Restaurant stocks, Meat stocks, and some other Food stocks are breaking out on the US dollar rallying as well as corn and wheat prices getting slaughtered.

Here are a list of restaurant stocks and my useless opinions on their wares. The first group of restaurant stocks listed are my favorite names.

Restaurant Stocks

CAKE – Cheesecake Factory is a weird name for a place that serves good consistent varied food. The common argument is that there is always a wait to get in and how can the management of this company NOT be raking in the bucks? I’ve eaten at several Cheesecake Factory’s around the US and they are always busy and they are always consistent. I bought it on Friday.

CPKI – I’ve eaten at many California Pizza Kitchen’s across the globe. Yep you heard it right this is a worldwide franchise and is popular everywhere. I was actually there the other night in Fort Lauderdale, but their Pizza oven was busted so I had the to try the BBQ chicken salad. I liked it. I’ve eaten at the one in Singapore as well and it was busy. Atlanta mall location – 25 minute wait. Plus they have their mildly expensive frozen pizza product which I love. Now the big question is if commodity prices come down and continue to crash (like they are doing), CPKI will have margin expansion in upcoming quarters. People are still eating out regardless of this economy; at least where I live they are.

BWLD – I’ve never eaten at a Buffalo Wild Wing’s to know its good. I’ve eaten at the best already – The Anchor Bar in Buffalo. While a close runner up was Wings ‘n Things back in the ’90s. However, that doesn’t matter, because BWLD’s prime “eating season” is coming up. Prime “eating season” you ask? Think college kids and football. Football season is almost here and nothing tastes better during a game than sloppy dressed wings. You have the extra factor of back to school for college students who like to eat wings with or without sporting events. This is it for BWLD.

PZZA and DPZ – The great debate over which public pizza chain sucks more is arbitrary. Both of these stocks were added to the watch list (which is just extra work for me that I never feel like doing). Again, “eating season” for these two companies is in front of them.

RT – They have really turned around this franchise. They have modernized it and have improved the menu. Its the only semi-casual “mass market” chain I know of serving Bison which is what I order when I’m there. Again, margin expansion will be the story if their input costs fall. I bought it on Friday.

DRI – Its all about the salad and the breadsticks at the Olive Garden, the oh so popular date night restaurant (I’ve never been) Red Lobster, and the very good power lunch hot spot, The Capital Grille (mmm). I want to buy it.

Yahoo charts with symbol comparison

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RUTH – Everyone has their opinion on steak houses. Peter Luger’s (never been there), Morton’s (eh, ok), The Palm (I mostly eat the lobster, but good steak too), New York Prime (I’ve had great experiences here), Capital Grille (I like it), Prime 112 (maybe my second favorite steak of all time behind my experience in Kobe, Japan) and the debate goes on and on. However, my opinion on best steak house does not matter. What matters here are corn prices and they have been slaughtered.

MRT – Same as above (I’ve eaten here).

EAT – Brinker owns restaurants like Chilis, Macaroni Grill, Maggiano’s, and On The Border.

Yahoo charts with symbol comparison

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Meat Stocks

CALM – Really cheap on a valuation basis and just had a daily and weekly breakout. This stock looks incredible. I don’t want to just talk about this one, I want to buy it. This is a stock that trend riders typically like to ride.

HOGS – This China stock offers pork products, pig by-products, and meats, as well as prepared meats, such as sausages, hams, and Chinese cured hams. Not only do they provide selected pig parts, but they also sell veggies as well. Chart looks good folks.

Yahoo charts with symbol comparison

Dairy Stocks

LWAY – I liked this stock back in August 2006 since then its killed. LWAY then pulled back and is ready to rock again. I like it here as well.

LWAY chart – I liked it in Aug 2006 under 7 bucks

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