Jefferies has increased its price target for J.M. Smucker (SJM, Financial) from $111 to $118, while maintaining a Hold rating on the stock. The financial firm highlights that J.M. Smucker's retail sales appear to be stronger compared to its competitors, thanks to limited elasticity in coffee prices, significant distribution growth in Uncrustables, and the expansion of Jif and Meow Mix. However, the company is facing challenges with its Hostess and Milk-Bone brands.
Despite these positive indicators, Jefferies expresses some concerns regarding the company’s Hostess trajectory, additional costs due to coffee tariffs, and the need to address overhead in the pet segment. The analysis suggests that J.M. Smucker's overall portfolio is relatively insulated from the broader difficulties affecting center store products.
Wall Street Analysts Forecast
Based on the one-year price targets offered by 16 analysts, the average target price for JM Smucker Co (SJM, Financial) is $121.15 with a high estimate of $135.00 and a low estimate of $104.00. The average target implies an upside of 9.75% from the current price of $110.39. More detailed estimate data can be found on the JM Smucker Co (SJM) Forecast page.
Based on the consensus recommendation from 20 brokerage firms, JM Smucker Co's (SJM, Financial) average brokerage recommendation is currently 2.7, indicating "Hold" status. The rating scale ranges from 1 to 5, where 1 signifies Strong Buy, and 5 denotes Sell.
Based on GuruFocus estimates, the estimated GF Value for JM Smucker Co (SJM, Financial) in one year is $74.14, suggesting a downside of 32.84% from the current price of $110.385. GF Value is GuruFocus' estimate of the fair value that the stock should be traded at. It is calculated based on the historical multiples the stock has traded at previously, as well as past business growth and the future estimates of the business' performance. More detailed data can be found on the JM Smucker Co (SJM) Summary page.
