The 10-second takeaway
For the quarter ended Nov. 25 (Q2), General Mills met expectations on revenues and beat expectations on earnings per share.
Compared to the prior-year quarter, revenue increased and GAAP earnings per share grew significantly.
Margins grew across the board.
General Mills tallied revenue of $4.88 billion. The 14 analysts polled by S&P Capital IQ foresaw a top line of $4.88 billion on the same basis. GAAP reported sales were 5.6% higher than the prior-year quarter's $4.62 billion.
Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.
EPS came in at $0.86. The 17 earnings estimates compiled by S&P Capital IQ forecast $0.79 per share. GAAP EPS of $0.82 for Q2 were 22% higher than the prior-year quarter's $0.67 per share.
Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.
For the quarter, gross margin was 35.7%, 120 basis points better than the prior-year quarter. Operating margin was 17.0%, 150 basis points better than the prior-year quarter. Net margin was 11.1%, 150 basis points better than the prior-year quarter.
Next quarter's average estimate for revenue is $4.39 billion. On the bottom line, the average EPS estimate is $0.57.
Next year's average estimate for revenue is $17.70 billion. The average EPS estimate is $2.68.
The stock has a four-star rating (out of five) at Motley Fool CAPS, with 1,125 members out of 1,188 rating the stock outperform, and 63 members rating it underperform. Among 345 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 332 give General Mills a green thumbs-up, and 13 give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on General Mills is outperform, with an average price target of $42.26.
Can your portfolio provide you with enough income to last through retirement? You'll need more than General Mills. Learn how to maximize your investment income and "Secure Your Future With 9 Rock-Solid Dividend Stocks." Click here for instant access to this free report.
- Add General Mills to My Watchlist.