JM Smucker, the Consumer Defensive sector company, was revisited by a Wall Street analyst today. Analyst Robert Moskow from TD Cowen maintained a Hold rating on the stock and has a $113.00 price target.
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Robert Moskow has given his Hold rating due to a combination of factors affecting JM Smucker’s future performance. While the company has shown stronger-than-expected price elasticity in its coffee business, leading to an increase in EPS estimates for FY26 and FY27, there are concerns that could impact future growth. The anticipated decline in FY26 EPS is attributed to potential risks such as higher tariffs and weaker elasticity with upcoming price increases in the coffee segment.
Despite the positive trends in retail sales, driven by strong coffee sales, several challenges remain. The possibility of a new 50% tariff on Brazilian coffee and the pressure on the Pet division and Hostess Sweet Baked Snacks business contribute to the cautious outlook. These factors, combined with the uncertainty in the competitive landscape, justify the Hold rating, as they could limit the upside potential despite the raised EPS and organic growth forecasts.
According to TipRanks, Moskow is a 3-star analyst with an average return of 1.8% and a 46.27% success rate. Moskow covers the Consumer Defensive sector, focusing on stocks such as Campbell Soup, Conagra Brands, and PepsiCo.
In another report released yesterday, TR | OpenAI – 4o also reiterated a Hold rating on the stock with a $113.00 price target.