Greek Yogurt Investment - Kraft Foods Inc

Yogurt lovers, notice any change to the flavors?  Next time when you are at the dairy aisle pay attention to the new comers to the shelves called the Greek yogurt.   Greek yogurt has a thicker taste because it is made by squeezing out water and whey from traditional yogurt.  This type of yogurt has high protein and low fat and has won many health-aware customers.  According to Bloomberg BusinessWeek, Greek yogurt market leader Chobani has seen its U.S. sales up 246% to $196 million while at the same time U.S. sales of Yoplait original yogurt dropped by 2%.  Therefore major food giants have turned their attention to this new growing market.  


One of the food giant entering into the Greek Yogurt market is Kraft Foods Inc. (NYSE:KFT) who initially abandoned yogurt industry completely back in 2004 but in September, 2010 began to sell its new Athenos brand Greek yogurt at Wal-Mart  Stores and is planning to sell at other major grocery chains by early 2011.  Although the Northfield, IL based food giant already owns many popular brand from Trident gum, Oreo biscuit, Kraft salad, Maxewell House coffee.. and so on, investing in Greek yogurt will ensure the company does not miss a high growing market.  


Currently trading at $30.29 per share, Kraft Food has market cap of $52.91 billion with P/E ratio of 19.05.  It provide dividend yield of 3.83% and is still on the uptrend for the long term as the stock is still trading above 200 day moving average.  The sales of Greek yogurt will probably not contribute too much to its overall earning but may create some hype to its slow moving stock.