Few companies have as even-balanced revenue streams in a business line as J.M. Smucker does: it's an operational strength that's worth consideration by investors who can tolerate moderate risk.

In general, analysts like Smucker's purchase of Folgers' coffee business, with expected, annual, $100 million synergy and economy of scale benefits in FY2010, following one-time charges of $100-125 million.

This post is part of a seven article report -- Food for thought: Best bets in food & beverage stocks.

"The J.M. Smucker Company (NYSE: SJM) is 'one sweet stock'," says growth stock expert Jonas Elmerraji. Here, the editor of The Rhino Stock Report looks at the consumer foods firm.

"The peanut butter and jelly sandwich has been a staple of our diets here in the U.S. for a long time now. In fact, one survey estimated that the average American eats 1,500 PB&J sandwiches before graduating high school.

J.M. Smucker (NYSE: SJM) reported earnings for Q3 on Wednesday. The company, which makes defensive-type products such as peanut butter, jelly, and biscuits, reported a net sales increase of 6%, once you strip away the effect of acquisitions -- most notably the Folgers purchase -- and the effect of foreign exchange. On an adjusted basis, J.M. Smucker increased its bottom line by 11% to $0.88 per share. This source says that management beat estimates by two pennies, although other sources, such as this one, says the beat was by a single penny.

As we all know, the market is a fickle mistress -- and I will be the first to admit, she has humiliated me with her indiscretion on many occasions. However, I'm happy to report that my pick of The J.M. Smucker Company (NYSE: SJM) as a "Cheap Stock" for 2009 has not completely blown up in my face (yet).

The peanut butter-based security jumped back on my radar today when I noticed that brokerage firm Janney Montgomery Scott started coverage of SJM with a Buy rating. Not too many analysts are currently following the shares; according to Zacks, the jam giant has garnered just two Strong Buys and one Hold. Any additional bullish initiations could help the stock extend its recent uptrend.

Well-known maker of peanut-butter and jelly products J.M. Smucker (NYSE: SJM) reported earnings for Q4 and the full fiscal year on Thursday. The market didn't like the report in the least. The stock closed down well over 8% at the end of yesterday's session.

Here's what happened. For the fourth quarter, net sales increased 20%, but that was little consolation to the bottom line, which dropped 11%, as earnings per diluted share came in at $0.67 versus $0.75 in the year-ago period. The top line also was the beneficiary of some inorganic growth based on acquisitions. If you adjust for certain items, bringing the earnings up to $0.73 per diluted share, the decrease in the bottom line improves to 3%, but a decline in this case is still a decline. Plus, earnings expectations were not met. The company came in five pennies shy of Wall Street's wishes, according to estimates posted at earnings.com.

For the fiscal year, J.M Smucker's top line increased 18%, also due in part to acquisitions. On both a reported and an adjusted basis, earnings per diluted share jumped 9% to $3.00. Margins really suffered during the quarter and the year. Input costs are inflating, and they're becoming difficult to manage.

Folgers has created some great brand messages, including the classic, "The best part of waking up is Folgers in your cup."

Well, this morning, we got another message. P&G (NYSE: PG) will merge the Folgers unit into the operations of The J. M. Smucker Company (NYSE: SJM). The deal comes to about $3 billion.

P&G, which has owned Folgers for more than 45 years, has been actively shopping the deal. All in all, the transaction looks smart. It's an all-stock arrangement and, as a result, is tax-free to all parties. Smucker will also issue a $5 per share special dividend.

The J.M. Smucker Co. (NYSE: SJM) spooned out some healthy numbers for their first quarter 2008 ending July 31st. Benefiting, no doubt, from the disappearance of competing peanut butter brand Peter Pan from store shelves after it was found contaminated with salmonella, Smucker's brand Jif was one of the leading contributors in bringing home net income of $40.8 million, or $0.71 per share, well above analyst estimates of $0.65. The earnings were 42% above 2007 same quarter.

Almost half of the earnings, however, came from the recently-acquired Eagle brand businesses, on a volume of $43.5 million. Other Smuckers brands showing strong performance for the quarter were Crisco, Pillsbury and Uncrustables.

The results suggest the company is on track to continue its growth, up to $157 million on sales of $2.1 billion in 2007 and up 70% in shareholder return since 2002.

Looking forward, the company may find the Eagle brands impacted by sharply rising milk prices, and since approximately 20% of Smucker's sales are to Wal-Mart, that company's fortunes can affect Smucker's bottom line. Also, Peter Pan is resuming sales after a six-month hiatus, which could impact sales.

Nonetheless, with a strong stable of American staples and consistent recent success, Smucker is worth a look in a tumultuous market.