J M Smucker (NYSE:SJM) Upgraded to “Hold” by Zacks Investment Research

Zacks Investment Research upgraded shares of J M Smucker (NYSE:SJM) from a sell rating to a hold rating in a research note published on Friday, Zacks.com reports. Zacks Investment Research currently has $110.00 target price on the stock.

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.”

Other equities research analysts also recently issued reports about the stock. Morgan Stanley reduced their price target on shares of J M Smucker from $120.00 to $109.00 and set an equal weight rating for the company in a research report on Thursday. Citigroup reduced their price target on shares of J M Smucker from $142.00 to $132.00 and set a buy rating for the company in a research report on Thursday, August 29th. Bank of America reduced their price target on shares of J M Smucker from $128.00 to $122.00 and set a neutral rating for the company in a research report on Wednesday, August 28th. Stifel Nicolaus reduced their price target on shares of J M Smucker from $120.00 to $110.00 and set a hold rating for the company in a research report on Wednesday, August 28th. Finally, Guggenheim reduced their price target on shares of J M Smucker from $99.00 to $93.00 and set a sell rating for the company in a research report on Wednesday, August 28th. Three analysts have rated the stock with a sell rating, seven have given a hold rating and two have issued a buy rating to the stock. The company has an average rating of Hold and an average target price of $110.60.

NYSE:SJM traded up $0.51 during mid-day trading on Friday, reaching $105.00. The stock had a trading volume of 764,688 shares, compared to its average volume of 712,765. The company has a debt-to-equity ratio of 0.60, a quick ratio of 0.26 and a current ratio of 0.70. The firm has a market capitalization of $12.06 billion, a price-to-earnings ratio of 12.67, a PEG ratio of 3.41 and a beta of 0.41. J M Smucker has a twelve month low of $91.32 and a twelve month high of $128.43. The business has a 50 day simple moving average of $107.19 and a 200 day simple moving average of $114.34.

J M Smucker (NYSE:SJM) last announced its quarterly earnings data on Tuesday, August 27th. The company reported $1.58 EPS for the quarter, missing the Zacks’ consensus estimate of $1.75 by ($0.17). J M Smucker had a net margin of 6.95% and a return on equity of 11.49%. The firm had revenue of $1.78 billion during the quarter, compared to analyst estimates of $1.88 billion. During the same quarter in the previous year, the business earned $1.78 EPS. J M Smucker’s revenue for the quarter was down 6.5% on a year-over-year basis. As a group, sell-side analysts expect that J M Smucker will post 8.29 earnings per share for the current year.

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The business also recently declared a quarterly dividend, which will be paid on Monday, December 2nd. Stockholders of record on Friday, November 15th will be given a dividend of $0.88 per share. The ex-dividend date of this dividend is Thursday, November 14th. This represents a $3.52 dividend on an annualized basis and a dividend yield of 3.35%. J M Smucker’s payout ratio is 42.46%.

In other J M Smucker news, SVP Geoff E. Tanner acquired 1,000 shares of the company’s stock in a transaction dated Thursday, August 29th. The stock was acquired at an average cost of $103.42 per share, with a total value of $103,420.00. Following the purchase, the senior vice president now directly owns 14,063 shares in the company, valued at approximately $1,454,395.46. The acquisition was disclosed in a legal filing with the SEC, which is accessible through this link. Also, CFO Mark R. Belgya sold 750 shares of the firm’s stock in a transaction that occurred on Monday, September 30th. The stock was sold at an average price of $110.00, for a total transaction of $82,500.00. Following the transaction, the chief financial officer now directly owns 53,442 shares of the company’s stock, valued at $5,878,620. The disclosure for this sale can be found here. Over the last three months, insiders have sold 1,987 shares of company stock valued at $220,599. Corporate insiders own 3.70% of the company’s stock.

Several institutional investors and hedge funds have recently modified their holdings of SJM. DNB Asset Management AS increased its stake in shares of J M Smucker by 36.1% during the 2nd quarter. DNB Asset Management AS now owns 40,812 shares of the company’s stock worth $4,701,000 after purchasing an additional 10,827 shares in the last quarter. WINTON GROUP Ltd purchased a new stake in J M Smucker in the 2nd quarter worth approximately $464,000. Crossmark Global Holdings Inc. grew its stake in J M Smucker by 10.1% in the 2nd quarter. Crossmark Global Holdings Inc. now owns 14,147 shares of the company’s stock worth $1,630,000 after acquiring an additional 1,292 shares during the period. Contravisory Investment Management Inc. purchased a new stake in J M Smucker in the 2nd quarter worth approximately $305,000. Finally, Perkins Coie Trust Co purchased a new stake in J M Smucker in the 2nd quarter worth approximately $45,000. 77.56% of the stock is owned by institutional investors and hedge funds.

J M Smucker Company Profile

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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