Wednesday, March 14, 2012
Stakool in Prime Position as Wellness Bars Snatching Market from Diet and Athletic Bars
With all of the dietary issues surrounding Americans, the health food industry is booming as consumers are continually looking to avoid processed foods and eat healthier. Leading cardiologist are frequently seen and heard on the television, online and in print, trumpeting the perils of bad diets that lead to heart disease, diabetes and other deadly illnesses. Showcasing the growth rate of the numbers of people looking to change their diets, the Organic Trade Association reported that U.S. sales of organic food and beverages have grown from $1 billion in 1990 to $26.7 billion in 2010. Sales in 2010 represented 7.7 percent growth over 2009 sales.
Furthermore, Americans “eat on the fly” more frequently than ever before and are gobbling snack foods to keep fuel in their tank in between (or sometimes in place of) meals. As such, sales nutritional snack bars have been steadily growing. According to data late last year from market research firm Symphony, dollar sales of snack bars/granola bars totaled $3.27 billion in the 52 weeks ended Oct. 30, 2011; an increase of 7% from the same period a year prior.
Combining the best of both worlds in a quest to capture the lion's share of the market in the future is Jacksonville, Florida-based Stakool Inc. (OTCBB:STKO). Through its wholly-owned subsidiary, Anthus Life Corp., Stakool is committed to being a leading North American supplier of natural and organic and health and wellness products by fulfilling the highest standards for quality, consistency, sustainability, product assortments, value-added support services and integrity in business and personal relationships. Natural plus Energy™ is the flagship brand under Anthus Life Corp.'s umbrella of expanding product lines.
The face of Natural plus Energy™ is 7-time Olympic Medalist Shannon Miller, a spokeswoman who personifies grace and health; building a strong brand awareness for the Anthus' products.
Stakool's prescient moves to sign-on Miller and aggressively market their wellness bars are coming at a perfect time. Nutraceuticals World published an article in January stating that, “diet bars are falling out of favor, wellness bars are on the rise and athletic bars are declining. In actuality, wellness bars are stealing market share from diet bars and athletic bars.” This fact bodes well for Stakool and Anthus.
Building upon that momentum on the corporate front, Stakool has taken steps in building shareholder value by lowering their outstanding share count by 110 million, expanding their market outreach through e-commerce platforms on online availability and taking an active role in traditional-style marketing through sponsorship of gymnastic events. Moreover, Stakool has tapped into the corporate catering market for sales growth through a new relationship with one of LasVegas' premier resorts, Red Rock Resort.
Expanding its revenue stream, the company has also struck a deal with iconic brand New Sun Cookies. The bi-lateral agreement will give the Natural plus Energy™ product line deeper market penetration as the two companies share distributors and combine product offerings, a win-win situation for both.
Last month, the company broadened its national footprint as Anthus Life Corp.'s product line was accepted by a national retailer with nearly 500 stores that caters to family, women and children with a wide array of quality lifestyle products. Initially, annual sales revenue from this one retailer is anticipated to reach $500,000, according to the company.
With the reduction in shares recently, STKO is left with only 74,604,667 shares equating to an unbelievably small market cap of under $900k. Expected revenue from the latest distribution deal could cover more than half of that by itself. In all fairness, Stakool is just now starting to turn the corner towards profitability and still operating at a minor loss as shown in its latest quarterly filings. But, positive things have happened to its capital structure and an increase in sales appears imminent, leaving substantial headroom for the stock to climb back north. After all, it was trading at 22 cents per share just four months ago.
Lending technical credence to a potential rise in share value is the STKO chart, which appears to be finding its bottom with a solid support level now established at the 1 cent mark. Key indicators such as the MACD and RSI are showing strength to trend and momentum as the stock pushed upward again today by 9.09% to close at $0.012. Heavier resistance won't enter the chart until 3 cents.
For most up-and-coming companies, finding the niche and an industry that can shepherd growth can be a daunting task, much less bringing a product to commercialization stages. Stakool, looks to have found its mark and is actively growing its reach while lowering its share structure; two important keys to building value. The fundamentals exude growth potential as well as the technicals, which should start putting STKO firmly on the radar of the investment community.
|
(0)
(0)