tag:blogger.com,1999:blog-34213173714686050702012-02-16T14:15:21.768-06:00OurEconomics.Blogspot.ComNathanhttp://www.blogger.com/profile/16922226697613309831noreply@blogger.comBlogger11100tag:blogger.com,1999:blog-3421317371468605070.post-71744109386170535502007-04-28T18:15:00.000-05:002007-05-01T05:47:39.457-05:00Since 1998, has come and pass. Banana's have been spoiling, in the bargain basement. It's time to pick up a case. And, put some into your cabinet. This stock has dropped from 230+ to around 13 dollars a share. Making this International favorite undervalued.<br /><br /><br /><strong>Isn't Her Neck Tired? Carrying All That Fruit On Her Head.</strong><br /><br />For decades, the lady has been marketed. Carrying that fruit bowl on her head. I'm talking about Chiquita Brands International, Inc (NYSE: CQB). This stock has been beaten up for a long while. Which is making it a value stock. This is going into my portfolio. With me buying increments of 3% at a time. Recently, Chiquita has been going through some troubles. Such as, Paying terrorists to protect its businesses. The outcome has been, a payment to the SEC of 25 million. These issues are small. With a consideration of a longer term view.<br /><br /><br /><strong>Why Is CQB Undervalued?</strong><br /><br />CQB is trading currently trading at $106.38 revenue/share. In the past 5 years, Chiquita's revenue as grown 25.16% on average. There still is a high demand for Chiquita's products. Despite, the companies lowered stock price. As the chart below shows.<br /><br /><img style="display:block; margin:0px auto 10px; text-align:center;cursor:pointer; cursor:hand;" src="http://bp3.blogger.com/_v4csOM9L63g/RjWwPoYarYI/AAAAAAAAAAc/Fa3DETVVFvo/s400/revenues_of_cqb.png" border="0" alt=""id="BLOGGER_PHOTO_ID_5059143539004976514"/><br /><br />We're not just relying on revenue. To call Chiquita Brands International Inc., undervalued. CQB's price/book value is about 0.67. This is about 33% below its shareholders equity. On the other hand, The company last year was not profitable. They ran a -2.29 EPS last year. Which analysts are estimating. The company will produce 0.61 EPS in 2007. Then, in 2008 Chiquita will produce a 1.50 EPS. If the analysts are right by 2008. The 2008 forward P/E will be 9.16. At the current price, as of today.<br /><br /><br /><strong>Following Respected Institutes.</strong><br /><br />There has been a surge of ownership in CQB. FMR Coporation, Fidelity Management Research owns about 14% of the company. As of, the last date reported. This is about a 556.0% increase of ownership. From FMR's filing before the last. Other respected institutes own this stock, as well. On 12/30/06 Barclays Global Investors Na owned 4.7%. With the likes of ownership from the Vanguard Group. All owning a piece of Chiquita Brands International Inc. Which could result, in you owning a portion of the company already. Without receiving the direct benefits.<div class="blogger-post-footer">http://oureconomics.blogspot.com<img width='1' height='1' src='https://blogger.googleusercontent.com/tracker/3421317371468605070-7174410938617053550?l=oureconomics.blogspot.com' alt='' /></div>Nathanhttp://www.blogger.com/profile/16922226697613309831noreply@blogger.com0