TR Intrinsic Value Calculation – Tootsie Roll Industries Boasts a Robust Balance Sheet

☀️Trending News

The company is well-known for its iconic chewy Tootsie Rolls, as well as its many other candy favorites, such as Tootsie Pops and Tootsie Fruit Rolls. Recently, Tootsie Roll Industries ($NYSE:TR) has demonstrated that it has an impressively stable balance sheet. The company’s assets far outweigh its liabilities, and its strong financials have allowed it to invest in new product development and marketing campaigns designed to increase its customer base.

Additionally, the company’s cash flow position is healthy, with sufficient funds available to meet any short-term demands. This strong financial record has enabled the company to maintain its competitive advantage despite challenging economic times. Tootsie Roll Industries’ impressive balance sheet makes it a stock worth considering for long-term investors looking for companies with a strong history of financial stability. The company boasts a steady dividend, and its strong cash flow position makes it an attractive option for those looking for portfolio diversification. With its robust balance sheet and consistent dividends, Tootsie Roll Industries is sure to remain a mainstay of the confectionery sector for years to come.

Price History

On Tuesday, the company’s stock opened at $32.4 and closed at $32.5, only a 0.2% decrease from the prior closing price of $32.6. This solid performance is indicative of Tootsie Roll Industries’ strong financial position and its ability to remain competitive in the volatile candy market. Analysts have been bullish on the company, citing their confidence in its long-term financial health. Despite the slight dip in its stock price, Tootsie Roll Industries shows no signs of slowing down. Live Quote…

About the Company

Income Snapshot

Below shows the total revenue, net income and net margin for TR. More…

Cash Flow Snapshot

Below shows the cash from operations, investing and financing for TR. More…

Balance Sheet Snapshot

Below shows the total assets, liabilities and book value per share for TR. More…

Key Ratios Snapshot

Some of the financial key ratios for TR are shown below. More…

Analysis – TR Intrinsic Value Calculation

At GoodWhale, we have conducted an in-depth analysis of the financials of TOOTSIE ROLL INDUSTRIES. After careful consideration of the company’s financials, we have estimated that the intrinsic value of TOOTSIE ROLL INDUSTRIES share is around $42.1. This was calculated using our proprietary Valuation Line. At the current market rate, TOOTSIE ROLL INDUSTRIES stock is trading at $32.5, which represents an undervaluation of 22.7%. We believe that this may present an opportunity for investors to buy the stock at a discounted price and benefit from any upside potential in the future. More…

Peers

In the United States, the competition among Tootsie Roll Industries Inc, J&J Snack Foods Corp, B&G Foods Inc, and Treehouse Foods Inc is fierce. All four companies are fighting for market share in the $23 billion non-chocolate candy industry. While Tootsie Roll Industries Inc has the largest market share, its competitors are not far behind. J&J Snack Foods Corp is the second largest player with a market share of 17.4%, followed by B&G Foods Inc with 8.6% and Treehouse Foods Inc with 4.4%.

– J&J Snack Foods Corp ($NASDAQ:JJSF)

J&J Snack Foods Corp is a leading manufacturer and marketer of snack foods and beverages. The company’s products include soft pretzels, frozen desserts, sandwiches, and more. J&J Snack Foods Corp has a market cap of 3.01B as of 2022 and a Return on Equity of 4.56%. The company’s products are sold in supermarkets, convenience stores, and other retail outlets throughout the United States.

– B&G Foods Inc ($NYSE:BGS)

B&G Foods Inc, a holding company, engages in the manufacture, sale, and distribution of branded and non-branded food products in the United States, Canada, and Puerto Rico. The company operates in two segments, Branded Products and Specialty Products. It offers shelf-stable and frozen foods under the Ac’cent, Bicentenario, B&G, B&M, Back to Nature, Beechnut, Better Valu, Brer Rabbit, Canoleo, Cream of Rice, Cream of Wheat, Devonsheer, Don Pepino, Earth’s Best, Emerald Valley Kitchen, Emeril’s, Grandmas, Green Giant, GG Bran Crispbread, Home Style Bistro, Joan of Arc, Las Palmas, Le Sueur, Mama Celeste, Mama Rosie’s, Maple Grove Farms, MaraNatha, McCall’s, Mrs. Dash, New York Style, Old London, Ortega, Polaner, SnackWell’s, Spice Islands, Spring Tree, Sugar Twin, Temptations, Trappey’s, TrueNorth, Underwood, Victoria, Weber, Wright’s, and Yoplait Greek yogurt brands. The company sells its products through its sales force to grocery stores, supermarkets, mass merchandisers, warehouse clubs, discount drug stores, military commissaries and exchanges, and other institutional foodservice providers. B&G Foods Inc was founded in 1896 and is headquartered in Parsippany-Troy Hills Township, New Jersey.

– Treehouse Foods Inc ($NYSE:THS)

Treehouse Foods Inc. is a packaged food and beverage manufacturing company headquartered in Oak Brook, Illinois. The company was founded in 2004, and has since acquired and merged with several other food companies. Treehouse Foods Inc. has a market cap of $2.67B as of 2022, and a Return on Equity of 1.75%. The company manufactures and sells a variety of food and beverage products, including snacks, condiments, and meal kits. Treehouse Foods Inc. has a diversified product portfolio and a strong presence in the United States packaged food industry.

Summary

Tootsie Roll Industries is an attractive investment opportunity for those seeking a company with a rock-solid balance sheet. The company boasts a strong financial position, with impressive profitability, low debt levels, and generous dividend payouts.

Additionally, Tootsie Roll Industries pays out regular dividends and has a low payout ratio, indicating a level of financial security. Investment in the company carries a degree of risk due to its concentration in a single product line, but the company’s long-term success is bolstered by its high-end brand recognition and successful marketing campaigns. In summary, Tootsie Roll Industries is a good option for investors looking for a steady and reliable stock to add to their portfolios.