Inventure Foods, Inc. (NASDAQ: SNAK)
Inventure Foods, Inc. (SNAK), a global specialty snack food products company yesterday announced the sale of its frozen division. The frozen division was sold to Oregon Potato Company for $50 million cash.
Inventure Foods, Inc. CEO’s Comments
“We are pleased to enter into an agreement for the sale of our frozen business,” commented Terry McDaniel, Chief Executive Officer of Inventure Foods. “This is a significant second step under our strategic and financial business review. We intend to use the proceeds from the transaction to further reduce our debt and improve our overall financial flexibility in order to allow us to focus on continuing to grow our leading snack business as we finalize our strategic review.” Globe Newswire
SNAK Technical Analysis
SNAK opened trading yesterday at $3.40 which was up from the previous day’s trading close of $3.39. SNAK closed trading yesterday at $3.35 and spiked up after market to $4.00, equivalent to a 19% increase from the closing price. Taking a look at the daily chart we can see the last time SNAK traded above these levels we have to go back to July 6th when it traded at $4.02.
Taking a closer look at the daily chart we can see that before the spike up SNAK had been in an overall downward trend dating back to January 4th when it traded at $9.93. SNAK has a float of 17.51 million shares and traded below the normal daily trading volume on Tuesday.
For trading purposes, I would like to see SNAK open trading on Wednesday above $3.80 and if it does I would be looking to take a long position at the bell. My stop loss would be $0.15 from my entry position fearing anything more than that and the stock would start to fill in the gap up.
Inventure Foods, Inc. manufactures and markets healthy/natural and indulgent specialty snack food products in the United States and internationally. It operates in two segments, Frozen Products and Snack Products. The companys healthy/natural food products include Rader Farms frozen berries; Boulder Canyon kettle cooked potato chips; other snack and food items; Willamette Valley Fruit Company frozen berries; Fresh Frozen brand frozen vegetables; biscuits and other frozen snacks; Jamba branded blend-and-serve smoothie kits; Seattles Best Coffee Frozen Coffee Blends branded blend-and-serve frozen coffee beverage; Sin In A Tin chocolate pate and other frozen desserts; and private label frozen fruits and healthy/natural snacks.
Its indulgent specialty snack food products include snack food under the T.G.I. Fridays, Nathans Famous, and Vidalia brands; kettle cooked potato chips under the Poore Brothers and Bobs Texas Style brands; and Tato Skins brand potato snacks.
The company also manufactures private label snack chip products for various grocery chains and natural stores, and co-pack products for other snack manufacturers. It markets its products through various channels, including grocery stores, natural food stores, mass merchandisers, drug and convenience stores, and club stores, as well as company-owned and third-party warehouses, direct store delivery, distribution centers, and other facilities.
The company was formerly known as The Inventure Group, Inc. and changed its name to Inventure Foods, Inc. in May 2010. Inventure Foods, Inc. was founded in 1986 and is headquartered in Phoenix, Arizona. Yahoo Finance