General Mills (GIS) AI Stock Analysis

• Market Cap: $27.70B
• Dividend Yield: 4.72%
• Average Volume (3M): 6.11M
• Price to Earnings (P/E): 12.5
• Beta (1Y): -0.09
• Revenue Growth: -1.87%
• EPS Growth: -5.16%
• Country: US
• Employees: 34,000
• Sector: Consumer Defensive
• Sector Strength: 55
• Industry: Packaged Foods
• EPS (TTM): 0.74
• Shares Outstanding: 542,427,500
• 10 Day Avg. Volume: 5,385,070
• 30 Day Avg. Volume: 6,114,681
• PEG Ratio: -1.42
• Price to Book (P/B): 3.05
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 12.10
• Enterprise Value/Market Cap: 1.52
• Enterprise Value/Revenue: 0.62
• Enterprise Value/Gross Profit: 6.96
• Enterprise Value/Ebitda: 3.05
• 1Y Price Target: $54.13
• Price Target Upside: 5.99% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 17

• Rating: 63 Neutral
• Price Target: $54.00 ▲(5.74%Upside)

General Mills demonstrates financial stability and attractive valuation, but faces challenges from weak technical indicators and margin pressures. Strategic initiatives could enhance long-term prospects, but the stock currently reflects short-term uncertainty.

Positive Factors

Operational Efficiency

The company reported a higher adjusted gross margin than expected, indicating improved operational efficiency.

Volume Improvements

Total company volumes were better than anticipated, driven by improvements in North America Retail and increased retailer inventory in the Pet segment.

Negative Factors

Earnings Guidance

FY26 EPS guidance is worse than expected due to higher investments, and some challenges will linger into FY27, making core profitability uncertain.

Market Share Challenges

The underlying organic sales growth remains weak, with significant challenges in market share trends and muted end market growth.

General Mills Business Overview & Revenue Model

Company Description

General Mills, Inc. is a leading global food company that manufactures and markets a wide range of branded consumer foods. The company operates in multiple sectors including cereals, snacks, yogurt, convenient meals, and pet foods. With a portfolio of well-known brands such as Cheerios, Betty Crocker, Pillsbury, Haagen-Dazs, and Blue Buffalo, General Mills provides products that are loved by families around the world. The company is committed to making food with passion and purpose while striving for sustainability and innovation.

How the Company Makes Money

General Mills generates revenue primarily through the sale of its consumer food products across different categories, including cereals, snacks, meals, baking products, and pet foods. The company's key revenue streams include retail sales through grocery stores, supermarkets, and mass merchandisers, as well as foodservice sales to restaurants and other foodservice providers. Additionally, General Mills benefits from strategic partnerships and joint ventures which help expand its market reach and product offerings. The company focuses on brand strength, innovation, and supply chain efficiency to maintain and grow its earnings. Significant factors contributing to its earnings include consumer trends, pricing strategies, and cost management initiatives.

General Mills Financial Statement Overview

Summary

General Mills shows stable financial performance with strong cash flow generation and consistent profit margins. However, the slowing revenue growth and increased leverage pose potential risks.

Income Statement

General Mills shows a stable financial performance with a consistent gross profit margin averaging around 33-35% over the years. The net profit margin has slightly declined from 14.6% in 2022 to 11.7% in 2025, indicating some pressure on net income relative to revenue. Revenue growth has been modest, with a slight decrease in recent years, suggesting a need for strategic initiatives to boost top-line growth. EBIT and EBITDA margins have remained stable, reflecting operational efficiency.

Balance Sheet

The balance sheet indicates a strong equity position with a debt-to-equity ratio that has increased from 1.47 in 2020 to 1.62 in 2025, reflecting higher leverage which could pose risks if interest rates rise. Return on equity has decreased from 33.1% in 2020 to 24.8% in 2025, highlighting reduced profitability on shareholder equity. The equity ratio has remained relatively stable, showcasing a balanced approach toward asset financing.

Cash Flow

General Mills has demonstrated robust operating cash flows, with a strong free cash flow position consistently exceeding $2 billion. The operating cash flow to net income ratio has been favorable, underscoring the company's ability to convert earnings into cash. Free cash flow growth has been positive, although it has decelerated in recent years, pointing to potential challenges in maintaining growth without strategic reinvestment.

Breakdown	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	19.49B	19.86B	20.09B	18.99B	18.13B
Gross Profit	6.73B	6.93B	6.55B	6.40B	6.45B
EBITDA	3.92B	4.08B	4.08B	4.16B	3.89B
Net Income	2.28B	2.50B	2.59B	2.71B	2.34B
Balance Sheet
Total Assets	33.07B	31.47B	31.45B	31.09B	31.84B
Cash, Cash Equivalents and Short-Term Investments	363.90M	418.00M	702.70M	819.20M	1.87B
Total Debt	14.88B	13.32B	12.06B	11.98B	13.01B
Total Liabilities	23.86B	21.82B	20.75B	20.30B	21.46B
Stockholders Equity	9.20B	9.40B	10.45B	10.54B	9.47B
Cash Flow
Free Cash Flow	2.92B	2.53B	2.09B	2.75B	2.45B
Operating Cash Flow	2.92B	3.30B	2.78B	3.32B	2.98B
Investing Cash Flow	-1.79B	-1.20B	-346.40M	-1.69B	-512.80M
Financing Cash Flow	-1.18B	-2.27B	-2.40B	-2.50B	-2.72B

General Mills Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 51.07
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GIS, the sentiment is Neutral. The current price of 51.07 is above the 20-day moving average (MA) of 51.01, below the 50-day MA of 52.28, and below the 200-day MA of 58.43, indicating a neutral trend. The MACD of -0.49 indicates Negative momentum. The RSI at 48.11 is Neutral, neither overbought nor oversold. The STOCH value of 76.38 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for GIS.

General Mills Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
KHC	74 Outperform	$33.94B	13.00	5.36%	5.58%	-4.25%	-4.04%
CAG	70 Outperform	$9.17B	8.00	13.27%	7.29%	-3.64%	231.77%
MKC	69 Neutral	$19.21B	24.85	14.19%	2.47%	0.89%	4.85%
HRL	65 Neutral	$16.08B	21.51	9.39%	3.94%	-1.01%	-2.93%
GIS	63 Neutral	$27.70B	12.46	24.57%	4.72%	-1.87%	-5.16%
Sector *	62 Neutral	kr23.79B	14.51	52.46%	4.25%	7.91%	-20.51%
SJM	56 Neutral	$11.63B	22.22	-17.87%	3.96%	6.69%	-261.87%

General Mills Corporate Events

General Mills Launches Global Transformation Initiative

On May 20, 2025, General Mills announced a multi-year global transformation initiative aimed at enhancing productivity through improved business processes and organizational changes. This initiative, expected to be completed by fiscal 2028, will incur charges of approximately $130 million, with significant expenses recorded in fiscal 2025, primarily for severance, impacting the company’s financials and operational strategy.

The most recent analyst rating on (GIS) stock is a Hold with a $67.00 price target. To see the full list of analyst forecasts on General Mills stock, see the GIS Stock Forecast page.

General Mills Appoints New Group President for North America

On May 19, 2025, General Mills announced the appointment of Dana M. McNabb as Group President for North America Retail and North America Pet, effective June 1, 2025. This strategic leadership change is expected to impact the company’s operations and market positioning in the North American retail and pet food sectors.

The most recent analyst rating on (GIS) stock is a Hold with a $67.00 price target. To see the full list of analyst forecasts on General Mills stock, see the GIS Stock Forecast page.