Gordon Tam, CFA
CFA, value, www.top10invest.com, long only

John B Sanfilippo & Son: Compelling Risk Reward And Attractive Free Cash Flow

Deeply-discounted Volaris (NYSE:VLRS) with the 8.7x forward P/E multiple has already been a great value for me. Today, I find even a better stock in a simple nut industry selling at only 8.25x P/FCF. Instead of the 8.7x forward P/E multiple demanded by VLRS, investors are paying an even cheaper 8.25x FCF when buying this undervalued company, John B Sanfilippo & Son (NASDAQ:JBSS). In other words, it only takes 8.25 years for JBSS to return all the money back to you as a shareholder. As one of the Warren Buffett rules state, "Never invest in a business you can't understand." I am positive that almost all investors should have no trouble understanding JBSS.

Business Overview


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