Citigroup Lowers Kellogg (K) Price Target to $79.00

Kellogg (NYSE:K) had its target price cut by stock analysts at Citigroup from $87.00 to $79.00 in a research note issued to investors on Thursday. The firm presently has a “buy” rating on the stock. Citigroup’s price target suggests a potential upside of 25.40% from the stock’s previous close.

A number of other analysts have also recently commented on the company. Buckingham Research cut their target price on Kellogg from $80.00 to $77.00 and set a “buy” rating on the stock in a research report on Thursday. Wells Fargo & Co reiterated a “hold” rating and set a $67.00 target price (up previously from $62.00) on shares of Kellogg in a research report on Sunday, August 5th. Piper Jaffray Companies set a $79.00 target price on Kellogg and gave the stock a “buy” rating in a research report on Tuesday, October 16th. Zacks Investment Research upgraded Kellogg from a “sell” rating to a “hold” rating in a research report on Thursday, October 25th. Finally, ValuEngine upgraded Kellogg from a “hold” rating to a “buy” rating in a research report on Wednesday, October 24th. Two investment analysts have rated the stock with a sell rating, ten have assigned a hold rating and seven have issued a buy rating to the company’s stock. The stock has an average rating of “Hold” and an average price target of $71.53.

Kellogg stock traded down $1.00 during midday trading on Thursday, reaching $63.00. The company’s stock had a trading volume of 4,799,156 shares, compared to its average volume of 2,522,492. Kellogg has a fifty-two week low of $56.40 and a fifty-two week high of $74.98. The company has a debt-to-equity ratio of 2.41, a current ratio of 0.84 and a quick ratio of 0.50. The stock has a market cap of $21.84 billion, a PE ratio of 14.48, a P/E/G ratio of 1.94 and a beta of 0.50.

Kellogg (NYSE:K) last posted its quarterly earnings results on Wednesday, October 31st. The company reported $1.06 earnings per share for the quarter, missing the Zacks’ consensus estimate of $1.07 by ($0.01). Kellogg had a net margin of 13.75% and a return on equity of 51.32%. The business had revenue of $3.47 billion during the quarter, compared to analyst estimates of $3.43 billion. During the same quarter in the prior year, the business earned $1.03 earnings per share. The firm’s quarterly revenue was up 6.9% on a year-over-year basis. On average, research analysts expect that Kellogg will post 4.31 earnings per share for the current fiscal year.

In related news, major shareholder Kellogg W. K. Foundation Trust sold 205,000 shares of the firm’s stock in a transaction dated Wednesday, October 10th. The stock was sold at an average price of $69.72, for a total transaction of $14,292,600.00. The transaction was disclosed in a document filed with the SEC, which is available at this link. Also, Vice Chairman Gary H. Pilnick sold 66,655 shares of the firm’s stock in a transaction dated Monday, August 6th. The stock was sold at an average price of $72.25, for a total value of $4,815,823.75. The disclosure for this sale can be found here. In the last three months, insiders have sold 636,655 shares of company stock worth $45,829,574. Corporate insiders own 1.40% of the company’s stock.

Hedge funds and other institutional investors have recently added to or reduced their stakes in the stock. LFA Lugano Financial Advisors SA purchased a new position in shares of Kellogg during the second quarter worth about $103,000. Financial Architects Inc purchased a new position in shares of Kellogg during the third quarter worth about $111,000. CSat Investment Advisory L.P. purchased a new position in shares of Kellogg during the second quarter worth about $127,000. Fort L.P. purchased a new position in shares of Kellogg during the second quarter worth about $127,000. Finally, Kiley Juergens Wealth Management LLC boosted its holdings in Kellogg by 57.7% in the 3rd quarter. Kiley Juergens Wealth Management LLC now owns 2,127 shares of the company’s stock valued at $148,000 after purchasing an additional 778 shares in the last quarter. 88.98% of the stock is currently owned by hedge funds and other institutional investors.

About Kellogg

Kellogg Company, together with its subsidiaries, manufactures and markets ready-to-eat cereal and convenience foods. The company operates through U.S. Morning Foods, U.S. Snacks, U.S. Specialty, North America Other, Europe, Latin America, and Asia Pacific segments. Its principal products include cookies, crackers, savory snacks, toaster pastries, cereal bars, granola bars and bites, fruit-flavored snacks, ready-to-eat cereals, frozen waffles, and veggie foods.

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Analyst Recommendations for Kellogg (NYSE:K)

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