As an investor for the last 20 years, I am always on the lookout for solid dividend-paying stocks. One dividend stock investors should take a look at is B&G Foods, INC (NYSE: BGS).
Why should investors buy B&G Foods stock (BGS)? It pays a huge 6.61% dividend! Before I go any further, investors should never chase dividends, but rather look at the company’s business model, a current status that includes both technical and fundamental analysis.
Table of Contents
What is B&G Foods (BGS)?
It is an American food manufacturer that sells over 50 well-known products and brands like Cream of Wheat, Dash, and Green Giant Vegetables. The company has been around since 1889 and is headquartered in New Jersey.
Before the coronavirus, BGS struggled to pay the dividend and was not very attractive. However, times have changed with the Coronavirus and business is booming with a year-over-year growth net sales of 38% and 44% EBITDA.
You may wonder, what happens to BGS after the pandemic? This is a very good question. Although the virus is unlikely to go away anytime soon. However, when it does, a recent market report said from Piper Jaffray said that 2/3 of respondents of the survey said they will continue to eat at home.
What about the technical analysis of BGS stock?
B&G Foods stock is showing bearish trends on 1-day technicals. However, looking a longer term such as a weekly chart the signals are bullish. We believe this is the case because BGS is not a growth stock and has stayed ranged between $15 to $30 per share since 2019. The current pivot point on the daily is $27.40 with resistance around $28.40. Investors looking to buy BGS stock should consider buying it on a dip.
BGS Recommendations
Jul-28-20 Initiated Seaport Global Securities Neutral
Jun-12-20 Initiated DA Davidson Neutral
Jun-11-20 Initiated RBC Capital Mkts Sector Perform
May-13-20 Upgrade Piper Sandler Neutral → Overweight $21 → $28
Apr-28-20 Upgrade Credit Suisse Underperform → Neutral $17 → $19
Jan-23-20 Initiated Jefferies Hold
Jan-22-20 Initiated Jefferies Hold
Jun-12-19 Initiated Evercore ISI In-line
1 Week Moving Averages For BSG Stock
| Exponential Moving Average (5) | 27.83 | Buy |
| Simple Moving Average (5) | 28.01 | Buy |
| Exponential Moving Average (10) | 27.89 | Buy |
| Simple Moving Average (10) | 27.99 | Buy |
| Exponential Moving Average (20) | 26.96 | Buy |
| Simple Moving Average (20) | 27.74 | Buy |
| Exponential Moving Average (30) | 25.76 | Buy |
| Simple Moving Average (30) | 25.83 | Buy |
| Exponential Moving Average (50) | 24.24 | Buy |
| Simple Moving Average (50) | 22.00 | Buy |
| Exponential Moving Average (100) | 24.06 | Buy |
| Simple Moving Average (100) | 22.07 | Buy |
| Exponential Moving Average (200) | 26.28 | Buy |
| Simple Moving Average (200) | 27.73 | Buy |
| Ichimoku Cloud Base Line (9, 26, 52, 26) | 26.28 | Neutral |
| Volume Weighted Moving Average (20) | 27.81 | Buy |
| Hull Moving Average (9) | 27.64 | Buy |
