The J. M. Smucker Company (NYSE:SJM) Given Consensus Recommendation of "Moderate Buy" by Brokerages

Key Points

• The J. M. Smucker Company has received a consensus rating of "Moderate Buy" from thirteen analysts, with an average 12-month price target of $117.67.
• The company recently announced a quarterly dividend increase to $1.10 per share, which reflects an annual yield of 3.9%.
• Insider trading includes a director purchasing 1,050 shares at an average price of $96.09, indicating confidence in the company's future performance.

The J. M. Smucker Company (NYSE:SJM - Get Free Report) has received an average rating of "Moderate Buy" from the fourteen brokerages that are presently covering the firm, MarketBeat.com reports. Six equities research analysts have rated the stock with a hold rating, seven have given a buy rating and one has assigned a strong buy rating to the company. The average 12-month price target among analysts that have issued ratings on the stock in the last year is $117.6667.

A number of research analysts have commented on the stock. Zacks Research upgraded shares of J. M. Smucker to a "hold" rating in a research note on Monday, August 11th. BNP Paribas raised shares of J. M. Smucker from a "strong sell" rating to a "strong-buy" rating in a research report on Wednesday, July 9th. Wells Fargo & Company dropped their price target on shares of J. M. Smucker from $135.00 to $115.00 and set an "overweight" rating for the company in a research report on Wednesday, June 11th. Stifel Nicolaus boosted their price objective on shares of J. M. Smucker from $106.00 to $110.00 and gave the stock a "hold" rating in a research note on Tuesday, July 29th. Finally, UBS Group decreased their target price on shares of J. M. Smucker from $134.00 to $129.00 and set a "buy" rating for the company in a research note on Friday, June 6th.

Insider Transactions at J. M. Smucker

In related news, Director Tarang Amin purchased 1,050 shares of the stock in a transaction dated Thursday, June 12th. The stock was bought at an average cost of $96.09 per share, with a total value of $100,894.50. Following the purchase, the director directly owned 3,825 shares in the company, valued at $367,544.25. The trade was a 37.84% increase in their position. The purchase was disclosed in a document filed with the SEC, which is available at this link. Insiders own 2.24% of the company's stock.

Institutional Trading of J. M. Smucker

A number of institutional investors and hedge funds have recently modified their holdings of the stock. Norges Bank bought a new stake in J. M. Smucker during the 2nd quarter worth approximately $112,829,000. Engineers Gate Manager LP bought a new position in shares of J. M. Smucker during the 2nd quarter worth approximately $109,896,000. Balyasny Asset Management L.P. boosted its holdings in shares of J. M. Smucker by 45.4% in the 2nd quarter. Balyasny Asset Management L.P. now owns 2,251,934 shares of the company's stock valued at $221,140,000 after buying an additional 703,382 shares during the last quarter. Robeco Institutional Asset Management B.V. boosted its holdings in shares of J. M. Smucker by 4,906.2% in the 2nd quarter. Robeco Institutional Asset Management B.V. now owns 613,910 shares of the company's stock valued at $60,286,000 after buying an additional 601,647 shares during the last quarter. Finally, Maverick Capital Ltd. acquired a new stake in shares of J. M. Smucker in the 1st quarter valued at approximately $64,125,000. 81.66% of the stock is owned by institutional investors.

J. M. Smucker Stock Down 0.8%

Shares of SJM traded down $0.88 during midday trading on Friday, reaching $110.56. The stock had a trading volume of 1,692,900 shares, compared to its average volume of 1,594,209. The company's fifty day simple moving average is $104.32 and its two-hundred day simple moving average is $109.20. J. M. Smucker has a 1-year low of $93.30 and a 1-year high of $125.42. The company has a debt-to-equity ratio of 1.16, a current ratio of 0.81 and a quick ratio of 0.35. The company has a market cap of $11.78 billion, a price-to-earnings ratio of -9.56, a PEG ratio of 8.42 and a beta of 0.31.

J. M. Smucker (NYSE:SJM - Get Free Report) last announced its quarterly earnings results on Tuesday, June 10th. The company reported $2.31 EPS for the quarter, topping the consensus estimate of $2.25 by $0.06. J. M. Smucker had a negative net margin of 14.10% and a positive return on equity of 15.20%. The firm had revenue of $2.14 billion for the quarter, compared to analyst estimates of $2.18 billion. During the same period last year, the business earned $2.66 EPS. J. M. Smucker's revenue for the quarter was down 2.8% compared to the same quarter last year. Equities research analysts expect that J. M. Smucker will post 9.88 earnings per share for the current year.

J. M. Smucker Increases Dividend

The firm also recently announced a quarterly dividend, which will be paid on Tuesday, September 2nd. Shareholders of record on Friday, August 15th will be given a dividend of $1.10 per share. This represents a $4.40 dividend on an annualized basis and a yield of 4.0%. The ex-dividend date is Friday, August 15th. This is a boost from J. M. Smucker's previous quarterly dividend of $1.08. J. M. Smucker's dividend payout ratio is currently -38.06%.

J. M. Smucker Company Profile

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.