The Marzetti Company (MZTI) reported a double miss in Q3. Retail sales declined, reflecting transitory factors but a more concerning category decline as well. GLP-1s seem to pose a headwind to MZTI. MZTI acquired Bachan's to position the company into better-growing categories, but the acquisition's price tag makes the transaction questionable.
The Marzetti Company (MZTI) Q3 2026 Earnings Call Transcript
The Marzetti Company maintains steady growth, a strong balance sheet, and a 63-year dividend hike streak, supporting premium multiples. Marzetti trades at 24-25x earnings with a $4.2B enterprise value, underpinned by a net cash position and prudent capital management. The $400M Bachan's acquisition, at 4.6x sales, shifts Marzetti to modest net debt but adds high-margin, high-growth exposure.
| Name | Quantity | Cost | Value | Profit ($) | Gain (%) |
|---|---|---|---|---|---|
| TJD Thomas John Drogan PR Inc.IPAL SECURITIES Inc. | 1,585 | $272,173.36 | $170,197.3 | -$101,976.06 | -37.47% |
| CE Curtis Ellergodt Rothschild Investment LLC | 87 | $14,635.99 | $9,342.06 | -$5,293.93 | -36.17% |
Charles Brandes Brandes Investment Partners | 17,317 | $2.8M | $1.85M | -$944,511.05 | -33.76% |
| BG Bart Gancher Intech Investment Management LLC | 6,269 | $1.09M | $671,660.66 | -$420,494.87 | -38.5% |
Bridgewater Associates LP Bridgewater Associates LP | 15,204 | $2.31M | $1.62M | -$685,687.18 | -29.7% |