Anyone Invested In Spectrum Brands?

Hello all,
It’s been a minute…
Just perusing this board and still only see my haphazard quarterly rundowns for Spectrum Brands. Curious, does anyone out there own this stock? Any thoughts on the recent quarter and deterioration (again) in free cash flow and EPS in the last year? Is it temporary, headed for a rebound? Asking, because I worry this company could be one of those companies that does not hold up well in an inflationary environment, but looking for ideas on this.
Thanks!

Nick

I was, long before my Fool days.

I sold it out around $100 last year for good overall gains. I’ve been holding out for a break back into the $75 area to get back involved.

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And there it is. I bought back in on this from $73-65. Wild price action today!

I have a target at $56.30 to finish my (re)accumulation.

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Way late reply here, sorry TheDuque! What is it that you like about SPB right now versus other dividend stocks?

Nick

They have a decent exposure to the pet food business, which I think is a great differentiator in the consumer staples sector. Margins are much better there than in ‘people food’.

I feel similarly about General Mills, which I also have a position in.

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Pet food is indeed a great place to be in the CG space. A rare growth sub-industry. How do you feel about SPB’s margins and its ability to drive dividend increases going forward?

Nick

Good question, and that is a sore spot. They haven’t increased the dividend in at least four years, and I harbor doubts they will increase it any time soon. I believe their tend to focus their capital allocation more on acquisitions.

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