This week, it paid to put your money in pizza, candy, and Coke

After strong earnings reports, investors are drinking it all in.
After strong earnings reports, investors are drinking it all in.
Image: Reuters/Rick Wilking
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If you’re looking for a strong bottom line, maybe try checking your waistline. Three staples of the American diet—pizza, candy, and soda—helped pad the portfolios of investors this week, even outperforming the S&P 500, which set a new all-time high.

On April 24, Domino’s delivered, announcing profits of $2.20 per share. Royalties and fees from US franchisees grew 8%, and those from international franchisees grew 4%. Meanwhile, revenue from selling equipment and ingredients to franchisees increased 7% for the quarter. As Domino’s continues its turnaround, its stock price has soared—since 2010, the company’s share price has increased more than 3,000%. In the first quarter, Domino’s added 200 new stores, 27 in the US and 173 internationally.

The binge didn’t stop there.

In a sweet treat for investors, Hershey announced profits of $1.59 per share (paywall), outdoing estimates of $1.46. The maker of Reese’s Pieces and Hershey’s Kisses purchased Pirate Brands in September to enter the $2.5 billion “cheese puffs market.” Internally, Hershey is expanding, too. The company will add a mint creme Kit Kat to the lineup in December.

Investors were also refreshed by Coca-Cola’s report that net revenue grew 5% to $8 billion in the first quarter. That translated to earnings of $0.48 cents per share. Like Hershey, Coke is branching into new markets. The company plans to expand into the hot beverages through Costa Coffee, which Coca-Cola acquired in January, and Coca-Cola is working on “Coke Coffee” to offer consumers an option with more caffeine, but less sugar.

Though pizza, candy, and Coke sound like the diet of a six-year-old—or Warren Buffett—they’ve been a winning recipe for stock market investors.