Thoughts of Tate & Lyle (TATE) are likely to conjure up images of golden syrup or, for the connoisseur who enjoys a more bitter-sweet dessert, black treacle.
Tip style
Growth
Risk rating
Medium
Timescale
Medium Term
Bull points
- Strategic transformation on track
- Inflation offset by pricing contracts
- £500mn special dividend expected
Bear points
- Reliant on health trends
- Lower earnings base
It’s now been over a decade since the group sold its sugar refining operations for more than £200mn, with the lingering association demonstrating the power of branding and good products, as the business moved to a focus on food and bulk ingredients.