Morgan Stanley lowers JM Smucker price target, citing concerns over profitability

From Yahoo Finance: 2025-06-29 03:03:00

The J.M. Smucker Company (NYSE:SJM) is a top consumer defensive stock to consider. Morgan Stanley lowered the price target to $115 from $124 post-earnings, citing concerns over profitability in key segments. Factors contributing to a projected decline in FY26 earnings include challenges in the coffee division, tariffs, marketing expenses, and underperformance from the Hostess acquisition.

Despite challenges, Morgan Stanley maintains an Overweight rating on SJM due to its cost discipline, category resilience, and brand equity. The path forward requires improved execution, particularly in coffee and snacking, for a clearer rebound in earnings momentum. Consider other AI stocks for higher returns and limited downside risk.

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Read more: Morgan Stanley Trims JM Smucker (SJM) Price Target, Maintains Overweight Rating