Most food stocks aren't exactly tempting right now. Grocery sales are sluggish.
Competition is fierce.
Price boosts tend to drive shoppers to lower-priced rivals. Among the names on their shopping lists were Flowers Industries , Interstate Bakeries , Universal Foods and Pilgrim's Pride . And he recommends Universal Foods, the food-ingredient and dye supplier, which is benefiting from a change in management, he says. Mr. Leach says it is crucial for investors placing bets on food stocks to buy the shares when they are trading at a reasonable price. Because the food industry is mature, and the environment for these companies is difficult, much of the profit that stands to be made in this industry right now will come from short-term swings in price, he says.