Today, Sunday, May 9, is Mother’s Day. According to a National Retail Federation survey, American’s are expected to spend over $220 on average on their mothers this year. With spending in the tens of billions of dollars, several companies will benefit from all that cash flow.
These stocks include Hershey (HSY), Rocky Mountain Chocolate Factory Inc. (RMCF), Nestle (NSRGY), 1-800-Flowers.com Inc. (FLWS), and Amazon (AMZN).
One of the largest chocolate manufacturers in the world is the Hershey Company, headquartered in Hershey, Pennsylvania. It controls around 45% of the domestic chocolate market. Its products are offered in about 80 countries including the United States, China, Brazil, India, and Mexico.
The company has a market cap of $35 billion and pays a dividend yield of 1.91%. The stock trades at 25 times trailing earnings and at 24.6 times forward earnings.
Rocky Mountain Chocolate Factory Inc, a company that manufactures chocolate candies and confectionery products. Founded in 1981 and based in Colorado, it operates in the United States, Japan, Canada, Philippines, South Korea, and the United Arab Emirates.
Rocky Mountain Chocolate Factory Inc. has a low market cap of $36 million and has a trailing price to earnings ratio of 24.
Nestle, a famous chocolate producer founded in 1866. By sales, the Swiss company is the world’s largest food and beverage company.
The company has a market cap of $336 billion and pays dividend yield of 2.53%. It trades at 25 times trailing earnings and at 26 times forward earnings.
Another company that might benefit from Mother’s Day sales is 1-800-Flowers.com Inc. Based in New York, the company was founded in 1982. 1-800-Flowers.com offers flowers, candy, stuffed animals, gift baskets, and candles.
The company has a market cap of $2 billion and does not pay a dividend. Its stock trades at 18 times trailing earnings and at 17 times forward earnings.
Of course, there is Amazon, which sells all sorts of Mother’s Day gifts. The stock has a $1.66 trillion market cap, trades at a trailing P/E ratio of 63, and a forward P/E of 55. The company does not pay a dividend.
Happy Mother’s Day!
Disclosure: Author owns AMZN.