JM Smucker Valuation
| SJM Stock | USD 111.10 1.30 1.18% |
At this time, the firm appears to be undervalued. JM Smucker owns a latest Real Value of $118.0 per share. The recent price of the firm is $111.1. Our model calculates the value of JM Smucker from inspecting the firm fundamentals such as Shares Owned By Insiders of 3.40 %, return on asset of 0.0483, and Operating Margin of 0.18 % as well as reviewing its technical indicators and probability of bankruptcy. In general, most investors encourage obtaining undervalued equities and abandoning overvalued equities since, sooner or later, asset prices and their ongoing real values will blend. Key fundamental drivers impacting JM Smucker's valuation include:
Price Book 1.5394 | Enterprise Value 20.4 B | Enterprise Value Ebitda 33.6084 | Price Sales 1.4179 | Forward PE 10.6952 |
Undervalued
Today
Please note that JM Smucker's price fluctuation is very steady at this time. Calculation of the real value of JM Smucker is based on 3 months time horizon. Increasing JM Smucker's time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
Our valuation method for JM Smucker is useful when determining the fair value of the SJM stock, which is usually determined by what a typical buyer is willing to pay for full or partial control of JM Smucker. Since JM Smucker is currently traded on the exchange, buyers and sellers on that exchange determine the market value of SJM Stock. However, JM Smucker's intrinsic value may or may not be the same as its current market price, in which case there is an opportunity to profit from the mispricing, assuming the market price will eventually merge with its intrinsic value. | Historical | Market 111.1 | Real 118.0 | Target 136.82 | Hype 109.81 |
The real value of SJM Stock, also known as its intrinsic value, is the underlying worth of JM Smucker Company, which is reflected in its stock price. It is based on JM Smucker's financial performance, assets, liabilities, growth prospects, management team, or industry conditions. The intrinsic value of JM Smucker's stock can be calculated using various methods such as discounted cash flow analysis, price-to-earnings ratio, or price-to-book ratio. That value may differ from its current market price, which is determined by supply and demand factors such as investor sentiment, market trends, news, and other external factors that may influence JM Smucker's stock price. It is important to note that the real value of any stock may change over time based on changes in the company's performance.
Estimating the potential upside or downside of JM Smucker helps investors to forecast how SJM stock's addition to their portfolios will impact the overall performance. We also use other valuation drivers to help us estimate the true value of JM Smucker more accurately as focusing exclusively on JM Smucker's fundamentals will not take into account other important factors: Traditionally analysts and sophisticated investors use multiple methods for valuing a cash-flow-generating entity or its stock. For example, some money managers use JM Smucker's intrinsic value based on its ongoing forecasts of JM Smucker's financial statements. In contrast, other private, professional wealth advisors use a multiplier approach by looking to relative value analysis against JM Smucker's closest peers. When choosing an evaluation method for JM Smucker, ensure it is appropriate for the firm given its current financial situation and market classification. If more than one evaluation category is relevant, we suggest using both methods to arrive at a better estimate.
JM Smucker Investments |
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SJM Valuation Trend
Knowing JM Smucker's actual value is paramount for traders to make sound investment determinations. JM Smucker's real value is not only important for the investor to make better decisions but also for a more accurate overall view of JM Smucker's financial worth over time since having this information enables investors and analysts to forecast the earnings more efficiently. Using both JM Smucker's enterprise value as well as its market capitalization is the best way to gauging the value of the company and is usually enough for investors to make market timing descisions.
SJM Market Cap
JM Smucker is currently regarded as top stock in market capitalization category among related companies. Market capitalization of Consumer Staples industry is at this time estimated at about 20.13 Billion. JM Smucker totals roughly 11.68 Billion in market capitalization claiming about 58% of stocks in Consumer Staples industry.JM Smucker Valuation Ratios as Compared to Competition
Comparative valuation techniques use various fundamental indicators to help in determining JM Smucker's current stock value. Our valuation model uses many indicators to compare JM Smucker value to that of its competitors to determine the firm's financial worth. You can analyze the relationship between different fundamental ratios across JM Smucker competition to find correlations between indicators driving JM Smucker's intrinsic value. More Info.JM Smucker is currently regarded as top stock in price to earning category among related companies. It is rated fifth in price to book category among related companies fabricating about 0.05 of Price To Book per Price To Earning. The ratio of Price To Earning to Price To Book for JM Smucker is roughly 18.44 . As of the 18th of April 2024, Price To Book Ratio is likely to drop to 2.51. Comparative valuation analysis is a catch-all model that can be used if you cannot value JM Smucker by discounting back its dividends or cash flows. This model doesn't attempt to find an intrinsic value for JM Smucker's Stock. Still, instead, it compares the stock's price multiples to a benchmark or nearest competition to determine if the stock is relatively undervalued or overvalued. The reason why the comparable model can be used in almost all circumstances is due to the vast number of multiples that can be utilized, such as the price-to-earnings (P/E), price-to-book (P/B), price-to-sales (P/S), price-to-cash flow (P/CF), and many others. The P/E ratio is the most commonly used of these ratios because it focuses on the JM Smucker's earnings, one of the primary drivers of an investment's value.Please note that valuation analysis is one of the essential comprehensive assessments in business. It evaluates JM Smucker's worth, which you can determine by considering its current assets, liabilities and future cash flows. The investors' valuation analysis is an important metric that will give you a perspective on different companies. It helps you know the worth of the potential investment in JM Smucker and how it compares across the competition.
About JM Smucker Valuation
The stock valuation mechanism determines the current worth of JM Smucker on a weekly basis. We use both absolute as well as relative valuation methodologies to arrive at the intrinsic value of JM Smucker. In general, an absolute valuation paradigm, as applied to this company, attempts to find the value of JM Smucker based exclusively on its fundamental and basic technical indicators. By analyzing JM Smucker's financials, quarterly and monthly indicators, and its related drivers such as dividends, operating cash flow, and various types of growth rates, we attempt to find the most accurate representation of JM Smucker's intrinsic value. In some cases, mostly for established, large-cap companies, we also incorporate more traditional valuation methods such as dividend discount, discounted cash flow, or asset-based models. As compared to an absolute model, our relative valuation model uses a comparative analysis of JM Smucker. We calculate exposure to JM Smucker's market risk, different technical and fundamental indicators, relevant financial multiples and ratios, and then comparing them to JM Smucker's related companies.| Last Reported | Projected for Next Year | ||
| Gross Profit | 3.2 B | 3.4 B | |
| Pretax Profit Margin | (0) | (0) | |
| Operating Profit Margin | 0.12 | 0.1 | |
| Net Loss | (0.01) | (0.01) | |
| Gross Profit Margin | 0.38 | 0.40 |
JM Smucker Quarterly Retained Earnings |
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8 Steps to conduct JM Smucker's Valuation Analysis
Company's valuation is the process of determining the worth of any company in monetary terms. It estimates JM Smucker's potential worth based on factors such as financial performance, market conditions, growth prospects, and overall economic environment. The result of company valuation is a single number representing a Company's current market value. This value can be used as a benchmark for various financial transactions such as mergers and acquisitions, initial public offerings (IPOs), or private equity investments. To conduct JM Smucker's valuation analysis, follow these 8 steps:- Gather financial information: Obtain JM Smucker's financial statements, including balance sheets, income statements, and cash flow statements.
- Determine JM Smucker's revenue streams: Identify JM Smucker's primary sources of revenue, including products or services offered, target markets, and pricing strategies.
- Analyze market data: Research JM Smucker's industry and market trends, including the size of the market, growth rate, and competition.
- Establish JM Smucker's growth potential: Evaluate JM Smucker's management, business model, and growth potential.
- Determine JM Smucker's financial performance: Analyze its financial statements to assess its historical performance and future potential.
- Choose a valuation method: Consider the Company's specific circumstances and choose an appropriate valuation method, such as the discounted cash flow (DCF) or comparable analysis method.
- Calculate the value: Apply the chosen valuation method to the financial information and market data to calculate JM Smucker's estimated value.
- Review and adjust: Review the results and make necessary adjustments, considering any relevant factors that may have been missed or overlooked.
A single share of JM Smucker represents a small ownership stake in the entity. As a stockholder of SJM, your percentage of company ownership is determined by dividing the number of shares you own by the total number of shares outstanding and then multiplying that amount by 100. Owning stock in a company generally confers both corporate voting rights and income from any dividends paid to the stock owner.
JM Smucker Dividends Analysis For Valuation
At this time, JM Smucker's Dividends Paid is very stable compared to the past year. As of the 18th of April 2024, Dividend Yield is likely to grow to 0.03, though Dividend Payout Ratio is likely to grow to (5.15). . As of the 18th of April 2024, Retained Earnings is likely to grow to about 2.6 B, while Retained Earnings Total Equity is likely to drop about 1.9 B.
| Last Reported | Projected for Next Year | ||
| Dividends Paid | 494.7 M | 519.5 M | |
| Dividend Yield | 0.03 | 0.03 | |
| Dividend Payout Ratio | (5.42) | (5.15) | |
| Dividend Paid And Capex Coverage Ratio | (26.21) | (24.90) |
There are various types of dividends JM Smucker can pay to its shareholders, and the actual value of the dividend is determined on a per-share basis. It is to be paid equally to all of SJM shareholders on a specific date, known as the payable date. The cash dividend is the most common type of dividend payment - it is the payment of actual cash from JM Smucker directly to its shareholders. There are other types of dividends that companies can issue, such as stock dividends or asset dividends. When SJM pays a dividend, it has no impact on its enterprise value. It does, however, lowers the Equity Value of JM Smucker by the value of the dividends paid out.
JM Smucker Growth Indicators
Growth stocks usually refer to those companies expected to grow sales and earnings faster than the market average. Growth stocks typically don't pay dividends, often look expensive, and usually trading at a high P/E ratio. Nevertheless, such valuations could be relatively cheap if the company continues to grow, which will drive the share price up. However, since most investors are paying a high price for a growth stock, based on expectations, if those expectations are not fully realized, growth stocks can see dramatic declines. Note, investing in growth stocks can be very risky. If the company such as JM Smucker does not do well, investors take a loss on the stock when it is time to sell. Also, because growth stocks typically do not pay dividends, the only opportunity an investor has to make money on their investment is when they eventually sell their shares.
| Common Stock Shares Outstanding | 106.2 M | |
| Quarterly Earnings Growth Y O Y | -0.42 | |
| Forward Price Earnings | 10.6952 |
JM Smucker Current Valuation Indicators
Valuation refers to the process of determining the present value of JM Smucker and all of its assets. It can be calculated using a number of techniques. As many analysts who try to value SJM we look at many different elements of the entity such as SJM's management, its prospective future earnings, the current market value of the company's assets, as well as its capital structure formation. JM Smucker's valuation analysis is also a process of estimating the intrinsic value of all assets and outstanding equities. There are different methodologies and models we use to develop the final JM Smucker's valuation. The techniques such as discounted cash flow and fundamental indicators such as book value per share or market capitalization are well known and widely used across most financial advisers and money managers.
Valuations are an essential part of business, for companies themselves, but also for investors. For companies, such as JM Smucker, valuations can help measure their progress and success and can help them track their performance in the market compared to others. In addition, investors can use JM Smucker's valuations to help determine the worth of potential investments. They can do this by using data and information made public by a company. Regardless of who the valuation is for, it essentially describes JM Smucker's worth.When determining whether JM Smucker is a strong investment it is important to analyze JM Smucker's competitive position within its industry, examining market share, product or service uniqueness, and competitive advantages. Beyond financials and market position, potential investors should also consider broader economic conditions, industry trends, and any regulatory or geopolitical factors that may impact JM Smucker's future performance. For an informed investment choice regarding SJM Stock, refer to the following important reports: Check out World Market Map to better understand how to build diversified portfolios, which includes a position in JM Smucker. Also, note that the market value of any company could be tightly coupled with the direction of predictive economic indicators such as signals in inflation. To learn how to invest in SJM Stock, please use our How to Invest in JM Smucker guide.You can also try the Portfolio Analyzer module to portfolio analysis module that provides access to portfolio diagnostics and optimization engine.
Complementary Tools for SJM Stock analysis
When running JM Smucker's price analysis, check to measure JM Smucker's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy JM Smucker is operating at the current time. Most of JM Smucker's value examination focuses on studying past and present price action to predict the probability of JM Smucker's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move JM Smucker's price. Additionally, you may evaluate how the addition of JM Smucker to your portfolios can decrease your overall portfolio volatility.
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Is JM Smucker's industry expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of JM Smucker. If investors know SJM will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about JM Smucker listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth (0.42) | Dividend Share 4.2 | Earnings Share (0.82) | Revenue Per Share 78.902 | Quarterly Revenue Growth 0.006 |
The market value of JM Smucker is measured differently than its book value, which is the value of SJM that is recorded on the company's balance sheet. Investors also form their own opinion of JM Smucker's value that differs from its market value or its book value, called intrinsic value, which is JM Smucker's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because JM Smucker's market value can be influenced by many factors that don't directly affect JM Smucker's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between JM Smucker's value and its price as these two are different measures arrived at by different means. Investors typically determine if JM Smucker is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, JM Smucker's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.