Marcial: Pros Are Nibbling at Tootsie Roll

The confectioner could be a takeover temptation for larger rivals as the business continues to consolidate

Life is not so sweet these days for candymaker Tootsie Roll Industries (TR). First-quarter sales tumbled, costs spiraled higher, and earnings are on a downward slope. Even so, the smart-money crowd is starting to gather in the stock. That has lifted Tootsie's share price since late April, when the stock traded at $23. It sprinted up to $27 by early June, where it has remained. What's the scoop?

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