Startups are eating big foods lunch. Americans are still spending on packaged snacks, but they're buying less from legacy brands like General Mills and Craft Hinds. Small startups make up less than 2% of the packaged foods market, but they drove more than a third of that whole sector's sales growth in 2024.Take the meatstick, one of the fastest growing products in food. You're probably most familiar with the traditional Slim Gym, but companies like Chomps are taking a bite out of its business. Chomps, which ...

Core Points - Post Holdings, Inc. has announced a new share repurchase authorization of $500 million, effective from November 27, 2025 [1] - As of November 25, 2025, the company had repurchased approximately $275.2 million under its previous $500 million authorization, which was effective from August 29, 2025, and canceled on November 26, 2025 [1] Share Repurchase Details - Repurchases may occur in various forms, including open market transactions, private purchases, and other methods, with repurchased shares held as treasury stock [2] - The new authorization does not obligate the company to acquire a specific number of shares and allows for suspension or termination at the company's discretion [2] Company Overview - Post Holdings, Inc. is a consumer packaged goods holding company based in St. Louis, Missouri, with operations in various food categories [3] - The company's brands include Post Consumer Brands, Weetabix, Michael Foods, and Bob Evans Farms, with a strong presence in ready-to-eat cereals, refrigerated foods, and pet food [3]

As American shoppers buy less packaged foods, Big Food has leaned on a familiar excuse: It’s the economy, stupid. ⁠That explanation misses a crucial shift. Middle- and high-income Americans are still splurging, just not on legacy labels. 🔗 https://t.co/oUW1DPFCe1 https://t.co/IyNILoZJ05 ...

Core Points - Smithfield Foods, in collaboration with the University of Virginia and Virginia Tech, donated 62,000 pounds of protein to support local food banks addressing food insecurity in Virginia [1] - The Commonwealth Clash, a long-standing sports rivalry, has evolved into a community initiative that encourages food drives and donations to combat hunger [2] - The Blue Ridge Area Food Bank serves over 170,000 individuals monthly, while Feeding Southwest Virginia distributes over 21 million pounds of food annually [4][7] - Smithfield's hunger relief program, Helping Hungry Homes, has provided hundreds of millions of servings of protein since 2008, with significant contributions in 2024 alone [9] - Smithfield has donated a total of 350,000 pounds of protein since the inception of its partnership with local food banks in 2021 [8] Company Overview - Smithfield Foods is a leading American food company specializing in packaged meats and fresh pork products, with a commitment to quality and community support [11] - The company emphasizes its role in providing high-quality meat products while also engaging in initiatives to reduce hunger and support local communities [10] Food Bank Operations - The Blue Ridge Area Food Bank is the largest hunger relief organization in Western and Central Virginia, operating through a network of community partners [4][12] - Feeding Southwest Virginia serves 26 counties and nine cities, focusing on nourishing families and individuals facing food insecurity [7][13]

Core Insights - The FPA Queens Road Small Cap Value Fund returned 7.46% in Q3 2025, underperforming the Russell 2000 Value Index which returned 12.60% [1] - For the first three quarters of 2025, the Fund achieved a return of 13.77%, outperforming the index's return of 9.04% [1] - The Fund's investment strategy focuses on a disciplined and patient approach, expecting to outperform in down markets while trailing in speculative markets [1] Company Overview: TreeHouse Foods, Inc. (NYSE:THS) - TreeHouse Foods, Inc. is a packaged food company that manufactures and distributes private brand snacks and beverages [2] - The stock of TreeHouse Foods experienced a one-month return of 22.80%, but has lost 32.66% of its value over the past 52 weeks [2] - As of November 21, 2025, TreeHouse Foods' stock closed at $23.59 per share, with a market capitalization of $1.191 billion [2] Fund's Position on TreeHouse Foods, Inc. - The Fund noted that TreeHouse Foods struggled to find stability after acquiring ConAgra's private label business in 2016, leading to inconsistent growth and margins [3] - Ongoing supply chain and operational issues have negatively impacted TreeHouse Foods' profitability and stock price [3] - The Fund has fully exited its position in TreeHouse Foods during Q3 2025, indicating it was a relatively small investment [3] Hedge Fund Interest - TreeHouse Foods is not among the 30 most popular stocks among hedge funds, with 26 hedge fund portfolios holding the stock at the end of Q2 2025, an increase from 22 in the previous quarter [4] - While acknowledging TreeHouse Foods' potential, the Fund believes that certain AI stocks present greater upside potential and lower downside risk [4]

Group 1 - Post Holdings is adopting a nuanced approach to mergers and acquisitions (M&A) to balance opportunities with share buybacks amid declining volumes across its consumer brands, pet food, breakfast cereal, and refrigerated products [1] - The foodservice division of Post Holdings is experiencing growth, contrasting with the overall decline in volumes [1] - CEO Rob Vitale indicated that out-of-home volumes will be supported in fiscal 2026 by the company's highest value products, which are expected to generate significant cash flow for both organic and inorganic growth opportunities [2] Group 2 - In response to a challenging volume landscape in retail products, Post Holdings plans to focus on cost reduction and profitable brand investments while continuing to explore M&A opportunities [3] - Vitale highlighted that the cost of capital has changed dramatically, suggesting a potential inflection point that may increase pressure on the company [4] - The company is shifting its strategy from merely using M&A for growth to a more thoughtful approach that emphasizes quality and innovation rather than just size [5] Group 3 - Vitale disagreed with the notion that Post's portfolio is primarily built around value, asserting that it is centered on choice with a variety of price points [6] - The company aims to innovate towards higher or middle-income consumers, particularly in response to trends affecting lower and middle-income households [6] - Post Holdings plans to capitalize on the rising trend around protein in products like cereals and granola, which are growing faster than other categories [6]

Core Insights - Kraft Mac & Cheese has launched a new campaign titled "Best Thing Ever," which represents the brand's largest media investment to date, aimed at reinforcing its market position amidst competition from private labels and premium brands [1][2] - The campaign emphasizes Kraft Mac & Cheese as an experience rather than just a product, focusing on its cultural relevance, taste, value, and convenience [2][4] Marketing Strategy - The campaign features a series of 15-second ads voiced by comedian John Mulaney, positioning the product as dependable and enjoyable in various consumer contexts [2][5] - "Best Thing Ever" includes over 70 distinct assets and employs a hypercontextual approach to engage a diverse consumer base through various media channels, including TV, YouTube, and social media [2][7] Brand Evolution - The new campaign marks a shift from previous marketing strategies, moving from a focus on comfort food during the pandemic to a broader appeal that includes joy and celebration [3][4] - Kraft Mac & Cheese has undergone rebranding efforts, including a name change and a focus on "positive comfort," to better compete with new market entrants [3][4] Product Innovation - In 2025, Kraft Mac & Cheese introduced five new flavors and product formats, which contributed to an increase in new buyers and households [7][8] - The brand aims to leverage these innovations to connect with social and cultural trends while attracting new audiences [8] Company Context - Kraft Heinz is facing significant challenges, with CEO Carlos Abrams-Rivera noting "one of the worst consumer sentiments" in decades, and plans to split into two companies by the second half of 2026 [9]

Company Overview - McCormick & Company, Incorporated (MKC) is based in Hunt Valley, Maryland, and specializes in marketing and distributing spices, seasoning mixes, condiments, and other flavorful products to the food industry, with a market cap of $17.7 billion [1] Stock Performance - MKC shares have underperformed the broader market over the past 52 weeks, declining 12.4%, while the S&P 500 Index gained 13.1% [2] - Year-to-date, MKC's stock is down 12.8%, compared to a 15.1% return for the S&P 500 [2] - MKC has also lagged behind the First Trust Nasdaq Food & Beverage ETF, which saw an 11.6% decline over the past 52 weeks and a 6.8% drop year-to-date [3] Earnings Report - On November 11, MKC shares surged 2.2% following a strong Q3 earnings release, with total net sales increasing 2.7% year-over-year to $1.7 billion, slightly exceeding consensus estimates [4] - The adjusted EPS for the quarter was $0.85, reflecting a 2.4% improvement from the previous year and surpassing analyst expectations by 4.9% [4] - Despite pressure on gross margins due to rising costs in a dynamic global trade environment, MKC managed to drive operating profit growth through effective cost-saving initiatives [4] Future Earnings Expectations - For the current fiscal year ending in November, analysts project MKC's EPS to grow 2.4% year-over-year to $3.02 [5] - MKC's earnings surprise history is mixed, with the company exceeding consensus estimates in three of the last four quarters [5] Analyst Ratings - Among 14 analysts covering MKC, the consensus rating is a "Moderate Buy," consisting of seven "Strong Buy," one "Moderate Buy," and six "Hold" ratings [5] - The analyst sentiment has become more bullish compared to three months ago, with six analysts recommending a "Strong Buy" and one suggesting a "Strong Sell" [6] - AllianceBernstein analyst Alexia Burland Howard maintained a "Buy" rating on MKC with a price target of $91, indicating a potential upside of 38% from current levels [6]

Company Overview - Hormel Foods Corporation, based in Austin, Minnesota, is a leading manufacturer and marketer of various meat and food products, with a market cap of $12.4 billion [1] Stock Performance - Hormel Foods has significantly underperformed the broader market, with stock prices dropping 29% year-to-date and 26.7% over the past 52 weeks, while the S&P 500 Index gained 16.5% in 2025 and 14.5% over the past year [2] - The company's stock also underperformed the First Trust Nasdaq Food & Beverage ETF, which saw a 7.9% decline year-to-date and a 12.3% drop over the past year [3] Financial Results - Following the release of mixed Q3 results on August 28, Hormel Foods' stock prices fell 13.1% in a single trading session. The company reported a 4.6% year-over-year growth in net sales to $3 billion, exceeding expectations by 1.9% [4] - However, the adjusted EPS declined by 5% year-over-year to $0.35, missing consensus estimates by 14.6%, which caused investor concern [4] Earnings Forecast - For the full fiscal 2025, analysts expect Hormel Foods to deliver an adjusted EPS of $1.37, representing a 13.3% decline year-over-year. The company has a history of disappointing earnings surprises, meeting estimates only once in the past four quarters [5] - Among the 10 analysts covering the stock, the consensus rating is a "Hold," consisting of three "Strong Buys," six "Holds," and one "Strong Sell" [5] Analyst Sentiment - The current analyst sentiment has shifted slightly from three months ago, when there were two "Strong Buy" recommendations and no "Strong Sell" ratings [6]

Group 1 - Conagra Brands is a U.S. packaged foods company specializing in a variety of frozen, refrigerated, and shelf-stable products [2] - The company's major product categories include frozen entrees, frozen vegetables, meat snacks, and popcorn [2] - Sean Connolly has been the CEO of Conagra since 2015, while Dave Marberger has served as CFO since 2016 [2] Group 2 - The presentation features insights from Thomas Palmer of JPMorgan, who covers the food sector [1] - The discussion includes participation from Conagra's CEO Sean Connolly and CFO Dave Marberger [1]