General Mills got a rating downgrade from Goldman Sachs analysts, leading to its shares slumping on Wednesday.
Analyst Jason English lowered his rating on the company's stock to sell from neutral. He also reduced his 12-month price target to $41 from $40.
While the consumer food company’s shares have had an almost +24% rally year-to-date, English seems to think that a slowdown in performance is inevitable.
English’s projections on General Mills’ revenue for each quarter through 2021 are lower than the Wall Street consensus. Although he believes that the company’s earnings could beat consensus estimates by two cents a share when it reports its results next month, he also seems to think that earnings will most likely fall short of consensus expectations going forward.
The company has had its share of challenges in recent times. In January, it voluntarily recalled certain bags of its Gold Medal branded unbleached flour over salmonella concerns.
However, there could be some potential tailwinds (atleast for the near-term). On Wednesday, General Mills released its preliminary fiscal-fourth quarter results for its pet food unit, where net sales climbed +38%.
General Mills shares ended -5.5% down on Wednesday, following Goldman Sachs analysts’ bleak outlook for the company’s future prospects.
Sergey Savastiouk, Ph.D. has a degree in Applied Mathematics from Moscow University and has extensive experience as an entrepreneur, investor, manager, and mathematician. His professional expertise is in applied mathematics, mathematical modeling, system and pattern analysis, and software and hardware system integration. He has served as the CEO of several hi-tech start-up companies and nonprofit organizations, which has given him proven capabilities in business strategy for high-tech start-up companies, market assessment, company formation, team building, product development, marketing, and sales. He has published numerous articles in journals and magazines on related fields. As a retail investor, he spent 15 years developing his proprietary trading and quantitative algorithms (now Tickeron’s A.I.), which brought him significant returns in trading the stock market. His current work and goal in founding Tickeron is to bring professional, sophisticated stock market analysis capabilities to retail investors via an easy-to-use interface.
The Aroon Indicator for GIS entered a downward trend on October 09, 2026. Tickeron's A.I.dvisor identified a pattern where the AroonDown red line was above 70 while the AroonUp green line was below 30 for three straight days. This could indicate a strong downward move is ahead for the stock. Traders may want to consider selling the stock or buying put options. A.I.dvisor looked at 269 similar instances where the Aroon Indicator formed such a pattern. In 166 of the 269 cases the stock moved lower. This puts the odds of a downward move at 62%.
The Momentum Indicator moved below the 0 level on September 03, 2026. You may want to consider selling the stock, shorting the stock, or exploring put options on GIS as a result. In 50 of 88 cases where the Momentum Indicator fell below 0, the stock fell further within the subsequent month. The odds of a continued downward trend are 57%.
The Moving Average Convergence Divergence Histogram (MACD) for GIS turned negative on September 03, 2026. This could be a sign that the stock is set to turn lower in the coming weeks. Traders may want to sell the stock or buy put options. Tickeron's A.I.dvisor looked at 49 similar instances when the indicator turned negative. In 29 of the 49 cases the stock turned lower in the days that followed. This puts the odds of success at 59%.
GIS moved below its 50-day moving average on September 08, 2026 date and that indicates a change from an upward trend to a downward trend.
The 10-day moving average for GIS crossed bearishly below the 50-day moving average on September 16, 2026. This indicates that the trend has shifted lower and could be considered a sell signal. In 6 of 15 past instances when the 10-day crossed below the 50-day, the stock continued to move higher over the following month. The odds of a continued downward trend are 40%.
Following a 3-day decline, the stock is projected to fall further. Considering past instances where GIS declined for three days, the price rose further in 50 of 62 cases within the following month. The odds of a continued downward trend are 59%.
The RSI Indicator points to a transition from a downward trend to an upward trend -- in cases where GIS's RSI Indicator exited the oversold zone, 13 of 25 resulted in an increase in price. Tickeron's analysis proposes that the odds of a continued upward trend are 52%.
The Stochastic Oscillator shows that the ticker has stayed in the oversold zone for 22 days. The price of this ticker is presumed to bounce back soon, since the longer the ticker stays in the oversold zone, the more promptly an upward trend is expected.
Following a +1.16% 3-day Advance, the price is estimated to grow further. Considering data from situations where GIS advanced for three days, in 163 of 310 cases, the price rose further within the following month. The odds of a continued upward trend are 53%.
GIS may jump back above the lower band and head toward the middle band. Traders may consider buying the stock or exploring call options.
The Tickeron Valuation Rating of 9 (best 1 - 100 worst) indicates that the company is seriously undervalued in the industry. This rating compares market capitalization estimated by our proprietary formula with the current market capitalization. This rating is based on the following metrics, as compared to industry averages: P/B Ratio (2.411) is normal, around the industry mean (5.422). P/E Ratio (9.235) is within average values for comparable stocks, (32.504). Projected Growth (PEG Ratio) (11.737) is also within normal values, averaging (8.458). GIS has a moderately high Dividend Yield (0.073) as compared to the industry average of (0.025). P/S Ratio (1.074) is also within normal values, averaging (4.925).
The Tickeron Price Growth Rating for this company is 63 (best 1 - 100 worst), indicating steady price growth. GIS’s price grows at a higher rate over the last 12 months as compared to S&P 500 index constituents.
The Tickeron PE Growth Rating for this company is 75 (best 1 - 100 worst), pointing to worse than average earnings growth. The PE Growth rating is based on a comparative analysis of stock PE ratio increase over the last 12 months compared against S&P 500 index constituents.
The Tickeron SMR rating for this company is 94 (best 1 - 100 worst), indicating weak sales and an unprofitable business model. SMR (Sales, Margin, Return on Equity) rating is based on comparative analysis of weighted Sales, Income Margin and Return on Equity values compared against S&P 500 index constituents. The weighted SMR value is a proprietary formula developed by Tickeron and represents an overall profitability measure for a stock.
The Tickeron Profit vs. Risk Rating rating for this company is 100 (best 1 - 100 worst), indicating that the returns do not compensate for the risks. GIS’s unstable profits reported over time resulted in significant Drawdowns within these last five years. A stable profit reduces stock drawdown and volatility. The average Profit vs. Risk Rating rating for the industry is 93, placing this stock worse than average.
The average fundamental analysis ratings, where 1 is best and 100 is worst, are as follows
a manufacturer of consumer food products
Industry FoodMajorDiversified