They are a business to business company which is why you may well not have heard of them. BC has 13,000 employees and is responsible for buying 20% of the world’s cocoa crop.
Asia’s wealth is growing and with it comes greater demand for BC’s Gourmet & Specialities. Emerging markets demand is also rising, as is more outsourcing to specialists like BC. BC’s recession proof-ness is observed through an historic ability to grow through recessions; driven by its consumer staples orientated food manufacturing customers. Risks include a question-mark over the widespread adoption of chocolate by emerging markets, geopolitical risk from dealing with Russia and from a price / earnings (PE) ratio which still looks elevated, relative to history suggesting the stock is expensive. Being significantly exposed to one commodity (cocoa) is also a significant risk.
