Opinion on  Greif Inc. (GEF)     Sector: Basic Materials  >  Industry: Containers & Packaging
Greif Inc.

Greif, Inc. engages in the manufacture and sale of industrial packaging products, and containerboard and corrugated products worldwide. It operates in three segments: Industrial Packaging and Services; Paper, Packaging, and Services; and Timber. Industrial Packaging and Services segment offers industrial packaging products, such as steel, fiber, and plastic drums; intermediate bulk containers; closure systems for industrial packaging products; and polycarbonate water bottles. This segment sells its products to customers in chemicals, paints and pigments, food and beverage, petroleum, industrial coatings, agriculture, and pharmaceutical and mineral industries. It also provides blending and packaging services, logistics, and warehousing. Paper, Packaging, and Services segment sells containerboard, corrugated sheets, and other corrugated products and multiwall bags to customers in North America. Its corrugated container products are used to ship various products, such as home appliances, small machinery, grocery products, building products, automotive components, books, and furniture; and industrial and consumer multiwall bag products are used to ship industrial and consumer products, such as seeds, fertilizers, chemicals, concrete, flour, sugar, feed, pet foods, popcorn, charcoal and salt, primarily for the agricultural, chemical, building products, and food industries. Timber segment engages in harvesting and regenerating its timber properties in the United States and Canada. As of October 31, 2007, it owned approximately 269,950 acres and 36,650 acres of timber properties in the United States and Canada respectively. Greif was founded in 1877. It was formerly known as Vanderwyst and Greif, and subsequently changed its name to Greif Bros. Company. It later changed the name to The Greif Bros. Cooperage Corporation in 1926 and subsequently to Greif Bros. Corporation. Further, the company changed its name to Greif, Inc. in 2001. Greif is headquartered in Delaware, Ohio.

I've touted some fertilizer stocks or oil service stocks over the past few weeks that are benefiting big time from global demand for energy and food. This time around, I'm going to take a step back from these sectors and point out a great stock with a wide base, but also a good position in markets benefiting from the current "stagflation" our economy is experiencing.

Greif ( GEF ) is a global producer of industrial packaging products with manufacturing facilities located in over 40 countries. The company's products are used to ship home appliances, small machinery, groceries, building materials, automotive components, books and furniture, to name a few! Greif's full line of multiwall bag products is used to ship a variety of fertilizers and other agricultural chemicals.

Why is Greif such a hot pick? Earlier this month, GEF raised its full-year guidance and announced fiscal second-quarter profit more than doubled. The company's net income for the second quarter almost tripled to $48.7 million, or 82 cents a share, up from 32 cents per share a year ago. Greif will offer it's next earnings report at the end of August, so get in on the action now if you want to start riding this stock to the top!