Kellogg
Kellogg Company, together with its subsidiaries, manufactures and markets ready-to-eat cereal and convenience foods. The last earnings update was 74 days ago. More info.
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K Share Price and Events
7 Day Returns
1 Year Returns
K Shareholder Return
| 7 Day | 30 Day | 90 Day | 1 Year | 3 Year | 5 Year | |
|---|---|---|---|---|---|---|
| Kellogg (K) | 0.7% | -2.5% | -4.9% | -21.8% | -36.5% | -16.7% |
| US Food | -0.8% | -0.3% | 2.5% | -0.3% | -16.7% | 21.6% |
| US Market | 1.1% | 4.3% | 2.9% | 4.7% | 37.7% | 43.6% |
1 Year Return vs Industry and Market
- K underperformed the Food industry which returned -0.3% over the past year.
- K underperformed the Market in United States of America which returned 4.7% over the past year.
Value
Is Kellogg undervalued based on future cash flows and its price relative to the stock market?
Value is all about what a company is worth versus what price it is
available for. If you went into a grocery store and all the bananas were on sale
at half price, they could be considered
undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current
share
price of
Kellogg
to its discounted cash flow analysis.value.The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Below are the data sources, inputs and calculation used to determine the intrinsic value for Kellogg.
| Data Point | Source | Value |
|---|---|---|
| Valuation Model | 2 Stage Free Cash Flow to Equity | |
| Levered Free Cash Flow | Average of 18 Analyst Estimates (S&P Global) | See below |
| Discount Rate (Cost of Equity) | See below | 7.9% |
| Perpetual Growth Rate | 10-Year US Government Bond Rate | 2.7% |
An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.
| Data Point | Calculation/ Source | Result |
|---|---|---|
| Risk-Free Rate | 10-Year US Govt Bond Rate | 2.7% |
| Equity Risk Premium | S&P Global | 6% |
| Food Unlevered Beta | Simply Wall St/ S&P Global | 0.56 |
| Re-levered Beta | = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 0.564 (1 + (1- 21%) (51.9%)) |
0.863 |
| Levered Beta | Levered Beta limited to 0.8 to 2.0 (practical range for a stable firm) |
0.86 |
| Discount Rate/ Cost of Equity |
= Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 2.73% + (0.863 * 5.96%) |
7.87% |
Discounted Cash Flow Calculation for NYSE:K using 2 Stage Free Cash Flow to Equity Model
The calculations below outline how an intrinsic value for Kellogg is arrived at by discounting future cash flows to their present value using the 2 stage method. We try to start with analysts estimates of free cash flow, however if these are not available we use the most recent financial results. In the 1st stage we continue to grow the free cash flow over a 10 year period, with the growth rate trending towards the perpetual growth rate used in the 2nd stage. The 2nd stage assumes the company grows at a stable rate into perpetuity.
| Levered FCF (USD, Millions) | Source |
Present Value Discounted (@ 7.87%) |
|
|---|---|---|---|
| 2020 | 1,147.75 | Analyst x4 | 1,063.96 |
| 2021 | 1,299.62 | Est @ 13.23% | 1,116.80 |
| 2022 | 1,430.64 | Est @ 10.08% | 1,139.65 |
| 2023 | 1,543.32 | Est @ 7.88% | 1,139.66 |
| 2024 | 1,641.05 | Est @ 6.33% | 1,123.36 |
| 2025 | 1,727.23 | Est @ 5.25% | 1,096.04 |
| 2026 | 1,804.87 | Est @ 4.5% | 1,061.70 |
| 2027 | 1,876.44 | Est @ 3.97% | 1,023.23 |
| 2028 | 1,943.89 | Est @ 3.59% | 982.63 |
| 2029 | 2,008.73 | Est @ 3.34% | 941.28 |
| Present value of next 10 years cash flows | $10,688.32 | ||
| Calculation | Result | |
|---|---|---|
| Terminal Value |
= FCF2029
× (1 + g) ÷ (Discount Rate – g)
= $2,008.73 × (1 + 2.73%) ÷ (7.87% – 2.73%) |
$40,109.35 |
| Present Value of Terminal Value |
= Terminal Value ÷ (1 + r)10
= $40,109.35 ÷ (1 + 7.87%)10 |
$18,795.04 |
| Calculation | Result | |
|---|---|---|
| Total Equity Value |
= Present value of next 10 years cash flows +
Terminal Value
= $10,688.32 + $18,795.04 |
$29,483.36 |
| Equity Value per Share (USD) |
= Total value / Shares Outstanding
= $29,483.36 / 340.50 |
$86.59 |
| Calculation | Result | |
|---|---|---|
| Value per share (USD) | From above. | $86.59 |
| Current discount | Discount to share price of
$55.22
= -1 x ($55.22 - $86.59) / $86.59 |
36.2% |
Learn more about our DCF calculations in Simply Wall St’s analysis model .
Current Discount
Current Discount Checks
- Kellogg's share price is below the future cash flow value, and at a moderate discount (> 20%).
- Kellogg's share price is below the future cash flow value, but not at a substantial discount (< 40%).
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for
it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing
when they are out of season, or how much your home is worth.The amount the stock market is willing to pay for Kellogg's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are
Kellogg's earnings available for a low price, and how does
this compare to other companies in the same industry?
| Data Point | Source | Value |
|---|---|---|
| Earnings Per Share * | Company Filings (2019-03-30) in USD | $3.39 |
| NYSE:K Share Price ** | NYSE (2019-07-16) in USD | $55.22 |
| United States of America Food Industry PE Ratio | Median Figure of 42 Publicly-Listed Food Companies | 25.55x |
| United States of America Market PE Ratio | Median Figure of 3,084 Publicly-Listed Companies | 17.98x |
* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.
** Primary Listing of Kellogg.
| Calculation | Outcome | |
|---|---|---|
| PE Ratio | = NYSE:K Share Price ÷ EPS (both in USD) = 55.22 ÷ 3.39 |
16.27x |
Learn more about our ratios and growth rates in Simply Wall St’s analysis model >
- Kellogg is good value based on earnings compared to the US Food industry average.
- Kellogg is good value based on earnings compared to the United States of America market.
Price based on expected Growth
Does
Kellogg's expected growth come at a high price?
| Data Point | Source | Value |
|---|---|---|
| PE Ratio | See PE Ratio Section | 16.27x |
| Net Income Annual Growth Rate | See Future Growth Section. Line of Best Fit* through Consensus Estimate Earnings of 18 Analysts |
8.4%per year |
| United States of America Food Industry PEG Ratio | Median Figure of 31 Publicly-Listed Food Companies | 1.58x |
| United States of America Market PEG Ratio | Median Figure of 2,125 Publicly-Listed Companies | 1.58x |
*Line of best fit is calculated by linear regression .
| Calculation | Outcome | |
|---|---|---|
| PEG Ratio | = PE Ratio ÷ Net Income Annual Growth Rate = 16.27x ÷ 8.4% |
1.93x |
Learn more about our ratios and growth rates in Simply Wall St’s analysis model >
- Kellogg is poor value based on expected growth next year.
Price based on value of assets
What value do investors place on
Kellogg's
assets?
| Data Point | Source | Value |
|---|---|---|
| Book Value per Share | Company Filings (2019-03-30) in USD | $7.45 |
| NYSE:K Share Price * | NYSE (2019-07-16) in USD | $55.22 |
| United States of America Food Industry PB Ratio | Median Figure of 68 Publicly-Listed Food Companies | 2.03x |
| United States of America Market PB Ratio | Median Figure of 5,240 Publicly-Listed Companies | 1.81x |
| Calculation | Outcome | |
|---|---|---|
| PB Ratio | = NYSE:K Share Price ÷ Book Value per Share (both in USD) = 55.22 ÷ 7.45 |
7.41x |
* Primary Listing of Kellogg.
Learn more about our ratios and growth rates in Simply Wall St’s analysis model >
- Kellogg is overvalued based on assets compared to the US Food industry average.
Value checks
We assess Kellogg's value by looking at:- Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
- Is the PE ratio less than the market average, and/ or less than the Food industry average (and greater than 0)? (2 checks)
- Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
- Is the PB ratio less than the Food industry average (and greater than 0)? (1 check) Kellogg has a total score of 3/6, see the detailed checks below.
Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.
Full details on the Value part of the Simply Wall St company analysis model.
Future Performance
How is Kellogg expected to perform in the next 1 to 3 years based on estimates from 18 analysts?
The future performance of a company is measured in the same way as past
performance, by looking at estimated
growth
and how much profit it is expected to make.Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Earnings growth vs Low Risk Savings
- Kellogg's earnings growth is expected to exceed the low risk savings rate of 2.7%.
Growth vs Market Checks
- Kellogg's earnings growth is positive but not above the United States of America market average.
- Kellogg's revenue growth is positive but not above the United States of America market average.
Annual Growth Rates Comparison
| Data Point | Source | Value (per year) |
|---|---|---|
| NYSE:K Future Earnings Growth Rate | Line of Best Fit* through Consensus Estimate Earnings of 18 Analysts | 8.4% |
| NYSE:K Future Revenue Growth Rate | Line of Best Fit* through Consensus Estimate Revenue of 18 Analysts | 0.4% |
| United States of America Food Industry Earnings Growth Rate | Market Cap Weighted Average | 20.3% |
| United States of America Food Industry Revenue Growth Rate | Market Cap Weighted Average | 3.2% |
| United States of America Market Earnings Growth Rate | Market Cap Weighted Average | 14.1% |
| United States of America Market Revenue Growth Rate | Market Cap Weighted Average | 7.5% |
*Line of best fit is calculated by linear regression .
Industry and Market average data is calculated daily.
Learn more about our growth rate calculations in Simply Wall St’s analysis model.
Analysts growth expectations
| Data Point | Source | Value |
|---|---|---|
| Past Financials | Company Filings (3 months ago) | See Below |
| Future Estimates | Average of up to 18 Analyst Estimates (S&P Global) | See Below |
| Date (Data in USD Millions) | Revenue | Cash Flow | Net Income * | Avg. No. Analysts |
|---|---|---|---|---|
| 2023-12-31 | 13,913 | 1 | ||
| 2022-12-31 | 13,776 | 1 | ||
| 2021-12-31 | 13,523 | 1,723 | 1,412 | 8 |
| 2020-12-31 | 13,288 | 1,594 | 1,369 | 18 |
| 2019-12-31 | 13,428 | 1,526 | 1,211 | 18 |
| Date (Data in USD Millions) | Revenue | Cash Flow | Net Income * |
|---|---|---|---|
| 2019-03-30 | 13,668 | 1,378 | 1,174 |
| 2018-12-29 | 13,547 | 1,536 | 1,336 |
| 2018-09-29 | 13,484 | 2,382 | 1,852 |
| 2018-06-30 | 13,261 | 2,001 | 1,760 |
| 2018-03-31 | 13,007 | 665 | 1,432 |
| 2017-12-30 | 12,854 | 403 | 1,254 |
| 2017-09-30 | 12,766 | 797 | 784 |
| 2017-07-01 | 12,774 | 1,072 | 788 |
| 2017-04-01 | 12,867 | 1,589 | 785 |
| 2016-12-31 | 12,965 | 1,271 | 699 |
| 2016-10-01 | 13,059 | 1,743 | 706 |
| 2016-07-02 | 13,134 | 1,758 | 619 |
| 2016-04-02 | 13,364 | 1,536 | 562 |
*GAAP earnings excluding extraordinary items.
Past and Future Earnings per Share
| Data Point | Source | Value |
|---|---|---|
| Past Financials | Company Filings (3 months ago) | See Below |
| Future Estimates | Average of up to 18 Analyst Estimates (S&P Global) | See Below |
All data from Kellogg Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.
| Date (Data in USD Millions) | EPS * | EPS High Estimate | EPS Low Estimate | Avg. No. Analysts |
|---|---|---|---|---|
| 2023-12-31 | ||||
| 2022-12-31 | ||||
| 2021-12-31 | 4.16 | 4.45 | 3.96 | 3.00 |
| 2020-12-31 | 4.02 | 4.25 | 3.63 | 7.00 |
| 2019-12-31 | 3.45 | 3.76 | 2.87 | 7.00 |
| Date (Data in USD Millions) | EPS * |
|---|---|
| 2019-03-30 | 3.39 |
| 2018-12-29 | 3.85 |
| 2018-09-29 | 5.34 |
| 2018-06-30 | 5.09 |
| 2018-03-31 | 4.13 |
| 2017-12-30 | 3.60 |
| 2017-09-30 | 2.25 |
| 2017-07-01 | 2.25 |
| 2017-04-01 | 2.24 |
| 2016-12-31 | 2.00 |
| 2016-10-01 | 2.01 |
| 2016-07-02 | 1.76 |
| 2016-04-02 | 1.59 |
*GAAP earnings excluding extraordinary items.
Future performance checks
We assess Kellogg's future performance by looking at:- Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
- Is the annual earnings growth rate expected to beat the average growth rate in earnings of the United States of America market? (1 check)
- Is the annual revenue growth rate expected to beat the average growth rate in revenue of the United States of America market? (1 check)
- Is the annual earnings growth rate expected to be above 20%? (1 check)
- Is the annual revenue growth rate expected to be above 20%? (1 check)
- Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Kellogg has a total score of 2/6, see the detailed checks below.
Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.
Full details on the Future part of the Simply Wall St company analysis model.
Past Performance
How has Kellogg performed over the past 5 years?
The past performance of a company can be measured by how much
growth
it has experienced and how much profit it makes relative to the funds and assets
it has available.
Past earnings growth
Past Earnings growth analysis
- Kellogg's year on year earnings growth rate has been positive over the past 5 years.
- Kellogg's 1-year earnings growth is negative, it can't be compared to the 5-year average.
- Kellogg's 1-year earnings growth is negative, it can't be compared to the US Food industry average.
Earnings and Revenue History
All data from Kellogg Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.
| Date (Data in USD Millions) | Revenue | Net Income * | G+A Expenses | R&D Expenses |
|---|---|---|---|---|
| 2019-03-30 | 13,668.00 | 1,174.00 | 2,898.00 | |
| 2018-12-29 | 13,547.00 | 1,336.00 | 2,936.00 | |
| 2018-09-29 | 13,484.00 | 1,852.00 | 2,725.00 | |
| 2018-06-30 | 13,261.00 | 1,760.00 | 2,715.00 | |
| 2018-03-31 | 13,007.00 | 1,432.00 | 2,997.00 | |
| 2017-12-30 | 12,854.00 | 1,254.00 | 3,017.00 | |
| 2017-09-30 | 12,766.00 | 784.00 | 3,082.00 | |
| 2017-07-01 | 12,774.00 | 788.00 | 3,154.00 | |
| 2017-04-01 | 12,867.00 | 785.00 | 3,174.00 | |
| 2016-12-31 | 12,965.00 | 699.00 | 3,202.00 | |
| 2016-10-01 | 13,059.00 | 706.00 | 3,334.00 | |
| 2016-07-02 | 13,134.00 | 619.00 | 3,378.00 | |
| 2016-04-02 | 13,364.00 | 562.00 | 3,391.00 | |
| 2016-01-02 | 13,525.00 | 614.00 | 3,443.00 | |
| 2015-10-03 | 13,897.00 | 362.00 | 3,718.00 | |
| 2015-07-04 | 14,207.00 | 381.00 | 3,747.00 | |
| 2015-04-04 | 14,394.00 | 453.00 | 3,842.00 | |
| 2015-01-03 | 14,580.00 | 632.00 | 3,875.00 | |
| 2014-09-27 | 14,567.00 | 1,743.00 | 3,096.00 | |
| 2014-06-28 | 14,644.00 | 1,845.00 | 3,128.00 | |
| 2014-03-29 | 14,673.00 | 1,902.00 | 3,138.00 | |
| 2013-12-28 | 14,792.00 | 1,807.00 | 3,166.00 | |
| 2013-09-28 | 14,854.00 | 957.00 | 3,804.00 | |
| 2013-06-29 | 14,858.00 | 949.00 | 3,828.00 | |
| 2013-03-30 | 14,618.00 | 921.00 | 3,845.00 | |
| 2012-12-29 | 14,197.00 | 961.00 | 3,786.00 | |
| 2012-09-29 | 13,649.00 | 860.00 | 3,775.00 |
*GAAP earnings excluding extraordinary items.
Performance last year
We want to ensure a company is making the most of what it has available. This is
done by comparing the return (profit) to a company's available
funds,
assets
and
capital.
- Whilst Kellogg has efficiently used shareholders’ funds last year (Return on Equity greater than 20%), this is metric is skewed due to its high level of debt.
- Kellogg used its assets more efficiently than the US Food industry average last year based on Return on Assets.
- Kellogg's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).
Past performance checks
We assess Kellogg's performance over the past 5 years by checking for:- Has earnings increased in past 5 years? (1 check)
- Has the earnings growth in the last year exceeded that of the Food industry? (1 check)
- Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
- Is the Return on Equity (ROE) higher than 20%? (1 check)
- Is the Return on Assets (ROA) above industry average? (1 check)
- Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
Kellogg has a total score of 2/6, see the detailed checks below.
Note: We use GAAP Net Income excluding extraordinary items in all our calculations.
Full details on the Past part of the Simply Wall St company analysis model.
Health
How is Kellogg's financial health and their level of debt?
A company's financial position is much like your own financial position,
it includes everything you own
(assets)
and owe
(liabilities).The boxes below represent the relative size of what makes up Kellogg's finances.
The net worth of a company is the difference between its assets and liabilities.
- Kellogg's short term (1 year) commitments are greater than its holdings of cash and other short term assets.
- Kellogg's long term commitments exceed its cash and other short term assets.
Balance sheet
Assets
Liabilities and shares
- High level of physical assets or inventory.
- Debt is not covered by short term assets, assets are 0.4x debt.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t
bad,
however if the debt is too high, or the company can’t afford to pay the interest
on its debts this may have impacts in the future.The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.
If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
All data from Kellogg Company Filings, last reported 3 months ago.
| Date (Data in USD Millions) | Total Equity | Total Debt | Cash & Short Term Investments |
|---|---|---|---|
| 2019-03-30 | 3,097.00 | 9,312.00 | 272.00 |
| 2018-12-29 | 3,159.00 | 8,893.00 | 321.00 |
| 2018-09-29 | 3,615.00 | 8,923.00 | 309.00 |
| 2018-06-30 | 3,404.00 | 9,068.00 | 257.00 |
| 2018-03-31 | 2,554.00 | 8,758.00 | 370.00 |
| 2017-12-30 | 2,194.00 | 8,615.00 | 281.00 |
| 2017-09-30 | 1,943.00 | 8,241.00 | 267.00 |
| 2017-07-01 | 1,850.00 | 8,304.00 | 334.00 |
| 2017-04-01 | 2,022.00 | 8,044.00 | 298.00 |
| 2016-12-31 | 1,926.00 | 7,767.00 | 280.00 |
| 2016-10-01 | 2,200.00 | 7,890.00 | 346.00 |
| 2016-07-02 | 2,000.00 | 8,201.00 | 531.00 |
| 2016-04-02 | 2,041.00 | 8,246.00 | 310.00 |
| 2016-01-02 | 2,138.00 | 7,745.00 | 251.00 |
| 2015-10-03 | 2,673.00 | 7,949.00 | 299.00 |
| 2015-07-04 | 2,674.00 | 7,507.00 | 294.00 |
| 2015-04-04 | 2,652.00 | 7,731.00 | 349.00 |
| 2015-01-03 | 2,851.00 | 7,370.00 | 443.00 |
| 2014-09-27 | 3,445.00 | 7,712.00 | 426.00 |
| 2014-06-28 | 3,813.00 | 7,527.00 | 290.00 |
| 2014-03-29 | 3,572.00 | 7,714.00 | 284.00 |
| 2013-12-28 | 3,607.00 | 7,358.00 | 273.00 |
| 2013-09-28 | 2,896.00 | 7,445.00 | 300.00 |
| 2013-06-29 | 2,619.00 | 7,825.00 | 262.00 |
| 2013-03-30 | 2,842.00 | 7,556.00 | 252.00 |
| 2012-12-29 | 2,465.00 | 7,902.00 | 281.00 |
| 2012-09-29 | 2,438.00 | 7,937.00 | 305.00 |
- Kellogg's level of debt (300.7%) compared to net worth is high (greater than 40%).
- The level of debt compared to net worth has increased over the past 5 years (215.5% vs 300.7% today).
- Debt is not well covered by operating cash flow (14.8%, less than 20% of total debt).
- Interest payments on debt are well covered by earnings (EBIT is 6.4x coverage).
Financial health checks
We assess Kellogg's financial health by checking for:- Are short term assets greater than short term liabilities? (1 check)
- Are short term assets greater than long term liabilities? (1 check)
- Has the debt to equity ratio increased in the past 5 years? (1 check)
- Is the debt to equity ratio over 40%? (1 check)
- Is the debt covered by operating cash flow? (1 check)
- Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check) Kellogg has a total score of 1/6, see the detailed checks below.
- Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
- Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
Full details on the Health part of the Simply Wall St company analysis model.
Dividends
What is Kellogg's current dividend yield, its reliability and sustainability?
Dividends are regular cash payments to you from the company, similar to a
bank paying you interest on a savings account.
Annual Dividend Income
If you bought
$2,000 of
Kellogg
shares you are expected to receive
$81
in your first year as a dividend.
Dividend Amount
- Kellogg's pays a higher dividend yield than the bottom 25% of dividend payers in United States of America (1.42%).
- Kellogg's dividend is above the markets top 25% of dividend payers in United States of America (3.73%).
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not
wildly increasing/decreasing each year. This graph shows you the historical rate
to count toward your assessment of the stock.We also check to see if the dividend has increased in the past 10 years.
| Data Point | Source | Value |
|---|---|---|
| Past Annualized Dividend Yield | S&P Global Market Data | See Below |
| Past Dividends per Share | Company Filings/ Annualized Dividend Payments | See Below |
| Future Dividends per Share Estimates | Average of up to 18 Analyst Estimates (S&P Global) | See Below |
| United States of America Food Industry Average Dividend Yield | Market Cap Weighted Average of 30 Stocks | 2.7% |
| United States of America Market Average Dividend Yield | Market Cap Weighted Average of 2017 Stocks | 2.4% |
| United States of America Minimum Threshold Dividend Yield | 10th Percentile | 0.8% |
| United States of America Bottom 25% Dividend Yield | 25th Percentile | 1.4% |
| United States of America Top 25% Dividend Yield | 75th Percentile | 3.7% |
Industry and Market average data is calculated daily.
Note all dividend per share amounts are annualized and not quarterly or other period.
| Date (Data in $) | Dividend per Share (annual) | Avg. No. Analysts |
|---|---|---|
| 2023-12-31 | ||
| 2022-12-31 | ||
| 2021-12-31 | 2.51 | 7.00 |
| 2020-12-31 | 2.40 | 13.00 |
| 2019-12-31 | 2.29 | 13.00 |
| Date (Data in $) | Dividend per share (annual) | Avg. Yield (%) |
|---|---|---|
| 2019-04-26 | 2.240 | 4.012 |
| 2019-02-22 | 2.240 | 3.977 |
| 2018-10-19 | 2.240 | 3.701 |
| 2018-07-27 | 2.240 | 3.133 |
| 2018-04-27 | 2.160 | 3.305 |
| 2018-02-16 | 2.160 | 3.310 |
| 2017-10-20 | 2.160 | 3.292 |
| 2017-07-28 | 2.160 | 3.276 |
| 2017-04-28 | 2.160 | 3.090 |
| 2017-02-17 | 2.080 | 2.838 |
| 2016-10-21 | 2.080 | 2.836 |
| 2016-07-29 | 2.080 | 2.619 |
| 2016-04-29 | 2.000 | 2.557 |
| 2016-02-19 | 2.000 | 2.638 |
| 2015-10-23 | 2.000 | 2.829 |
| 2015-07-24 | 2.000 | 2.953 |
| 2015-04-24 | 1.960 | 3.095 |
| 2015-02-20 | 1.960 | 3.055 |
| 2014-10-24 | 1.960 | 2.990 |
| 2014-07-25 | 1.960 | 3.121 |
| 2014-04-25 | 1.840 | 2.754 |
| 2014-02-24 | 1.840 | 2.922 |
| 2013-10-25 | 1.840 | 3.026 |
| 2013-07-26 | 1.840 | 2.978 |
| 2013-04-26 | 1.840 | 2.846 |
| 2013-02-22 | 1.760 | 2.789 |
| 2012-10-26 | 1.760 | 3.114 |
| 2012-07-20 | 1.760 | 3.473 |
| 2012-04-20 | 1.720 | 3.469 |
| 2012-02-17 | 1.720 | 3.254 |
| 2011-10-28 | 1.720 | 3.425 |
| 2011-07-22 | 1.720 | 3.200 |
| 2011-04-29 | 1.620 | 2.901 |
| 2011-02-18 | 1.620 | 2.981 |
| 2010-10-29 | 1.620 | 3.196 |
| 2010-07-23 | 1.620 | 3.218 |
| 2010-04-23 | 1.620 | 3.044 |
| 2010-02-19 | 1.500 | 2.822 |
| 2009-10-23 | 1.500 | 2.829 |
| 2009-07-24 | 1.500 | 3.119 |
| 2009-04-23 | 1.360 | 3.059 |
| 2009-02-20 | 1.360 | 3.570 |
| 2008-10-24 | 1.360 | 3.079 |
| 2008-07-25 | 1.360 | 2.521 |
Learn more about our ratios and growth rates in Simply Wall St’s analysis model >
- Dividends per share have been stable in the past 10 years.
- Dividends per share have increased over the past 10 years.
Current Payout to shareholders
What portion of
Kellogg's earnings are
paid
to the shareholders as a dividend.
- Dividends paid are covered by earnings (1.5x coverage).
- Dividends after 3 years are expected to be covered by earnings (1.7x coverage).
Income/ dividend checks
We assess Kellogg's dividend by checking for:- Firstly is the company paying a notable dividend (greater than 0.8%) - if not then the rest of the checks are ignored.
- Is current dividend yield above the bottom 25% of dividend payers? (1 check)
- Is current dividend yield above the top 25% of dividend payers? (1 check)
- Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
- If they have paid a dividend for 10 years has it increased in this time? (1 check)
- How sustainable is the dividend, can Kellogg afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks) Kellogg has a total score of 6/6, see the detailed checks below.
Full details on the Dividends part of the Simply Wall St company analysis model.
Management
CEO
| COMPENSATION | $9,989,992 |
| AGE | 54 |
| TENURE AS CEO | 1.8 years |
CEO Bio
Mr. Steven A. Cahillane, also known as Steve, has been the Chief Executive Officer, President and Director of Kellogg Company since October 2, 2017 and has been its Chairman since March 16, 2018. Mr. Cahillane possesses particular knowledge and experience in a variety of areas, including accounting and financial acumen, risk management, innovation and research and development, branded consumer products and consumer dynamics, regulatory and government that strengthens the Board's collective knowledge, capabilities. Mr. Cahillane served as the Chief Executive Officer and President of Alphabet Holding Company, Inc. since September 08, 2014. Mr. Cahillane served as the President of Coca-Cola Americas at The Coca-Cola Company from January 01, 2013 to February 28, 2014 and served as its Executive Vice President from February 21, 2013 to February 28, 2014. He served as the Chief Executive Officer and President at NBTY, Inc. since September 08, 2014. Mr. Cahillane served as the Chief Executive Officer and President of Coca-Cola Refreshments USA, Inc. from October 2010 to February 28, 2013. He has over 20 years of successful international beverage sales, marketing and distribution experience. He served as Executive Officer of Coca-Cola Refreshments USA & Bottling Soda Fountains and Supply Chain at The Coca-Cola Company since August 2010. He served as an Executive Officer of Coca-Cola Enterprises Inc. He served as the President of Coca-Cola Enterprises’ North America of The Coca-Cola Company from 2008 to August 2010 and was the President of CCE's Europe Group. He served as President of North American Group and Executive Vice President at Coca-Cola European Partners plc from 2008 to August 2010. He served as Executive Officer of Coca-Cola European Partners plc. He served as the President of North American Group of Coca-Cola Refreshments USA, Inc. since July 28, 2008. He began as a sales representative for E&J Gallo Winery, serving in several sales positions before becoming General Manager. In 1995, Steve founded State Street Brewing Company in Chicago. He served as Vice President and General Manager of Coors Distribution Company. He served as the President of AB InBev UK Limited. Mr. Cahillane served as President of various Coca-Cola operating groups from 2007 to 2012. He served as the President and Executive President - European Group of Coca-Cola Refreshments USA, Inc. from October 1, 2007 to July 28, 2008. He served as the Chief Executive Officer of Interbrew UK, a division of Inbev S.A., from August 2003 to August 2005. He served as the Chief Marketing Officer of Anheuser-Busch InBev SA/NV (formerly, InBev SA) from August 2005 to August 2007 and as its Chief Commercial Officer since August 1, 2005. He joined InBev in 1999 and led its global commercial strategy, marketing and sponsorships, innovation and research and insights. He served as Vice President of U.S. Sales of InBev until 2001. Mr. Cahillane served as the President and Chief Executive Officer of Labatt USA from August 2001 to September 2003 and holding the position of Business Unit President for Interbrew UK and Ireland of Interbrew S.A. He serves as a Director of The American Beverage Association. He serves as a Trustee at Children's Healthcare of Atlanta, Inc. He served as Director of NBTY, Inc. since September 8, 2014. He served as Director of Alphabet Holding Company, Inc. since September 8, 2014. Mr. Cahillane is also a member of the Board of Trustees of Northwestern University. He serves on the Board of the Purpose Built Communities Foundation. Mr. Cahillane holds a BA in political science from Northwestern University and an MBA from Harvard University.
CEO Compensation
- Insufficient data for Steve to compare compensation growth.
- Steve's remuneration is about average for companies of similar size in United States of America.
Management Team Tenure
Average tenure and age of the Kellogg management team in years:
- The tenure for the Kellogg management team is about average.
Management Team
Steve Cahillane
Chairman
$10M
54
1.8 yrs
Gary Pilnick
Vice Chairman of Corporate Development & Chief Legal Officer
$3M
55
3.5 yrs
Alistair Hirst
Senior Vice President of Global Supply Chain
$3M
60
7.3 yrs
Chris Hood
Senior VP & President of Kellogg North America
$4M
56
5.8 yrs
Amit Banati
Senior VP & CFO
50
Kurt Forche
VP, Corporate Controller & Principal Accounting Officer
49
0.9 yrs
Lesley Salmon
Senior VP & Chief Information Officer
0.4 yrs
John Renwick
Vice President of Investor Relations & Corporate Planning
3.2 yrs
Michael Hunter
Vice President of Global Sales
4.2 yrs
Melissa Howell
Senior Vice President of Global Human Services
52
3.1 yrs
Board of Directors Tenure
Average tenure and age of the Kellogg board of directors in years:
- The tenure for the Kellogg board of directors is about average.
Board of Directors
Steve Cahillane
Chairman
$10M
54
1.3 yrs
Don Knauss
Lead Independent Director
$305K
68
Mary Laschinger
Director
$280K
58
6.8 yrs
Stephanie Burns
Director
$280K
64
5.4 yrs
La Montgomery Tabron
Director
$260K
56
5.4 yrs
Jim Jenness
Non-Executive Director
$260K
73
19 yrs
Zack Gund
Director
$275K
48
4.6 yrs
Carolyn Tastad
Director
$260K
58
3.6 yrs
Rick Dreiling
Director
$260K
66
3.1 yrs
Carter Cast
Director
$372K
55
2.1 yrs
Who owns this company?
Recent Insider Transactions
| Announced | Type | Name | Entity | Role | Start | End | Shares | Max Price ($) | Value ($) | |
|---|---|---|---|---|---|---|---|---|---|---|
| 20. Nov 18 | Buy | Fareed Khan | Individual | 20. Nov 18 | 20. Nov 18 | 8,190 | $62.14 | $508,954 | ||
| 19. Nov 18 | Buy | Steven Cahillane | Individual | 19. Nov 18 | 19. Nov 18 | 17,825 | $61.63 | $1,098,626 | ||
Management checks
We assess Kellogg's management by checking for:- Is the CEO's compensation unreasonable compared to market cap? (1 check)
- Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
- Is the average tenure of the management team less than 2 years? (1 check)
- Is the average tenure of the board of directors team less than 3 years? (1 check) Kellogg has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.
Note: We use the top 6 management executives and board members in our calculations.
Note 2: Insider trading include any internal stakeholders and these transactions .
Full details on the Management part of the Simply Wall St company analysis model.
News
Simply Wall St News
Why We Like Kellogg Company’s (NYSE:K) 14% Return On Capital Employed
In particular, we'll consider its Return On Capital Employed (ROCE), as that can give us insight into how profitably the company is able to employ capital in its business. … Understanding Return On Capital Employed (ROCE). … How Do You Calculate Return On Capital Employed
Simply Wall St - – Full articleKellogg Company (NYSE:K): Poised For Long-Term Success?
The most recent earnings release Kellogg Company's (NYSE:K) announced in December 2018a … showed
Simply Wall St - – Full articleDoes Kellogg Company's (NYSE:K) P/E Ratio Signal A Buying Opportunity?
The goal of this article is to teach you how to use price to earnings ratios (P/E ratios). … Looking at earnings over the last twelve months, Kellogg has a P/E ratio of 15.16. … Price to Earnings Ratio = Price per Share ÷ Earnings per Share (EPS)
Simply Wall St - – Full articleWhat Should Investors Know About Kellogg Company's (NYSE:K) Growth?
In December 2018, Kellogg Company (NYSE:K) announced its earnings update. … as a 1.4% increase in profits is expected in the upcoming year, … the past 5-year average growth rate of 0.2%
Simply Wall St - – Full articleA Closer Look At Kellogg Company's (NYSE:K) Impressive ROE
While some investors are already well versed in financial metrics (hat tip), this article is for those who would like to learn about Return On Equity (ROE) and why it is important. … That means that for every $1 worth of shareholders' equity, it generated $0.43 in profit. … Return on Equity = Net Profit ÷ Shareholders' Equity
Simply Wall St - – Full articleInvestors Who Bought Kellogg (NYSE:K) Shares Three Years Ago Are Now Down 29%
We regret to report that long term Kellogg Company (NYSE:K) shareholders have had that experience, with the share price dropping 29% in three years, versus a market return of about 48%. … By comparing earnings per share (EPS) and share price changes over time, we can get a feel for how investor attitudes to a company have morphed over time. … During the unfortunate three years of share price decline, Kellogg actually saw its earnings per share (EPS) improve by 30% per year.
Simply Wall St - – Full articleWhat Kind Of Shareholder Owns Most Kellogg Company (NYSE:K) Stock?
Every investor in Kellogg Company (NYSE:K) should be aware of the most powerful shareholder groups. … Institutions will often hold stock in bigger companies, and we expect to see insiders owning a noticeable percentage of the smaller ones. … Taking a look at our data on the ownership groups (below), it's seems that.
Simply Wall St - – Full articleA Look At The Intrinsic Value Of Kellogg Company (NYSE:K)
by taking the expected future cash flows and discounting them to today's value. … Discounted Cash Flows (DCF) … If you want to learn more about discounted cash flow, the basis for my calcs can be read in detail in the Simply Wall St analysis model.
Simply Wall St - – Full articleKellogg Company (NYSE:K) Insiders Increased Their Holdings
So before you buy or sell Kellogg Company (NYSE:K), you may well want to know whether insiders have been buying or selling. … For example, a Columbia University study found that 'insiders are more likely to engage in open market purchases of their own company’s stock when the firm is about to reveal new agreements with customers and suppliers'. … Kellogg Insider Transactions Over The Last Year.
Simply Wall St - – Full articleWhat Can We Make Of Kellogg Company’s (NYSE:K) High Return On Capital?
In particular, we'll consider its Return On Capital Employed (ROCE), as that can give us insight into how profitably the company is able to employ capital in its business. … What is Return On Capital Employed (ROCE)? … ROCE is a metric for evaluating how much pre-tax income (in percentage terms) a company earns on the capital invested in its business.
Simply Wall St - – Full articleCompany Info
Description
Kellogg Company, together with its subsidiaries, manufactures and markets ready-to-eat cereal and convenience foods. The company operates through U.S. Snacks, U.S. Morning Foods, U.S. Specialty Channels, North America Other, Europe, Latin America, and Asia Pacific segments. Its principal products include crackers, cookies, crisps and other savory snacks, toaster pastries, cereal bars, granola bars and bites, fruit-flavored snacks, ready-to-eat cereals, frozen waffles, veggie foods, and noodles. The company offers its snacks and other convenience foods under the Kellogg’s, Keebler, Cheez-It, Pringles, Murray, Austin, Famous Amos, Parati, and RXBAR brand names; cereals and cereal bars under the Kellogg’s, Kashi, and Bear Naked brands; and frozen foods under the Eggo and Morningstar Farms brand names. It sells its products to retailers through direct sales forces, as well as brokers and distributors in approximately 180 countries. Kellogg Company was founded in 1906 and is headquartered in Battle Creek, Michigan.
Details
| Name: | Kellogg Company |
| K | |
| Exchange: | NYSE |
| Founded: | 1906 |
| $18,802,242,241 | |
| 340,496,962 | |
| Website: | http://www.kelloggcompany.com |
| Address: |
Kellogg Company One Kellogg Square, Battle Creek, Michigan, 49016, United States |
Listings
| Exchange Symbol | Ticker Symbol | Security | Exchange | Country | Currency | Listed on | |
|---|---|---|---|---|---|---|---|
| NYSE | K | Common Stock | New York Stock Exchange | US | USD | 02. Jan 1968 | |
| DB | KEL | Common Stock | Deutsche Boerse AG | DE | EUR | 02. Jan 1968 | |
| XTRA | KEL | Common Stock | XETRA Trading Platform | DE | EUR | 02. Jan 1968 | |
| LSE | 0R1R | Common Stock | London Stock Exchange | GB | USD | 02. Jan 1968 | |
| SWX | K | Common Stock | SIX Swiss Exchange | CH | CHF | 02. Jan 1968 | |
| WBAG | KELL | Common Stock | Wiener Boerse AG | AT | EUR | 02. Jan 1968 |
Number of employees
Current staff
Industry
| Packaged Foods and Meats | |
| Food, Beverage & Tobacco |
Company Analysis and Financial Data Status
| Area | Date (UTC time) |
|---|---|
| Company Analysis updated: | 2019/07/16 23:40 |
| End of day share price update: | 2019/07/16 00:00 |
| Last estimates confirmation: | 2019/07/15 |
| Last earnings filing: | 2019/05/03 |
| Last earnings reported: | 2019/03/30 |
| Last annual earnings reported: | 2018/12/29 |
All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.
