Cal-Maine Foods Inc, bearing the ticker symbol CALM, has been mentioned  as a candidate for some of my previous seven stock portfolios. This mention, however,  is its first for the Viking.

Cal-Maine Foods, Inc. was founded in 1957 and is headquartered in Ridgeland, Mississippi. Cal-Maine Foods Inc produces and sells shell eggs. Its main market is the United States.

The company's product portfolio contains nutritionally enhanced, cage-free, organic, and brown eggs. Cal-Maine Foods markets the shell eggs to a diverse group of customers, including grocery-store chains, club stores, and foodservice distributors.

The company's brands are: Egg-Land's Best, Land O' Lakes, Farmhouse, and 4-Grain.

Three key data points gauge Cal-Maine Foods Inc or any dividend-paying firm. They are:

(1) Price

(2) Dividends

(3) Returns

Those three basic keys best tell whether any company has made, is making, and will make money.

CALM Price

Over the past year, CALM’s price per share increased about 9.6% from $45.07 to $49.41 as of Friday’s market close.

If CALM’s stock trades in the range of $45.00 to $60.00 this next year, its recent $49.41 share price might get up to $52.50 by next year. Of course, CALM price could drop about the same $3.09 amount, or more.

My upside estimate of $3.09 is about $2.00 below the median of one-year price targets set by four analysts tracking CALM for brokers.

CALM Dividend

Cal-Maine Foods' recent $2.20 variable quarterly dividend pans out to $5.15 annually to yield 10.4% at Friday’s closing price.

CALM Returns

Adding the $5.15 projected annual dividend to my estimated $3.09 price upside, reveals a $8.24 potential gross gain per share for the coming year.

At Friday’s $49.41 closing price, a little under $1000 would buy 20 shares.

A $10 broker fee (if charged), paid half at purchase and half at sale, might cost us about $0.50 per share.

Subtract that maybe $0.50 brokerage cost from my estimated $8.24 gross gain per share makes a net gain amounting to $7.74 X 20 shares = $154.80 or a 15.5% net gain.

In the next year our $1K investment in shares of CALM could generate about $104.20 in dividends. Furthermore, a single share of CALM stock at Friday’s $49.41 closing price is over one-half the income estimated from $1000.00 invested.

So, by my dogcatcher ideal, this can be the time to buy Cal-Maine Foods Inc  based on its estimated dividends for 2023. The dividend from $1k invested is 2.11 times greater than the CALM single-share price. Consider yourself alerted.

This may be a time to pounce on Cal-Maine Foods Inc. But beware, its dividend and price is volatile, and just $15.22 below its all time $64.63 high posted December 23, of 2022.

The foregoing article is based on past history of Cal-Maine Foods Inc. The only true measure of future performance is from active investment in the company.

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