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Morgan Stanley stays cautious on J.M. Smucker

Published 02/20/2018, 02:04 PM
© Reuters.  Morgan Stanley stays cautious on J.M. Smucker
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  • Morgan Stanley (NYSE:MS) keeps an Underweight rating on J.M. Smucker (SJM -0.1%) after sizing up the company's FQ3 earnings report and full-year guidance.
  • Looking ahead, the firm warns on Smucker's Walmart (NYSE:WMT) exposure, private label headwinds and needed pet food reinvestment.
  • "We are maintaining our PT of $125 prior based on a blend of 10x C2019e EV/EBITDA and 15x P/E a ~10% discount to peers given SJM's fundamental challenges and lower strategic potential, on our updated estimates," writes the MS analyst team.
  • Previously: J. M. Smucker beats by $0.37, beats on revenue (Feb. 16)
  • Previously: Collateral damage from Walmart earnings (Feb. 20)
  • Previously: More on J.M. Smucker's Q3 earnings beat (Feb. 16)
  • Now read: Act Now And Buy J.M. Smucker Alongside Management


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