Hence, those investors who didn't take some profits in September, may wish to consider doing so now, as SJM is looking a bit rich at this juncture.

I'd also raise the sell/stop loss to $57 from $39.

Continue reading Has J.M. Smucker's Stock Peaked?

Has J.M. Smucker's Stock Peaked? originally appeared on BloggingStocks on Mon, 27 Dec 2010 15:30:00 EST. Please see our terms for use of feeds.

The J. M. Smucker Company (NYSE: SJM) is a leading North American maker of fruit spreads, peanut butter, shortening and oils, ice cream toppings, sweetened condensed milk, and health and natural foods beverages. Company brand names include Smucker's, Jif, Crisco, Eagle Brand, Hungry Jack, Laura Scudder and Robin Hood. The firm also markets Pillsbury, Pillsbury Doughboy, Carnation, Borden, and Elsie brand products under license. ConAgra Foods (NYSE: CAG) is a major competitor.

Smucker pleased investors earlier in the month, when it reported fiscal Q1 EPS of 82 cents and revenues of $663.7 million. Analysts had been looking for 77 cents and $647.2 million. Management also guided FY09 EPS to $3.45-$3.50 ($3.44 consensus) and FY09 revenues to $3.8-$4.0 billion ($3.86B consensus). The outlook figures take into account the previously announced purchase of Procter & Gamble's (NYSE: PG) Folgers coffee business.

Continue reading J. M. Smucker Company (SJM): Price defines bullish 'flag' consolidation

J. M. Smucker Company (SJM): Price defines bullish 'flag' consolidation originally appeared on BloggingStocks on Fri, 29 Aug 2008 12:02:00 EST. Please see our terms for use of feeds.

This post is part of our Big Company, Small Town series, featuring large companies and the small towns in which they are headquartered.

The town of Orrville sits on the northern edge of the Ohio Amish area, and has that same bucolic feel. A friendly town that once was no more than a railroad stop for the agriculture, and a bedroom community for the heavy industries, of Wooster and Massillon, it is now best known as the jam capital of America, the home of the big (and growing) J.M. Smucker Company (NYSE: SJM).

Smucker has more than just its office in Orrville. For over 100 years, it has made jam in its factory right in the center of town. Of the 8,500 Orrville residents, 1,100 currently work for Smucker. It also operates the Simply Smucker's store in town, where visitors can view 350 varieties of Smucker's products, some available for taste-testing.

Since its fortunes and Orrville's are intertwined, it's fortunate for the community that Smucker appears on Fortune magazine's annual list of the top 100 companies to work for year after year, even finishing number one in 2004. The company is also known for its local charitable contributions. This year, for example, Smucker and its employees provided almost half of all funds raised by the United Way of Orrville.

Continue reading Big company, small town: J.M. Smucker & Co., Orrville, Ohio

Big company, small town: J.M. Smucker & Co., Orrville, Ohio originally appeared on BloggingStocks on Tue, 24 Jun 2008 10:10:00 EST. Please see our terms for use of feeds.

When the J.M. Smucker Company (NYSE: SJM) presents at tomorrow's Lehman Brother Back-to-School Consumer Conference, look for the company to make prominent mention of the fact that its brand of peanut butter, Jif, was not involved in the peanut butter recall earlier this year. But Smucker certainly profited from the recall with increased peanut butter sales that resulted in a 40% or $19.6 million rise in 1Q 2008 operating income. Net sales for the quarter increased 17% to $561.5 million, and diluted EPS increased 42% to $0.71. Investors always like when earnings grow faster than sales.

Smucker recently completed the acquisition of Eagle Brands, maker of canned milk and other baking products. This is a good fit with other Smucker baking related products including Pillsbury and Crisco. During the first complete quarter following acquisition, Eagle Brands contributed $43.5 million to net sales. The company sold its manufacturing facility in Scotland as well as its nonbranded grain products in Canada in order to concentrate on domestic manufacturing and quality control.

The company is sticking with its previously mentioned FY 2008 guidance of sales growth of 8%, half from organic growth and half from acquisitions. Commodity costs will continue to increase for Smucker, as for its competition. Smucker needs to keep a tighter lid on administrative and selling expenses in light of costs increases, some of which cannot be passed on to consumers in the form of higher prices. Interest expense increased by $4 million due to Eagle Brands acquisition, so the company must monitor its debt load.

The stock is up almost 10% for the year, opening the year trading at $49.30, and currently trading at $54.86, with a dividend yield of 2.2%.

Smucker's (SJM) rolling in peanut butter originally appeared on BloggingStocks on Wed, 05 Sep 2007 19:00:00 EST. Please see our terms for use of feeds.