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Mondelēz International Declared Quarterly Dividend

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Price movement

Mondelēz International (MDLZ) has a market cap of $71.2 billion. It rose by 0.35% to close at $45.58 per share on July 19, 2016. The stock’s weekly, monthly, and year-to-date (or YTD) price movements were -0.33%, 3.9%, and 2.5%, respectively, on the same day.

MDLZ is trading 2.3% above its 20-day moving average, 2.8% above its 50-day moving average, and 6.4% above its 200-day moving average.

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Related ETF and peers

The Fidelity MSCI Consumer Staples ETF (FSTA) invests 3.6% of its holdings in Mondelēz International. The ETF tracks a market-cap-weighted index of stocks in the US consumer staples sector. The YTD price movement of FSTA was 10.6% on July 19.

The market caps of Mondelēz’s competitors are as follows:

  • PepsiCo (PEP) — $158.1 billion
  • General Mills (GIS) — $43.4 billion
  • Hershey (HSY) — $22.8 billion

Mondelēz declared dividend

Mondelēz International has declared a regular quarterly dividend of $0.19 per share on its Class A common stock. The dividend will be paid on October 13, 2016, to shareholders of record as of September 30, 2016.

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Mondelēz International’s performance in 1Q16

Mondelēz International reported 1Q16 net revenue of $6.5 billion, a fall of 16.8% compared to net revenue of $7.8 billion in 1Q15. Its revenues from Latin America, the Asia-Pacific Region, Eastern Europe, the Middle East and Africa, Europe, and North America fell by 35.0%, 2.3%, 21.3%, 23.1%, and 0.4%, respectively, in 1Q16 compared to 1Q15.

The company’s gross profit margin rose by 3.7%, and its operating income fell by 11.0% in 1Q16 compared to the prior year. Its net income and EPS (earnings per share) rose to $554.0 million and $0.35, respectively, in 1Q16 compared to $324.0 million and $0.19, respectively, in 1Q15.

Mondelēz International’s cash and cash equivalents fell by 28.4%, and its inventories rose by 5.6% in 1Q16 compared to 4Q15. Its current ratio fell to 0.68x, and its debt-to-equity ratio rose to 1.3x in 1Q16 compared to 0.82x and 1.2x, respectively, in 4Q15. The company has repurchased ~$1.2 billion worth of its common stock at an average price of $41.04 per share. 

Projections

The company has made the following projections for 2016:

  • organic net revenue growth of at least 2%
  • adjusted operating income margin of 15%–16%
  • adjusted EPS growth in double digits on a constant-currency basis

Now we’ll take a look at Mattel.

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