Stocks at the mid cap level present a well balanced opportunity for an investor interested in companies on track for growth and are more established than their small cap peers. To find consumer stocks that illustrate that mind set, we searched specifically for those with impressive EPS growth projections in the next year. In addition, we reduced the list to include those that received a recent 'Buy' or better rating from industry analysts. We think you will find our list of mid cap consumer stocks worthy of further research.
EPS growth (earnings per share growth) illustrates the growth of earnings per share over time. The one-year Expected EPS growth rate is an annual growth estimate, where the growth projections are made by analysts, the company or other credible sources.
We first looked for mid cap consumer stocks. From here, we then looked for companies that are considered high-growth, with one-year projected EPS growth above 25%. We then looked for businesses that analysts rate as "Buy" or "Strong Buy" (mean recommendation < 3).
Do you think these mid-cap stocks will outperform? Please use our list to assist with your own analysis.
1) Cosan Ltd. (NYSE:CZZ)
|1-Year Projected Earnings Per Share Growth Rate||56.18%|
Cosan Limited engages in the energy, food, logistics, infrastructure, and farmland development and management businesses primarily in Brazil, Europe, Latin America, the Middle East, Asia, and North America. The company is involved in the production and marketing of a range of products derived from sugar cane, including raw sugar, and anhydrous and hydrated ethanol; energy cogeneration from sugar cane bagasse; and distribution and marketing of fuels and lubricants under the Shell and Esso brands. In addition, it engages in the retail sale of sugar foods under the Unio and Da Barra brands; and production and distribution of lubricants, as well as provides logistics services, including transportation, port lifting, and storage of sugar. Further, the company is involved in agricultural land and other investment activities. As of May 28, 2012, it operated approximately 4,600 fuel service stations. Cosan Limited was founded in 1936 and is based in So Paulo, Brazil.
2) Gildan Activewear Inc. (NYSE:GIL)
|Industry||Textile - Apparel Clothing|
|1-Year Projected Earnings Per Share Growth Rate||77.86%|
Gildan Activewear Inc. engages in the manufacture and sale of apparel products primarily in the United States, Canada, and Europe. It sells T-shirts, fleece, and sport shirts to wholesale distributors under the Gildan brand name. The company also provides its activewear products for work and school uniforms and athletic team wear, and other purposes to convey individual, group, and team identity. In addition, it offers undecorated products to branded apparel companies and retailers; and underwear products. Further, the company markets its sock products under the various brands, including Gold Toe, PowerSox, SilverToe, Auro, All Pro, GT, and the Gildan brand. The company was formerly known as Textiles Gildan Inc. and changed its name to Gildan Activewear Inc. in March 1995. Gildan Activewear Inc. was founded in 1984 and is headquartered in Montreal, Canada.
3) Rock-Tenn Co. (RKT)
|Industry||Packaging & Containers|
|1-Year Projected Earnings Per Share Growth Rate||46.74%|
Rock-Tenn Company manufactures and sells containerboard, recycled paperboard, bleached paperboard, packaging products, and merchandising displays in the United States, Canada, Mexico, Chile, Argentina, Puerto Rico, and China. The company provides linerboard and corrugated medium, corrugated sheets and packaging, and preprinted linerboard for manufacturers of corrugated box, and industrial and consumer products; converts corrugated sheets into corrugated products; and provides structural design and engineering services. It also offers folding cartons for packaging applications; express mail envelopes for the overnight courier industry; and coated recycled and bleached paperboard products to manufacturers of folding cartons and other paperboard products.
In addition, the company manufactures temporary and permanent point-of-purchase displays for consumer product companies; provides contract packing services, such as multi-product promotional packing and product manipulation; and manufactures lithographic laminated packaging. Further, it provides specialty recycled paperboard products to solid fiber interior packaging, tube and core, and other paperboard product manufacturers; gypsum paperboard liner; and converts specialty paperboard into book cover and other products.
Additionally, the company designs, manufactures, and sells solid fiber and corrugated partitions for manufacturers of glass containers, beer, food, wine, spirits, cosmetics and pharmaceuticals, and automotive industries; and die-cut paperboard components. It is also involved in recycled fiber brokerage and collection operations, including procuring, sorting, grading, baling, and processing various grades of recovered paper; and collecting aluminum and plastics for resale to manufacturers of these products. Rock-Tenn markets its products through its sales force, independent sales representatives, or independent distributors. The company was founded in 1936 and is headquartered in Norcross, Georgia.
4) Sealed Air Corporation (NYSE:SEE)
|Industry||Packaging & Containers|
|1-Year Projected Earnings Per Share Growth Rate||38.38%|
Sealed Air Corporation, through its subsidiaries, provides food safety and security, facility hygiene, and product protection solutions worldwide. Its Food Packaging segment provides shrink bags and vacuum packaging products; packaging materials for cook-in applications; laminated and coextruded rollstock packaging materials used in thermoforming and form, fill, and seal applications; and associated packaging equipment and systems, including bag loaders, dispensers, and vacuum chamber systems. The company's Food Solutions segment offers case-ready packaging offerings; ready meals packaging technologies; vertical pouch packaging solutions for packaging flowable food products; foam and plastic trays; absorbent products for food packaging; and related packaging equipment, including vacuum chamber systems.
Its Protective Packaging segment provides air cellular packaging materials; polyolefin performance shrink films for product display; shrink packaging equipment systems; polyurethane foam packaging systems that provide protective packaging; lightweight and tear-resistant mailers and bags; inflatable packaging systems; paper cushioning systems that include recycled paper and automated dispensing equipment; paper packaging products; and suspension and retention packaging products. The company's Diversey Segment offers a range of products and services, such as kitchen cleaning products; food and beverage and manufacturing and processing products; floor care products and systems; restroom care and other housekeeping products; and laundry products, as well as consulting services. Sealed Air Corporation also provides specialty materials products to fabricators and manufacturers; and medical applications products and solutions to medical device manufacturers and pharmaceutical companies. The company markets its products primarily under the Bubble Wrap, Cryovac, and Diversey brands. Sealed Air Corporation was founded in 1960 and is headquartered in Elmwood Park, New Jersey.
5) MeadWestvaco Corporation (MWV)
|Industry||Packaging & Containers|
|1-Year Projected Earnings Per Share Growth Rate||25.17%|
MeadWestvaco Corporation provides packaging solutions to the healthcare, beauty and personal care, food, beverage, tobacco, and home and garden industries worldwide. The company's Packaging Resources segment produces bleached paperboard, Coated Natural Kraft paperboard, and corrugated packaging products. Its Consumer Solutions segment designs and produces multi-pack cartons and packaging systems primarily for the beverage take-home and tobacco markets. This segment also offers injection-molded plastic packaging for prescription drugs; and dispensing and sprayer systems for personal care, fragrance, healthcare, home cleaning, and garden and lawn maintenance products. In addition, it has a pharmaceutical packaging contract with mass-merchants; and manufactures equipment that is leased or sold to its beverage and dairy customers to package their products.
The company's Specialty Chemicals segment manufactures, markets, and distributes specialty chemicals derived from sawdust and other by-products of the papermaking process in North America, Europe, South America, and Asia. This segment's products include activated carbon used in gas vapor emission control systems for automobiles and trucks, as well as applications for air, water, and food purification; and performance chemicals used in printing inks, asphalt paving, and adhesives, as well as in the agricultural, paper, and petroleum industries. The company's Community Development and Land Management segment is involved in real estate development, forestry operations, and leasing activities. MeadWestvaco Corporation was founded in 1888 and is headquartered in Richmond, Virginia.
*Company profiles were sourced from Google Finance and Yahoo Finance. Financial data was sourced from Finviz on August 26, 2012.
Disclosure: I have no positions in any stocks mentioned, and no plans to initiate any positions within the next 72 hours.
Business relationship disclosure: This article was prepared for ZetaKap Media by one of our full-time analysts. We did not receive compensation for this article (other than from Seeking Alpha), and we have no business relationship with any company whose stock is mentioned in this article.