General Mills, Inc. (NYSE:GIS) was downgraded by Zacks Investment Research from a “hold” rating to a “sell” rating in a research report issued to clients and investors on Monday.

According to Zacks, “General Mills' consumer-focused innovation, marketing initiatives and robust restructuring savings are making up for the sluggish revenue growth. The company is currently pursuing several initiatives focused on improving operational efficiency to generate cost savings and support its key growth strategies. By fiscal 2018, the company expects to achieve cost savings through increased efficiency, reduced complexity through SKU optimization, further supply chain optimization and continued expansion of zero-based budgeting across the business, which will result in accelerated margin expansion. However, General Mills' shares have underperformed the industry so far this year. Slowing organic volumes are overshadowing minor improvements in profit margins. Earnings estimates for the current quarter and the year have been revised downward by 2.4% and 0.3%, respectively, over the last 30 days, reflecting analyst concerns surrounding the stock.”

Other analysts have also issued research reports about the company. Vetr raised General Mills from a “hold” rating to a “buy” rating and set a $57.82 price objective on the stock in a report on Tuesday, June 27th. BidaskClub raised General Mills from a “hold” rating to a “buy” rating in a report on Tuesday, August 22nd. Citigroup Inc. reissued a “buy” rating and set a $67.00 price objective on shares of General Mills in a report on Thursday, September 21st. Morgan Stanley reissued an “equal weight” rating and set a $55.00 price objective (down previously from $58.00) on shares of General Mills in a report on Sunday, June 25th. Finally, BMO Capital Markets reissued a “hold” rating on shares of General Mills in a report on Tuesday, August 8th. Four analysts have rated the stock with a sell rating, fourteen have issued a hold rating and three have given a buy rating to the stock. The stock has a consensus rating of “Hold” and an average price target of $56.60.

Shares of General Mills (NYSE GIS) traded down 0.75% during trading on Monday, hitting $51.62. The company’s stock had a trading volume of 1,897,988 shares. The company has a market capitalization of $29.34 billion, a P/E ratio of 18.50 and a beta of 0.61. The firm’s 50 day moving average is $52.87 and its 200-day moving average is $55.45. General Mills has a 1-year low of $50.12 and a 1-year high of $64.06.

General Mills (NYSE:GIS) last announced its quarterly earnings data on Wednesday, September 20th. The company reported $0.71 earnings per share for the quarter, missing the Thomson Reuters’ consensus estimate of $0.76 by ($0.05). General Mills had a return on equity of 39.82% and a net margin of 10.68%. The firm had revenue of $3.77 billion for the quarter, compared to analyst estimates of $3.79 billion. During the same period in the previous year, the business posted $0.78 EPS. General Mills’s revenue for the quarter was down 3.6% compared to the same quarter last year. Analysts forecast that General Mills will post $3.08 EPS for the current fiscal year.

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A number of institutional investors and hedge funds have recently modified their holdings of the business. Lenox Wealth Management Inc. raised its position in General Mills by 0.3% in the 2nd quarter. Lenox Wealth Management Inc. now owns 3,242 shares of the company’s stock valued at $180,000 after purchasing an additional 11 shares during the last quarter. Lenox Wealth Advisors Inc. raised its position in General Mills by 0.8% in the 2nd quarter. Lenox Wealth Advisors Inc. now owns 1,833 shares of the company’s stock valued at $102,000 after purchasing an additional 15 shares during the last quarter. LLBH Private Wealth Management LLC raised its position in General Mills by 0.6% in the 2nd quarter. LLBH Private Wealth Management LLC now owns 4,343 shares of the company’s stock valued at $241,000 after purchasing an additional 25 shares during the last quarter. Davis R M Inc. raised its position in General Mills by 0.8% in the 2nd quarter. Davis R M Inc. now owns 4,197 shares of the company’s stock valued at $233,000 after purchasing an additional 34 shares during the last quarter. Finally, Hanson McClain Inc. raised its position in General Mills by 1.5% in the 1st quarter. Hanson McClain Inc. now owns 2,346 shares of the company’s stock valued at $138,000 after purchasing an additional 35 shares during the last quarter. Hedge funds and other institutional investors own 70.45% of the company’s stock.

General Mills Company Profile

General Mills, Inc is a manufacturer and marketer of branded consumer foods sold through retail stores. The Company is a supplier of branded and unbranded food products to the North American foodservice and commercial baking industries. The Company has three segments: U.S. Retail, International, and Convenience Stores and Foodservice.

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