My pick for Q209 is ConAgra Foods (http://www.google.com/finance?q=NYSE:CAG). ConAgra produces many brand name foods that you probably have bought before, like Chef Boyardee, Healthy Choice Meals, Davids Sunflower Seeds, Hunts Tomatoes, Egg Beaters, Marie Callendars Meals, Orville Redenbacher's, Pam, Slim Jim, etc. In addition to the above they also produce some items that are more popular in certain demographics - like Hebrew National Franks, a favorite of our jewish brothers, and Reddi Whip Whipped Cream - a favorite of (both for doing "whip-it's" and to make whipped cream sundaes on Weygands nuts!). As you can see they produce some very popular brands, and it's my belief that they are strong enough brands that people will continue to purchase even during a recession - they aren't overpriced, and they provide value. In addition I believe with the baseball season among us we'll see an increase in certain items above being bought in bulk for the next 6 months, which could help boost earnings. (by the way the above list was not at all an all-inclusive list, just popular names. They also produce brands like snack pack, swiss miss - the list goes on and on.)
CAG has stayed relatively consistent over the first quarter - up about 1.4% so far. The company is profitable and isn't in risk of bankruptcy - so I consider it safe play with little volatility. Currently trading around $16.70, my recommendation would be to buy on the next dip to around $15.50-$16/share. Looking at the past few months I hope we can achieve this buy target within the next couple weeks- but there's one thing we all should have learned by now.. patience.
I look forward to reading everyone's picks - Mr. Treasurer, you have my dues.
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