Daily Stock Pick: Armanino Foods Of Distinction Inc

TM editors' note: This article discusses a penny stock and/or microcap. Such stocks are easily manipulated; do your own careful due diligence. 

I'm now looking for a third consumer defensive sector representative for my new Ivy portfolio.

That defensive sector includes thirteen industries all related to providing convenient packaged goods we've just gotta have. Industries like: beverages, brewed, soft, or distilled; confections; discount stores; education & training; farm products; food distribution; grocery stores; household & personal products; packaged goods; pharmaceutical retailers; tobacco.

Today I'm reviewing a nano-cap packaged foods-maker, named Armanino Foods of Distinction Inc. It's trading ticker symbol is AMNF.

Armanino Foods of Distinction Inc is an international food company. The company is primarily engaged in the production and marketing of upscale and food products, including primarily frozen pesto sauces, frozen pasta products, cooked and frozen meat and poultry products.

Geographically the business activity of the firm is in the United States.

The company offers its products under the Armanino brand. It markets its products through a network of food brokers and sells to retail and foodservice distributors, club-type stores, and industrial accounts.

The company was founded in 1978 and is headquartered in Hayward, California.

I use three key data points to gauge the value of any dividend equity-like Armanino Foods of Distinction Inc.:

(1) Price

(2) Dividends

(3) Returns

Besides those three, several other keys will finally unlock an equity or fund in which to invest.

Those first three primary keys, however, best tell whether a company has made, is making, and will make money.

AMNF Price

Armanino's price per share closed at $3.07 yesterday. A year ago its price was $2.48. So price improved  $0.59 per share last year, or nearly 24%.

Assuming Armanino's stock trades in the range of $2.20 to $3.60 next year, Armanino's recent $3.07 price could pick up by another $0.50 and go to $3.57 by late-January, 2020.

AMNF Dividends

Armanino's most recent Quarterly dividend was $0.0225 paid January 25th.

That $0.0225 quarterly payout equates to a $0.09 annual payout and a yield of 2.9% at yesterday's $3.07 closing price.

Gains For AMNF?

Adding the $0.09 annual estimated dividend to my $0.50 Armanino estimated price upside shows a $0.59 potential gross annual gain, per share, which will be reduced by costs to trade those shares.

Say we put a little over $1,000.00 today at the $3.07 recent stock price would buy us 326 Armanino Foods of Distinction Inc. shares.

A $10 broker fee paid half at purchase and half at sale costs $0.03 per share.

Subtract that $0.03 brokerage cost from the estimated $0.59 gross annual gain leaves a net gain of $0.56 X 326  shares

= $182.56

for 18.25% net gain on a $1,006.96 investment.

Therefore, Armanino Foods of Distinction Inc. whose trading ticker symbol is AMNF, now shows a possible net gain of 18.25% including its estimated 2.9% dividend yield.

No brokers cover this stock:

So I get no argument form that quarter!

Therefore, you can look at Armanino Foods of Distinction Inc. and see it has made money, is making money, and could make 18.25% over the next year including its 2.9% estimated dividend yield. It could be more, it could be less.

The above speculation is based on past year performance. The actual results remain to be seen to determine if Armanino Foods of Distinction Inc. is worth your time and money.

Disclosure: This article was compiled by Rydlun & Co., LLC from data derived from www.ycharts.com; www.finance.yahoo.com; analyst target ...

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