Zacks Reiterates Neutral Rating for The J.M. Smucker Company (SJM)
The J.M. Smucker Company (NYSE:SJM)‘s stock had its “neutral” rating reaffirmed by Zacks in a note issued to investors on Friday. They currently have a $110.00 price target on the stock. Zacks‘s price target indicates a potential upside of 5.13% from the company’s current price.
Zacks’ analyst wrote, “J.M. Smucker posted soft results in the fourth quarter. Though earnings of $1.21 per share beat the Zacks Consensus Estimate by 4.3%, it declined 6% year over year, due to lower operating income and higher tax rate. Revenues declined 8% due to a decline in K-cup sales and lower price realization from consumers due to decline in coffee costs. The price declines also overshadowed the benefits of the Enray acquisition and a distribution agreement with Cumberland Packing Corp. It also led to margin contraction in the quarter. However, with the recent increase in coffee prices, Smucker has provided a favorable view for fiscal 2015. Overall, we are encouraged by Smucker’s strong portfolio of brands, a solid innovation program, and promotional offerings. But anticipated lower volumes and currency headwinds keep us on the sidelines.”
The J.M. Smucker Company (NYSE:SJM) traded down 0.50% during mid-day trading on Friday, hitting $104.63. The stock had a trading volume of 236,656 shares. The J.M. Smucker Company has a 1-year low of $87.10 and a 1-year high of $114.72. The stock has a 50-day moving average of $105.9 and a 200-day moving average of $99.68. The company has a market cap of $10.656 billion and a P/E ratio of 19.41.
The J.M. Smucker Company (NYSE:SJM) last posted its earnings data on Thursday, June 5th. The company reported $1.21 earnings per share (EPS) for the quarter, beating the consensus estimate of $1.16 by $0.05. The company had revenue of $1.23 billion for the quarter, compared to the consensus estimate of $1.24 billion. During the same quarter in the previous year, the company posted $1.29 earnings per share. The company’s revenue for the quarter was down 7.9% on a year-over-year basis. Analysts expect that The J.M. Smucker Company will post $6.03 EPS for the current fiscal year.
The company also recently announced a quarterly dividend, which is scheduled for Tuesday, September 2nd. Shareholders of record on Friday, August 15th will be paid a dividend of $0.64 per share. This represents a $2.56 annualized dividend and a dividend yield of 2.45%. The ex-dividend date is Wednesday, August 13th. This is a positive change from The J.M. Smucker Company’s previous quarterly dividend of $0.58.
Several other analysts have also recently commented on the stock. Analysts at Credit Suisse reiterated a “neutral” rating on shares of The J.M. Smucker Company in a research note on Thursday, June 19th. They now have a $111.00 price target on the stock, up previously from $108.00. Separately, analysts at Wells Fargo & Co. upgraded shares of The J.M. Smucker Company from an “underperform” rating to a “market perform” rating in a research note on Monday, June 9th. Finally, analysts at RBC Capital reiterated a “positive” rating on shares of The J.M. Smucker Company in a research note on Tuesday, June 3rd. Nine analysts have rated the stock with a hold rating and five have given a buy rating to the company. The J.M. Smucker Company has an average rating of “Hold” and a consensus price target of $110.64.
The J. M. Smucker Company operates principally in the manufacturing and marketing of branded food products.
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