Exploring Kellanova's Earnings Expectations

Kellanova K will release its quarterly earnings report on Thursday, 2025-07-31. Here's a brief overview for investors ahead of the announcement.

Analysts anticipate Kellanova to report an earnings per share (EPS) of $0.99.

The announcement from Kellanova is eagerly anticipated, with investors seeking news of surpassing estimates and favorable guidance for the next quarter.

It's worth noting for new investors that guidance can be a key determinant of stock price movements.

Overview of Past Earnings

The company's EPS missed by $0.11 in the last quarter, leading to a 0.1% increase in the share price on the following day.

Here's a look at Kellanova's past performance and the resulting price change:

Quarter Q1 2025 Q4 2024 Q3 2024 Q2 2024
EPS Estimate 1.01 0.83 0.85 0.90
EPS Actual 0.90 0.92 0.91 1.01
Price Change % 0.0% 0.0% -0.0% 1.0%

Tracking Kellanova's Stock Performance

Shares of Kellanova were trading at $80.14 as of July 29. Over the last 52-week period, shares are up 28.8%. Given that these returns are generally positive, long-term shareholders are likely bullish going into this earnings release.

Analyst Views on Kellanova

Understanding market sentiments and expectations within the industry is crucial for investors. This analysis delves into the latest insights on Kellanova.

Kellanova has received a total of 1 ratings from analysts, with the consensus rating as Neutral. With an average one-year price target of $83.5, the consensus suggests a potential 4.19% upside.

Understanding Analyst Ratings Among Peers

The following analysis focuses on the analyst ratings and average 1-year price targets of General Mills, Kraft Heinz and McCormick & Co, three prominent industry players, providing insights into their relative performance expectations and market positioning.

  • Analysts currently favor an Neutral trajectory for General Mills, with an average 1-year price target of $55.33, suggesting a potential 30.96% downside.
  • Analysts currently favor an Neutral trajectory for Kraft Heinz, with an average 1-year price target of $27.67, suggesting a potential 65.47% downside.
  • Analysts currently favor an Neutral trajectory for McCormick & Co, with an average 1-year price target of $78.67, suggesting a potential 1.83% downside.

Analysis Summary for Peers

The peer analysis summary offers a detailed examination of key metrics for General Mills, Kraft Heinz and McCormick & Co, providing valuable insights into their respective standings within the industry and their market positions and comparative performance.

Company Consensus Revenue Growth Gross Profit Return on Equity
Kellanova Neutral -3.66% $1.06B 7.91%
General Mills Neutral -3.35% $1.47B 3.07%
Kraft Heinz Neutral -6.43% $2.06B 1.44%
McCormick & Co Neutral 0.99% $622.80M 3.17%

Key Takeaway:

Kellanova ranks at the bottom for Revenue Growth and Gross Profit among its peers. It is in the middle for Return on Equity.

Delving into Kellanova's Background

Following its split from the North American cereal business in October 2023, Kellanova (previously the global snacking arm of Kellogg) has operated as a leading global manufacturer and marketer of salty snacks, snack bars, frozen breakfast fare, meat alternatives, and other packaged foods. Its offerings are manufactured in around 20 countries and marketed in over 180. Its product mix includes well-known brands such as Pringles, Cheez-It, Rice Krispies Treats, Pop-Tarts, Eggo, Nutri-Grain, and Morningstar Farms. Sales beyond its home turf account for about nearly two thirds of Kellanova's consolidated sales base. Mars is slated to acquire the recently independent business in a nearly $36 billion deal in the first half of calendar 2025.

Kellanova's Economic Impact: An Analysis

Market Capitalization Analysis: Above industry benchmarks, the company's market capitalization emphasizes a noteworthy size, indicative of a strong market presence.

Negative Revenue Trend: Examining Kellanova's financials over 3 months reveals challenges. As of 31 March, 2025, the company experienced a decline of approximately -3.66% in revenue growth, reflecting a decrease in top-line earnings. In comparison to its industry peers, the company trails behind with a growth rate lower than the average among peers in the Consumer Staples sector.

Net Margin: The company's net margin is a standout performer, exceeding industry averages. With an impressive net margin of 9.86%, the company showcases strong profitability and effective cost control.

Return on Equity (ROE): The company's ROE is a standout performer, exceeding industry averages. With an impressive ROE of 7.91%, the company showcases effective utilization of equity capital.

Return on Assets (ROA): Kellanova's ROA stands out, surpassing industry averages. With an impressive ROA of 1.95%, the company demonstrates effective utilization of assets and strong financial performance.

Debt Management: Kellanova's debt-to-equity ratio is notably higher than the industry average. With a ratio of 1.59, the company relies more heavily on borrowed funds, indicating a higher level of financial risk.

To track all earnings releases for Kellanova visit their earnings calendar on our site.

This article was generated by Benzinga's automated content engine and reviewed by an editor.

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