Fri, Apr. 1, 11:32 AM
- Major food and beverage stocks Kellogg (K +0.5%), General Mills (GIS +1.8%), PepsiCo (PEP +0.6%), and Coca-Cola (KO +0.5%) all trade at or just off their all-time highs.
- Post Holdings (POST +1%) and Dr. Pepper Snapple (DPS +1.2%) are also within striking distance of their share price high marks after strong runs over the last year.
- The group of majors has outperformed some of the organic story stocks in the F&B sector as they have innovated into healthier products on their own. Many of the big names also offer generous dividend payouts.
- Now read Business Models, Great And Poor
Nov. 23, 2015, 9:12 AM
- Credit Suisse upgrades Kellogg (NYSE:K) to an Outperform rating from Neutral.
- The investment firm assigns a $76 price target to the food stock. The average price target on Kellogg from Wall Street firms is $72.80.
- K +1.1% premarket to $66.98.
Nov. 3, 2015, 9:07 AM
- Kellogg (NYSE:K) trades lower after falling short with Q3 revenue.
- Comparable sales were off 8.8% during the quarter, although the mark looks much better on a currency-neutral basis at +1.0%.
- Revenue at Kellogg North America fell 2.7% to $2.3B, while sales for the company's international business was down 13%. Demand for cereal and snacks in key regions was mixed.
- Kellogg backed previous guidance for currency-neutral sales growth of between 1% and 3%.
- Previously: Kellogg beats by $0.01, misses on revenue (Nov. 03 2015)
- K -3.24% premarket to $68.30.
Oct. 23, 2015, 9:58 AM
- M&A talk in the food sector could set off a chain reaction, according to analysts.
- Kellogg's (K +0.2%) interest in Diamond Foods (DMND +6.6%) and a play by Treehouse Foods (THS +3.1%) for Ralcorp are in advanced stages, but other companies which could be drawn into talks include Boulder Brands (BDBD +0.5%), Amplify Snack Brands (BETR +1.7%), Mondelez International (MDLZ -0.1%), Campbell Soup (CPB +0.1%) and Hain Celestial Group (HAIN +0.4%).
- Private-label brands in particular may look appetizing to larger food companies.
- Previously: Reuters: TreeHouse in talks to buy Ralcorp from ConAgra (Oct. 22 2015)
- Previously: NY Post: Kellogg close to Diamond Foods buyout (Oct. 23 2015)
- Related ETF: PBJ
Oct. 23, 2015, 8:17 AM
Sep. 25, 2015, 2:04 PM
- Packaged food stocks are ahead of broad market averages for the day. There are some consistent themes playing out in the sector which have increased interest in select names. Topping the list are M&A potential, activist investor action, and good old-fashioned fundamental valuation.
- Gainers: Treehouse Foods (NYSE:THS) +3.1%, B&G Foods (NYSE:BGS) +2.9%, ConAgra Foods (NYSE:CAG) +2.7%, Kellogg (NYSE:K) +2.6%, General Mills (NYSE:GIS) +2.3%, Campbell Soup (NYSE:CPB) +2.3%, J.M. Smucker (NYSE:SJM) +1.6%.
May 5, 2015, 8:19 AM
- Kellogg (NYSE:K) reports sales in the U.S. Morning Foods segment fell 2.9% Y/Y to $776M in Q1, despite what it calls "improving trends" with cereal.
- U.S. Snacks revenue was -1.2% to $854M.
- U.S. Specialty sales -3% to $361M.
- Operating profit in North America was off 9.9% due to lower sales volume.
- The company struck a currency-neutral sales gain of 1% in Europe with Pringles demand high.
- Latin America sales were up 6.3% before F/X factored in.
- K +1.36% premarket to $65.00.
- Previously: Kellogg beats by $0.06, beats on revenue
May 5, 2015, 8:02 AM
- Kellogg (NYSE:K): Q1 EPS of $0.98 beats by $0.06.
- Revenue of $3.56B (-4.8% Y/Y) beats by $10M.
- Shares +2.74% PM.
Mar. 26, 2015, 12:37 PM
- Deutsche Bank thinks 3G Capital will be back in the food sector for a major acquisition faster than some other investment firms anticipate.
- 3G put itself in a stronger position to make a major purchase by not adding debt in the Kraft deal.
- Analyst Eric Katzman sees some food names trading with a premium as the 3G shadow hangs over the sector, while others have downside risk with M&A speculation not making as much sense.
- Premium on: ConAgra (NYSE:CAG), General Mills (NYSE:GIS), Mondelez International (NASDAQ:MDLZ), Pinnacle Foods (NYSE:PF), PepsiCo (NYSE:PEP).
- Premium off: Campbell Soup (NYSE:CPB), Hershey (NYSE:HSY), Hormel (NYSE:HRL), Kellogg (NYSE:K), J.M. Smucker (NYSE:SJM).
- Previously: Investors snapping up food stocks (Mar. 25 2015)
- Previously: Beer fallout from Kraft buyout (Mar. 25 2015)
- Previously: Kraft-Heinz merger has a few ETFs on the move (Mar. 25 2015)
Feb. 12, 2015, 9:21 AM
- Kellogg (NYSE:K) is getting punished in early trading for missing Q4 earnings estimates and setting 2015 guidance below expectations.
- Weakness in Q4 was led by the U.S. Morning Foods segment (Special K, Raisin Bran, Rice Krispies, Apple Jacks, Froot Loops) which posted a 7.7% decline in comparable sales.
- The long-term sales target from the company might be of the most concern to investors.
- Kellogg is now calling for revenue growth of 1% to 3% vs. a prior target of 3% to 4%.
- Operating profit is still expected to grow at a mid-single-digit rate over the long-term.
- K -5.16% premarket to $62.88.
Oct. 30, 2014, 8:20 AM
- Kellogg (NYSE:K) reports sales in North America fell 4.2% Y/Y to $2.3B in Q3, while operating profit was 20% lower than the year-ago period.
- The company saw weakness in both the snacks and morning foods segments in the U.S.
- Cost of goods +3.6% to $2.35B.
- International revenue growth: Europe sales -0.6%, Latin America +6.2%, Asia/Pacific +4.8%.
- K -2.4% premarket.
Oct. 3, 2014, 11:16 AM| Oct. 3, 2014, 11:16 AM | 2 Comments
Sep. 30, 2014, 10:29 AM
Jul. 31, 2014, 8:19 AM
- Kellogg (NYSE:K) meets analyst estimates with its Q2 report, although both sales and profit were down from the year-ago period.
- Brand-building costs and lower volume impacted margins during the period.
- Q2 sales growth: U.S. Mornings Foods -5% to $820M; U.S. Snacks -2.6% to $893M; U.S, Specialty +1.5% to $276M; Europe +6.8% to $772M; Latin America +5.3% to $320M; Asia Pacific -1.6% to $243M.
- The company lowers FY14 EPS guidance to $3.91-$3.99 vs. $3.97-$4.05 prior.
- K -2.2% premarket
Jun. 25, 2014, 11:46 AM
- A check of other branded food products companies following the sizable FQ4 miss from General Mills along with a sluggish FQ1 outlook, finds the group as a whole lower. Kellogg (K -1.4%), Post Holdings (POST +0.1%), Pinnacle Foods (PF -0.9%), and Mondelez (MDLZ -0.2%). General Mills is off 2.7%.
- Previously: General Mills misses by $0.05, misses on revenue
- Previously: General Mills starts new cost-cutting plans as sales slip, shares -3%
May 27, 2014, 7:28 AM
- A $6.4B offer by Pilgrim Pride's (PPC) to buy Hillshire Brands (HSH) could rattle the food sector.
- For starters, the deal could spoil Hillshire's offer on the table to buy Pinnacle Foods (PF).
- The quick analyst take on a PPC-HSH combination is favorable with the companies focused in different areas (chicken vs. packaged meat) which could lead to easy access to new distribution channels.
- Premarket: HSH +22.9% to $45.49, PF -5.3% to $31.50.
- Also on merger watch in the food sector: THS, SJM, GIS, KRFT, CPB, ADM, BGS, RAH, HAIN, K CAG
Kellogg Co. operates as a food manufacturing company. It engages in the manufacturing, marketing and distribution of cereal and convenience foods, including cookies, crackers, toaster pastries, cereal bars, frozen waffles and meat alternatives. The company operates through the following... More
Sector: Consumer Goods
Industry: Processed & Packaged Goods
Country: United States
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