Retail

Cramer Organic & Naturals Trend Stock (HAIN, UNFI, WFMI)

On tonight’s MAD MONEY, Jim Cramer wanted to discuss a stock in a great trend from microtrends.  The vegan children and organic going mainstream is a huge and growing market and he likes Hain Celestial (NASDAQ:HAIN) as the play for this.  This stock closed at $33.76, down 0.76% today, but shares rose over 3% to $35.00 in after-hours trading after the Cramer note.  This has a $1.34 Billion market cap, and this looks like a new 52-week high.

A name that 24/7 Wall St. likes just as much or more at current prices is United Natural Foods (NASDAQ:UNFI), which is more of the casino operator analogy rather than the gambler.  This has a few of its own packaging but it distributes over 40,000 products.  It already got the guidance out there for 2008 which was in a combined Whole Foods (NASDAQ:WFMI) and Wild Oats environment that really hit the stock.  As Kroger goes more organic and as Safeway and others are increasing organic and natural offerings this is one we like even better.  The only thing we don’t like is that United Natural has a bit more exposure to transportation and materials costs comparatively and that may keep a lid on this.

Jon C. Ogg
October 24, 2007

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Flywheel Publishing has partnered with CardRatings to provide coverage of credit card products. Flywheel Publishing and CardRatings may receive a commission from card issuers.

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