Insiders Are Selling Big on General Mills, Inc. (GIS)

With 1.11 sell/buy ratio, General Mills, Inc. (NYSE:GIS) experienced more insider selling than insider buying over the last three months. Could this be a sign for outside investors to start selling as well? GIS recorded 8 sales on the open market in the last three months. They sold nearly 9,025 shares while purchases amounted to 8,107 shares that period. Looking even further back to 12 months, corporate insiders offloaded 243,259 shares when buyers snapped up 203,715 shares. The 12-month’s totals signify about a 1.19-to-1 sell/buy ratio.

Sastre Maria gathered a total of 1 thousand shares of General Mills, Inc. (GIS) at average share price of $47.37. This insider trade in the company took place on 08/20/2018. The total for the purchase was set at $47.37 thousand. After this transaction, the Director account balance stood at 1 thousand shares. The stock lost -11.76 percent since that insider purchase. On 08/03/2018, Bruce Kofi A, Controller, sold 2.2 thousand shares at a price per share of $47.28. This removed 104.02 thousand shares from the insider’s fortune and the stock saw a -11.59 percent retreat in value since the news became public. This transaction left 19.81 thousand shares in the Controller account.

On 07/31/2018, Director Miller Heidi performed a sale transaction worth $604.35 thousand. This sale at $45.77 each has eliminated 13.2 thousand shares from the insider’s portfolio position. Meanwhile, shares have recorded -8.67 percent decrease since the transaction was reported. The insider now is left with 69.09 thousand shares remaining in the account. Williams-Roll Jacqueline, who performs the Chief Human Resources Officer job, sold 2.45 thousand shares for $105.91 thousand. The disposal occurred on 07/18/2018 was priced at $43.23 per share. The share price plunged -3.31 percent since the reporting date. Williams-Roll Jacqueline now left with a stake of 49.35 thousand GIS stock worth $2.06 million after the insider selling.

The 12-month median price target for General Mills, Inc. (GIS) assigned by the analysts stands at $43, which represents a return potential of 2.87 percent when compared to the closing price of the stock of $41.8 on Friday, January 11. The lowest price target for the stock is $37 — slightly more than -11.48 percent from GIS’s current share price. The stock will probably climb 6.2 percent over the next 12 months, according to price target estimates compiled by finviz. Meanwhile, they have set a $57-month high price target. This represents a whopping 36.36 percent increase from where shares are trading today.

On momentum oscillators front, ‘RSI’ has touched 59.85 on daily chart, which may remain a cause for concern. If the price breaks below $40.83 level on closing basis, then we may see more profit booking and the stock may show further weakness. On the flipside, hitting the $42.05 mark may result into a pull-back move towards $42.31 level. The stock is currently hovering around the first support level of $41.31. Below this, the next support is placed in the zone of $40.83. Till the time, the GIS stock trades above this level, bulls have nothing to fear.

Shares of General Mills, Inc. (GIS) are trading at a P/E ratio of 15.68 times earnings reported for the past 12 months. The industry GIS operates in has an average P/E of 20.85. Its P/E ratio went as low as 15.54X and as high as 28.45 over the 5-year span. Further, it is sporting a 1.54 on the Price-to-Sales ratio. Compare this with the industry average P/S of 1.78. 34 percent is the gross profit margin for General Mills, Inc. and operating margin sits at 14.1 percent. Along with this, the net profit margin is 12.5 percent.

On 11th of January, General Mills, Inc. (NYSE:GIS) shares ended higher after a volatile session. The shares accumulated 0.38 points or 0.92 percent at $41.8 with a heavy trade volume of 7.417 million shares. After opening the session at $41.45, the shares went as high as $41.82 and as low as $41.08, the range within which the stock’s price traded throughout the day. The firm is left with a market cap of $25.1 billion and now has 599.4 million shares outstanding. General Mills, Inc. (GIS) stock has gained 7.93 percent of market value in 21 trading days.

GIS stock has a trailing 3-year beta of 0.66, offering the possibility of a lower rate of return, but also posing less risk. The portion of a company’s profit allocated to each outstanding share of common stock was $2.53 a share in the trailing twelve months. The stock’s value has surged 7.34 percent year to date (YTD) against a decline of -28.71 percent in 12 month’s time. The company’s shares still trade -31.13 percent away from its 1-year high of $60.69 and 14.77 percent up from 52-week low of $36.42. The average consensus rating on the company is 0, on a scale where 5 equates to a unanimous sell rating. In short, the mean analyst recommendations are calling this stock a buy.