J.M. Smucker (SJM) Meets Q3 Earnings; Sales Lag Estimates

The J. M. Smucker CompanySJM engages in the manufacture and marketing of branded food products worldwide. The company's primary products include coffee, peanut butter, fruit spreads, shortening and oils, baking mixes and ready-to-spread frostings, and canned milk.

Strong organic sales growth, product innovation and constant efforts to expand through acquisitions have remained the company's strong points over the past several quarters. While sales were hurt due to the divestiture of its US canned milk brands, but it will allow the company to focus on the key brands and growth opportunities. However, the recent increase in coffee prices will negatively impact the coffee volumes. Heightened competition in the pet food business in the near term also remains a concern.

Earnings Estimate Revision: The Zacks Consensus Estimate for the current quarter portrays a downtrend in the last 30 days. J. M. Smucker's performance in the trailing four quarters (including the quarter under review) gives a positive picture. The company outperformed the Zacks Consensus Estimate by an average of 19.2% in the trailing four quarters.

Currently, SJM has a Zacks Rank #4 (Sell). You can see the complete list of today's Zacks #1 (Strong Buy) Rank stocks here . The Zacks Rank could definitely change following Smucker's earnings report which was just released. We have highlighted some of the key stats from this just-revealed announcement below:

Earnings: SJM posted adjusted earnings of $2.00 per share, meeting our consensus. Investors should note that these figures take out stock option expenses.

Revenue: SJM posted revenues of $1.88 billion, missing our consensus estimate of $1.92 billion.

Key Stats to Note: The company has narrowed its full-year fiscal 2017 earnings outlook, with adjusted earnings per share expected to range $7.60 to $7.70 from $7.60 to $7.75 expected previously.

Stock Price: Shares declined 0.42% in pre-market trading .

Check back later for our full write up on this SJM earnings report later!

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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

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