Back to top

Analyst Blog

This page is temporarily not available.  Please check later as it should be available shortly. If you have any questions, please email customer support at support@zacks.com or call 800-767-3771 ext.  9339.

North American food company ConAgra Foods Inc.’s (CAG - Analyst Report) petition regarding the role of whole grains in reducing the risk of developing type 2 diabetes has been approved by the U.S. Food and Drug Administration (FDA).

Of all the cases of diabetes, type 2 diabetes accounts for roughly 90%–95%. Basic therapies for type 2 diabetes include healthy eating, physical activity and blood glucose testing. According to 2011 National Diabetes Fact Sheet, 25.8 million children and adults in the U.S., i.e. 8.3% of the population, suffers from diabetes.

At present, roughly 79 million Americans are at a risk of developing the type 2 diabetes. Subsequent to the approval, food product companies can announce that foods containing whole grains that meet certain nutrient requirements reduce the possibility of getting diagnosed with type 2 diabetes.

Per the most recent U.S. Dietary Guidelines, three ounces of whole grains are recommended daily. Three cups of ConAgra’s Orville Redenbacher’s SmartPop a day equals the prescription. ConAgra also manufactures Ultragrain, the first of its kind to contain 100% whole wheat with the taste, texture and appearance of traditional white flour.

While ConAgra suffered year-over-year reduction in sales of Consumer Foods and Commercial Foods in the first quarter of fiscal 2014, this approval will bolster consumers’ faith in the company’s products. This approval is expected to drive demand for whole grains and add to the top line of the company.

ConAgra currently carries a Zacks Rank #4 (Sell). Other stocks worth a watch in the industry include Green Mountain Coffee Roasters, Inc. (GMCR - Analyst Report), Pinnacle Foods Inc. (PF - Snapshot Report) and Boulder Brands, Inc. (BDBD - Snapshot Report). While Green Mountain Coffee and Pinnacle Foods carry a Zacks Rank #1 (Strong Buy), Boulder Brands carries a Zacks Rank #2 (Buy).

Please login to Zacks.com or register to post a comment.

New to Zacks?

Start Here

Zacks Investment Research

Close

Are you a new Zacks Member or a visitor to Zacks.com?

Top Zacks Features

Learn more

Start for as little as $4.50 per trade.

My Portfolio Tracker

Is it Time to Sell?

One of the most important steps you can take today is to set up your portfolio tracker on Zacks.com. Once you do, you'll be notified of major events affecting your stocks and/or funds with daily email alerts.

More Zacks Resources

Zacks Rank Home - Evaluate your stocks and use the Zacks Rank to eliminate the losers and keep the winners.

Mutual Fund Rank Home - Evaluate your funds with the Mutual Fund Rank for both your personal and retirement funds.

Stock/Mutual Fund Screening - Find better stocks and mutual funds. The ones most likely to beat the market and provide a positive return.

My Portfolio - Track your Portfolio and find out where your stocks/mutual funds stack up with the Zacks Rank.

Zacks #1 Rank Top Movers for Zacks #1 Rank Top Movers

Company Symbol Price %Chg
GENERAL FINA GFN 8.20 +5.67%
QIHOO 360 TE QIHU 91.57 +4.38%
VIPSHOP HOLD VIPS 140.01 +3.49%
INVESTMENT T ITG 19.16 +3.34%
VERTEX ENERG VTNR 7.38 +3.07%