General Mills Valuation
Is GIS undervalued compared to its fair value, analyst forecasts and its price relative to the market?
Valuation Score
5/6Valuation Score 5/6
Below Fair Value
Significantly Below Fair Value
Price-To-Earnings vs Peers
Price-To-Earnings vs Industry
Price-To-Earnings vs Fair Ratio
Analyst Forecast
Share Price vs Fair Value
What is the Fair Price of GIS when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.
Below Fair Value: GIS ($62.88) is trading below our estimate of fair value ($158.53)
Significantly Below Fair Value: GIS is trading below fair value by more than 20%.
Key Valuation Metric
Which metric is best to use when looking at relative valuation for GIS?
Key metric: As GIS is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.
| What is GIS's PE Ratio? | |
|---|---|
| PE Ratio | 14.5x |
| Earnings | US$2.40b |
| Market Cap | US$35.09b |
| Key Statistics | |
|---|---|
| Enterprise Value/Revenue | 2.4x |
| Enterprise Value/EBITDA | 11.4x |
| PEG Ratio | 4.1x |
Price to Earnings Ratio vs Peers
How does GIS's PE Ratio compare to its peers?
| Company | Forward PE | Estimated Growth | Market Cap |
|---|---|---|---|
| Peer Average | 25.6x | ||
KHC Kraft Heinz | 27.4x | 28.4% | US$37.7b |
HSY Hershey | 19.4x | 3.0% | US$34.6b |
K Kellanova | 26.9x | 9.0% | US$27.8b |
TSN Tyson Foods | 28.7x | 22.5% | US$22.9b |
GIS General Mills | 14.5x | 3.6% | US$35.1b |
Price-To-Earnings vs Peers: GIS is good value based on its Price-To-Earnings Ratio (14.5x) compared to the peer average (25.6x).
Price to Earnings Ratio vs Industry
How does GIS's PE Ratio compare vs other companies in the US Food Industry?
Price-To-Earnings vs Industry: GIS is good value based on its Price-To-Earnings Ratio (14.5x) compared to the US Food industry average (19.2x).
Price to Earnings Ratio vs Fair Ratio
What is GIS's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.
| Fair Ratio | |
|---|---|
| Current PE Ratio | 14.5x |
| Fair PE Ratio | 22.1x |
Price-To-Earnings vs Fair Ratio: GIS is good value based on its Price-To-Earnings Ratio (14.5x) compared to the estimated Fair Price-To-Earnings Ratio (22.1x).
Analyst Price Targets
What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?
| Date | Share Price | Average 1Y Price Target | Dispersion | High | Low | 1Y Actual price | Analysts |
|---|---|---|---|---|---|---|---|
| Current | US$62.88 | US$74.41 +18.3% | 5.6% | US$84.00 | US$67.00 | n/a | 20 |
| Nov ’25 | US$68.24 | US$74.76 +9.6% | 5.5% | US$84.00 | US$67.00 | n/a | 20 |
| Oct ’25 | US$74.62 | US$74.21 -0.6% | 6.5% | US$84.00 | US$63.00 | n/a | 20 |
| Sep ’25 | US$72.29 | US$68.81 -4.8% | 5.1% | US$76.00 | US$62.00 | n/a | 20 |
| Aug ’25 | US$67.67 | US$68.01 +0.5% | 4.7% | US$74.00 | US$62.00 | n/a | 19 |
| Jul ’25 | US$63.30 | US$68.92 +8.9% | 5.0% | US$78.00 | US$63.00 | n/a | 19 |
| Jun ’25 | US$68.75 | US$71.78 +4.4% | 5.0% | US$78.00 | US$61.00 | n/a | 20 |
| May ’25 | US$69.99 | US$71.69 +2.4% | 5.8% | US$78.00 | US$61.00 | n/a | 21 |
| Apr ’25 | US$70.13 | US$71.59 +2.1% | 5.9% | US$78.00 | US$61.00 | n/a | 21 |
| Mar ’25 | US$63.94 | US$69.06 +8.0% | 7.6% | US$82.20 | US$58.00 | n/a | 20 |
| Feb ’25 | US$64.83 | US$68.63 +5.9% | 8.0% | US$82.20 | US$58.00 | n/a | 21 |
| Jan ’25 | US$65.14 | US$68.71 +5.5% | 8.2% | US$82.20 | US$58.00 | n/a | 20 |
| Dec ’24 | US$64.13 | US$70.96 +10.7% | 8.3% | US$82.20 | US$58.00 | n/a | 20 |
| Nov ’24 | US$65.10 | US$70.96 +9.0% | 8.3% | US$82.20 | US$58.00 | US$68.24 | 20 |
| Oct ’24 | US$63.99 | US$71.70 +12.0% | 9.1% | US$91.00 | US$58.00 | US$74.62 | 20 |
| Sep ’24 | US$66.25 | US$79.17 +19.5% | 7.7% | US$91.00 | US$69.00 | US$72.29 | 18 |
| Aug ’24 | US$74.34 | US$80.89 +8.8% | 7.7% | US$91.00 | US$69.00 | US$67.67 | 19 |
| Jul ’24 | US$76.70 | US$81.58 +6.4% | 7.8% | US$96.00 | US$69.00 | US$63.30 | 19 |
| Jun ’24 | US$83.89 | US$84.16 +0.3% | 9.2% | US$97.00 | US$67.00 | US$68.75 | 19 |
| May ’24 | US$89.37 | US$84.05 -5.9% | 9.3% | US$97.00 | US$67.00 | US$69.99 | 19 |
| Apr ’24 | US$85.46 | US$83.00 -2.9% | 9.0% | US$96.00 | US$67.00 | US$70.13 | 19 |
| Mar ’24 | US$78.85 | US$81.20 +3.0% | 9.4% | US$95.00 | US$65.00 | US$63.94 | 20 |
| Feb ’24 | US$77.99 | US$81.45 +4.4% | 8.9% | US$95.00 | US$65.00 | US$64.83 | 20 |
| Jan ’24 | US$83.85 | US$81.37 -3.0% | 8.9% | US$95.00 | US$65.00 | US$65.14 | 19 |
| Dec ’23 | US$85.42 | US$78.32 -8.3% | 8.8% | US$90.00 | US$63.00 | US$64.13 | 19 |
| Nov ’23 | US$80.29 | US$77.39 -3.6% | 8.3% | US$88.00 | US$63.00 | US$65.10 | 18 |
Analyst Forecast: Target price is less than 20% higher than the current share price.
Discover undervalued companies
Local Bounti
US$19.4m
Local Bounti Corporation grows and packs fresh greens in the United States.
LOCL
US$2.06
7D
-14.2%
1Y
-53.2%
Carlsberg
DKK 101.3b
Produces and sells beer and other beverage products in Denmark, China, the United Kingdom, and internationally.
CABG.Y
DKK 20.51
7D
-3.7%
1Y
-16.8%
Budweiser Brewing Company APAC
HK$99.6b
An investment holding company, produces, imports, markets, distributes, and sells beer and other non-beer beverages primarily in China, South Korea, India, Vietnam, and the other Asia Pacific regions.
BDWB.Y
HK$3.86
7D
-15.5%
1Y
-52.9%