Weekly Update Monday, June 18, 2018 Stocks End Down As Investors Look Past U.S.-China Trade Disputes. U.S. stocks closed lower on Friday as investors looked past signs of escalating Mary Burke Partner Washington-Beijing trade tensions, an issue that is seen as a major potential headwind. President Donald Trump approved tariffs on about $50 billion of 312.348.7081 Chinese goods, marking the latest escalation in the trade dispute. [email protected] The Dow Jones Industrial Average decreased 0.9% on the week, William Whipple finishing at 25,090. Partner 312.348.7076 The S&P 500 remained unchanged on the week, finishing at 2,779. [email protected] The NASDAQ Composite gained 1.3% on the week, finishing at 7,746. Lakeshore Food Advisors, LLC Yield on the 10-year Treasury declined one basis during the week, 20 North Wacker Drive ending at 2.92%. Suite 1701 Chicago, IL 60606 Crude oil decreased 2.3% on the week, ending at $64.24 per barrel. Corn decreased 4.5% on the week, ending at $3.61 per bushel. NASDAQ Highs: BJ's Restaurants Inc., Cal-Maine Foods, Inc., Central Garden & Pet Company, The Cheesecake Factory, Coffee Holding Company Inc., Dunkin’ Donuts, John B. Sanfilippo & Son Inc., Noodles & Company Lows: Papa John's Pizza, Rocky Mountain Chocolate Factory NYSE Highs: Boston Beer Company, Brinker International, CF Industries, Chipotle Mexican Grill Inc., Diageo plc, Domino's Pizza, The Mosaic Company, Pinnacle Foods Inc., Shake Shack, Sysco Corporation, Zoetis Inc., Lows: Coca-Cola FEMSA Featured Stocks of the Week: Treehouse Foods Inc. (NYSE: THS) 10-Year History Pilgrim’s Pride Corp. (NASDAQ: PPC) 9-Year History 200 40 35 150 30 25 100 20 15 50 10 5 0 0 2009 2010 2011 2012 2013 2014 2015 2016 2017 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 The Lakeshore Food Chain 12/31/2017 12/31/2016 Price Price as Compared to Enterprise Value to Total Debt Price Compared to 52-Week Range YE: Forward LTM: to LTM Company Name 6/8/18 6/1/18 High Low 2017 2016 P/E Revenue EBITDA EBITDA Dow Jones Industrial Average 25,317 2.8% 26,617 21,236 2.4% 28.1% 24.0x S&P 500 2,779 1.6% 2,873 2,410 3.9% 24.1% 17.1 NASDAQ Composite Index 7,646 1.2% 7,689 6,089 10.8% 42.0% NA Sector Average: 5.7% 31.4% AGRICULTURAL LAND HOLDINGS Farmland Partners Inc. $8.70 1.9% $9.89 $7.15 0.2% (22.0%) 79.1x 21.67x 31.4x 14.8x Gladstone Land Corporation 12.72 (0.3%) 14.29 11.10 (5.3%) 13.2% NA 18.23 26.8 16.5 Limoneira Company 25.06 1.5% 26.06 19.62 11.9% 16.5% 38.2 3.93 24.4 5.8 Sector Average: 2.3% 2.5% 19.1x 14.61x 27.5x 12.4x 25316.50 INPUTS American Vanguard Corporation $23.75 7.7% $24.00 $17.00 20.9% 24.0% 28.1x 2.03x 15.2x 1.7x CF Industries Holdings, Inc. 43.18 6.7% 45.00 26.51 1.5% 37.2% 41.4 4.17 14.0 3.9 DowDuPont Inc. 69.49 5.0% 77.08 61.27 (2.4%) NA 16.0 2.64 13.4 2.6 FMC Corporation 88.64 0.4% 98.70 71.43 (6.4%) 56.7% 14.0 4.27 16.7 3.7 Intrepid Potash, Inc. 4.69 2.9% 5.31 2.03 (1.5%) 125.5% 34.0 5.19 19.4 1.9 The Mosaic Company 29.46 6.5% 29.63 19.23 14.8% 0.4% 18.2 2.07 11.6 3.8 * Nutrien Ltd. 52.53 3.4% 54.04 42.64 NA NA 20.5 6.71 29.4 7.3 S&W Seed Company 3.35 (4.3%) 4.40 2.90 (14.1%) (27.2%) NM 1.63 61.8 20.4 The Scotts Miracle-Gro Company 87.04 5.5% 110.12 76.60 (18.6%) (8.9%) 20.2 2.73 14.9 4.9 Zoetis Inc. 86.78 1.6% 87.39 59.50 20.5% 62.1% 27.8 8.33 21.9 2.4 Sector Average: 0.1% 33.3% 24.5x 3.61x 17.4x 3.2x AGRICULTURAL EQUIPMENT * Ag Growth International Inc. $44.62 0.0% $46.78 $36.32 4.9% 14.1% 18.7x 1.87x 13.3x 5.1x AGCO Corporation 63.68 (1.0%) 75.95 58.12 (10.8%) 10.1% 15.6 0.80 8.9 2.9 Art's-Way Manufacturing Co., Inc. 2.75 (1.8%) 5.45 2.00 (7.8%) (19.1%) NA 0.75 NM NM * Buhler Industries Inc. 2.99 7.4% 3.77 2.78 (13.7%) (9.4%) NA 0.46 41.5 16.1 CNH Industrial N.V. 11.49 (2.2%) 15.65 10.87 (14.3%) 32.2% 15.6 1.39 12.7 8.7 Deere & Company 157.12 2.4% 175.26 112.87 0.4% 52.5% 14.8 2.72 16.8 7.8 Lindsay Corporation 100.97 0.7% 103.03 83.57 14.5% 35.3% 22.4 2.04 18.5 2.0 Titan Machinery Inc. 17.49 1.6% 25.09 11.68 (17.4%) 20.0% 38.0 0.62 18.0 10.0 Sector Average: (5.5%) 17.0% 20.8x 1.33x 18.5x 7.5x AGRIBUSINESS * AGT Food and Ingredients Inc. $12.08 (1.3%) $22.34 $11.38 (24.7%) (55.7%) 23.4x 0.63x 24.5x 12.6x The Andersons, Inc. 33.90 1.0% 38.05 29.60 8.8% (24.2%) 17.2 0.55 12.2 7.2 Archer-Daniels-Midland Company 44.85 2.4% 46.25 38.59 11.9% (1.8%) 14.0 0.54 11.5 3.6 Bunge Limited 69.17 (1.0%) 83.20 63.87 3.1% (4.2%) 10.9 0.38 17.4 7.1 Darling Ingredients Inc. 18.99 1.8% 19.50 15.44 4.7% 47.1% 27.7 1.33 8.5 4.0 * Gruma, S.A.B. de C.V. 11.03 0.6% 13.52 10.05 (13.2%) (13.7%) 15.2 1.61 10.0 1.8 Ingredion Incorporated 111.96 0.8% 146.28 107.77 (19.9%) (10.4%) 13.8 1.60 8.6 1.5 Landec Corporation 14.25 0.4% 14.95 11.42 13.1% 3.3% 22.4 0.83 16.8 2.2 * Olam International Limited 1.66 1.1% 1.87 1.42 9.0% 21.4% 14.1 0.64 12.9 9.4 Sector Average: (0.8%) (4.2%) 17.6x 0.90x 13.6x 5.5x DIVERSIFIED FOODS B&G Foods, Inc. $29.40 3.9% $41.00 $22.00 (16.4%) (32.9%) 14.1x 2.33x 12.0x 6.4x Campbell Soup Company 34.05 2.3% 57.47 32.63 (29.2%) (43.7%) 13.7 2.45 10.0 5.0 Conagra Brands, Inc. 37.74 2.2% 39.53 32.16 0.2% (4.6%) 16.8 2.36 12.4 2.6 General Mills, Inc. 42.91 0.7% 60.69 41.01 (27.6%) (30.5%) 13.9 2.25 10.8 3.0 The Hain Celestial Group, Inc. 28.30 9.3% 45.61 25.41 (33.2%) (27.5%) 22.5 1.25 14.3 2.9 The J. M. Smucker Company 102.52 (3.5%) 133.38 96.13 (17.5%) (19.9%) 12.1 2.21 9.7 2.9 Kellogg Company 63.71 (0.2%) 74.28 56.40 (6.3%) (13.6%) 14.4 2.33 10.1 2.9 The Kraft Heinz Company 58.47 1.4% 92.54 54.11 (24.8%) (33.0%) 15.4 3.89 12.3 3.9 Lancaster Colony Corporation 130.45 3.8% 135.86 113.34 1.0% (7.7%) 25.3 2.82 17.0 0.0 Mondelez International, Inc. 39.78 0.6% 46.54 37.42 (7.1%) (10.3%) 15.9 2.94 14.2 3.9 * Nestlé S.A. 74.50 (1.9%) 87.62 74.03 (13.4%) 3.6% 18.5 2.71 13.1 1.5 Pinnacle Foods Inc. 64.49 1.1% 64.77 52.25 8.4% 20.7% 21.8 3.28 15.7 4.2 Post Holdings, Inc. 82.00 5.5% 88.93 70.66 3.5% 2.0% 16.3 2.23 12.2 7.2 SunOpta Inc. 8.08 (2.0%) 10.44 6.17 4.6% 13.4% NM 0.99 22.3 8.3 TreeHouse Foods, Inc. 49.61 2.1% 87.22 36.35 0.3% (31.3%) 22.1 0.83 9.4 4.6 Unilever N.V. 55.77 (0.1%) 61.52 49.55 (1.1%) 35.1% 20.1 2.79 14.8 2.4 Sector Average: (9.9%) (10.6%) 17.5x 2.35x 12.5x 3.6x 2 Price Price as Compared to Enterprise Value to Total Debt Price Compared to 52-Week Range YE: Forward LTM: to LTM Company Name 6/8/18 6/1/18 High Low 2017 2016 P/E Revenue EBITDA EBITDA ETHANOL Green Plains Inc. $20.45 (1.7%) $23.70 $15.60 21.4% (26.6%) 94.4x 0.56x 16.4x 10.7x Pacific Ethanol, Inc.