#1 - J.M. Smucker (NYSE:SJM)
J.M. Smucker (SJM) - Beta: 0.14 - Dividend Yield: 3.08%
In the good old days of February 2020, J.M. Smucker (NYSE:SJM) would have been considered a solid defensive stock. And there was nothing in the company’s first-quarter earnings report to dispute that. On February 26, 2020 the company reported earnings that exceeded analysts’ expectations. And although revenue was slightly down on a year-over-year basis, it was largely in-line with the analysts.
However, with the overlay of a global pandemic that is putting millions of Americans under extended shelter-in-place orders, the maker of consumer staples stands to benefit more than most. Although generic equivalents exist for many of the company’s products, consumers tend to be brand loyal, particularly when they are limiting their shopping trips and they know they may have to stock up on staples.
To that end, the company raised its guidance for the second quarter which includes March and April. And even as the economy begins to re-open, the reality for many Americans will still revolve around more eating at home. And that bodes well for investors in SJM stock. The company is also a rock-solid dividend play that has delivered over 18 consecutive years of dividend growth.
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.
Read More - Current Price
- $115.34
- Consensus Rating
- Hold
- Ratings Breakdown
- 4 Buy Ratings, 8 Hold Ratings, 0 Sell Ratings.
- Consensus Price Target
- $137.47 (19.2% Upside)
