Don't Judge General Mills on Technicals Alone - Check Its Fundamentals!

By Susan Ramirez • Wednesday, December 20 16:10 • Permanent Link

General Mills logged a -3.6% change during today's evening session, and is now trading at a price of $64.31 per share. The S&P 500 index moved -1.0%. GIS's trading volume is 6,958,497 compared to the stock's average volume of 4,669,384.

General Mills trades -6.72% away from its average analyst target price of $68.94 per share. The 17 analysts following the stock have set target prices ranging from $58.0 to $76.0, and on average have given General Mills a rating of hold.

Anyone interested in buying GIS should be aware of the facts below:

General Mills's current price is 57.2% above its Graham number of $40.92, which implies that at its current valuation it does not offer a margin of safety
General Mills has moved -21.8% over the last year, and the S&P 500 logged a change of 22.9%
Based on its trailing earnings per share of 4.1, General Mills has a trailing 12 month Price to Earnings (P/E) ratio of 15.7 while the S&P 500 average is 15.97
GIS has a forward P/E ratio of 13.7 based on its forward 12 month price to earnings (EPS) of $4.71 per share
The company has a price to earnings growth (PEG) ratio of 1.97 — a number near or below 1 signifying that General Mills is fairly valued compared to its estimated growth potential
Its Price to Book (P/B) ratio is 3.64 compared to its sector average of 4.12
General Mills, Inc. manufactures and markets branded consumer foods worldwide.
Based in Minneapolis, the company has 34,000 full time employees and a market cap of $37.38 Billion. General Mills currently returns an annual dividend yield of 3.3%.

The above analysis is intended for educational purposes only and was performed on the basis of publicly available data. It is not to be construed as a recommendation to buy or sell any security. Any buy, sell, or other recommendations mentioned in the article are direct quotations of consensus recommendations from the analysts covering the stock, and do not represent the opinions of Market Inference or its writers. Past performance, accounting data, and inferences about market position and corporate valuation are not reliable indicators of future price movements. Market Inference does not provide financial advice. Investors should conduct their own review and analysis of any company of interest before making an investment decision.