We use cookies to understand how you use our site and to improve your experience.
This includes personalizing content and advertising.
By pressing "Accept All" or closing out of this banner, you consent to the use of all cookies and similar technologies and the sharing of information they collect with third parties.
You can reject marketing cookies by pressing "Deny Optional," but we still use essential, performance, and functional cookies.
In addition, whether you "Accept All," Deny Optional," click the X or otherwise continue to use the site, you accept our Privacy Policy and Terms of Service, revised from time to time.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
General Mills (GIS - Free Report) is a global manufacturer and marketer of branded consumer foods sold through retail stores.
Its principal product categories include ready-to-eat cereals, convenient meals, snacks, yogurt, super-premium ice creams, baking mixes and ingredients, and more. Analysts have taken a bearish stance on the company’s outlook, landing it into a Zack Rank #5 (Strong Sell).
Image Source: Zacks Investment Research
Let’s take a closer look at the company.
GIS Shares Face Pressure
GIS shares have faced consistent selling pressure over the last year, down 26% compared to the S&P 500’s impressive 17% gain. Quarterly results haven’t been enough to boost performance, despite GIS regularly exceeding consensus EPS expectations over recent years.
Image Source: Zacks Investment Research
Organic net sales were down 3% year-over-year in its latest period, driven by lower volumes and an unfavorable price mix. The company’s profitability has also taken a notable hit, with its gross margin falling 340 basis points to 32.4% throughout the above-mentioned quarter.
The profitability hit is certainly notable, helping explain the poor share performance and downward revisions. Operating profit of $504 million fell 35% year-over-year. Still, CEO Jeff Harmening remains positive, stating –
“With a clear framework centered on remarkability and positive early returns from our Q4 investments, I’m confident our fiscal 2026 plans will put us on a path back to driving long-term growth in line with our shareholder return model.”
The company’s next release is slated for mid-September, with sales revisions also showing a similarly bearish nature as the EPS outlook.
Image Source: Zacks Investment Research
Bottom Line
Negative earnings estimate revisions paint a challenging picture for the company’s shares in the near term.
General Mills (GIS - Free Report) is a Zacks Rank #5 (Strong Sell), indicating that analysts have taken a bearish stance on the company’s earnings outlook.
For those seeking strong stocks, the best idea would be to focus on stocks with a Zacks Rank #1 (Strong Buy) or a Zacks Rank #2 (Buy) – these stocks sport a notably stronger earnings outlook paired with the potential to deliver explosive gains in the near term.
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
Bear of the Day: General Mills (GIS)
General Mills (GIS - Free Report) is a global manufacturer and marketer of branded consumer foods sold through retail stores.
Its principal product categories include ready-to-eat cereals, convenient meals, snacks, yogurt, super-premium ice creams, baking mixes and ingredients, and more. Analysts have taken a bearish stance on the company’s outlook, landing it into a Zack Rank #5 (Strong Sell).
Image Source: Zacks Investment Research
Let’s take a closer look at the company.
GIS Shares Face Pressure
GIS shares have faced consistent selling pressure over the last year, down 26% compared to the S&P 500’s impressive 17% gain. Quarterly results haven’t been enough to boost performance, despite GIS regularly exceeding consensus EPS expectations over recent years.
Image Source: Zacks Investment Research
Organic net sales were down 3% year-over-year in its latest period, driven by lower volumes and an unfavorable price mix. The company’s profitability has also taken a notable hit, with its gross margin falling 340 basis points to 32.4% throughout the above-mentioned quarter.
The profitability hit is certainly notable, helping explain the poor share performance and downward revisions. Operating profit of $504 million fell 35% year-over-year. Still, CEO Jeff Harmening remains positive, stating –
“With a clear framework centered on remarkability and positive early returns from our Q4 investments, I’m confident our fiscal 2026 plans will put us on a path back to driving long-term growth in line with our shareholder return model.”
The company’s next release is slated for mid-September, with sales revisions also showing a similarly bearish nature as the EPS outlook.
Image Source: Zacks Investment Research
Bottom Line
Negative earnings estimate revisions paint a challenging picture for the company’s shares in the near term.
General Mills (GIS - Free Report) is a Zacks Rank #5 (Strong Sell), indicating that analysts have taken a bearish stance on the company’s earnings outlook.
For those seeking strong stocks, the best idea would be to focus on stocks with a Zacks Rank #1 (Strong Buy) or a Zacks Rank #2 (Buy) – these stocks sport a notably stronger earnings outlook paired with the potential to deliver explosive gains in the near term.