StockNews.com Downgrades J. M. Smucker to Sell

J. M. Smucker (NYSE:SJM - Get Free Report) has been downgraded by analysts at StockNews.com from a "hold" rating to a "sell" rating as stated in a recent report.

Other financial analysts have also updated their views on J. M. Smucker. Notably, Wells Fargo & Company raised their price target for the stock from $130.00 to $135.00 while assigning it an "overweight" rating in a report on November 27. Conversely, TD Cowen downgraded J. M. Smucker from "buy" to "hold" and reduced the target price from $130.00 to $121.00 on January 8. DA Davidson lowered their target price from $122.00 to $120.00 and maintained a "neutral" rating. Stifel Nicolaus also decreased its price target from $125.00 to $120.00, citing a "hold" rating. Lastly, Barclays adjusted their target price down from $123.00 to $119.00 with an "equal weight" rating. Currently, two analysts rate the stock as a sell, five as hold, and three as buy, leading to a consensus rating of "Hold" from MarketBeat with an average target price of $126.00.

Recent Stock Performance

On Thursday, J. M. Smucker's stock experienced a slight decline, dropping 0.8% to $109.27 during intraday trading. The total volume for the day was 1,185,256 shares, which is higher than the regular average of 1,121,844 shares. Financial metrics revealed a debt-to-equity ratio of 0.89, a current ratio of 0.58, and a quick ratio of 0.27. The 50-day moving average stands at $106.82, while the 200-day moving average is at $112.50. J. M. Smucker has a market capitalization of approximately $11.63 billion with a price-to-earnings ratio of 22.12, a price-to-earnings-growth ratio of 3.91, and a beta of 0.28. In the past twelve months, the stock has reached a low of $98.77 and a high of $127.15.

Quarterly Earnings and Insider Activities

Recently, J. M. Smucker released its quarterly earnings data, reporting $2.61 earnings per share for the quarter, which exceeds analysts' expectations of $2.37 by $0.24. The firm's return on equity was recorded at 14.35%, and it had a net margin of 5.96%. J. M. Smucker's revenue for the quarter totaled $2.19 billion, slightly below the forecast of $2.23 billion. Analysts predict that the company will achieve an earnings per share of 9.88 for the current fiscal year.

In related corporate news, CFO Tucker H. Marshall sold 5,028 shares of the company on March 13 at an average price of $113.36, resulting in a total transaction value of approximately $569,974.08. Following this sale, Marshall now holds 13,263 shares valued at about $1,503,493.68, representing a decrease of 27.49% in their stake. This transaction has been documented in a filing with the Securities and Exchange Commission.

Institutional Ownership Trends

Recent trading data shows that several large institutional investors have adjusted their holdings in J. M. Smucker. Vanguard Group Inc. increased its position by 1.0% in the fourth quarter, now owning 13,344,933 shares valued at approximately $1.47 billion. State Street Corp raised its stake by 12.0% in the third quarter, bringing its total to 7,111,023 shares worth around $861 million. FMR LLC also expanded its position by 11.3%, acquiring an additional 380,309 shares. Other institutional stakeholders like Geode Capital Management LLC and Invesco Ltd. have made increases in their holdings as well. Overall, institutional investors and hedge funds collectively own around 81.66% of J. M. Smucker's stock.

Company Overview

J. M. Smucker Company is known for producing and marketing a range of branded food and beverage products globally. The company operates through three primary segments: U.S. Retail Pet Foods, U.S. Retail Coffee, and U.S. Retail Consumer Foods. Their product lineup includes coffee, peanut butter, fruit spreads, oils, frozen products, beverages, and various pet food items.

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