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Post Holdings Acquires PPI, Taps Into Growing Potato Market

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Post Holdings, Inc. (POST - Free Report) has completed its acquisition of Potato Products of Idaho, L.L.C. ("PPI") as of March 3, 2025. The acquisition, originally announced on Dec. 17, 2024, marks a strategic expansion for the company.

While financial details remain undisclosed, the move strengthens Post Holdings’ product portfolio and market presence in the rapidly growing food industry. With increasing consumer demand for convenient, value-added potato products, this acquisition positions POST, a leading consumer packaged goods company, for long-term growth. The company had earlier announced that the acquisition includes a manufacturing facility in Rigby, reinforcing its commitment to enhancing supply-chain efficiency and production capabilities.

 

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What Else Should You Know About POST?

Post Holdings has been leveraging strategic acquisitions to expand its customer base and strengthen its market position. In December 2023, the company acquired Perfection Pet Foods, which now operates under the Post Consumer Brands segment. It also acquired Deeside Cereals in the same month to enhance its Weetabix segment. Notably, acquisitions contributed $60.8 million in sales during the first quarter of fiscal 2025.

Beyond acquisitions, Post Holdings continues to see strong performance in its Foodservice segment. In the fiscal first quarter, net sales in this segment grew by 8.7% to $616.6 million, with volumes increasing by 2.8%, driven by distribution gains in eggs and potatoes, as well as the addition of ready-to-drink shakes. With a growing distribution footprint and a premium product mix, the Foodservice segment remains a key driver of Post Holdings’ long-term growth strategy.

With a strong acquisition strategy and a thriving Foodservice segment, the company is well-positioned for continued expansion and success in the evolving food industry. Shares of this Zacks Rank #2 (Buy) company have gained 10.8% in the past year against the industry’s decline of 9.6%.

Three Other Consumer Staple Picks

Pilgrim’s Pride (PPC - Free Report) , which produces, processes, markets and distributes fresh, frozen and value-added chicken and pork products, currently sports a Zacks Rank of 1 (Strong Buy). PPC delivered a positive earnings surprise of 25.7% in the trailing four quarters, on average. You can see the complete list of today’s Zacks #1 Rank stocks here.

The Zacks Consensus Estimate figure for Pilgrim’s Pride’s current financial-year earnings indicates a decline of 5.4% from the prior-year reported level.

Tyson Foods, Inc. (TSN - Free Report) operates as a food company worldwide. It presently carries a Zacks Rank #2. TSN delivered a trailing four-quarter earnings surprise of almost 52%, on average.

The Zacks Consensus Estimate for Tyson Foods’ current fiscal-year sales and earnings indicates growth of almost 0.9% and 22.6%, respectively, from the prior-year reported levels.

Utz Brands (UTZ - Free Report) , which has a diverse portfolio of salty snacks, currently carries a Zacks Rank of 2. UTZ has a trailing four-quarter earnings surprise of 8.8%, on average.

The Zacks Consensus Estimate for Utz Brands’ current financial-year sales and earnings indicates growth of 1.2% and 10.4%, respectively, from the year-ago number.


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