General Mills (NYSE:GIS) Releases Earnings Results

Key Points

• Q3 earnings missed: General Mills reported $0.64 EPS vs. $0.73 expected and revenue of $4.44 billion (vs. $4.53B expected), with revenue down 8.4% year‑over‑year.
• The board declared a quarterly dividend of $0.61 (annualized $2.44), corresponding to a 6.3% yield and a payout ratio of about 52.5%, with an ex‑dividend date of April 10.
• Analyst sentiment has shifted negative—multiple downgrades and price‑target cuts left a consensus rating of "Reduce" (consensus target $48.94), and the stock recently hit a one‑year low near $38.59.

General Mills (NYSE:GIS - Get Free Report) posted its quarterly earnings results on Wednesday. The company reported $0.64 EPS for the quarter, missing the consensus estimate of $0.73 by ($0.09), FiscalAI reports. General Mills had a return on equity of 21.41% and a net margin of 13.51%.The company had revenue of $4.44 billion for the quarter, compared to analysts' expectations of $4.53 billion. During the same quarter in the prior year, the firm earned $1.12 EPS. The firm's revenue was down 8.4% on a year-over-year basis.

General Mills Stock Performance

Shares of GIS stock opened at $38.75 on Wednesday. The company has a debt-to-equity ratio of 1.30, a quick ratio of 0.39 and a current ratio of 0.66. The firm has a market cap of $20.67 billion, a P/E ratio of 8.33 and a beta of -0.05. The firm's 50 day moving average price is $44.77 and its 200-day moving average price is $46.86. General Mills has a one year low of $38.59 and a one year high of $62.61.

General Mills Announces Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Friday, May 1st. Stockholders of record on Friday, April 10th will be issued a $0.61 dividend. This represents a $2.44 annualized dividend and a dividend yield of 6.3%. The ex-dividend date is Friday, April 10th. General Mills's dividend payout ratio is currently 52.47%.

Analysts Set New Price Targets

Several equities research analysts recently issued reports on the stock. Bank of America cut shares of General Mills from a "buy" rating to a "neutral" rating and set a $48.00 price objective for the company. in a research report on Monday, February 23rd. Wells Fargo & Company downgraded shares of General Mills from an "equal weight" rating to an "underweight" rating and cut their price target for the stock from $45.00 to $35.00 in a report on Thursday, March 12th. Morgan Stanley reduced their price target on shares of General Mills from $47.00 to $44.00 and set an "underweight" rating on the stock in a research report on Wednesday, February 18th. Jefferies Financial Group decreased their price objective on General Mills from $50.00 to $47.00 and set a "hold" rating on the stock in a report on Thursday, December 11th. Finally, Deutsche Bank Aktiengesellschaft reiterated a "hold" rating and issued a $51.00 price objective on shares of General Mills in a research report on Thursday, December 18th. Four investment analysts have rated the stock with a Buy rating, eleven have given a Hold rating and five have given a Sell rating to the company. According to data from MarketBeat.com, the stock currently has a consensus rating of "Reduce" and a consensus price target of $48.94.

Trending Headlines about General Mills

Here are the key news stories impacting General Mills this week:

• Positive Sentiment: Portfolio simplification — General Mills agreed to sell its Brazil unit to 3corações, a divestiture positioned as a move to sharpen the company’s portfolio and improve profitability; the deal drew a modest positive reaction in premarket trading. General Mills sells Brazil unit to 3corações
• Positive Sentiment: Brand extension — General Mills reintroduced the La Tiara taco shell brand nationally, a small growth/PR positive that may support incremental sales and local job creation. General Mills Reintroduces La Tiara Brand
• Neutral Sentiment: High dividend yield draws attention — The share-price decline has pushed GIS’s dividend yield into the mid‑6% range, attracting income-oriented buyers but prompting caution about sustainability and business headwinds. Retirees Eyeing General Mills’ 6.3% Dividend
• Neutral Sentiment: Q3 earnings ahead — General Mills reports Q3 results on March 18; analysts expect a material drop in EPS (consensus near $0.73 in some previews) and lower revenue due to promotions, cost pressures and investments — upcoming results are the key near-term catalyst. General Mills Gears Up For Q3 Print
• Negative Sentiment: Analyst downgrades and estimate cuts — Zacks and other research shops have reduced near‑ and medium‑term EPS forecasts (multiple quarters and fiscal years), with Zacks carrying a “Strong Sell” stance and trimming FY and quarterly estimates, increasing downside pressure on the shares. Market overview including Zacks note
• Negative Sentiment: Price target cut — Barclays lowered its price target to $43 and moved to an “equal weight” view, signaling more modest upside than before and reinforcing cautious analyst sentiment. Barclays Lowers General Mills Price Target
• Negative Sentiment: Share-price pressure and 1-year low — Following analyst downgrades and weaker guidance/estimates, GIS hit a new one‑year low, reflecting growing investor concern about near‑term earnings momentum and margin pressure. General Mills Sets New 1-Year Low After Analyst Downgrade

Insider Buying and Selling

In other news, insider Paul Joseph Gallagher sold 1,500 shares of the firm's stock in a transaction on Friday, December 19th. The stock was sold at an average price of $48.15, for a total transaction of $72,225.00. Following the completion of the transaction, the insider directly owned 48,568 shares in the company, valued at $2,338,549.20. This trade represents a 3.00% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available at the SEC website. 0.30% of the stock is owned by company insiders.

Hedge Funds Weigh In On General Mills

Several hedge funds have recently bought and sold shares of GIS. Stonebridge Capital Advisors LLC raised its stake in shares of General Mills by 0.7% in the second quarter. Stonebridge Capital Advisors LLC now owns 32,843 shares of the company's stock valued at $1,702,000 after acquiring an additional 226 shares during the period. New England Asset Management Inc. boosted its stake in shares of General Mills by 0.9% during the 3rd quarter. New England Asset Management Inc. now owns 30,935 shares of the company's stock worth $1,560,000 after purchasing an additional 280 shares during the period. Security National Bank of Sioux City Iowa IA grew its holdings in General Mills by 0.8% during the 2nd quarter. Security National Bank of Sioux City Iowa IA now owns 36,665 shares of the company's stock valued at $1,900,000 after purchasing an additional 305 shares during the last quarter. Widmann Financial Services Inc. grew its holdings in General Mills by 1.8% during the 4th quarter. Widmann Financial Services Inc. now owns 17,534 shares of the company's stock valued at $815,000 after purchasing an additional 316 shares during the last quarter. Finally, Jacobi Capital Management LLC raised its position in General Mills by 1.5% in the 4th quarter. Jacobi Capital Management LLC now owns 21,742 shares of the company's stock worth $1,011,000 after purchasing an additional 330 shares during the period. Institutional investors and hedge funds own 75.71% of the company's stock.

About General Mills

General Mills, Inc NYSE: GIS is a multinational consumer foods company that develops, manufactures and markets a broad portfolio of branded food products. Its product categories include ready-to-eat and hot cereals, baking mixes and ingredients, snacks and bars, refrigerated and frozen doughs, yogurt and other dairy products, and a variety of shelf-stable meals and meal components. The company's portfolio features widely recognized consumer brands across grocery store, mass channel and foodservice outlets.

Founded in the early 20th century and incorporated under its current name in 1928, General Mills has grown through both internal brand development and strategic expansion to become a global food company.

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