| Snowflake Score | |
|---|---|
| Valuation | 4/6 |
| Future Growth | 2/6 |
| Past Performance | 4/6 |
| Financial Health | 3/6 |
| Dividends | 6/6 |
K Overview
Kellogg Company, together with its subsidiaries, manufactures and markets ready-to-eat cereal and convenience foods.
Share Price & News
How has Kellogg's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: K is less volatile than 75% of US stocks over the past 3 months, typically moving +/- 2% a week.
Volatility Over Time: K's weekly volatility (2%) has been stable over the past year.
Market Performance
7 Day Return
1.3%
K
1.1%
US Food
-0.6%
US Market
1 Year Return
1.0%
K
11.2%
US Food
33.8%
US Market
Return vs Industry: K underperformed the US Food industry which returned 11.2% over the past year.
Return vs Market: K underperformed the US Market which returned 33.8% over the past year.
Shareholder returns
| K | Industry | Market | |
|---|---|---|---|
| 7 Day | 1.3% | 1.1% | -0.6% |
| 30 Day | -4.0% | -1.8% | 1.6% |
| 90 Day | -0.05% | -3.9% | 4.6% |
| 1 Year | 4.8%1.0% | 13.7%11.2% | 35.8%33.8% |
| 3 Year | -3.0%-13.1% | 23.0%13.3% | 60.0%50.1% |
| 5 Year | -2.8%-18.2% | 17.8%1.5% | 123.0%98.7% |
Long-Term Price Volatility Vs. Market
How volatile is Kellogg's share price compared to the market and industry in the last 5 years?
Simply Wall St News
1 week ago | Simply Wall St
The past five years for Kellogg (NYSE:K) investors has not been profitable3 weeks ago | Simply Wall St
Kellogg Company (NYSE:K) Goes Ex-Dividend Soon1 month ago | Simply Wall St
Are Investors Undervaluing Kellogg Company (NYSE:K) By 47%?Kellogg Fundamentals Summary
| K fundamental statistics | |
|---|---|
| Market Cap | US$21.67b |
| Earnings (TTM) | US$1.30b |
| Revenue (TTM) | US$14.03b |
16.7x
P/E Ratio1.5x
P/S RatioIs K overvalued?
See Fair Value and valuation analysisEarnings & Revenue
| K income statement (TTM) | |
|---|---|
| Revenue | US$14.03b |
| Cost of Revenue | US$9.25b |
| Gross Profit | US$4.79b |
| Expenses | US$3.49b |
| Earnings | US$1.30b |
Last Reported Earnings
Jul 03, 2021
Next Earnings Date
Nov 04, 2021
| Earnings per share (EPS) | 3.80 |
| Gross Margin | 34.11% |
| Net Profit Margin | 9.27% |
| Debt/Equity Ratio | 196.3% |
How did K perform over the long term?
See historical performance and comparisonDividends
3.7%
Current Dividend Yield60%
Payout RatioValuation
Is Kellogg undervalued compared to its fair value and its price relative to the market?
48.3%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: K ($63.56) is trading below our estimate of fair value ($122.87)
Significantly Below Fair Value: K is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: K is good value based on its PE Ratio (16.7x) compared to the US Food industry average (21.1x).
PE vs Market: K is good value based on its PE Ratio (16.7x) compared to the US market (17.8x).
Price to Earnings Growth Ratio
PEG Ratio: K is poor value based on its PEG Ratio (3.1x)
Price to Book Ratio
PB vs Industry: K is overvalued based on its PB Ratio (6.4x) compared to the US Food industry average (2.3x).
Future Growth
How is Kellogg forecast to perform in the next 1 to 3 years based on estimates from 17 analysts?
5.3%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: K's forecast earnings growth (5.3% per year) is above the savings rate (2%).
Earnings vs Market: K's earnings (5.3% per year) are forecast to grow slower than the US market (14.9% per year).
High Growth Earnings: K's earnings are forecast to grow, but not significantly.
Revenue vs Market: K's revenue (1.6% per year) is forecast to grow slower than the US market (9.8% per year).
High Growth Revenue: K's revenue (1.6% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: K's Return on Equity is forecast to be high in 3 years time (37.7%)
Past Performance
How has Kellogg performed over the past 5 years?
7.9%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: K has high quality earnings.
Growing Profit Margin: K's current net profit margins (9.3%) are higher than last year (8.1%).
Past Earnings Growth Analysis
Earnings Trend: K's earnings have grown by 7.9% per year over the past 5 years.
Accelerating Growth: K's earnings growth over the past year (18.6%) exceeds its 5-year average (7.9% per year).
Earnings vs Industry: K earnings growth over the past year (18.6%) underperformed the Food industry 31.7%.
Return on Equity
High ROE: Whilst K's Return on Equity (33.92%) is high, this metric is skewed due to their high level of debt.
Financial Health
How is Kellogg's financial position?
Financial Position Analysis
Short Term Liabilities: K's short term assets ($3.7B) do not cover its short term liabilities ($4.9B).
Long Term Liabilities: K's short term assets ($3.7B) do not cover its long term liabilities ($9.4B).
Debt to Equity History and Analysis
Debt Level: K's debt to equity ratio (196.3%) is considered high.
Reducing Debt: K's debt to equity ratio has reduced from 408.8% to 196.3% over the past 5 years.
Debt Coverage: K's debt is well covered by operating cash flow (22.3%).
Interest Coverage: K's interest payments on its debt are well covered by EBIT (7.9x coverage).
Balance Sheet
Dividend
What is Kellogg current dividend yield, its reliability and sustainability?
3.65%
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: K's dividend (3.65%) is higher than the bottom 25% of dividend payers in the US market (1.33%).
High Dividend: K's dividend (3.65%) is in the top 25% of dividend payers in the US market (3.6%)
Stability and Growth of Payments
Stable Dividend: K's dividends per share have been stable in the past 10 years.
Growing Dividend: K's dividend payments have increased over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: With its reasonable payout ratio (60.3%), K's dividend payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: K's dividends in 3 years are forecast to be covered by earnings (55.4% payout ratio).
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
5.1yrs
Average management tenure
CEO
Steve Cahillane (56 yo)
3.92yrs
Tenure
US$11,663,852
Compensation
Mr. Steven A. Cahillane, also known as Steve, has been the Chief Executive Officer, President and Director of Kellogg Company since October 2, 2017 and has been its Chairman since March 16, 2018. Mr. Cahil...
CEO Compensation Analysis
Compensation vs Market: Steve's total compensation ($USD11.66M) is about average for companies of similar size in the US market ($USD11.36M).
Compensation vs Earnings: Steve's compensation has increased by more than 20% in the past year.
Leadership Team
Experienced Management: K's management team is seasoned and experienced (5.1 years average tenure).
Board Members
Experienced Board: K's board of directors are considered experienced (5.3 years average tenure).
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
Ownership Breakdown
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Top Shareholders
Company Information
Kellogg Company's company bio, employee growth, exchange listings and data sources
Key Information
- Name: Kellogg Company
- Ticker: K
- Exchange: NYSE
- Founded: 1906
- Industry: Packaged Foods and Meats
- Sector: Food, Beverage & Tobacco
- Market Cap: US$21.666b
- Shares outstanding: 340.88m
- Website: https://www.kelloggcompany.com
Number of Employees
Location
- Kellogg Company
- One Kellogg Square
- Battle Creek
- Michigan
- 49016-3599
- United States
Listings
Biography
Kellogg Company, together with its subsidiaries, manufactures and markets ready-to-eat cereal and convenience foods. The company operates through four segments: North America, Europe, Latin America, and As...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2021/09/18 22:02 |
| End of Day Share Price | 2021/09/17 00:00 |
| Earnings | 2021/07/03 |
| Annual Earnings | 2021/01/02 |
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.