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Mother's Day, is this Sunday, so if you haven't done the shopping for your mother and/or wife, then you had better get a move on. You may want to consider a gift of some shares in companies that may participate in sales of Mother's Day-related products. Here are a few that can benefit from the widely celebrated day, including chocolate, flowers, and jewelry. Don't forget the greeting card and gift-wrap.

  • Hershey (HSY), founded in 1894, is the largest manufacturer of chocolate in North America and one of the largest chocolate and candy companies in the world. Hershey's Kisses were invented in 1901, and Hershey's chocolate chips were introduced in 1928. The stock has a P/E of 47, a PEG of 3, and a favorable yield of 3.1%.

  • Rocky Mountain Chocolate Factory Inc. (RMCF) is a very low cap stock [and should therefore be considered very speculative], based in Durango, Colorado. It makes and markets caramels, creams, mints, and truffles. The company, which was founded in 1981, has over 300 franchise locations in 40 states, along with Canada and the United Arab Emirates. The P/E is 14, and its yield is 3.3%.

  • 1-800-Flowers.com Inc. (FLWS), the largest publicly traded flower seller, also sells plants, gourmet foods, cookies, cakes, candies, wine, gift baskets, and other gifts. It has a P/E of 22 and a PEG of 1.2. 1-800-Flowers is being purchased by United Online (UNTD), the Internet and media services company that owns NetZero, Juno, and Classmates.

  • Tiffany & Co. (TIF), founded in 1837, is one of the top jewelry companies in the world, with over 60 U.S. stores and over 100 international locations. The metric carat as a weight standard for gems was developed by a Tiffany gemologist. The New York City flagship store is home to the 128-carat Fancy Yellow Tiffany Diamond. The stock has a P/E of 19, a PEG of 1.2, and a yield of 1.4%.

  • Blue Nile Inc. (NILE), founded in 1999, is a leading web-based retailer of diamonds and fine jewelry, and the largest online retailer of certified diamonds. The stock has a P/E of 44 and a PEG of 2.02.

  • A couple other jewelry companies that might be of interest are Signet Group plc (SIG), with a PEG of 0.94 and a yield of 5.2%, and Zale Corporation (ZLC) with a P/E of 32.

  • American Greetings Corp. (AM), founded in 1906 and based in Cleveland, Ohio, is the largest publicly-traded greeting card company in the world. The stock has a P/E of 12, a PEG of 1.1, and a yield of 2.6%.

  • CSS Industries Inc. (CSS) markets gift wrap, gift bags, boxed greeting cards, gift tags, tissue paper, decorations, and decorative ribbons and bows. The stock has a P/E of 13, and a yield of 2%.

  • Disclosure: The author owns UNTD.

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      Umm... I think UNTD is purchasing FTD, not FLWS.
      2008 May 11 03:44 PM | Link | Reply
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