Mondelez International (NASDAQ:MDLZ) was downgraded by Zacks Investment Research from a “buy” rating to a “hold” rating in a note issued to investors on Tuesday.
According to Zacks, “Mondelez reported fourth-quarter 2017 results, with earnings beating the Zacks Consensus Estimate and revenues meeting the same. Adjusted earnings grew 21%, primarily driven by operating gains. Net revenues increased 2.9% year over year, courtesy of the Power Brands and favorable trends in emerging markets. Emerging markets’ net revenues rose 6.3%, while Power Brands witnessed a 3.7% rise. Regionally, Latin America, Asia, Middle East & Africa and Europe registered an increase of 4.2%, 2.6% and 5% in revenues, respectively. However, North America’s revenues declined 0.6%. Adjusted operating margin expanded 180 basis points year over year on lower overhead costs owing to continued cost reduction.”
Other equities research analysts have also recently issued research reports about the stock. TheStreet raised shares of Mondelez International from a “c+” rating to a “b” rating in a research note on Thursday, December 21st. Piper Jaffray Companies reissued a “buy” rating and issued a $52.00 price target on shares of Mondelez International in a research note on Thursday, February 1st. Barclays reissued a “buy” rating and issued a $50.00 price target on shares of Mondelez International in a research note on Friday, February 2nd. Susquehanna Bancshares set a $45.00 price target on shares of Mondelez International and gave the company a “hold” rating in a research note on Monday, October 30th. Finally, BidaskClub upgraded Mondelez International from a “strong sell” rating to a “sell” rating in a report on Monday, February 5th. One analyst has rated the stock with a sell rating, two have given a hold rating, thirteen have given a buy rating and one has issued a strong buy rating to the company. The company currently has an average rating of “Buy” and a consensus price target of $50.69.
Mondelez International (NASDAQ:MDLZ) last released its quarterly earnings results on Wednesday, January 31st. The company reported $0.57 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.56 by $0.01. Mondelez International had a net margin of 11.28% and a return on equity of 12.72%. The firm had revenue of $6.97 billion for the quarter, compared to analysts’ expectations of $6.98 billion. During the same quarter last year, the company earned $0.47 EPS. The firm’s revenue for the quarter was up 2.9% compared to the same quarter last year. equities analysts expect that Mondelez International will post 2.47 earnings per share for the current fiscal year.
Mondelez International declared that its board has approved a stock repurchase program on Wednesday, January 31st that authorizes the company to buyback $6.00 billion in outstanding shares. This buyback authorization authorizes the company to buy shares of its stock through open market purchases. Stock buyback programs are often an indication that the company’s leadership believes its shares are undervalued.
In related news, Director Charles E. Bunch purchased 2,000 shares of Mondelez International stock in a transaction dated Friday, February 16th. The shares were acquired at an average price of $43.90 per share, for a total transaction of $87,800.00. The purchase was disclosed in a legal filing with the SEC, which can be accessed through the SEC website. Also, EVP Hubert Weber sold 10,931 shares of Mondelez International stock in a transaction on Friday, February 23rd. The stock was sold at an average price of $43.79, for a total value of $478,668.49. Following the transaction, the executive vice president now owns 160,865 shares in the company, valued at approximately $7,044,278.35. The disclosure for this sale can be found here. 3.60% of the stock is owned by insiders.
Hedge funds and other institutional investors have recently bought and sold shares of the company. Sand Hill Global Advisors LLC purchased a new stake in Mondelez International in the 3rd quarter valued at about $4,113,000. Janus Henderson Group PLC raised its holdings in Mondelez International by 30.8% in the 2nd quarter. Janus Henderson Group PLC now owns 263,822 shares of the company’s stock valued at $11,395,000 after buying an additional 62,189 shares during the period. Keybank National Association OH raised its holdings in Mondelez International by 3.4% in the 3rd quarter. Keybank National Association OH now owns 1,040,550 shares of the company’s stock valued at $42,309,000 after buying an additional 34,038 shares during the period. Swiss National Bank raised its holdings in Mondelez International by 0.4% in the 3rd quarter. Swiss National Bank now owns 5,598,377 shares of the company’s stock valued at $227,630,000 after buying an additional 20,500 shares during the period. Finally, Lindsell Train Ltd raised its holdings in Mondelez International by 18.3% in the 3rd quarter. Lindsell Train Ltd now owns 19,950,710 shares of the company’s stock valued at $811,196,000 after buying an additional 3,086,000 shares during the period. Institutional investors and hedge funds own 76.47% of the company’s stock.
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Mondelez International Company Profile
Mondelez International, Inc is a snack company. The Company manufactures and markets snack food and beverage products for consumers. It operates through four segments: Latin America, Asia, Middle East, and Africa (AMEA), Europe and North America. As of December 31, 2016, its brands spanned five product categories: Biscuits (including cookies, crackers and salted snacks); Chocolate; Gum and candy; Beverages (including coffee and powdered beverages), and Cheese and grocery.
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