Aug. 14 at 8:26 PM
$BRID third q 10Q filing due on Friday, Aug 22 after the market close. The market has already priced in a dismal quarter and then some. Therefore, once the 10Q is issued, the stock should attract some buying interest as the "uncertainty" will be vanished. Those who sold the rumor, will buy the news as the report won't be quite as bad as anticipated. Flat sales and a drop in gpm of about 100 basis points from 22.78% to 21.78% will create an operating loss of about
$3.75 million. The gpm deterioration will be solely attributable to high beef prices. The drop in gross profit margin will be partially offset by a 7% (
$1,000,000) reduction in SG&A costs from
$14,445,000 to
$13,445,000. One possible break? If we see a cease fire announced on the Russia-Ukraine conflict tomorrow, wheat could tumble big time. That would help the frozen division with vengeance.
