From The Motley Fool · Reuben Gregg Brewer · · 1m 10s
General Mills Stock Drops 30% as Analysts Cut Targets
Wall Street analysts keep cutting General Mills price targets despite the food giant's dividend history.
In brief
Wall Street analysts keep cutting General Mills price targets despite the food giant's dividend history. General Mills stock fell 30% over the past year as Wall Street analysts cut price targets, but its long history of dividend stability suggests it may recover. Originally reported by The Motley Fool.
General Mills Stock Down 30%
Shares of General Mills are down around 30% over the past year, worse than the average consumer staples stock which is up nearly 10%.
Wall Street Analysts Cut Targets
Only three analysts rate General Mills a buy despite no rating cuts after fiscal first-quarter 2027 earnings.
Consumer Staples Challenges
General Mills faces changing consumer habits, inflation, and rising costs as it struggles with sales falling 3% in fiscal 2027.
Dividend Stability
General Mills has held its dividend steady during past downturns, with a 7.10% yield and a payout ratio of 80%.
Fiscal 2026 Transition
General Mills cut prices in fiscal 2026 to align with consumer spending levels, resulting in a weak financial year.
Long-Term Dividend Focus
The company plans to reduce leverage and modernize brands while maintaining its dividend commitment.
The essence
General Mills stock fell 30% over the past year as Wall Street analysts cut price targets, but its long history of dividend stability suggests it may recover.
