GET DAILY SIGNALSTootsie Roll Industries (TR): A Steady Defensive Holding in Consumer Staples
Key Takeaways
- TR is the New York Stock Exchange ticker for Tootsie Roll Industries, Inc., a Chicago-based confectionery manufacturer founded in 1896.
- The company owns a portfolio of iconic, value-priced candy brands, including Tootsie Roll, Tootsie Pops, Dots, Junior Mints, Charleston Chew, Andes, Sugar Daddy, and Blow Pop.
- Tootsie Roll operates a conservative, family-controlled business model with minimal debt, in-house manufacturing, and a long history of paying dividends.
- The United States generates the large majority of revenue, with additional sales in Canada, Mexico, and international markets.
- Investors follow TR for its brand durability, steady cash generation, and dividend reliability, balanced against slow-growth and competitive pressures.
Company Background
Tootsie Roll Industries, Inc. (TR) stands as one of the oldest and most recognizable names in American candy. Established in New York City in 1896, the firm has built a collection of affordable, durable confectionery brands that appear in supermarkets, dollar stores, convenience outlets, vending machines, and theater concessions throughout North America. As a consumer staples name, it draws attention for its brand longevity, cautious financial approach, and reliable returns to shareholders, even in a mature and competitive sector.
Operations and Portfolio
The origins trace back to Austrian immigrant Leo Hirshfield, who started selling the original Tootsie Roll in a modest New York shop in 1896. The chewy chocolate-flavored treat, named after his daughter Clara nicknamed "Tootsie," was created as an inexpensive option that resisted melting. Incorporated in 1919 and later renamed Tootsie Roll Industries in 1966 under the Gordon family, the business remains under family influence today, led by long-time Chairman and Chief Executive Officer Ellen R. Gordon.
Headquartered at 7401 South Cicero Avenue in Chicago, Illinois, the company employs about 2,100 people. Its model focuses on producing and selling branded candies through wholesale distributors and direct channels to retailers such as supermarkets, variety stores, dollar stores, drug chains, mass merchandisers, warehouse clubs, vending operators, e-commerce sites, and the U.S. military.
The brand lineup covers both chocolate and sugar candies, including Tootsie Roll, Tootsie Pops, Charms Blow Pops, Dots, Junior Mints, Charleston Chew, Sugar Daddy, Sugar Babies, Andes mints, Cella's chocolate-covered cherries, Dubble Bubble, Razzles, Fluffy Stuff, Cry Baby, and Nik-L-Nip. Growth has come mainly through selective acquisitions of established value-priced lines rather than broad expansion. I also checked this using Tickeron’s AI Screener to see how the stock compares to others in the industry.
Annual revenue sits near $735 million with net income around $95 million, and market capitalization in the multi-billion range. Domestic sales dominate, while the balance sheet stays conservative with little long-term debt and ownership of most manufacturing facilities.
Why the Stock Draws Attention
Interest in TR centers on stability rather than rapid expansion. Its multi-generational brands enjoy strong recognition and repeat purchases, with value pricing offering some buffer in downturns. In-house production supports quality control and efficiency, aided by long shelf life that suits distribution and seasonal peaks around Halloween, Christmas, Valentine’s Day, and Easter. From what I see, this setup provides reliable cash flow in a defensive category.
Financially, the company has paid a cash dividend for more than 80 straight years and often adds a modest annual stock dividend. Minimal debt and consistent free cash flow have sustained these returns across cycles, making it a defensive income choice in consumer staples.
Key Risks to Consider
Competition remains intense in this mature industry, where TR faces larger rivals such as The Hershey Company (HSY) and Mars. Commodity costs for sugar, cocoa, and corn syrup, plus labor and packaging inflation, add pressure. Customer concentration through a handful of large retailers and family voting control via Class B shares limit outside influence. Shifting tastes toward premium or better-for-you options also pose longer-term challenges for its traditional lineup.
Using Tickeron Tools for Deeper Analysis
In my own research process, Tickeron’s AI Screener has proven useful for screening stocks like TR against peers. It helps filter by technical indicators, fundamentals, volatility, trends, and AI signals to surface ideas that fit specific strategies. This supports a more systematic way to generate and compare opportunities without replacing core due diligence.
Disclaimer
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Financial analyst and market blogger with expertise in equity research, fundamental analysis, and macroeconomic trends. I regularly publish coverage on individual stocks, ETFs, and sector developments — combining rigorous financial analysis with clear, engaging writing for a broad investment audience.
TR's Stochastic Oscillator stays in overbought zone for 7 days
The longer the ticker stays in the overbought zone, the sooner a price pull-back is expected.
Technical Analysis (Indicators)
Bearish Trend Analysis
Following a 3-day decline, the stock is projected to fall further. Considering past instances where TR declined for three days, the price rose further in 50 of 62 cases within the following month. The odds of a continued downward trend are 54%.
Bullish Trend Analysis
The RSI Indicator points to a transition from a downward trend to an upward trend -- in cases where TR's RSI Oscillator exited the oversold zone, 16 of 27 resulted in an increase in price. Tickeron's analysis proposes that the odds of a continued upward trend are 59%.
The Momentum Indicator moved above the 0 level on November 02, 2026. You may want to consider a long position or call options on TR as a result. In 57 of 93 past instances where the momentum indicator moved above 0, the stock continued to climb. The odds of a continued upward trend are 61%.
The Moving Average Convergence Divergence (MACD) for TR just turned positive on November 02, 2026. Looking at past instances where TR's MACD turned positive, the stock continued to rise in 34 of 49 cases over the following month. The odds of a continued upward trend are 69%.
TR moved above its 50-day moving average on November 02, 2026 date and that indicates a change from a downward trend to an upward trend.
The 10-day moving average for TR crossed bullishly above the 50-day moving average on November 10, 2026. This indicates that the trend has shifted higher and could be considered a buy signal. In 9 of 14 past instances when the 10-day crossed above the 50-day, the stock continued to move higher over the following month. The odds of a continued upward trend are 64%.
Following a +4.54% 3-day Advance, the price is estimated to grow further. Considering data from situations where TR advanced for three days, in 201 of 319 cases, the price rose further within the following month. The odds of a continued upward trend are 63%.
TR may jump back above the lower band and head toward the middle band. Traders may consider buying the stock or exploring call options.
Fundamental Analysis (Ratings)
The Tickeron PE Growth Rating for this company is 40 (best 1 - 100 worst), pointing to average earnings growth. The PE Growth rating is based on a comparative analysis of stock PE ratio increase over the last 12 months compared against S&P 500 index constituents.
The Tickeron Profit vs. Risk Rating rating for this company is 49 (best 1 - 100 worst), indicating well-balanced risk and returns. The average Profit vs. Risk Rating rating for the industry is 79, placing this stock slightly better than average.
The Tickeron Price Growth Rating for this company is 52 (best 1 - 100 worst), indicating steady price growth. TR’s price grows at a higher rate over the last 12 months as compared to S&P 500 index constituents.
The Tickeron SMR rating for this company is 69 (best 1 - 100 worst), indicating slightly better than average sales and a considerably profitable business model. SMR (Sales, Margin, Return on Equity) rating is based on comparative analysis of weighted Sales, Income Margin and Return on Equity values compared against S&P 500 index constituents. The weighted SMR value is a proprietary formula developed by Tickeron and represents an overall profitability measure for a stock.
The Tickeron Valuation Rating of 83 (best 1 - 100 worst) indicates that the company is slightly overvalued in the industry. This rating compares market capitalization estimated by our proprietary formula with the current market capitalization. This rating is based on the following metrics, as compared to industry averages: P/B Ratio (3.076) is normal, around the industry mean (1.490). TR has a moderately high P/E Ratio (30.683) as compared to the industry average of (15.433). TR's Projected Growth (PEG Ratio) (3.680) is slightly higher than the industry average of (1.364). Dividend Yield (0.009) settles around the average of (0.163) among similar stocks. TR's P/S Ratio (3.883) is slightly higher than the industry average of (1.937).
The Tickeron Seasonality Score of 85 (best 1 - 100 worst) indicates that the company is significantly overvalued in the industry. The Tickeron Seasonality score describes the variance of predictable price changes around the same period every calendar year. These changes can be tied to a specific month, quarter, holiday or vacation period, as well as a meteorological or growing season.
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General Information
a manufacturer of confectionery products
Industry FoodSpecialtyCandy
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