not vested
THE LATEST 'BAD TO LESS BAD' WINNER
Today's chart highlights the return of gluten...
Regular readers are familiar with Steve's "bad to less bad" trading strategy. If you buy assets dirt-cheap when no one is left to sell, you don't always need a complete turnaround to make massive profits. All you need is for things to get "less bad." Right now, we can see this with a bread and pastry maker...
Flowers Foods (FLO) owns popular brands like Nature's Own, Wonder, and Tastykake. But in 2015, FLO shares tumbled. The company was facing lawsuits for paying its drivers as independent contractors. Then it reported declining sales and a disappointing forecast for 2017.
But now, things are getting "less bad"... Last quarter, sales and profits rose 0.6% and 10.3%, respectively, from last year. The company is restructuring to improve efficiency... And the bad press has died down.
Shares are up about 45% from their September 2016 low – and they recently hit new 52-week highs. As investor worries fade, watch for this "bad to less bad" rally to continue...
Source: Daily Wealth