The Panic-Proof Portfolio (Stockchase Research)
Reynolds Consumer Products
REYN-Q
PAST TOP PICK
Feb 08, 2022
(A Top Pick Feb 11/21, Down 0.03%)Stockchase Research Editor: Michael O’Reilly Our PAST TOP PICK with REYN has triggered its stop at $29. To remain disciplined, we recommend covering the position at this time. We will look for better opportunities.
(They make household items like garbage bags.) Pantry product stocks are not doing well, regardless of the quality of their quarterly reports, because investors feel that we're not filling our pantries anymore, so he wouldn't buy this.
Stockchase Research Editor: Michael O'Reilly REYN is an often overlooked blue-chip in the consumer staples space. Recently reported revenue beat expectations handily and annual EPS was up over 7%. The company has wisely put cash towards paying down debt. It trades at 15x earnings, compared to over 25x for its peers. It pays a good dividend backed by a 44% payout ratio. We would buy this with a $25 stop loss, looking to achieve $37.00 -- over 25% upside. Yield 3.01% (Analysts’ price target is $36.88)
(A Top Pick Feb 11/21, Up 9.5%)Stockchase Research Editor: Michael O'Reilly Our PAST TOP PICK with REYN is progressing well. We now recommend trailing up the stop (from $25) to $29.
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