Mark Yagalla
Gold, currencies, macro, commodities

For Those That Missed The Rally In Green Mountain Coffee, Look To TreeHouse Foods

Executive summary:

  • TreeHouse Foods is poised to grow its single-serve coffee business from $180 million last year to $250 million this year.
  • TreeHouse's lawsuit against Green Mountain has merit and I see a resolution favorable for TreeHouse, which is lead by an experienced litigation team.
  • Look for further margin improvement this year as TreeHouse completes the integration of Cains Foods and Associated Brands.
  • A debt refinancing next month will cut interest expense from $51.6 million to $41-$43 million.
  • The company is also looking at M&A to continue growing its private label business.

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It's been a busy month for TreeHouse Foods (NYSE:THS). First, the company filed suit against Green Mountain Coffee Roasters (NASDAQ:GMCR) alleging anti-competitive practices...

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