Zacks Bull and Bear of the Day Highlights: Graco, Maidenform Brands, Kraft Foods Group, Mondelez International and Flower Foods

  Zacks Bull and Bear of the Day Highlights: Graco, Maidenform Brands, Kraft
             Foods Group, Mondelez International and Flower Foods

PR Newswire

CHICAGO, April 30, 2013

CHICAGO, April 30, 2013 /PRNewswire/ --Zacks Equity Research highlights Graco
Inc. (NYSE:GGG) as the Bull of the Day and Maidenform Brands Inc. (NYSE:MFB)
as the Bear of the Day. In addition, Zacks Equity Research provides analysis
on Kraft Foods Group (Nasdaq:KRFT), Mondelez International (Nasdaq:MDLZ) and
Flower Foods Inc. (NYSE:FLO).

(Logo: http://photos.prnewswire.com/prnh/20101027/ZIRLOGO)

Full analysis of all these stocks is available at
http://at.zacks.com/?id=2678.

Here is a synopsis of all five stocks:

Bull of the Day:

The industrial companies are hanging in there despite predictions that the end
of the cycle is near. Graco Inc. (NYSE:GGG) recently beat the Zacks Consensus
by 15.1%. This Zacks Rank #1 (Strong Buy) is expected to grow earnings in the
double digits in both 2013 and in 2014.

Graco may not be a household name, but it makes products which influence
everyday life. It makes fluid-handling equipment and systems, with one of its
best known products being the spray gun which is used to apply paint to homes,
businesses and cars. But its systems also have other applications including
squeezing tomato paste onto millions of frozen pizzas.

Founded in 1926 in Minnesota, the company has survived many different
recessions and economic conditions. It is now global, with a diverse worldwide
customer base.

On Apr 24, Graco announced record sales as they jumped 15% compared to a year
ago to $269 million, however some of that was driven by the acquisition of
Gema powder finishing business in August of 2012.

Bear of the Day:

Estimates are sinking on Maidenform Brands Inc. (NYSE:MFB) ahead of its first
quarter earnings report on May 8 after it warned in March that 2013 would be a
"transitional" year. This intimate apparel maker is now a Zacks Rank #5
(Strong Sell).

Maidenform Brands makes intimate apparel products, including bras, panties and
shapewear, under many well known brands including Maidenform, Control It!,
Lilyette, Self Expressions and Sweet Nothings, among others.

Maidenform has been riding the hot trend in shapewear for years but reliance
on that one hot product finally caught up with the company in 2012 as it saw
increased competition in the shapewear category from both department and chain
stores. The secret is out and there little no barrier to entry for
competitors.

In March, the company reported that full year fiscal 2012 sales declined 1% to
$600.3 million. The outlook for 2013 doesn't look that much better. The
company isn't expecting a turnaround until 2014.

Latest Posts on the Zacks Analyst Blog:

Will Kraft Foods Beat Earnings?

Kraft Foods Group (Nasdaq:KRFT) is set to report its first-quarter fiscal 2013
results on May 2 after the market closes. Last quarter, it posted a 90%
positive surprise. Let's see how things are shaping up for this announcement.

Kraft Foods Group was spun off from Kraft Foods, Inc into an independent
company last year in October. Kraft Foods Group includes the North American
grocery business of the old Kraft Foods which has been renamed to Mondelez
International (Nasdaq:MDLZ), but now comprises only its global snacks
business.

Factors to Consider This Quarter

The top line was quite weak in the fourth quarter due to the difficult
year-ago comparisons and volume declines (due to retailer inventory shifts and
more product pruning). Kraft Foods was not much successful in raising prices
either.

Management is not too bullish for the first quarter of 2013 as well given the
difficult year-ago comparison which included some price increases that are not
expected to be repeated in this quarter. Moreover, management does not expect
a full recovery from the consumption declines seen in the fourth quarter of
2012.

However, like the fourth quarter of 2012, the first quarter's profits could
see tailwinds from strong productivity gains and cost savings which can
partially offset headwinds from the sluggish top line.

Earnings Whispers?

Our proven model does not conclusively show that Kraft Foods is likely to beat
earnings this quarter. That is because a stock needs to have both a positive
Earnings ESP (Read: Zacks Earnings ESP: A Better Method) and a Zacks Rank of
#1, 2 or 3 for this to happen. That is not the case here, as you will see
below.

Zacks ESP: The Zacks ESP is 0.0%.

Zacks Rank #2 (Buy): Kraft Foods carries a Zacks Rank#2 (Buy). However the
Zacks #2 Rank when combined with a 0.0% ESP makes surprise prediction
difficult. We caution against stocks with Zacks #4 and #5 Ranks (Sell-rated
stocks) going into the earnings announcement.

Other Stocks to Consider

Here are some other food companies you may want to consider, as our model
shows they have the right combination of elements to post an earnings beat
this quarter:

Flower Foods Inc. (NYSE:FLO), with Earnings ESP of +14.63% and a Zacks Rank #1
(Strong Buy).

Get the full analysis of all these stocks by going to
http://at.zacks.com/?id=2649.

About the Bull and Bear of the Day

Every day, the analysts at Zacks Equity Research select two stocks that are
likely to outperform (Bull) or underperform (Bear) the markets over the next
3-6 months.

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