Preview: Mondelez International's Earnings

Mondelez International MDLZ will release its quarterly earnings report on Tuesday, 2024-10-29. Here's a brief overview for investors ahead of the announcement.

Analysts anticipate Mondelez International to report an earnings per share (EPS) of $0.85.

The market awaits Mondelez International's announcement, with hopes high for news of surpassing estimates and providing upbeat guidance for the next quarter.

It's important for new investors to understand that guidance can be a significant driver of stock prices.

Earnings History Snapshot

In the previous earnings release, the company beat EPS by $0.07, leading to a 1.94% increase in the share price the following trading session.

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

Mondelez International Share Price Analysis

Shares of Mondelez International were trading at $69.23 as of October 25. Over the last 52-week period, shares are up 5.43%. Given that these returns are generally positive, long-term shareholders are likely bullish going into this earnings release.

Analyst Opinions on Mondelez International

For investors, staying informed about market sentiments and expectations in the industry is paramount. This analysis provides an exploration of the latest insights on Mondelez International.

The consensus rating for Mondelez International is Buy, derived from 10 analyst ratings. An average one-year price target of $79.4 implies a potential 14.69% upside.

Peer Ratings Overview

The analysis below examines the analyst ratings and average 1-year price targets of Kraft Heinz, General Mills and Hershey, three significant industry players, providing valuable insights into their relative performance expectations and market positioning.

• For Kraft Heinz, analysts project an Neutral trajectory, with an average 1-year price target of $37.0, indicating a potential 46.55% downside.
• The consensus outlook from analysts is an Neutral trajectory for General Mills, with an average 1-year price target of $75.55, indicating a potential 9.13% upside.
• The consensus outlook from analysts is an Neutral trajectory for Hershey, with an average 1-year price target of $187.33, indicating a potential 170.59% upside.

Insights: Peer Analysis

The peer analysis summary provides a snapshot of key metrics for Kraft Heinz, General Mills and Hershey, illuminating their respective standings within the industry. These metrics offer valuable insights into their market positions and comparative performance.

Key Takeaway:

Mondelez International ranks at the top for Gross Profit and Return on Equity among its peers. However, it ranks at the bottom for Revenue Growth.

Get to Know Mondelez International Better

Mondelez has operated as an independent organization since its split from the former Kraft Foods North American grocery business in October 2012. The firm is a leading player in the global snack enclave with a presence in the biscuit (49% of sales), chocolate (30%), gum/candy (12%), beverage (3%), and cheese and grocery (6%) aisles, as of the end of fiscal 2023. Mondelez's portfolio includes well-known brands like Oreo, Chips Ahoy, Halls, and Cadbury, among others. The firm derives around one third of revenue from developing markets, just more than one third from Europe, and the remainder from North America.

Understanding the Numbers: Mondelez International's Finances

Market Capitalization Analysis: The company's market capitalization surpasses industry averages, showcasing a dominant size relative to peers and suggesting a strong market position.

Negative Revenue Trend: Examining Mondelez International's financials over 3 months reveals challenges. As of 30 June, 2024, the company experienced a decline of approximately -1.93% in revenue growth, reflecting a decrease in top-line earnings. When compared to others in the Consumer Staples sector, the company faces challenges, achieving a growth rate lower than the average among peers.

Net Margin: Mondelez International's financial strength is reflected in its exceptional net margin, which exceeds industry averages. With a remarkable net margin of 7.2%, the company showcases strong profitability and effective cost management.

Return on Equity (ROE): Mondelez International's ROE is below industry standards, pointing towards difficulties in efficiently utilizing equity capital. With an ROE of 2.14%, the company may encounter challenges in delivering satisfactory returns for shareholders.

Return on Assets (ROA): Mondelez International's ROA lags behind industry averages, suggesting challenges in maximizing returns from its assets. With an ROA of 0.8%, the company may face hurdles in achieving optimal financial performance.

Debt Management: Mondelez International's debt-to-equity ratio is below the industry average at 0.73, reflecting a lower dependency on debt financing and a more conservative financial approach.

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

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