UBS Remains Sidelined on General Mills (GIS) Following 1Q Report
- Wall Street surges to new highs; transports set record
- lululemon athletica (LULU) Tops Q3 EPS by 4c; Adj.-Comps Outpaced Views
- Abbott (ABT) Files Complaint to Terminate Alere (ALR) Acquisition
- Costco Wholesale (COST) Tops Q1 EPS by 5c; Comps Up 1%, 2% Ex-Gas
- After-Hours Stock Movers 12/07: (VYGR) (LULU) (HRB( Higher; (OHRP) (VRNT) (CMTL) Lower (more...)
Find out which companies are about to raise their dividend well before the news hits the Street with StreetInsider.com's Dividend Insider Elite. Sign-up for a FREE trial here.
UBS reiterated a Neutral rating on General Mills (NYSE: GIS), and cut the price target to $67.00 (from $71.00), following the company's 1Q earnings report. GIS reported EPS of $0.78 beating Consensus by $0.03.
Analyst Steven Strycula commented, "GIS reported F1Q (May-end) EPS of $0.78 beating Consensus by $0.03. F1Q EPS upside was driven by op. margin expansion of +73bp (vs UBS -10bps), though -4% YOY organic sales trends disappointed (with US retail -5%, International -1%, CS&F -7%). Weaker organic sales were attributable to ongoing US yogurt declines (-15% YOY), steep US Soup sale decreases (-20% YOY, due to SKU ration + lower retail inventory levels), and commodity flour price deflation. Despite these revenue headwinds, GIS said organic sales trends should improve sequentially in coming qtrs as Mills laps easier YOY comps at Wal-Mart, implements revenue management, and reinvests in Yogurt. GIS also reiterated their FY17 guidance including: 1) organic net sales -2% to flat; 2) adj EPS ex fx of +6-8% (-2pp from FX)."
Shares of General Mills closed at $65.26 yesterday.
Serious News for Serious Traders! Try StreetInsider.com Premium Free!
You May Also Be Interested In
- Wedbush Raises Price Target on Francesca's (FRAN) Following 3Q Report
- Credit Suisse Downgrades NetApp (NTAP) to Underperform
- MoffettNathanson Downgrades AMC Networks (AMCX) to Sell
Create E-mail Alert Related CategoriesAnalyst Comments, Analyst EPS Change, Analyst EPS View, Analyst PT Change
Related EntitiesUBS, Earnings
Sign up for StreetInsider Free!
Receive full access to all new and archived articles, unlimited portfolio tracking, e-mail alerts, custom newswires and RSS feeds - and more!