General Mills (GIS) Gains But Lags Market: What You Should Know
The latest trading session saw General Mills (GIS) ending at $65.72, denoting a +0.09% adjustment from its last day's close. The stock lagged the S&P 500's daily gain of 1.12%. Meanwhile, the Dow gained 0.61%, and the Nasdaq, a tech-heavy index, added 1.54%.
Shares of the maker of Cheerios cereal, Yoplait yogurt and other packaged foods witnessed a gain of 4.09% over the previous month, beating the performance of the Consumer Staples sector with its gain of 1.98% and the S&P 500's gain of 2.06%.
The investment community will be closely monitoring the performance of General Mills in its forthcoming earnings report. The company is scheduled to release its earnings on March 20, 2024. On that day, General Mills is projected to report earnings of $1.04 per share, which would represent year-over-year growth of 7.22%. Meanwhile, the latest consensus estimate predicts the revenue to be $4.95 billion, indicating a 3.35% decrease compared to the same quarter of the previous year.
For the entire fiscal year, the Zacks Consensus Estimates are projecting earnings of $4.49 per share and a revenue of $19.97 billion, representing changes of +4.42% and -0.6%, respectively, from the prior year.
Investors should also note any recent changes to analyst estimates for General Mills. These recent revisions tend to reflect the evolving nature of short-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed an unchanged state. At present, General Mills boasts a Zacks Rank of #3 (Hold).
In terms of valuation, General Mills is presently being traded at a Forward P/E ratio of 14.64. This signifies a discount in comparison to the average Forward P/E of 17.2 for its industry.
We can also see that GIS currently has a PEG ratio of 2.31. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. As the market closed yesterday, the Food - Miscellaneous industry was having an average PEG ratio of 2.03.
The Food - Miscellaneous industry is part of the Consumer Staples sector. This industry, currently bearing a Zacks Industry Rank of 93, finds itself in the top 37% echelons of all 250+ industries.
The Zacks Industry Rank is ordered from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to use Zacks.com to monitor all these stock-influencing metrics, and more, throughout the forthcoming trading sessions.
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General Mills, Inc. (GIS) : Free Stock Analysis Report
