The J. M. Smucker Company (SJM) is scheduled to report its Q1 2013 results on August 17, 2012, before market opens. The street expects EPS and revenue of $0.99 and $1.30B, respectively.
In this article I will recap the historical results of the company, its latest EPS estimates vs. surprises, the latest news from SJM and the news from its closest competitors.
Recent EPS Actuals vs. Estimates
In the last quarter it reported $1.10 EPS, beating analyst estimates of $0.99.
The consensus EPS estimate is $0.99 based on 14 analysts' estimates, down from $1.12 a year ago. Revenue estimates are $1.30B, up from $1.19B a year ago. The median target price by analysts for the stock is $83.50.
Average recommendation: Overweight
- On July 19, 2012, The J.M. Smucker Company announced that the Board of Directors has approved an increase in the quarterly dividend from $0.48 to $0.52 per common share, an increase of approximately 8%. The dividend will be paid on September 4, 2012, to shareholders of record at the close of business on August 10, 2012.
- On June 7, 2012, The J.M. Smucker Company announced that for fiscal 2013, it expects net sales to increase approximately 7%, compared to 2012, including an incremental eight-month contribution from the Sara Lee foodservice business, non-GAAP income per diluted share to range from $5.00 to $5.10, excluding special project costs of approximately $0.50 per diluted share.
- On March 26, 2012, The J.M. Smucker Company announced that it has acquired a non-controlling minority interest in Guilin Seamild Biologic Technology Development Co., Ltd., a privately owned manufacturer and marketer of oats products headquartered in Guilin in the Guangxi province of China, for approximately $35 million.
- On February 16, 2012, The J.M. Smucker Company announced that due to the impact of the third quarter results and an expected continuation of volume softness in the fourth quarter, as compared to the prior year, the Company is lowering its net sales and earnings guidance for fiscal 2012.
Campbell Soup (CPB), General Mills (GIS), H. J. Heinz Company (HNZ), The Hershey Company (HSY), and Kraft Foods (KFT) are considered major competitors for Smucker and the table below provides the key metrics for these companies and the industry.
The chart below compares the stock price changes as a percentage for the selected companies for the last one year period.
Competitors' Latest Development
- On August 6, 2012, Campbell Soup Company announced it has completed the acquisition of Bolthouse Farms from a fund managed by Madison Dearborn Partners, LLC, a private equity firm, for $1.55 billion in cash.
- On August 1, 2012, General Mills, Inc. announced the completion of its acquisition of Yoki Alimentos SA.
- On July 26, 2012, The Hershey Co updated fiscal 2012 guidance and expects sales to increase 7%-9% and adjusted earnings per share diluted expected to increase 12%-14%, greater than the previous estimate of 10%-12%.
- On July 18, 2012, Kraft Foods Inc and SodaStream International, Ltd. announced the expansion of their strategic partnership for the manufacturing, marketing, distribution and sale of Kraft Foods beverage brands for use with the SodaStream soda making system.
- On July 10, 2012, General Mills, Inc. announced that for fiscal 2013, the Company still targeting net sales to grow at a mid single-digit rate and expects adjusted diluted earnings per share to grow approximately $2.65, including headwinds from pension expense, tax, and acquisition-related costs for Yoki.
- On July 9, 2012, Campbell Soup Company announced that it has entered into an agreement to acquire Bolthouse Farms from a fund managed by Madison Dearborn Partners, LLC, a private equity firm, for $1.55 billion in cash.
- On June 27, 2012, General Mills, Inc. announced that for fiscal 2013, it expects net sales to grow at a mid-single-digit rate. The fiscal 2013 guidance provided above does not include any contribution from the anticipated acquisition of Yoki Alimentos, S.A., a Brazilian food company.
- On June 26, 2012, General Mills, Inc. announced that its Board of Directors has approved an 8% dividend increase for General Mills common stock. The new quarterly dividend of $0.33 per share is payable August.
- On June 25, 2012, The Hershey Co reaffirmed fiscal 2012 guidance and expects net sales growth of about 7% to 9% and adjusted earnings per share diluted to increase 10% to 12%. The Company reported EPS of $2.55 in fiscal 2011.
- On June 19, 2012, Campbell Soup Company reiterated fiscal 2012 guidance and expects net sales would be near the bottom end of a 0% to 2% increase; operating profit would be near the bottom end of a negative 7% to negative 9% decrease; and that adjusted net earnings per share would be near the top end of the negative 5% to negative 7% range.
- On June 19, 2012, The Economic Times reported signaling an end to a five-year-old partnership with the Godrej Group, US chocolate maker The Hershey Company is planning a solo ride in India with a 100% subsidiary Hershey Confectionery India.
- On June 11, 2012, Campbell Soup Company announced it has purchased 1300 Admiral Wilson Boulevard in Camden, from Camden Gateway Properties, I, LLC. The 4-acre property includes the vacant Sears building.
- On June 5, 2012, The Coca-Cola Company, Ford Motor Company, H.J. Heinz Company, NIKE, Inc. and Procter & Gamble announced the formation of the Plant PET Technology Collaborative (PTC), a strategic working group focused on accelerating the development and use of 100% plant-based PET materials and fiber in their products.
- On May 24, 2012, General Mills, Inc. announced that it has signed a definitive agreement to acquire Yoki Alimentos S.A., a privately-held food company headquartered in Sao Bernardo do Campo, Brazil.
- On May 24, 2012, H.J. Heinz Co announced that it expects organic sales growth of at least 4% and constant currency EPS growth of 5%-8% ($3.52 to $3.62) from continuing operations, excluding special charges in fiscal 2012.
- On May 24, 2012, H.J. Heinz Co announced that its Board of Directors has approved a 7.3% increase in the annualized common stock dividend. The quarterly common stock dividend will increase from $0.48 to $0.515 per share quarterly for all shareholders of record as of June 24, 2012, payable July 10, 2012.
- On May 22, 2012, General Mills, Inc. announced a productivity and cost savings plan designed to improve organizational effectiveness and focus on key growth strategies.
- On May 15, 2012, General Mills, Inc. announced that for fiscal 2012, it expects to deliver adjusted diluted earnings per share (EPS) of $2.53 to $2.55. According to I/B/E/S Estimates, analysts were expecting the Company to report EPS of $2.54 for fiscal 2012.
- On May 3, 2012, Kraft Foods Inc announced that it continue to expect fiscal 2012 Organic Net Revenue growth of approximately 5% and Operating EPS growth of at least 9% on a constant currency basis.
- On April 30, 2012, The Hershey Co announced quarterly dividends of $0.38 on the Common Stock and $0.344 on the Class B Common Stock. The dividends are payable June 15, 2012, to stockholders of record May 25, 2012.
- On April 24, 2012, The Hershey Co updated fiscal 2012 guidance and expects earnings per share-diluted of $2.82 to $2.92 and net sales growth of about 7% to 9%. The Company reported revenue of $6.080 billion in fiscal 2011.
- On March 27, 2012, BM&FBovespa (Bovespa) announced that, on April 4, 2012, the Brazilian Depositary Receipts (BDRs) Level I of H J Heinz Co will start being traded on Bovespa's over-the-counter (OTC) market, quoted in BRL per unit and with standard trading lot of 100 BDRs, under the ticker HNZB11.
- On March 22, 2012, Campbell Soup Company announced that the Company's Board of Directors declared a regular quarterly dividend on its capital stock of $0.29 per share. The quarterly dividend is payable April 30, 2012 to shareowners of record at the close of business on April 9, 2012.
- On March 14, 2012, Kraft Foods Inc announced that the Board of Directors has declared a regular quarterly dividend of $0.29 per common share of Class A stock. This dividend is payable on April 16, 2012, to stockholders of record as of March 30, 2012.
- On February 21, 2012, Kraft Foods, Inc. announced that it expect to deliver top-tier growth in fiscal 2012, in line with long-term targets, while it prepare to successfully launch the North American grocery and global snacks companies later this year.
- On February 17, 2012, Campbell Soup Company confirmed its previous fiscal 2012 guidance. Campbell expects net sales growth to be between 0% and 2%, a decline in adjusted EBIT of between (9)% and (7)% and a decline in adjusted EPS of between (7)% and (5)%, putting adjusted EPS in the range of $2.35 to $2.42, from fiscal 2011 adjusted base of $2.54. The Company reported revenue of $7.719 billion and EBIT of $1.342 billion in fiscal 2011.
- On February 17, 2012, General Mills, Inc. announced that it estimates that 2012 third-quarter adjusted diluted EPS will total $0.54-$0.56. The Company revised its fiscal 2012 adjusted diluted EPS guidance to $2.53-$2.55. The Company's guidance had been $2.59-$2.61. Adjusted diluted EPS excludes the effects of mark-to-market valuation of certain commodity positions, and integration costs for the Yoplait international acquisition completed July 1, 2011.
- On February 17, 2012, H J Heinz Co announced that it is narrowing its fiscal 2012 EPS outlook to a range of $3.32 to $3.34 on a reported basis, excluding the charges for productivity initiatives.
The stock has a market capitalization of $8.47B and is currently trading at $76.70 with a 52 week range of $66.43 - $81.97. The stock's year-to-date performance has been 0.03%. It is currently trading above 20, 50 and 200 SMA.
Sources: Yahoo Finance, Google Finance, Marketwatch, Finviz, Reuters.
Disclosure: I have no positions in any stocks mentioned, and no plans to initiate any positions within the next 72 hours.