SOY.TO - Buy

Chart of SOY.TO as of Dec. 1, 2005

Purchase Price
$6.25 Cdn

Company
SunOpta Inc
Processing and packaging of organic food products and other non-genetically modified food products, particularly soy milk. Also into abrasives for industry, water filtration, and steam explosion technology.

Reason
The mid to low 4's never happened. After watching it go up 20% in the past 2+ months, I decided it was time to stop watching and actually buy some. Their cost cutting measures should start to affect the bottom line in the next couple of quarters, and hopefully mark the beginning of a turnaround. Big player in the US soy milk market, and that should continue to be a growth area.

Risk?
Risk is medium-high. Company has horrendous track record, and still has much reorganization to do of their many divergent businesses. Also affected by change in trends, and the health of overall economy as organic products could be considered luxury items.