The J.M. Smucker Company (NYSE:SJM) Anticipates Quarterly Earnings ReleaseThe J.M. Smucker Company (NYSE:SJM), a prominent American manufacturer of food products, including coffee, pet foods, and snacks, is gearing up to unveil its quarterly earnings on November 25, 2025. Wall Street sets its sights on an earnings per share (EPS) of $2.11 and revenue forecasts of roughly $2.32 billion.The forthcoming earnings disclosure is poised to reveal a dip in EPS to $2.14, marking a 22.5% decrease from the correspondi ...

GERMANY - 2024/12/20: In this photo illustration, Pepsi cans are displayed. (Photo Illustration by Igor Golovniov/SOPA Images/LightRocket via Getty Images)SOPA Images/LightRocket via Getty ImagesCOKE and KDP are PepsiCo’s competitors in the Soft Drinks & Non-alcoholic Beverages sector that possess:A lower valuation (P/OpInc) compared to PepsiCo stockYet, they show greater revenue and operating income growthThis disparity between valuation and performance suggests that investing in COKE and KDP stocks may be ...

This story was originally published on Supply Chain Dive. To receive daily news and insights, subscribe to our free daily Supply Chain Dive newsletter. Dive Brief: PepsiCo has begun testing in Texas the integration of its two largest North American business units — snacks and beverages — into a more unified distribution model to reduce costs and boost productivity, executives told investors last month. The food manufacturer’s warehouse consolidation plans for the two businesses are part of an initiati ...

Core Insights - Hain Celestial Group, Inc. (HAIN) reported a decline in both top and bottom lines for Q1 fiscal 2026, with net sales of $367.9 million, a 6.8% year-over-year decrease, while adjusted loss per share was 8 cents, wider than the consensus estimate of 4 cents [1][3][4] Financial Performance - Net sales exceeded consensus estimates but declined year over year, with organic net sales down 5.8% due to a 7-point decrease in volume/mix, partially offset by a 1-point increase in pricing [4] - Adjusted gross profit was $71.9 million, down 12.3% from the previous year, with an adjusted gross margin of 19.5%, lagging behind the estimated 20.4% [4] - SG&A expenses decreased by 8.2% to $65.5 million, representing 17.8% of net sales, a reduction of 30 basis points year over year [5] - Adjusted EBITDA was $19.7 million, down 11.8% from the prior year, with an adjusted EBITDA margin of 5.4% [5] Segment Performance - North America segment net sales fell 11.8% to $203.9 million, with organic net sales down 7.4% due to weaker snack volumes [6] - International segment net sales totaled $164 million, a slight increase of 0.3% year over year, but organic net sales declined 3.9% [9] - In the Snacks category, organic net sales dropped 17.2%, while the Baby & Kids category saw a decline of 9.5% [12] Cash and Debt Overview - The company ended the quarter with cash and cash equivalents of $47.9 million and long-term debt of $708.6 million [14] - Free cash flow for the quarter was an outflow of $14 million, an improvement from $17 million in the prior year, driven by better inventory management [15]

Core Insights - The article discusses the current investment landscape, emphasizing the appeal of low-volatility stocks that offer high dividend yields amidst market uncertainty [3][4][5]. Group 1: Low Volatility Stocks - Low beta stocks, which are less volatile than the market, are currently undervalued, making them attractive for investors seeking stability [4][5]. - Safety Insurance Group (SAFT) offers a 5.2% yield and has low betas of 0.47 (1-year) and 0.26 (5-year), indicating its stability despite recent lackluster underwriting results [7][9][10]. - Universal Corp. (UVV) provides a 6.4% yield and operates as a tobacco supplier rather than a manufacturer, with betas of 0.33 (1-year) and 0.67 (5-year), reflecting its counter-market trends [11][13]. - LTC Properties (LTC) is a REIT with a 6.4% yield and low betas of 0.62 (5-year) and 0.23 (1-year), showing steady performance and a shift towards more operational exposure [14][15]. - Flowers Foods (FLO) has an 8.2% yield but faces challenges from import tariffs and high debt, with betas of 0.16 (1-year) and 0.31 (5-year) [15][17]. - Apple Hospitality REIT (APLE) offers an 8.6% yield and has betas of 0.94 (1-year) and 0.85 (5-year), indicating moderate volatility, with a diversified hotel portfolio [18][19][20]. Group 2: Market Conditions and Investment Strategy - The current bull market may be nearing a peak, prompting investors to consider low-volatility stocks as a defensive strategy [3][6]. - The article suggests that investors should prepare their portfolios for potential market downturns by focusing on stable, high-yield investments [3][6].

Core Insights - Hain Celestial reported Q3 CY2025 results that exceeded revenue expectations but experienced a year-on-year sales decline of 6.8% to $367.9 million [1][5] - The company posted a non-GAAP loss of $0.08 per share, which was 48.1% below analysts' consensus estimates [1][5] Revenue and Financial Performance - Revenue for the quarter was $367.9 million, surpassing analyst estimates of $360.5 million, but reflecting a 6.8% decline year-on-year [5] - Adjusted EPS was -$0.08 compared to analyst expectations of -$0.05, marking a 48.1% miss [5] - Adjusted EBITDA stood at $19.73 million, aligning with analyst estimates, resulting in a 5.4% margin [5] - Operating margin decreased to -1.9%, down from 2.1% in the same quarter last year [5] - Organic revenue fell by 6% year-on-year, compared to analyst estimates of a 5.4% decline, representing a 61.1 basis point miss [5] - Market capitalization is reported at $108.4 million [5] Management Commentary and Strategy - Management noted improvements in organic net sales trends, particularly in North America, with growth in Beverages, Baby and Kids, and Meal Prep segments [3][4] - Cost control measures, a revamped operating model, and targeted brand renovation initiatives are beginning to show positive results [3] - The company plans to accelerate new product launches and implement cost-saving initiatives to enhance margins and stabilize sales [3] - The '5 actions to win' plan includes portfolio simplification, revenue growth management, and digital marketing to drive performance in the second half of the year [3] - Upcoming innovations are expected in Snacks and Baby and Kids categories, focusing on premiumization and pricing strategies to counter inflation [3]

Core Insights - SunOpta's shares fell 20% following disappointing earnings despite a revenue increase of 16.6% year-over-year to $205.4 million, raising concerns about profitability due to a significant decline in gross profit margin from 17% to 12.4% [1] Financial Performance - Revenue for SunOpta reached $205.4 million, marking a 16.6% increase compared to the previous year [1] - The company raised its sales forecast for the full year, indicating optimism in sales growth [1] - Gross profit margin decreased by 4.6 percentage points, from 17% to 12.4%, highlighting rising costs impacting profitability [1] Market Reaction - The stock experienced a 20% drop in the morning session, reflecting a strong negative reaction from investors to the earnings report [1] - SunOpta's shares have shown volatility, with 17 moves greater than 5% in the past year, indicating significant market sensitivity to news [3] Historical Context - The stock had previously gained 26.8% six months ago after reporting strong first quarter results that exceeded analysts' expectations [4] - Year-to-date, SunOpta's stock is down 49.1%, trading at $3.94 per share, which is 50.1% below its 52-week high of $7.89 [5] - An investment of $1,000 in SunOpta shares five years ago would now be worth $546.46, reflecting a substantial decline in value over time [5]

Company Overview - General Mills, Inc. is a food-manufacturing company based in Minneapolis, Minnesota, with a market cap of approximately $25.6 billion [1] Earnings Expectations - Analysts anticipate General Mills to report a profit of $1.03 per share for fiscal Q2 2026, representing a decline of 26.4% from $1.40 per share in the same quarter last year [2] - For the current fiscal year, the expected EPS is about $3.65, down 13.3% from $4.21 in fiscal 2025, but projected to increase by 4.1% year over year to $3.80 per share in fiscal 2027 [3] Stock Performance - Over the past year, General Mills' stock has decreased by 29.6%, underperforming the S&P 500 Index, which gained 18.3%, and the Consumer Staples Select Sector SPDR Fund, which saw a 3.4% dip [4] Market Challenges - The stock is facing pressure due to a challenging consumer market environment, with core categories like cereals and snacks experiencing declining volumes as consumers shift towards private-label alternatives [5] - The company's growth has stalled, and profit margins are being squeezed, leading to reduced investor optimism [5] Analyst Ratings - Wall Street maintains a cautious stance on General Mills, with an overall "Hold" rating. Among 20 analysts, four suggest a "Strong Buy," one a "Moderate Buy," 12 a "Hold," and three a "Strong Sell" [6] - The mean price target for the stock is $53.95, indicating a potential upside of 12.3% from current price levels [6]

Financial Data and Key Metrics Changes - Total revenue growth for the third quarter of 2025 was 9.1%, driven by solid trends outside Mexico and currency tailwinds, particularly in Europe [30][31] - Operating income increased by 4.3% year over year, reflecting inflationary effects on costs and expenses, partially offset by efficiency efforts [30][31] - Net consolidated income decreased by 36.8% to 5.8 billion pesos, primarily due to a non-cash foreign exchange loss of 1.3 billion pesos [31][32] Business Line Data and Key Metrics Changes - Proximity Americas' same-store sales increased by 1.7%, with average ticket rising by 4.9% and average traffic contracting by 3.1% [19][34] - Total revenues for Proximity Americas grew by 9.2%, driven by the expansion of the store network and strong performance in LATAM markets [35] - Operating income for the health division declined by 4%, with same-store sales growing by 0.8%, primarily due to strong performance in Chile and Colombia [39][40] Market Data and Key Metrics Changes - In Mexico, OXXO continues to experience sluggish growth, but there are signs of improvement in market share for key categories like beer and snacks [10][20] - Coca-Cola FEMSA showed gradual improvement in volume, particularly in South America, despite a slight decline in Mexico [41] - Valora in Europe reported a 10.1% increase in total revenues, driven by higher retail sales in Switzerland [38] Company Strategy and Development Direction - The company is focused on maximizing long-term value creation through its FEMSA Forward strategy, which includes divesting nearly $11 billion in assets and setting clear capital allocation targets [8][9] - There is a strong emphasis on expanding the OXXO platform in Brazil and Colombia, with significant growth opportunities identified [10][26] - The company aims to enhance its digital capabilities and improve the value proposition of its retail offerings, particularly in coffee and food categories [24][17] Management's Comments on Operating Environment and Future Outlook - Management expressed cautious optimism for the upcoming year, noting signs of improvement in October data and the potential positive impact of the FIFA World Cup [42] - The recent tax increase in Mexico is expected to present challenges, but management believes they can adapt and maintain return on investment [12][30] - The incoming CEO emphasized the importance of urgency and excellence in management to drive future growth [94] Other Important Information - The company distributed a total of 11.8 billion pesos in dividends during the quarter, with no share buybacks executed [41] - The effective tax rate for the quarter improved to 29.3%, following a spike in the first half of the year [32][33] Q&A Session Summary Question: Insights on same-store sales performance and traffic dynamics at OXXO - Management noted a reversal of trends in OXXO Mexico, with improved traffic performance compared to the first half of the year, and expressed optimism for the fourth quarter [46][49] Question: Gross margin performance at OXXO Mexico - Management indicated that gross margin improvements were driven by commercial income growth and a favorable service mix, with expectations for continued gains [54][57] Question: Update on health business in Mexico and Chile - Management reported strong growth in Chile despite a competitive environment, while acknowledging challenges in Mexico and the need for operational improvements [70][71] Question: Corporate restructuring and SG&A reduction - Management discussed ongoing efforts to streamline corporate overhead and indicated potential for significant savings in the future [78][79] Question: Interest expense increase and its drivers - Management explained that the increase in interest expense was primarily due to lease accounting under IFRS and the consolidation of U.S. operations [95][96]

Core Insights - Coca-Cola and PepsiCo reported strong third-quarter 2025 earnings, indicating positive trends in the consumer staples sector [1][2] - Both companies are adapting to changing consumer behaviors, focusing on affordability and health-conscious products [7][8] Coca-Cola Summary - Coca-Cola's third-quarter 2025 comparable earnings per share (EPS) reached 82 cents, a 6% increase year over year, surpassing the Zacks Consensus Estimate of 78 cents [3][4] - Revenues for Coca-Cola were $12.46 billion, reflecting a 5% year-over-year growth and exceeding the Zacks Consensus Estimate of $12.43 billion [4] - The company expects slight currency tailwinds for both revenue and comparable earnings in 2026, with minimal currency impact anticipated for fourth-quarter 2025 [5] PepsiCo Summary - PepsiCo's third-quarter 2025 net revenues were $23.94 billion, a 2.6% increase year over year, beating the Zacks Consensus Estimate of $23.87 billion [6] - Core EPS for PepsiCo was $2.29, surpassing the Zacks Consensus Estimate of $2.27, although it represented a 0.9% decline year over year [6] - PepsiCo is also maintaining its full-year outlook, indicating stability in its financial projections [6] Consumer Trends - Both Coca-Cola and PepsiCo are responding to price-sensitive and health-conscious consumers by offering smaller, more affordable packaging options [7] - Coca-Cola is seeing increased sales from dollar stores as low-income consumers cut back on spending [7] - PepsiCo is reformulating its snack products with healthier ingredients and reducing prices on multipacks and single-serve snacks to attract budget-conscious buyers [8] Investment Opportunities - Investors may consider ETFs that include Coca-Cola and PepsiCo, such as the Consumer Staples Select Sector SPDR Fund (XLP), Fidelity MSCI Consumer Staples Index ETF (FSTA), and Vanguard Consumer Staples ETF (VDC) [9]