Review Draft-BUZZ-Preview: General Mills announces financial report, expects earnings to decline due to consumer demand

Republished BUZZ report from Tuesday, content unchanged

September 23 - ** General Mills (GIS.N) shares rose 0.5% in early afternoon trading on Tuesday to $35.60. The company is set to release its quarterly earnings before the market opens on Wednesday, and investors are closely watching consumer demand trends and price increases.

** According to data from London Stock Exchange Group (LSEG), the producer of “Cheerios” and other packaged foods is expected to see first-quarter revenue this fiscal year decline by nearly 4% year-over-year to $4.3 billion; adjusted earnings per share are projected at $0.72, compared to $0.86 in the same period last year.

** Earlier this month, GIS sued (link) top U.S. sugar producers, alleging a price-fixing conspiracy that drove up raw material costs.

** In its latest report, the company noted (link) that demand for everyday foods remains strong, but its core North American retail business declined by 4%.

.SPLRCS ** As a result, the stock has fallen about 23% year-to-date, underperforming the S&P 500 Consumer Staples Sector’s roughly 7% gain and the S&P 500 Index’s approximately 13% rise .SPX

** The stock’s recent price-to-earnings ratio is 11, below its 5-year average of 15 — LSEG

** Among the 21 analysts covering GIS, 3 have rated it “Strong Buy” or “Buy,” 14 have rated it “Hold,” and 4 have rated it “Sell” or “Strong Sell”; the median price target is $38.

(To assist non-native English speakers, Reuters provides this report in several other languages via automated translation. Automated translations may be inaccurate or lack required context. Reuters does not guarantee the accuracy of automated translations, which are provided solely for reader convenience. Reuters accepts no liability for any damages or losses arising from the use of automated translation functions.)