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Tootsie Roll Industries: Not Interesting At Lindt's Valuation
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Tootsie Roll Industries: Not Interesting At Lindt's Valuation

Seeking Alpha·Valkyrie Trading Society·29 days ago
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Home Earnings Analysis Consumer Staples Analysis Summary Tootsie Roll Industries trades at a full valuation near 20x EV/EBITDA, lacking growth drivers or meaningful brand expansion. Falling cocoa prices could deliver a 12% net income boost by late 2026, but sales growth remains limited and volume trends are negative. TR's portfolio is narrow, with little R&D, no significant M&A, and minimal investor communication, relying almost entirely on legacy brands. Superior alternatives exist in confectionery, such as Lindt and Orkla, offering better growth, reinvestment, and Orkla offers a much better FCFY than TR. Looking for a helping hand in the market? Members of The Value Lab get exclusive ideas and guidance to navigate any climate. Learn More » robtek/iStock Editorial via Getty Images Tootsie Roll Industries, Inc.…

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