Food counters to chew on
Weak consumer spending has hit the food counters hard, but there are some bright spots – and perhaps now is a good time to have some cash on hand
BUY: RCL FOODS Share price: R10 JSE code: RCL
The market found it tough to digest RCL’s recent trading statement — covering the year to end-June — which showed the bulky commodity businesses in poultry and sugar struggling. On the plus side, the grocery business, which carries higher margins, looked in far better shape. If RCL could bulk up this side of the business, the market might find the company a more appetising prospect.