General Mills (GIS) closed at $53.69 in the latest trading session, marking a -0.02% move from the prior day. This change was narrower than the S&P 500's 0.26% loss on the day. At the same time, the Dow lost 0.09%, and the tech-heavy Nasdaq lost 0.24%.
Prior to today's trading, shares of the maker of Cheerios cereal, Yoplait yogurt and other packaged foods had gained 0.69% over the past month. This has lagged the Consumer Staples sector's gain of 2.6% and the S&P 500's gain of 2.87% in that time.
Wall Street will be looking for positivity from GIS as it approaches its next earnings report date. On that day, GIS is projected to report earnings of $0.77 per share, which would represent year-over-year growth of 8.45%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $4.10 billion, up 0.08% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $3.37 per share and revenue of $17.44 billion, which would represent changes of +4.66% and +3.42%, respectively, from the prior year.
Any recent changes to analyst estimates for GIS should also be noted by investors. These revisions typically reflect the latest short-term business trends, which can change frequently. 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 benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 0.11% higher within the past month. GIS is holding a Zacks Rank of #2 (Buy) right now.
Valuation is also important, so investors should note that GIS has a Forward P/E ratio of 15.94 right now. Its industry sports an average Forward P/E of 18.49, so we one might conclude that GIS is trading at a discount comparatively.
Investors should also note that GIS has a PEG ratio of 2.28 right now. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. GIS's industry had an average PEG ratio of 2.57 as of yesterday's close.
The Food - Miscellaneous industry is part of the Consumer Staples sector. This group has a Zacks Industry Rank of 147, putting it in the bottom 43% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
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General Mills, Inc. (GIS) : Free Stock Analysis Report
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