CAL-MAINE FOODS INC (NASDAQ:CALM) – A Strong Contender for Growth Investors

CAL-MAINE FOODS INC (NASDAQ:CALM) stands out as a compelling pick for investors following Louis Navellier’s growth strategy. The company, a leading producer and distributor of shell eggs, meets multiple criteria outlined in Navellier’s "The Little Book That Makes You Rich." With strong earnings momentum, expanding margins, and high profitability, CALM presents an interesting opportunity.

Key Strengths of CALM

• Earnings Growth & Surprises
  CALM reported a staggering 303.79% year-over-year EPS growth, far exceeding industry norms. Over the past four quarters, the company delivered an average earnings surprise of 15.98%, beating estimates consistently.

• Revenue & Sales Expansion
  Sales growth remains robust, with 60.01% year-over-year revenue growth and an impressive 101.64% quarterly sales growth, indicating strong demand for its products.

• Margin Improvement
  Operating margins expanded by 143.13% over the past year, reflecting efficient cost management and pricing power.

• Strong Cash Flow
  Free cash flow grew by 22.27%, reinforcing the company’s ability to fund operations and reward shareholders.

• High Return on Equity (ROE)
  With an ROE of 41.60%, CALM ranks among the top performers in its industry, demonstrating effective capital allocation.

Valuation & Dividend Appeal

Despite its strong growth, CALM trades at a P/E ratio of 4.70, well below both industry and S&P 500 averages. Additionally, the company offers a dividend yield of 14.45%, making it attractive for income-focused investors.

For a deeper analysis, review the full fundamental report on CALM.

Our Louis Navellier Growth Strategy screener provides more stocks that fit this investment approach.

Disclaimer

This is not investing advice. Always conduct your own research before making investment decisions.