As Warren Buffet quoted, “Never invest in a business you cannot understand.” Is there a business that can get simpler than producing and selling breads and other bakery products? Almost everyone in America buys these products daily. Moreover, being at home during the pandemic has greatly influenced our eating habits, which created a strong demand for branded ‘everyday products’.
Our latest pick has been a leader in the U.S. baking industry, providing bakery foods through brick & mortar and online retailers as well as restaurants. This is one of the businesses that benefited from the pandemic-related restrictions and will continue to grow its market share due to its innovation. Add to this a history of paying dividends for nearly 80 consecutive quarters and a dividend yield of 3.4%, it is a recipe for a stable business with meaningful dividend upside potential.
With the stock going ex-dividend on Friday, June 3 (estimated date), it could be an optimal pick to add or increase your position in the stock.
You can check out the Best Consumer Staple Dividend Stocks List to explore all the stocks.
