Saturday, March 16, 2013

Coffee and Tea can Prevent Strokes: Stocks that can Benefit

According to research by Japan's National Cerebral and Cardiovascular Center published in the American Heart Association's journal, Stroke, people who consume a cup of coffee a day and four or more cups of green tea a day have a much reduced chance of getting a stroke. This is primarily due to the anti-inflammatory effects of green tea and its blood circulation control, plus the benefits of quinides in coffee.

There are over 20 companies involved in the production of coffee and tea, according to the free list of coffee stocks at, with a half a dozen of them paying dividends. Of course, there is the ever popular Starbucks (SBUX) which is the largest coffeehouse retailer in the world, with outlets in 50 countries and over 18,000 shops worldwide. The stock trades at 31 times trailing earnings and 22 times forward earnings. The stocks sports a yield of 1.5%. Earnings for the latest quarter rose 13.1% on an 10.6% boost in revenues.

Hain Celestial Group (HAIN) owns the Celestial Seasonings brand of teas including green teas. The stock has a trailing price to earnings ratio of 28.4, and a forward PE of 20.3. The stock does not currently pay a dividend. Earnings for the latest quarter spiked 57.8% on a 24.8% rise in revenues.

A major wholesaler of coffee is Coffee Holding Co. (JVA), which also markets private label coffee and branded coffee in the US and Canada. The company has 90 varieties of raw green coffee beans which it imports from around the world and sold to large and small operators. The stock trades at 6.4 times forward earnings and yields 3.3%.

For a free list of coffee and tea companies, which you can download, sort, and update, go to

Disclaimer: Author didn;t own any of the above at the time the article was written.


No comments: