Kellogg Company’s Shares Show Potential for Upside Growth as Analysts Upgrade Revenue Estimates
Kellogg Company (NYSE:K) recently experienced a surge in trading volume, with 2.64 million shares changing hands in the last session. The company’s per share price currently stands at $60.29, trading at a slight discount of -28.0% off its 52-week high. However, analysts believe that there is potential for upside growth as they upgrade their revenue estimates for the company.
Analysts have given Kellogg Company a consensus recommendation rating of Hold, with a mean rating of 2.90. Out of the 18 analysts, 2 rate the stock as a Sell, 1 assigns an Overweight rating, 14 recommend it as a Hold, and 1 considers it a Buy. Analysts project the company’s earnings per share for the current quarter to be $0.93.
In the past five days, Kellogg Company’s stock performance has been positive, with a 1.16% increase. It reached a weekly high of $60.63, adding 0.22% to the daily price. However, the stock is still showing a year-to-date downside of -15.37%. Over the past 30 days, Kellogg Company’s stock has experienced a decline of -2.52%.
Despite its recent performance, Kellogg Company is underperforming compared to its peers in the same industry. Over the past six months, the company’s share value has decreased by -7.27%, which is considerably lower than the industry average of 2.90%. However, analysts have upgraded the fiscal year 2023 revenue estimates for the company, suggesting a potential turnaround.
According to analyst projections, Kellogg Company’s revenue for the current quarter is expected to reach an average of $4.05 billion. For the quarter ending December 2023, analysts estimate the revenue to be $3.89 billion. This represents a growth of approximately 7.00% for the current quarter and 1.40% for the next quarter.
Analyzing the company’s year-on-year earnings, data shows a growth rate of -5.00% over the past five years. However, the outlook for the next five-year period indicates an expected growth rate of 2.90% per year.
Major shareholders of Kellogg Company include insiders, who hold 6.85% of the shares, and institutional holders, who hold 86.09% of the shares. The share float percentage currently stands at 92.42%. Among institutional holders, Kellogg W K Foundation Trust is the top holder with a stake of 15.99%. Vanguard Group Inc holds the second-largest percentage of outstanding shares, with 9.05% of the shares.
In conclusion, while Kellogg Company’s stock has experienced a decline in value, analysts believe that there is potential for upside growth as they upgrade revenue estimates. The company’s performance over the past few days has been positive, and there are expectations for a growth in revenue in the coming quarters. Investors should closely monitor the company’s quarterly earnings report, which is scheduled to be released in October, for further insights into its financial performance.
