2 Food Stocks to Buy Today

Food price inflation has put a major strain on Canadian consumers in 2021. Statistics Canada recently revealed that inflation rose to 4.7% in the month of October. That represents the largest year-over-year gain since February 2003. There was a further 4% bump in food prices in October. Today, I want to look at two food stocks that could potentially offer a hedge for investors looking to make up ground in this environment.

Maple Leaf Foods (TSX:MFI) is a Mississauga-based company that produces food products around the world. It is focused on packaged meats and plant-based alternatives. Shares of Maple Leaf have increased 7.5% in 2021 as of close on November 22. The stock is up 16% from the prior year.

The company unveiled its third quarter 2021 earnings on November 4. Sales increased 12% year-over-year to $1.88 billion. Its Meat Protein Group delivered sales growth of 13% to $1.15 billion. Meanwhile, Plant Protein Group sales dipped 6.6% from the same period in 2020.

Shares of Maple Leaf last had a favourable price-to-earnings ratio of 30.

High Liner Foods (TSX:HLF) is a company that processes and markets prepared and packaged frozen seafood products in North America. Shares of this food stock have surged 39% in 2021. The stock has jumped 13% week-over-week on the back of its Q3 2021 earnings release.

Sales climbed 10% from the prior year to $214 million. Meanwhile, adjusted EBITDA grew 17% to $22.4 million. Adjusted net income soared 91% to $11.3 million. This food stock still possesses an attractive P/E ratio of 11. Moreover, it offers a quarterly dividend of $0.10 per share. That represents a 2.6% yield.