Best Supermarket Companies For 2014

LONDON -- The U.K.'s supermarket chains have become popular investments with income and value seekers in recent years, thanks to their modest valuations and attractive dividend yields.

However, although these retail giants are attractive investments, they aren't without their own challenges, so in this article I am going to compare�Tesco� (LSE: TSCO  ) (NASDAQOTH: TSCDY  ) �and�Wm. Morrison Supermarkets (LSE: MRW  ) � (NASDAQOTH: MRWSY  ) �to see which looks the better buy today.

Tesco vs. Morrisons
I'm going to start with a look at a few key statistics that can be used to provide a quick comparison of these two companies, based on their last published results and current share prices:

� Tesco Morrisons

P/E ratio	21.1	10.7
Dividend yield	4%	4.2%
Operating margin	3.4%	5.2%
Price-to-book ratio	1.8	1.3

Tesco's P/E ratio of 21.1 reflects the restructuring costs and impairments it has accounted for in this year's results. Excluding these, and focusing on Tesco's preferred measure of underlying profit from continuing operations, Tesco has a trailing P/E of 10.1, almost the same as Morrisons'.

Best Supermarket Companies For 2014: Dean Foods Company(DF)

Dean Foods Company, together with its subsidiaries, operates as a food and beverage company in the United States. It operates in two segments, Fresh Dairy Direct-Morningstar and WhiteWave-Alpro. The Fresh Dairy Direct-Morningstar segment manufactures, markets, and distributes various branded and private label dairy case products, including cream, ice cream mix, and ice cream novelties; creamers and other extended shelf life fluids; yogurt, cottage cheeses, sour creams, and dairy-based dips; fruit juices, fruit-flavored drinks, iced teas, and water; half-and-half and whipping creams; and items for resale, such as butter, cheese, eggs, and milk shakes. This segment sells its dairy case products to retailers, distributors, foodservice outlets, educational institutions, and governmental entities. The WhiteWave-Alpro segment manufactures, develops, markets, and sells various branded dairy and dairy-related products, such as milk and other dairy products; organic dairy products; plant-based beverages, such as soy, almond, and coconut milks; and soy food products, coffee creamers, and creamers and fluid dairy products. It also provides branded soy-based beverages and food products in Europe under the Alpro and Provamel brands. This segment sells its products to various customers, including grocery stores, club stores, natural foods stores, mass merchandisers, convenience stores, drug stores, and foodservice outlets. The company was formerly known as Suiza Foods Corporation and changed its name to Dean Foods Company on December 21, 2001 as a result of merger between the former Dean Foods Company and Suiza Foods Corporation. Dean Foods Company was founded in 1995 and is headquartered in Dallas, Texas.

Advisors' Opinion:

• [By Ken Sweet]

  Got profits?

  Shares of Dean Foods (DF) have soared as investors cheered signs that the nation's top dairy producer is beginning to see its business turn around after years of stagnant growth.

  Most of Dean Foods' performance this year came after the company reported a quarterly profit that was twice what analysts expected, and raised its full-year guidance.

  Investors were also impressed that Dean Foods was able to pass along higher prices to consumers and wholesalers, something the company struggled with in the past.

  While Dean Foods' shares are up sharply this year, they have a long way to go to recover from their 2007 highs of around $47 a share.

Best Supermarket Companies For 2014: Cranswick(CWK.L)

Cranswick plc engages in the manufacture and supply of food products to grocery retailers, food producers, and food service sector in the United Kingdom and internationally. It offers fresh products, including fresh pork, gourmet sausages, charcuterie, cooked meats, sandwiches, traditional dry cured bacon, and continental fine foods under the Jamie Oliver, Weight Watchers, Richard Woodall, Simply Sausages, Red Lion Foods, The Black Farmer, and Reggae Reggae. The company is based in Hull, the United Kingdom.

5 Best Penny Stocks For 2014: Monro Muffler Brake Inc.(MNRO)

Monro Muffler Brake, Inc. provides automotive undercar repair and tire services. The company offers a range of services on passenger cars, light trucks, and vans for brakes; mufflers and exhaust systems; and steering, drive train, suspension, and wheel alignment. It also provides other products and services, including tires and routine maintenance services, including state inspections. The company?s maintenance services include oil change, heating and cooling system flush and fill service, belt installation, fuel system service, and a transmission flush and fill service. In addition, it replaces and services batteries, starters, and alternators, as well as offers air conditioning services. As of June 25, 2011, the company had 802 company-operated stores and 3 franchised locations. It operates stores primarily under the Monro Muffler Brake & Service, Tread Quarters Discount Tire, Mr. Tire, Autotire Car Care Center, and Tire Warehouse names in New York, Pennsylvania, Ohio, Connecticut, Massachusetts, West Virginia, Virginia, Maryland, Vermont, New Hampshire, New Jersey, North Carolina, South Carolina, Indiana, Rhode Island, Delaware, Maine, Illinois, and Missouri. Monro Muffler Brake, Inc. was founded in 1957 and is headquartered in Rochester, New York.