Cal-Maine Foods (NASDAQ:CALM) has just reported its earnings and we will discuss the results and outlook for the name in this column. Remember that this stock has fallen from grace since we said we were walking on eggshells. We recommended taking some profits after our buy call when the stock hit $50. This spring, we saw a run up in the name, but we have stood by the sell rating. A recent round of speculative buying has driven the stock higher this month, but significant challenges remain in the egg market.
In spite of these challenging market conditions, Cal-Maine has been laser focused on managing its operations in an efficient and responsible manner, responding to customer demand for its products, while surviving the downturn in egg pricing. While the company is weathering the storm, we believe you should wait to buy the stock until the supply and demand fundamentals are more favorable. The Q1 results lend evidence to the fact that the situation is not………READ FULL ARTICLE