Brokerages Set WK Kellogg Co. (NYSE:KLG) Price Target at $20.88

Key Points

• WK Kellogg Co. has received an average analyst rating of "Reduce", with two analysts recommending a sell and seven suggesting a hold.
• The company's recent quarterly earnings reported an EPS of $0.25, missing expectations by $0.03, and revenue fell 8.8% year-over-year.
• WK Kellogg declared a quarterly dividend of $0.165, providing an annualized yield of 2.9%, but the company's payout ratio stands at a high 178.38%.

Shares of WK Kellogg Co. (NYSE:KLG - Get Free Report) have been given an average rating of "Reduce" by the nine brokerages that are presently covering the firm, MarketBeat.com reports. Two research analysts have rated the stock with a sell rating and seven have given a hold rating to the company. The average 1-year price objective among analysts that have issued a report on the stock in the last year is $20.8750.

KLG has been the subject of several recent analyst reports. Barclays restated an "underweight" rating and set a $23.00 price objective (up from $16.00) on shares of WK Kellogg in a research report on Monday, July 14th. Wall Street Zen upgraded WK Kellogg from a "sell" rating to a "hold" rating in a research report on Sunday, July 13th. Evercore ISI upped their price objective on WK Kellogg from $19.00 to $23.00 and gave the stock an "in-line" rating in a research report on Friday, July 11th. BNP Paribas set a $23.00 price objective on WK Kellogg in a research report on Friday, July 11th. Finally, JPMorgan Chase & Co. initiated coverage on WK Kellogg in a research report on Wednesday, August 20th. They set a "neutral" rating and a $23.00 price objective for the company.

WK Kellogg Price Performance

Shares of KLG traded down $0.11 during trading hours on Friday, hitting $22.92. 1,341,877 shares of the company were exchanged, compared to its average volume of 817,324. The company has a market cap of $1.98 billion, a price-to-earnings ratio of 61.93 and a beta of 0.24. WK Kellogg has a fifty-two week low of $14.80 and a fifty-two week high of $23.56. The company has a quick ratio of 0.47, a current ratio of 0.99 and a debt-to-equity ratio of 1.97. The firm's fifty day moving average is $21.41 and its 200 day moving average is $19.38.

WK Kellogg (NYSE:KLG - Get Free Report) last announced its quarterly earnings data on Thursday, August 7th. The company reported $0.25 earnings per share for the quarter, missing the consensus estimate of $0.28 by ($0.03). WK Kellogg had a return on equity of 31.34% and a net margin of 1.31%.The business had revenue of $611.52 million for the quarter, compared to the consensus estimate of $653.36 million. During the same quarter in the prior year, the company earned $0.36 earnings per share. WK Kellogg's quarterly revenue was down 8.8% compared to the same quarter last year. On average, equities analysts anticipate that WK Kellogg will post 1.57 earnings per share for the current fiscal year.

WK Kellogg Dividend Announcement

The company also recently announced a quarterly dividend, which will be paid on Friday, September 12th. Shareholders of record on Friday, August 29th will be given a $0.165 dividend. The ex-dividend date is Friday, August 29th. This represents a $0.66 annualized dividend and a yield of 2.9%. WK Kellogg's dividend payout ratio (DPR) is currently 178.38%.

Hedge Funds Weigh In On WK Kellogg

Several large investors have recently bought and sold shares of the company. Thompson Davis & CO. Inc. bought a new position in WK Kellogg in the second quarter valued at about $1,421,000. Rexford Capital Inc. bought a new position in WK Kellogg in the second quarter valued at about $42,000. Public Sector Pension Investment Board raised its position in WK Kellogg by 7.7% in the second quarter. Public Sector Pension Investment Board now owns 226,459 shares of the company's stock valued at $3,610,000 after purchasing an additional 16,218 shares during the last quarter. Tower Research Capital LLC TRC raised its position in WK Kellogg by 98.1% in the second quarter. Tower Research Capital LLC TRC now owns 7,886 shares of the company's stock valued at $126,000 after purchasing an additional 3,906 shares during the last quarter. Finally, Corient Private Wealth LLC bought a new position in WK Kellogg in the second quarter valued at about $264,000. 95.74% of the stock is currently owned by institutional investors.

About WK Kellogg

WK Kellogg Co operates as a food company in the United States, Canada, and the Caribbean. It manufactures, markets, and distributes ready-to-eat cereal products primarily under the Frosted Flakes, Special K, Froot Loops, Raisin Bran, Frosted Mini-Wheats, and Kashi brands. The company was formerly known as North America Cereal Co and changed its name to WK Kellogg Co in March 2023.