J. M. Smucker (NYSE:SJM) Shares Gap Up on Strong Earnings

The J. M. Smucker Company (NYSE:SJM)’s stock price gapped up prior to trading on Tuesday after the company announced better than expected quarterly earnings. The stock had previously closed at $113.62, but opened at $120.00. J. M. Smucker shares last traded at $122.13, with a volume of 716,873 shares changing hands.

The company reported $2.76 earnings per share (EPS) for the quarter, topping the consensus estimate of $2.49 by $0.27. J. M. Smucker had a net margin of 8.77% and a return on equity of 14.22%. The firm had revenue of $2.27 billion during the quarter, compared to analysts’ expectations of $2.27 billion. During the same period in the prior year, the company posted $2.59 earnings per share. The firm’s revenue for the quarter was up 17.2% on a year-over-year basis.

J. M. Smucker Dividend Announcement

The company also recently announced a quarterly dividend, which will be paid on Monday, December 2nd. Shareholders of record on Friday, November 15th will be issued a $1.08 dividend. The ex-dividend date of this dividend is Friday, November 15th. This represents a $4.32 dividend on an annualized basis and a yield of 3.54%. J. M. Smucker’s dividend payout ratio (DPR) is 61.10%.

Wall Street Analyst Weigh In

Several research firms have recently issued reports on SJM. StockNews.com upgraded J. M. Smucker from a “sell” rating to a “hold” rating in a report on Monday, September 30th. BNP Paribas upgraded J. M. Smucker to a “strong sell” rating in a research note on Thursday, August 29th. Citigroup cut their price target on J. M. Smucker from $138.00 to $136.00 and set a “buy” rating on the stock in a research note on Thursday, August 29th. Wells Fargo & Company cut their price target on J. M. Smucker from $140.00 to $130.00 and set an “overweight” rating on the stock in a research note on Thursday, August 29th. Finally, DA Davidson reissued a “neutral” rating and issued a $121.00 price objective on shares of J. M. Smucker in a report on Thursday, August 29th. One analyst has rated the stock with a sell rating, eight have given a hold rating and four have issued a buy rating to the company’s stock. Based on data from MarketBeat.com, J. M. Smucker presently has a consensus rating of “Hold” and an average price target of $127.09.

Hedge Funds Weigh In On J. M. Smucker

Institutional investors and hedge funds have recently added to or reduced their stakes in the business. Tidal Investments LLC lifted its position in J. M. Smucker by 1.3% in the third quarter. Tidal Investments LLC now owns 15,038 shares of the company’s stock worth $1,821,000 after purchasing an additional 190 shares during the period. Wilmington Savings Fund Society FSB acquired a new stake in shares of J. M. Smucker during the 3rd quarter valued at $682,000. Soltis Investment Advisors LLC acquired a new stake in shares of J. M. Smucker during the 3rd quarter valued at $202,000. TD Private Client Wealth LLC lifted its position in shares of J. M. Smucker by 9.7% during the 3rd quarter. TD Private Client Wealth LLC now owns 3,768 shares of the company’s stock valued at $456,000 after acquiring an additional 334 shares during the last quarter. Finally, Coldstream Capital Management Inc. lifted its position in shares of J. M. Smucker by 13.4% during the 3rd quarter. Coldstream Capital Management Inc. now owns 19,503 shares of the company’s stock valued at $2,357,000 after acquiring an additional 2,303 shares during the last quarter. 81.66% of the stock is owned by institutional investors.

J. M. Smucker Stock Performance

The firm’s 50 day simple moving average is $116.42 and its 200-day simple moving average is $115.55. The company has a debt-to-equity ratio of 0.87, a quick ratio of 0.25 and a current ratio of 0.55. The company has a market capitalization of $13.00 billion, a price-to-earnings ratio of 17.27, a P/E/G ratio of 3.18 and a beta of 0.25.

J. M. Smucker Company Profile

The J. M. Smucker Company manufactures and markets branded food and beverage products worldwide. It operates in three segments: U.S. Retail Pet Foods, U.S. Retail Coffee, and U.S. Retail Consumer Foods. The company offers mainstream roast, ground, single serve, and premium coffee; peanut butter and specialty spreads; fruit spreads, toppings, and syrups; jelly products; nut mix products; shortening and oils; frozen sandwiches and snacks; pet food and pet snacks; and foodservice hot beverage, foodservice portion control, and flour products, as well as dog and cat food, frozen handheld products, juices and beverages, and baking mixes and ingredients.