J. M. Smucker (NYSE:SJM) Shares Gap Up Following Strong Earnings

The J. M. Smucker Company (NYSE:SJM)’s stock price gapped up prior to trading on Tuesday after the company announced better than expected quarterly earnings. The stock had previously closed at $113.62, but opened at $120.00. J. M. Smucker shares last traded at $122.13, with a volume of 716,873 shares.

The company reported $2.76 earnings per share (EPS) for the quarter, beating the consensus estimate of $2.49 by $0.27. The company had revenue of $2.27 billion for the quarter, compared to analysts’ expectations of $2.27 billion. J. M. Smucker had a net margin of 8.77% and a return on equity of 14.22%. J. M. Smucker’s revenue was up 17.2% compared to the same quarter last year. During the same period in the previous year, the company posted $2.59 EPS.

J. M. Smucker Announces Dividend

The company also recently declared a quarterly dividend, which will be paid on Monday, December 2nd. Investors of record on Friday, November 15th will be issued a dividend of $1.08 per share. The ex-dividend date is Friday, November 15th. This represents a $4.32 annualized dividend and a yield of 3.66%. J. M. Smucker’s dividend payout ratio is currently 61.10%.

Wall Street Analysts Forecast Growth

SJM has been the topic of several recent analyst reports. Stifel Nicolaus cut J. M. Smucker from a “buy” rating to a “hold” rating and dropped their target price for the stock from $135.00 to $125.00 in a research report on Friday, October 25th. DA Davidson reaffirmed a “neutral” rating and set a $121.00 price objective on shares of J. M. Smucker in a report on Thursday, August 29th. Barclays reduced their target price on J. M. Smucker from $123.00 to $121.00 and set an “equal weight” rating for the company in a report on Friday, August 30th. Wells Fargo & Company boosted their target price on shares of J. M. Smucker from $130.00 to $135.00 and gave the stock an “overweight” rating in a research report on Wednesday. Finally, Bank of America cut their price target on shares of J. M. Smucker from $130.00 to $122.00 and set a “neutral” rating for the company in a report on Thursday, August 29th. One analyst has rated the stock with a sell rating, eight have assigned a hold rating and four have issued a buy rating to the stock. According to data from MarketBeat, the company presently has an average rating of “Hold” and an average price target of $127.55.

Institutional Trading of J. M. Smucker

Several large investors have recently modified their holdings of the business. Studio Investment Management LLC purchased a new stake in J. M. Smucker in the 2nd quarter valued at approximately $26,000. Venturi Wealth Management LLC raised its holdings in shares of J. M. Smucker by 1,329.4% in the third quarter. Venturi Wealth Management LLC now owns 243 shares of the company’s stock worth $29,000 after acquiring an additional 226 shares during the last quarter. Catalyst Capital Advisors LLC purchased a new stake in shares of J. M. Smucker in the third quarter valued at $39,000. Quarry LP boosted its stake in shares of J. M. Smucker by 212.6% during the second quarter. Quarry LP now owns 322 shares of the company’s stock valued at $35,000 after acquiring an additional 219 shares during the last quarter. Finally, Eastern Bank acquired a new stake in shares of J. M. Smucker during the third quarter valued at $40,000. 81.66% of the stock is currently owned by institutional investors and hedge funds.

J. M. Smucker Trading Down 1.8 %

The stock has a market cap of $12.55 billion, a PE ratio of 16.94, a PEG ratio of 3.19 and a beta of 0.25. The company has a debt-to-equity ratio of 0.87, a quick ratio of 0.25 and a current ratio of 0.55. The business has a 50-day moving average of $116.43 and a 200 day moving average of $115.59.

About J. M. Smucker

The J. M. Smucker Company manufactures and markets branded food and beverage products worldwide. It operates in three segments: U.S. Retail Pet Foods, U.S. Retail Coffee, and U.S. Retail Consumer Foods. The company offers mainstream roast, ground, single serve, and premium coffee; peanut butter and specialty spreads; fruit spreads, toppings, and syrups; jelly products; nut mix products; shortening and oils; frozen sandwiches and snacks; pet food and pet snacks; and foodservice hot beverage, foodservice portion control, and flour products, as well as dog and cat food, frozen handheld products, juices and beverages, and baking mixes and ingredients.