Mondelez International Inc (MDLZ): Today's Featured Food & Beverage Laggard

Editor's Note: TheStreet ratings do not represent the views of TheStreet's staff or its contributors. Ratings are established by computer based on metrics for performance (which includes growth, stock performance, efficiency and valuation) and risk (volatility and solvency). Companies with poor cash flow or high debt levels tend to earn lower ratings in our model

Mondelez International ( MDLZ) pushed the Food & Beverage industry lower today making it today's featured Food & Beverage laggard. The industry as a whole closed the day up 0.4%. By the end of trading, Mondelez International fell $0.68 (-2.2%) to $29.60 on average volume. Throughout the day, 17,564,567 shares of Mondelez International exchanged hands as compared to its average daily volume of 12,165,100 shares. The stock ranged in price between $29.58-$30.17 after having opened the day at $30.05 as compared to the previous trading day's close of $30.28. Other companies within the Food & Beverage industry that declined today were: S&W Seed Company ( SANW), down 3.0%, Amira Nature Foods ( ANFI), down 2.7%, Concha y Toro Winery ( VCO), down 2.7% and Companhia de Bebidas das Americas Ambev ( ABV.C), down 2.5%.
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Mondelez International, Inc., together with its subsidiaries, manufactures and markets packaged food products worldwide. Mondelez International has a market cap of $55.8 billion and is part of the consumer goods sector. The company has a P/E ratio of 31.6, above the S&P 500 P/E ratio of 17.7. Shares are up 22.9% year to date as of the close of trading on Wednesday. Currently there are 13 analysts that rate Mondelez International a buy, 2 analysts rate it a sell, and 5 rate it a hold.

TheStreet Ratings rates Mondelez International as a hold. The company's strengths can be seen in multiple areas, such as its reasonable valuation levels, expanding profit margins and largely solid financial position with reasonable debt levels by most measures. However, as a counter to these strengths, we also find weaknesses including a generally disappointing performance in the stock itself, unimpressive growth in net income and weak operating cash flow.

On the positive front, Central European Distribution ( CEDC), down 18.4%, MGP Ingredients ( MGPI), down 13.1%, Primo Water ( PRMW), down 7.3% and Castle Brands Incorporated ( ROX), down 5.4% , were all gainers within the food & beverage industry with Leucadia National Corporation ( LUK) being today's featured food & beverage industry leader.

For investors not wanting singular stock exposure, ETFs may be of interest. Investors who are bullish on the food & beverage industry could consider PowerShares Dynamic Food & Beverage ( PBJ) while those bearish on the food & beverage industry could consider PowerShares DB Agriculture Sht ETN ( ADZ).

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