Robert Wiseman Dairies (LON:RWD) - 317.5/£224m
Processing and distribution of milk

Yield of 5.7%, PER 8.6, ROE 22%, Tangible gearing 13.9% (low) and P/FCF of 4.9.

The market is spooked by rising input costs, and competition amongst the supermarkets squeezing Robert Wiseman Dairies (LON:RWD) from both ends. Recently, Robert Wiseman Dairies (LON:RWD) has re-negotiated price increases with its customers, although fears about the price of petrol still worries the market. Clearly, there is plenty to worry about, but Robert Wiseman Dairies (LON:RWD) does seem to have some power to sit around the table with the supermarkets; although it is very much a price taker than a setter. Still, in the last decade, the dividend yield has never been as high as now, and the P/FCF has never been lower. The market appears to be over-reacting.

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