Smucker (SJM) Q2 Earnings Preview: What You Should Know Beyond the Headline Estimates

Core Viewpoint - Smucker (SJM) is expected to report quarterly earnings of $2.14 per share, reflecting a 22.5% decline year over year, while revenues are forecasted to increase by 2.1% to $2.32 billion [1]. Earnings Projections - There has been a downward revision of 0.1% in the consensus EPS estimate over the last 30 days, indicating analysts' reconsideration of their initial forecasts [2]. - Changes in earnings projections are crucial for predicting investor reactions, with empirical studies showing a strong correlation between earnings estimate trends and short-term stock price movements [3]. Revenue Estimates - Analysts estimate 'Net Sales- U.S. Retail Coffee' at $805.84 million, a 14.5% increase from the prior year [5]. - 'Net Sales- U.S. Retail Pet Foods' is projected at $421.64 million, indicating a 5.3% decline year over year [5]. - 'Net Sales- International and Away From Home' is expected to reach $345.65 million, reflecting a 7.7% increase from the previous year [6]. - 'Net Sales- Sweet Baked Snacks' is forecasted at $246.74 million, showing a significant decline of 21.8% year over year [6]. Segment Profit Estimates - 'Segment Profit- U.S. Retail Coffee' is estimated at $148.12 million, down from $202.70 million in the previous year [7]. - 'Segment Profit- International and Away From Home' is projected to be $70.64 million, slightly up from $68.00 million year over year [7]. - 'Segment Profit- U.S. Retail Pet Foods' is expected to reach $111.84 million, down from $121.40 million in the prior year [8]. Stock Performance - Smucker shares have shown a return of -0.1% over the past month, compared to a -0.3% change in the Zacks S&P 500 composite [8].