Drink Coffee, Lose Weight: Top Coffee Stocks

by Fred Fuld III

If you drink coffee first thing in the morning, you may be doing something healthy for your body without even realizing it. Not only does coffee have energy-boosting properties, but according to a recent study at the University of Nottingham in the UK, coffee may help you lose weight.

The study was reported in the Scientific Reports Journal, and showed that coffee can stimulate good fat, referred to a brown fat, which can can generate heat and metabolize macronutrients by burning calories.

You can invest in coffee directly if you want. The price of the iPath® Series B Bloomberg Coffee Subindex Total Return ETN (JJOFF) has increased by 16.4% over the last three months. This consists of one futures contract on the commodity of coffee and allows investors to gain exposure to coffee prices without worrying about direct exposure to futures.

The potential health benefits may also compel you to invest in some coffee related companies. Your options include Starbucks (SBUX), Coffee Holding (JVA), Farmer Bros. Co. (FARM), Spot Coffee (Canada) Ltd. (SPP), and Youngevity International Inc. (YGYI). All of these stocks are traded on NASDAQ except SPP, which is traded on the TSX Venture Exchange — previously known as the Canadian Venture Exchange.

Most people are familiar with the global coffee powerhouse Starbucks. The company has over 28,000 stores around the world that sell coffee, tea, blended drinks, sandwiches, pastries, and many other food and drink items. As the largest coffeehouse chain in the world, Starbucks boasts a large market cap of over $102 billion and pays a dividend yield of 1.72%, which has been increased each year since 2010. The company has also increased its revenue each fiscal year since 2009. The stock has a fairly high price-to-sales ratio of 4.3, making itsomewhat overpriced. Starbucks’ stock has a price to earnings  ratio of 34.8, and a forward PE ratio of 27.3.

You may also want to consider investing in Coffee Holding, a wholesale coffee roaster and dealer that manufactures, roasts, packages, markets, and distributes roasted and blended coffee for private labeled accounts and its own brands. Its products can be divided into three product categories: wholesale green coffee, branded coffee, and private label coffee. With small market cap of $22.5 million, the company’s stock is very speculative. The stock has an excellent price-to-sales ratio of 0.25 though it trades at 102 times trailing earnings.

Another option is Farmer Brothers Company, a coffee foodservice company that manufactures, wholesales, and distributes coffee, tea, and hundreds of other foodservice items to retailers and foodservice providers. Its customers include hotels, offices, restaurants, convenience stores, and other establishments. The company has a market cap of $283 million. Its stock trades at 78 times forward earnings. It has a price-to-book ratio of 1.68 and a favorable price-to-sales ratio of 0.46.

Spot Coffee (Canada) Ltd. has a market cap of just $12 million, and the latter , making both these stocks very speculative. Spot Coffee (Canada) Ltd. is a Canada-based company that designs, builds, and operates coffee cafés throughout Canada and the United States. These cafés sell coffee, sandwiches, pastries, salads, and many other food and drink items. Most of the company’s revenue comes from sales at these cafés, licensing and franchise fees, and the wholesale of roasted coffee beans. The stock is trading at 37.5 times trailing earnings and pays a 3.07% yield.

Youngevity International, which has a low market cap of $173 million, is a company that develops and distributes nutritional products and commercial coffee. It operates in two segments, Direct Selling and Commercial Coffee, but generates most of its revenue from the Direct Selling segment. It offers a wide variety of products including gourmet coffee, skincare and cosmetic products, nutritional supplements, sports and energy drinks, fashion accessories, digital products, and organic food. The company  has a very favorable price-to-sales ratio of 0.77 and trades at 48 times forward earnings.

If you already drink a lot of coffee, maybe you should put your money where your mouth is and consider investing in the stocks of some coffee-related companies.

Disclosure: Author didn’t own any of the above at the time the article was written.

Learn from Howard Schultz, Ron Howard, Steve Martin, Malcolm Gladwell & Other Experts for a Very Low Price

Have you ever wanted to learn more about business and entrepreneurship? How would you like to take a class from Howard Schultz, the former chairman and chief executive officer of Starbucks (SBUX) for many years? Or maybe you want to write your own book. Your teacher can be best selling author of Tipping Point, Blink, and Outliers, Malcolm Gladwell. You might want to learn a little magic for a hobby and have Penn and Teller as your instructor. Or improve your cooking skills with the help of Wolfgang Puck.

How  much would you be wiling to pay for a class from any of these individuals? $500? $1,000? $2,000? They are all available to you, plus many others, through online classes for a very reasonable $180, offered by an innovative company called MasterClass. By the way, that’s not $180 per class, that’s $180 total, all-access for all classes!

I’m trying my best to not make this post sound like a sales pitch, but I signed up for the all-access pass to MasterClass myself, and I’m extremely impressed. MasterClass, based in San Francisco, was founded in 2014. The company offers classes in the areas of business, filmmaking, culinary arts, writing, entertainment, sports, games, and science. It currently offers over 60 classes, taught by experts in their fields.

Here is just a small sample of the instructors:

  • Howard Schultz
  • Dan Brown
  • Malcolm Gladwell
  • James Patterson
  • Gordon Ramsay
  • Wolfgang Puck
  • Ron Howard
  • Martin Scorsese
  • Spike Lee
  • Helen Mirren
  • Steve Martin
  • Diane Von Furstenberg
  • Steph Curry
  • Penn & Teller

There are many, many others. I’ve already taken several classes, and realized that a lot of the advice these instructors give, no matter what their field, can be applied to becoming successful in any type of business. As an example, Academy Award winner Ron Howard teaches a class on directing movies. But from the business standpoint, he teaches, planning, collaboration, and project management.

Currently, MasterClass is offering a $30 credit when you sign up with the following link:

https://share.masterclass.com/x/F1oPRt

This gives you an All-Access pass, allowing you to take any (and even every) course you want for a full year. Think about it. You could watch drivel on TV or watch a MasterClass and learn something useful.

 

 

Disclosure: Author didn’t own any of the stocks mentioned in the article at the time the article was r=written. Links for MasterClass are affiliate links.

 

 

Coffee May Be Healthy for You and Your Portfolio

by Nkem Iregbulem

Many people drink coffee first thing in the morning. Some heavily rely on this dose of caffeine to boost their energy and start their day. Turns out that in addition to its energy-boosting powers, coffee may be associated with more health benefits than we once thought. Recent studies have highlighted different reasons why coffee may be good for us.

One news article reports on a recent study conducted to examine previously unidentified risk factors for certain heart conditions. Researchers at the University of Colorado medical school analyzed data from the Framingham Heart Study, which track the eating habits and cardiovascular health of over 15,000 individuals since the 1940s. They used machine learning to identify trends in this large data set. The study found that drinking coffee may lower one’s risk of heart failure, stroke, and coronary heart disease. The researchers used the same methods to analyze two other large study groups, the Cardiovascular Heart Study and the Atherosclerosis Risk in Communities Study, and found similar results.

An umbrella study published in the British Medical Journal in 2017 highlights a range of coffee’s potential health benefits. The study identified over 200 meta-analyses of observational and interventional studies that investigated the link between coffee and numerous different health outcomes. These health outcomes could come from any adult population in all countries and all settings. Researchers found that drinking three to four cups of coffee per day lowers one’s risk of all cause mortality, heart disease, several specific types of cancer, and neurological, metabolic, and liver conditions.

Another study, published in Circulation for the American Heart Association, presents positive findings. The study investigated the connection between the consumption of caffeinated and decaffeinated coffee and total and cause-specific mortality among men and women from the Nurses’ Health Study, the Nurses’ Health Study II, and the Health Professional Follow-up Study. Researchers found that the consumption of 1 to 5 cups of coffee a day may lower one’s risk of mortality. More specifically, they found that coffee consumption was associated with an 8% to 15% reduction in the risk of death.

You can even use coffee as a financial instrument. The price of the iPath® Series B Bloomberg Coffee Subindex Total Return ETN (BJO) has decreased by 1.16% since it began trading this past February. BJO consists of one futures contract on the commodity of coffee and allows investors to gain exposure to coffee prices without worrying about direct exposure to futures.

The potential health benefits may also compel you to invest in some coffee related companies. Your options include Starbucks (SBUX), Coffee Holding (JVA), Farmer Bros. Co. (FARM), Spot Coffee (Canada) Ltd. (SPP), and Youngevity International Inc. (YGYI). All of these stocks are traded on NASDAQ except SPP, which is traded on the TSX Venture Exchange — previously known as the Canadian Venture Exchange.

Most people have heard of Starbucks, a global coffee powerhouse. The company has over 28,000 stores around the world that sell coffee, tea, blended drinks, sandwiches, pastries, and many other food and drink items. As the largest coffeehouse chain in the world, Starbucks boasts a large market cap of $79.3 billion and pays a dividend yield of 2.01%, which has been up each year since 2010. The company has also increased its revenue each fiscal year since 2009 and enjoys a 5-year revenue growth rate of 11.01%. With a price-to-sales ratio of 3.51, the company’s stock is somewhat overpriced. Starbucks’ stock has a PE ratio of 25.13, a forward PE ratio of 22.88, and a high price-to-book ratio of 16.76.

You may also want to consider investing in Coffee Holding, a wholesale coffee roaster and dealer that manufactures, roasts, packages, markets, and distributes roasted and blended coffee for private labeled accounts and its own brands. Its products can be divided into three product categories: wholesale green coffee, branded coffee, and private label coffee. With small market cap of $24.24 million, the company’s stock is very speculative. Coffee Holding’s revenue has decreased each fiscal year since 2015 as the company faces a negative 5-year revenue growth rate of -14.98%. The stock has an excellent price-to-sales ratio of 0.31 though it trades at 47.25 times trailing earnings.

A third option is Farmer Brothers Company, a coffee foodservice company that manufactures, wholesales, and distributes coffee, tea, and hundreds of other foodservice items to retailers and foodservice providers. Its customers include hotels, offices, restaurants, convenience stores, and other establishments. The company has a market cap of $501.9 million. Its stock trades at 23.29 times trailing earnings and at 37.59 times forward earnings. It has a price-to-book ratio of 2.41 and a favorable price-to-sales ratio of 0.83. Though the company has a 5-year growth rate of 1.66%, the company has seen slowly decreasing revenue values each fiscal year since 2015.

Two other coffee-related companies to consider are Spot Coffee (Canada) Ltd. and Youngevity International. The former has a market cap of just $18.89 million, and the latter has a low market cap of $75.59 million, making both these stocks very speculative. Spot Coffee (Canada) Ltd. is a Canada-based company that designs, builds, and operates coffee cafés throughout Canada and the United States. These cafés sell coffee, sandwiches, pastries, salads, and many other food and drink items. Most of the company’s revenue comes from sales at these cafés, licensing and franchise fees, and the wholesale of roasted coffee beans. The company has a 5-year revenue growth rate of 7.52% with its stock trading at 37.5 times trailing earnings.

Youngevity International is a company that develops and distributes nutritional products and commercial coffee. It operates in two segments, Direct Selling and Commercial Coffee, but generates most of its revenue from the Direct Selling segment. It offers a wide variety of products including gourmet coffee, skincare and cosmetic products, nutritional supplements, sports and energy drinks, fashion accessories, digital products, and organic food. The company enjoys a 5-year revenue growth rate of 17.18%, and its stock has a very favorable price-to-sales ratio of 0.43.

If you’re looking for more than just an energy boost and some health benefits from coffee, you may want to consider investing your money in a coffee ETN or in the stocks of some coffee-related companies.

Disclosure: Author didn’t own any of the above at the time the article was written.

Stocks Going Ex Dividend in February 2018

Here is our latest update on the stock trading technique called ‘Buying Dividends,’ also commonly referred to as ‘Dividend Capture.’ This is the process of buying stocks before the ex dividend date and selling the stock shortly after the ex date at about the same price, yet still being entitled to the dividend.

This technique generally works only in bull markets, and can work in flat or choppy markets, but you need to avoid the technique during bear markets. In order to be entitled to the dividend, you have to buy the stock before the ex-dividend date, and you can’t sell the stock until after the ex date.

The actual dividend may not be paid for another few weeks. WallStreetNewsNetwork.com has compiled a downloadable and sortable list of the stocks going ex dividend in the near future. The list contains many dividend paying companies, lots with market caps over $500 million, and yields over 2%. Here are a few examples showing the stock symbol, the ex-dividend date, the quarterly dividend amount, and annual yield.

Pfizer, Inc. (PFE) 2/1/2018 0.34
Signet Jewelers Limited (SIG) 2/1/2018 0.31
Wells Fargo & Company (WFC) 2/1/2018 0.39
Citigroup Inc. (C) 2/2/2018 0.32
PetMed Express, Inc. (PETS) 2/2/2018 0.25
Intel Corporation (INTC) 2/6/2018 0.3
Starbucks Corporation (SBUX) 2/7/2018 0.3
Boeing Company (The) (BA) 2/8/2018 1.71
The Charles Schwab Corporation (SCHW) 2/8/2018 0.1
Consolidated Edison Inc (ED) 2/13/2018 0.715
Amgen Inc. (AMGN) 2/14/2018 1.32
Eli Lilly and Company (LLY) 2/14/2018 0.563
Microsoft Corporation (MSFT) 2/14/2018 0.42
Alaska Air Group, Inc. (ALK) 2/16/2018 0.32
Goldman Sachs Group, Inc. (The) (GS) 2/28/2018 0.75

The additional ex-dividend stocks can be found here at wstnn.com. (If you have been to the website before, and the latest link doesn’t show up, you may have to empty your cache.) If you like dividend stocks, you should check out some of the other high yield stock lists at WallStreetNewsNetwork.com or WStNN.com. Most of the lists are free.

Dividend definitions: Declaration date: the day that the company declares that there is going to be an upcoming dividend.

Ex-dividend date: the day on which if you buy the stock, you would not be entitled to that particular dividend; or the first day on which a shareholder can sell the shares and still be entitled to the dividend.

Monthly Dividend Stock List

Record date: the day when you must be on the company’s books as a shareholder to receive the dividend. The ex-dividend date is normally set for stocks at two business days before the record date.

Payment date: the day on which the dividend payment is actually made, which can be as long at two months after the ex date.

Don’t forget to reconfirm the ex-dividend date with the company before implementing this technique.

Disclosure: Author did not own any of the above at the time the article was written.

 

Stocks Going Ex Dividend the Second Week of August

Here is our latest update on the stock trading technique called ‘Buying Dividends,’ also commonly referred to as ‘Dividend Capture.’ This is the process of buying stocks before the ex dividend date and selling the stock shortly after the ex date at about the same price, yet still being entitled to the dividend.

This technique generally works only in bull markets, and can work in flat or choppy markets, but you need to avoid the technique during bear markets. In order to be entitled to the dividend, you have to buy the stock before the ex-dividend date, and you can’t sell the stock until after the ex date.

The actual dividend may not be paid for another few weeks. WallStreetNewsNetwork.com has compiled a downloadable and sortable list of the stocks going ex dividend in the near future. The list contains many dividend paying companies, lots with market caps over $500 million, and yields over 2%. Here are a few examples showing the stock symbol, the ex-dividend date, the quarterly dividend amount, and annual yield.

Sonic Corp. (SONC) 8/7/2017 0.14 2.26%
American Electric Power Company, Inc. (AEP) 8/8/2017 0.59 3.30%
Starbucks Corporation (SBUX) 8/8/2017 0.25 1.74%
Wynn Resorts, Limited (WYNN) 8/8/2017 0.5 1.56%
Boeing Company (BA) 8/9/2017 1.42 2.10%

The additional ex-dividend stocks can be found here at wstnn.com. (If you have been to the website before, and the latest link doesn’t show up, you may have to empty your cache.) If you like dividend stocks, you should check out some of the other high yield stock lists at WallStreetNewsNetwork.com or WStNN.com. Most of the lists are free.

Dividend definitions: Declaration date: the day that the company declares that there is going to be an upcoming dividend.

Ex-dividend date: the day on which if you buy the stock, you would not be entitled to that particular dividend; or the first day on which a shareholder can sell the shares and still be entitled to the dividend.

Monthly Dividend Stock List

Record date: the day when you must be on the company’s books as a shareholder to receive the dividend. The ex-dividend date is normally set for stocks at two business days before the record date.

Payment date: the day on which the dividend payment is actually made, which can be as long at two months after the ex date.

Don’t forget to reconfirm the ex-dividend date with the company before implementing this technique.

Disclosure: Author did not own any of the above at the time the article was written.

 

Drink Coffee, Live Longer, Make Money with Coffee Stocks

Great news for you coffee drinkers. About a week ago, the news came out that drinking coffee can extend your life expectancy. And it wasn’t just one study that released this information, there were two studies.

One study, funded by the European Commission Directorate-General for Health and Consumers and International Agency for Research on Cancer was the largest research on coffee ever, involving half a million subjects from ten European countries. The study found that there was reduced risk of death from various causes, due to drinking coffee.

The other study involved multiethnic participants, including African Americans, Native Hawaiians, Japanese Americans, Latinos, and whites. This study, funded by the National Cancer Institute, found that coffee drinking was associated with a reduced risk for death in African Americans, Japanese Americans, Latinos, and whites.

If the desire for a longer life through coffee consumption catches on, this could certainly benefit the coffee companies. It is interesting to note that since these studies were released on July 11, the price of the iPath® Bloomberg Coffee Subindex Total Return ETN (JO) has increased by over 8%. JO consists of one futures contract on the commodity of coffee, and it is a way for investors to participate in the price of coffee without investing in the futures market.

Of course, Starbucks (SBUX) is the big elephant in the coffee cup with a market cap of $84 billion. The stock trades at 23.8 times forward earnings, and pays a dividend yield of 1.63%. Dividends have increased every year for the last seven years. Earnings for the latest quarter jumped 13.5% year-over-year.

If you are looking for a coffee producer and distributor, there is Coffee Holding (JVA), which is a very low cap stock at $25 million, and therefore very speculative. The stock trades at 20.8 times trailing earnings and has a very favorable price to sales ratio of 0.36.

If you are looking for a list of publicly traded coffee companies, look no further than the free list of coffee, caffeine, and tea stocks HERE. Hopefully one of these stocks can stimulate your portfolio and keep it healthy.

Disclosure: Author didn’t own any of the above stocks at the time the article was written.

 

Stocks Going Ex Dividend the Second Week of February

Here is our latest update on the stock trading technique called ‘Buying Dividends,’ also commonly referred to as ‘Dividend Capture.’ This is the process of buying stocks before the ex dividend date and selling the stock shortly after the ex date at about the same price, yet still being entitled to the dividend. This technique generally works only in bull markets, and can work in flat or choppy markets, but you need to avoid the technique during bear markets.

In order to be entitled to the dividend, you have to buy the stock before the ex-dividend date, and you can’t sell the stock until after the ex date. The actual dividend may not be paid for another few weeks.

WallStreetNewsNetwork.com has compiled a downloadable and sortable list of the stocks going ex dividend in the near future. The list contains many dividend paying companies, lots with market caps over $500 million, and yields over 2%. Here are a few examples showing the stock symbol, the ex-dividend date, the quarterly dividend amount, and annual yield.

Hexcel Corporation (HXL) 2/6/2026 0.11 0.85%
Sonic Corp. (SONC) 2/6/2031 0.14 1.87%
Xilinx, Inc. (XLNX) 2/6/2035 0.33 2.24%
Brink’s Company (BCO) 2/7/2017 0.1 0.93%
Discover Financial Services (DFS) 2/7/2020 0.3 1.70%
Starbucks Corporation (SBUX) 2/7/2029 0.25 1.58%

The additional ex-dividend stocks can be found here at wstnn.com. (If you have been to the website before, and the latest link doesn’t show up, you may have to empty your cache.) If you like dividend stocks, you should check out some of the other high yield stock lists at WallStreetNewsNetwork.com or WStNN.com. Most of the lists are free.

Dividend definitions:

Declaration date: the day that the company declares that there is going to be an upcoming dividend.

Ex-dividend date: the day on which if you buy the stock, you would not be entitled to that particular dividend; or the first day on which a shareholder can sell the shares and still be entitled to the dividend.

Monthly Dividend Stock List

Record date: the day when you must be on the company’s books as a shareholder to receive the dividend. The ex-dividend date is normally set for stocks at two business days before the record date.

Payment date: the day on which the dividend payment is actually made, which can be as long at two months after the ex date.

Book now available: Buying Dividends Revised and Expanded

Book now available: Stock Market Trivia Makes a Great Gift!
Don’t forget to reconfirm the ex-dividend date with the company before implementing this technique.

Disclosure: Author did not own any of the above at the time the article was written.