Packaged foods company J.M Smucker (NYSE:SJM) will be reporting earnings tomorrow morning. Here’s what investors should know.
J. M. Smucker met analysts’ revenue expectations last quarter, reporting revenues of $2.13 billion, up 17.7% year on year. It was a mixed quarter for the company, with a solid beat of analysts’ EBITDA estimates but full-year EPS guidance missing analysts’ expectations.
Is J. M. Smucker a buy or sell going into earnings? Read our full analysis here, it’s free.
This quarter, analysts are expecting J. M. Smucker’s revenue to grow 16.8% year on year to $2.26 billion, a reversal from the 12.1% decrease it recorded in the same quarter last year. Adjusted earnings are expected to come in at $2.51 per share.
Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. J. M. Smucker has missed Wall Street’s revenue estimates five times over the last two years.
Looking at J. M. Smucker’s peers in the shelf-stable food segment, some have already reported their Q3 results, giving us a hint as to what we can expect. BellRing Brands delivered year-on-year revenue growth of 17.6%, beating analysts’ expectations by 2%, and Post reported revenues up 3.3%, topping estimates by 2.2%. BellRing Brands’s stock price was unchanged after the results, while Post was down 1.5%.
Read our full analysis of BellRing Brands’s results here and Post’s results here.
There has been positive sentiment among investors in the shelf-stable food segment, with share prices up 3.9% on average over the last month. J. M. Smucker is down 1.5% during the same time and is heading into earnings with an average analyst price target of $123.74 (compared to the current share price of $113.77).
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