In a report released today, Peter Galbo from Bank of America Securities reiterated a Hold rating on JM Smucker, with a price target of $118.00.
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Peter Galbo has given his Hold rating due to a combination of factors impacting JM Smucker’s financial outlook. The company’s first-quarter earnings for fiscal year 2026 fell short of market expectations, primarily due to increased tariff pressures affecting the coffee segment. This has prompted the company to adopt alternative sourcing strategies and optimize its supply chain to mitigate these challenges, though these efforts have not fully offset the negative impacts.
Additionally, the company is implementing new strategies to enhance profitability in its Sweet Baked Snacks segment, including reducing stock keeping units and creating a dedicated sales organization. Despite these initiatives, the overall valuation remains at a discount compared to its packaged food peers, justifying the Hold rating. Consequently, the price objective has been slightly lowered to $118, reflecting these underlying challenges and the company’s ongoing efforts to manage cost pressures and execute its strategic plans.
In another report released yesterday, Barclays also maintained a Hold rating on the stock with a $105.00 price target.
Based on the recent corporate insider activity of 25 insiders, corporate insider sentiment is positive on the stock. This means that over the past quarter there has been an increase of insiders buying their shares of SJM in relation to earlier this year.