iShares Global Consumer Staples

Manufacturers’ new orders for consumer goods and materials New orders for consumer goods and materials give investors an insight into the demand for goods and form an important constituent of the Conference Board LEI (Leading Economic Index). Changes to demand in the consumer goods sector impact the performance of FMCG (fast moving consumer goods) companies, which include large retailers such […]

In this part of the series, we’ll look at the important events for the week ahead, from May 22–26, 2017.

As of April 19, PepsiCo (PEP) was trading at a 12-month forward PE (price-to-earnings) ratio of 22.1x.

Unlike its gross margin, Hershey’s operating margin expanded to 18.7% in 3Q16 from 15.5% in 3Q15. This improvement was mainly due to a favorable comparison with 3Q15.

In 3Q16, only Coca-Cola’s North America and Asia-Pacific segments reported growth in net revenues.

12-month forward PE In this article, we’ll discuss Coca-Cola’s (KO) valuation using the 12-month forward PE (price-to-earnings) ratio. As of October 17, Coca-Cola was trading at a 12-month forward PE of 21.1x. The company is trading below its YTD (year-to-date) average forward PE of 22.4x. Peers’ valuation As of October 17, nonalcoholic beverage companies PepsiCo […]

Constellation Brands (STZ) impressed investors with another quarter of strong earnings and sales growth in fiscal 2Q17. The beer, wine, and spirits producer beat the analysts’ earnings estimate for the eighth straight quarter.

As of September 19, 2016, Walmart (WMT) was trading at a 12-month forward PE multiple of 16.6x, which is slightly above its YTD average forward PE of 16.4x.

Coca-Cola has a dominant position in the US market. However, US soda volumes have been declining for more than a decade.

As of August 5, Monster Beverage (MNST) was trading at a 12-month forward PE (price-to-earnings) ratio of 36.8x.

In a press release on July 29, a week before Kellogg Company (K) announced its fiscal 2Q16 results, it announced a quarterly dividend of $0.52 per share on its common stock.

On July 28, 2016, Hershey (HSY) declared its 347th consecutive regular dividend on its common stock and 128th consecutive regular dividend on its Class B common stock.

On August 1, 2016, Mead Johnson Nutrition Company (MJN) was trading at $87.72. After 2Q16 earnings, the average broker target price for Mead Johnson Nutrition increased by 4% to $94.90 from $91.0.

In 2Q16, Mead Johnson (MJN) reported a drop in revenue of ~9% to $942 million, compared to revenue of ~$1.0 billion in 2Q15.

Dr Pepper Snapple’s (DPS) gross margins increased by 120 basis points to 60.5% in 2Q16 on a YoY (year-over-year) basis.

Coca-Cola’s top line is under pressure due to the persistent weakness in soda volumes caused by a shift in consumer preference to healthier beverages.

A week before its 2Q16 results, Mondelez (MDLZ) declared a 12% increase in its quarterly dividend. It targets a dividend payout of 30% in 2016.

Analysts’ expectations for KHC’s earnings look optimistic for the rest of 2016. Its earnings are expected to rise by 70% and 44% in 3Q16 and 4Q16.

Monster Beverage (MNST) impressed its investors with a 26% growth in its 1Q16 EPS (earnings per share), excluding the impact of one-time items.

Kellogg announced a quarterly dividend of $0.50 per share on its common stock—paid on June 15 to shareowners of record at the close of business on June 1.

On May 4, Hershey (HSY) announced that its board of directors approved quarterly dividends of $0.58 on the common stock and $0.53 on the Class B common stock.

Coca-Cola’s (KO) margins contracted in 1Q16 due to the impact of adverse currency fluctuations and structural headwinds.

In fiscal 1Q16, Mondelez returned a total of $1.5 billion in capital to shareholders through dividends and share repurchases.

The stock price of retail giant Walmart (WMT) has risen by 20.1% on a YTD (year-to-date) basis to $73.84, as of July 18. Walmart’s stock has outperformed the S&P 500 Index, which has risen 7.7% on a YTD basis.

As of July 15, 2016, Mead Johnson (MJN) was trading at $91.38.

Leading snack and beverage maker PepsiCo (PEP) delivered adjusted EPS (earnings per share) of $1.35 in 2Q16 ended June 11, 2016.

Carbonated soft drinks have been losing their fizz as more and more consumers are opting for healthier beverage options.

In 2015, soda giants Coca-Cola and PepsiCo generated 54% and 44% of their respective revenues from outside the United States.

Coca-Cola’s Venturing & Emerging Brands unit has acquired a minority stake in the certified organic, non-GMO, and gluten-free drink Aloe Gloe.

For fiscal 1Q17, analysts expect Constellation Brands to deliver adjusted EPS (earnings per share) of $1.52.

Coca-Cola is now changing its approach from offering beverage choices to consumers to shaping their choices.

ConAgra Foods (CAG) completed the divestiture of its private-label business on February 1, 2016. The company received proceeds of more than $2.6 billion.

We discussed some of the healthier beverage innovations by nonalcoholic beverage companies. We’ll discuss some more products in this article.

Sports drinks are considered a healthier choice than traditional soda beverages, and they contain less sugar than traditional soda beverages.

A population of 80 million strong in the U.S., millennials – those born between 1980 and 1999 – are breaking with tradition.

On February 26, Monster Beverage was trading at a 12-month forward PE (price-to-earnings) ratio of 33.8x.

Dr Pepper Snapple reported sales of nearly $1.6 billion in 4Q15, beating the consensus Wall Street analyst estimate of $1.53 billion.

Coca-Cola’s (KO) fourth quarter margins might remain under pressure due to currency headwinds and structural changes relating to the company’s bottling and distribution operations.

Carbonated soft drinks remain the leading US liquid refreshment beverage. However, non-carbonated or still beverages are consistently gaining traction.

The Hain Celestial Group’s management is concerned with its US grocery business, as it’s the largest contributor to the US segment’s sales.

In 3Q15, Coca-Cola’s still beverage volume growth was a result of 4% growth in ready-to-drink tea, 5% in sports drinks, and 11% in packaged water.

Coca-Cola’s 3Q15 earnings were negatively impacted by currency headwinds and a 4.6% decline in 3Q15 revenue.

Keurig’s sales in the third quarter of fiscal 2015 ended June 27, 2015, declined by 5.2% to $969.6 million, due to declines in brewer sales and pod sales.

In September 2015, Keurig Green Mountain announced the launch of its much-awaited Keurig Kold beverage system.

PepsiCo’s revenue in 2Q15 fell 5.7% due to a 10 percentage point impact of currency headwinds. PepsiCo expects currency headwinds to have an 11 percentage point impact on net revenue growth in 3Q15.

PepsiCo’s stock price has been impacted by weak performance in the first half of the year and the recent turmoil in the stock markets due to global factors like the slowdown in China.

In August, Coca-Cola (KO) bought a 30% stake in Suja Juice, a California-based manufacturer of organic juices that uses high-pressure processing to preserve nutrition and taste.

Coca-Cola has a dominant presence in the sparkling beverages market, but it’s the still beverage space that has huge growth prospects.

Coca-Cola is now following a segmented approach for developing sustainable revenue growth. Beginning in 2015, Coca-Cola added revenue growth as a metric in its incentive plan.

PepsiCo’s growth potential in Russia and the CIS regions will be driven by favorable factors such as urbanization, the growing middle class, and the rise in the preference for packaged foods.

The domestic non-sparkling bottled water category is the largest segment of bottled water in the US.