Majority of analysts lowered target prices
Most analysts lowered their target prices on General Mills (GIS) stock following the release of its results for the second quarter of fiscal 2019 on December 19. JPMorgan Chase reduced its target price on GIS stock to $43 from $46 per share.
Morgan Stanley lowered its target price to $45 from $47. Barclay’s lowered its target price to $43 from $46. Credit Suisse reduced its target price to $41 from $46. In contrast, Susquehanna increased its target price to $50 from $48.
Rating and target price
The majority of analysts covering General Mills maintain “hold” ratings on its stock. General Mills reported a healthy performance on the profitability front, but soft organic sales remained a concern. Moreover, the company didn’t increase its EPS outlook for the full year despite reporting improved earnings in the first half, indicating challenges in the second half.
Among the 19 analysts providing recommendations on General Mills stock, 14 have given it “holds,” four have given it “buys,” and one has given it a “sell.” Analysts have a consensus target price $44.78 per share on the stock, which indicates a potential upside of 14.6% based on its closing price of $39.07 on December 20.
In comparison, the majority of Wall Street analysts have maintained “hold” ratings on the Kellogg Company (K), the J.M. Smucker Company (SJM), and the Hershey Company (HSY) stocks. Meanwhile, analysts have maintained “buy” ratings on Conagra Brands (CAG) and Mondelēz (MDLZ) stocks.