General Mills (GIS) Expected to Beat Earnings Estimates: Should You Buy?

Core Viewpoint - General Mills (GIS) is anticipated to report a year-over-year decline in earnings due to lower revenues, with the earnings report expected on September 18, 2024 [1] Group 1: Earnings Expectations - The consensus estimate for General Mills' quarterly earnings is $1.05 per share, reflecting a year-over-year decrease of 3.7% [2] - Expected revenues for the quarter are $4.78 billion, down 2.5% from the same quarter last year [2] Group 2: Estimate Revisions - The consensus EPS estimate has been revised down by 0.06% over the last 30 days, indicating a reassessment by analysts [3] - A positive Earnings ESP of +1.92% suggests that analysts have recently become more optimistic about General Mills' earnings prospects [6][7] Group 3: Earnings Surprise Prediction - The Zacks Earnings ESP model indicates that a positive reading is a strong predictor of an earnings beat, especially when combined with a Zacks Rank of 1, 2, or 3 [5] - General Mills currently holds a Zacks Rank of 3, indicating a likelihood of beating the consensus EPS estimate [7] Group 4: Historical Performance - In the last reported quarter, General Mills exceeded the expected earnings of $0.99 per share by delivering $1.01, resulting in a surprise of +2.02% [8] - The company has beaten consensus EPS estimates in all of the last four quarters [8] Group 5: Conclusion - General Mills is viewed as a compelling candidate for an earnings beat, although other factors should also be considered before making investment decisions [9]