J M Smucker (NYSE:SJM) was upgraded by Zacks Investment Research from a “sell” rating to a “hold” rating in a research note issued to investors on Friday, Zacks.com reports. The brokerage presently has a $110.00 price objective on the stock. Zacks Investment Research‘s target price suggests a potential upside of 4.71% from the company’s current price.
According to Zacks, “Smucker’s shares have lagged the industry in the past three months. The company has been grappling with lower net price realization as well as impacts of the U.S. baking business divestiture. These factors hurt the company’s results in first-quarter fiscal 2020, wherein earnings and sales declined year over year, and lagged the Zacks Consensus Estimate. Moreover, management lowered its outlook for fiscal 2020. Results were hurt by adverse shipment timings, competition in the premium dog food business, and soft pricing at coffee and peanut butter businesses. Nonetheless, Smucker gained respite from continued contributions from the Ainsworth buyout and strength of its brands. This along with focus on innovation, e-commerce growth and cost-savings bode well for the company. Markedly, SD&A costs are expected to decline in fiscal 2020.”
A number of other research firms have also recently commented on SJM. Wells Fargo & Co reissued a “market perform” rating and set a $107.00 price target (down previously from $114.00) on shares of J M Smucker in a report on Wednesday, August 28th. Guggenheim lowered their price target on J M Smucker from $99.00 to $93.00 and set a “sell” rating for the company in a report on Wednesday, August 28th. TheStreet cut J M Smucker from a “b-” rating to a “c+” rating in a report on Tuesday, August 6th. Bank of America lowered their price target on J M Smucker from $128.00 to $122.00 and set a “neutral” rating for the company in a report on Wednesday, August 28th. Finally, Morgan Stanley lowered their target price on J M Smucker from $120.00 to $109.00 and set an “equal weight” rating for the company in a report on Thursday. Three equities research analysts have rated the stock with a sell rating, seven have given a hold rating and two have given a buy rating to the company’s stock. J M Smucker has an average rating of “Hold” and an average price target of $110.60.
J M Smucker (NYSE:SJM) last posted its quarterly earnings results on Tuesday, August 27th. The company reported $1.58 EPS for the quarter, missing analysts’ consensus estimates of $1.75 by ($0.17). J M Smucker had a return on equity of 11.49% and a net margin of 6.95%. The business had revenue of $1.78 billion for the quarter, compared to analyst estimates of $1.88 billion. During the same period last year, the firm posted $1.78 EPS. J M Smucker’s quarterly revenue was down 6.5% on a year-over-year basis. As a group, equities research analysts predict that J M Smucker will post 8.36 EPS for the current year.
In other news, SVP Geoff E. Tanner bought 1,000 shares of the stock in a transaction on Thursday, August 29th. The stock was acquired at an average price of $103.42 per share, with a total value of $103,420.00. Following the acquisition, the senior vice president now directly owns 14,063 shares in the company, valued at $1,454,395.46. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, CFO Mark R. Belgya sold 750 shares of the company’s stock in a transaction dated Monday, September 30th. The stock was sold at an average price of $110.00, for a total value of $82,500.00. Following the completion of the transaction, the chief financial officer now directly owns 53,442 shares of the company’s stock, valued at approximately $5,878,620. The disclosure for this sale can be found here. In the last ninety days, insiders sold 1,987 shares of company stock valued at $220,599. Insiders own 3.70% of the company’s stock.
A number of institutional investors and hedge funds have recently modified their holdings of SJM. BlackRock Inc. grew its position in shares of J M Smucker by 2.7% in the 2nd quarter. BlackRock Inc. now owns 9,934,921 shares of the company’s stock valued at $1,144,403,000 after buying an additional 258,305 shares during the last quarter. Canada Pension Plan Investment Board grew its position in shares of J M Smucker by 12,607.9% in the 2nd quarter. Canada Pension Plan Investment Board now owns 187,315 shares of the company’s stock valued at $21,577,000 after buying an additional 185,841 shares during the last quarter. Trust Co. of Vermont grew its position in shares of J M Smucker by 13.7% in the 2nd quarter. Trust Co. of Vermont now owns 12,114 shares of the company’s stock valued at $1,395,000 after buying an additional 1,455 shares during the last quarter. Stephens Inc. AR grew its position in shares of J M Smucker by 0.4% in the 2nd quarter. Stephens Inc. AR now owns 22,433 shares of the company’s stock valued at $2,584,000 after buying an additional 94 shares during the last quarter. Finally, Sumitomo Mitsui DS Asset Management Company Ltd grew its position in shares of J M Smucker by 13.1% in the 3rd quarter. Sumitomo Mitsui DS Asset Management Company Ltd now owns 7,740 shares of the company’s stock valued at $851,000 after buying an additional 898 shares during the last quarter. 77.56% of the stock is owned by institutional investors and hedge funds.
About J M Smucker
The J. M. Smucker Co engages in the manufacture and marketing of branded food and beverage products. It operates through the following segments: U.S. Retail Coffee, U.S. Retail Consumer Foods, U.S. Retail Pet Foods, and International and Away From Home. The U. S. Retail Coffee segment includes the domestic sales of Folgers, Dunkin Donuts, and Cafe Bustelo branded coffee.
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