recently upgraded to a Zacks Rank #1 (Strong Buy). This rating change essentially reflects an upward trend in earnings estimates -- one of the most powerful forces impacting stock prices.The Zacks rating relies solely on a company's changing earnings picture. It tracks EPS estimates for the current and following years from the sell-side analysts covering the stock through a consensus measure -- the Zacks Consensus Estimate.The power of a ...
Best Momentum Stock to Buy for February 6th
ZACKS· 2025-02-06 15:01
Group 1: CalMaine Foods (CALM) - CalMaine Foods is engaged in the production, grading, packing, and sale of fresh shell eggs, including various types such as conventional, cage-free, organic, and nutritionally-enhanced eggs [1] - The company has a Zacks Rank of 1 (Strong Buy) and has seen its earnings estimate increase by 82.6% over the last 60 days [1] - CalMaine Foods' shares have gained 19.3% over the last three months, significantly outperforming the S&P 500's gain of 2.2% [2] - The company possesses a Momentum Score of A [2] Group 2: First Community (FCCO) - First Community is a banking company focused on general commercial and retail banking, primarily serving small-to-medium sized businesses and individuals in South Carolina [3] - The company has a Zacks Rank of 1 and has experienced a 9.6% increase in its earnings estimate over the last 60 days [3] - First Community's shares have gained 8.5% over the last three months, compared to the S&P 500's gain of 2.3% [4] - The company also holds a Momentum Score of A [4] Group 3: German American Bancorp (GABC) - German American Bancorp is a multi-bank holding company providing a range of services including retail and commercial banking, mortgage banking, and insurance products [5] - The company has a Zacks Rank of 1 and has seen a 10.1% increase in its earnings estimate over the last 60 days [5] - German American Bancorp's shares have gained 8.5% over the last three months, in line with the S&P 500's gain of 2.3% [6] - The company possesses a Momentum Score of A [6]