The board of directors of the packaged food company,
B&G Foods, Inc.
) recently increased its quarterly dividend by 10.3% to 32 cents
per share from 29 cents The dividend hike also translates
into an annual dividend of $1.28 from $1.16 paid earlier, thus
offering an annual yield of 3.7%. The dividend is payable on Oct
30, 2013 to shareholders of records as of Sep 30, 2013. The
company paid its last dividend of 29 cents in the quarter ending
The current increase in dividend reflects that the company has a
strong liquidity position. The company had cash and cash
equivalents of $202.4 million as of Jun 29, 2013, which is
significantly higher than $19.2 million as of Dec 29, 2012. The
significant increase in cash is due to issuance of 4.625% senior
notes worth $700 million in Jun 2013.
Flexing its liquidity power, B&G has recently been acquiring
several brands to strengthen its product portfolio. On Jul 8, the
packaged food company acquired Pirate Brands formerly known as
Robert's American Gourmet Food, LLC. Pirate Brands include baked,
all-natural, trans fat free and gluten free snack brands such as
Pirate's Booty, Smart Puffs and Original Tings. The company
also acquired the TrueNorth brand from DeMet's Candy Company in
May 2013. With the growing importance of nutritious snacking,
TrueNorth and Pirate's brands are healthy addition to B&G
Foods' snacks portfolio. Its snacks portfolio also includes New
York Style, Old London, JJ Flats and Devonsheer brands, which
were acquired in Oct 2013.
B&G Foods carries a Zacks Rank #1 (Strong Buy).
Some other companies from the consumer staples sector that are
performing well include
Dole Food Company Inc.
Boulder Brands, Inc.
The Chefs' Warehouse, Inc.
). While Dole Food Company carries a Zacks Rank #1, Boulder
Brands and The Chefs' Warehouse carry a Zacks Rank #2 (Buy).
BOULDER BRANDS (BDBD): Free Stock Analysis
B&G FOODS CL-A (BGS): Free Stock Analysis
CHEFS WAREHOUSE (CHEF): Free Stock Analysis
DOLE FOOD CO (DOLE): Free Stock Analysis
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