To The Moon

$JM Smucker(SJM)$ $HRL Holdings Ltd(HRL.AU)$ $Archer-Daniels Midland(ADM)$ 🥜📈 Peanut butter’s not just spreading; it’s stacking dividends and unlocking alpha 💰🌍

I’m absolutely convinced the humble peanut is hiding in plain sight as a stealth compounder. From Burkina Faso to Beijing, and Lexington, Kentucky to Lagos, peanut-based consumption is rising, driving long-term cash flow for food and ingredient giants.

🧬 Why it matters:

Peanut butter delivers a whopping 25g of protein per 100g, just 1g shy of raw peanuts at 26g; it outpaces many animal-based proteins. And it’s not just a Western condiment. In much of Africa and Asia, groundnut paste is a staple, not a snack.

💡 Top per capita PB consumers (2024):

• Burkina Faso: 6.36kg/person

• Myanmar: 6.02kg

• Chad: 4.00kg

• China: 2.8kg

• Niger: 2.7kg

• U.S.: just 2.0kg

This isn’t just about American lunchboxes; it’s a global protein shift.

Here’s how I’m playing it across three rock-solid stocks.

🥇 J.M. Smucker Co. ($SJM) – $108.97

Owns Jif, the #1 peanut butter brand in the U.S., and operates the world’s largest peanut butter facility in Lexington, KY. They just announced their 28th straight dividend hike, increasing the quarterly payout from $1.08 to $1.10/share, payable Sep 2.

FY2025 free cash flow came in at $816.6M, comfortably covering $455M in dividends. Q4 EPS rose to $2.31 with revenue up 7%, bolstered by Uncrustables and their growing snack empire following the Hostess acquisition.

Smucker also launched a regenerative peanut farming program in partnership with ADM, spanning 20,000 acres. From ESG farming to shelf domination, this is vertical integration in action.

📌 Dividend yield near 4%

📌 Ex-date: Aug 15

📌 Jif, Smucker’s jam, Folgers, Meow Mix; all under one roof

📌 Strongest direct exposure to global peanut protein trends

🥈 Hormel Foods ($HRL) – $29.38

Owns Skippy (#2 U.S. brand) and Planters; double peanut power. This Dividend King has raised its dividend for 59 straight years, with current annual payout at $1.16.

Hormel is a classic defensive staple, and with seasonal capital rotating into low-beta dividend names, HRL becomes even more attractive. It’s historically resilient during periods of macro uncertainty and Q4 earnings defensiveness.

Skippy has re-entered Canadian markets and continues gaining traction in Asia. Hormel’s strategy leans hard into global protein demand with a diversified brand roster: Spam, Jennie-O, Wholly Guacamole, Applegate, Columbus Meats.

Valuation model:

• EPS (TTM): $1.36

• FCF/share: $1.27

• Intrinsic value: $31

• Buy zone: $20 (C-grade risk)

• Sell zone: $33

📌 Financial Risk Grade: B (very low dividend cut risk)

📌 Business Quality Grade: C (average earnings quality)

📌 Strong retail and foodservice moat in protein categories

📌 Well-positioned for seasonal capital rotation into consumer defensives

🥉 Archer Daniels Midland ($ADM) – $55.68

ADM is the quiet enabler of this entire thesis. They process billions of pounds of peanuts into oil and meal. The U.S. now holds 3.2 billion lbs in peanut stockpiles, per USDA; ADM stands to benefit directly from these surpluses.

Their regenerative farming partnership with Smucker aligns them with ESG inflows while securing upstream margins.

📌 Massive supply chain exposure to peanut commodities

📌 ESG regenerative peanut acreage: 20,000+ acres

📌 Beneficiary of global protein oil demand and food security tailwinds

🧠 Why I’m bullish:

Peanut butter isn’t niche; it’s a global protein economy. From Myanmar to the Netherlands, consumption is rising. With 25–26g of protein per 100g, this isn’t just affordable; it’s essential.

Smucker controls the brand. Hormel expands the footprint. ADM controls the farm.

This is vertical dominance across the peanut value chain: from acreage to jar, protein to dividend.

📢 Don’t miss out! Like, Repost and Follow me for exclusive setups, cutting-edge trends, and insights that move markets 🚀📈 I’m obsessed with hunting down the next big movers and sharing strategies that crush it. Let’s outsmart the market and stack those gains together! 🍀

Trade like a boss! Happy trading ahead, Cheers, BC 📈🚀🍀🍀🍀

@Tiger_comments @TigerWire @TigerPicks @TigerStars @TigerClub @Daily_Discussion