GENERAL MILLS INC (GIS) Stock Fundamental Analysis
NYSE:GIS - US3703341046 - Common Stock
49.69 USD
-0.06 (-0.12%)
Taking everything into account, GIS scores 4 out of 10 in our fundamental rating. GIS was compared to 89 industry peers in the Food Products industry. GIS scores excellent on profitability, but there are concerns on its financial health. GIS is valued correctly, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
In the past year GIS was profitable.
GIS had a positive operating cash flow in the past year.
Each year in the past 5 years GIS has been profitable.
Each year in the past 5 years GIS had a positive operating cash flow.
1.2 Ratios
Looking at the Return On Assets, with a value of 6.94%, GIS belongs to the top of the industry, outperforming 82.02% of the companies in the same industry.
The Return On Equity of GIS (24.95%) is better than 94.38% of its industry peers.
GIS's Return On Invested Capital of 10.39% is amongst the best of the industry. GIS outperforms 83.15% of its industry peers.
GIS had an Average Return On Invested Capital over the past 3 years of 10.86%. This is significantly below the industry average of 28.32%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.94% | ||
| ROE | 24.95% | ||
| ROIC | 10.39% |
ROA(3y)7.71%
ROA(5y)7.84%
ROE(3y)25.45%
ROE(5y)25.35%
ROIC(3y)10.86%
ROIC(5y)11.02%
1.3 Margins
Looking at the Profit Margin, with a value of 11.78%, GIS belongs to the top of the industry, outperforming 92.13% of the companies in the same industry.
GIS's Profit Margin has been stable in the last couple of years.
With an excellent Operating Margin value of 17.24%, GIS belongs to the best of the industry, outperforming 93.26% of the companies in the same industry.
GIS's Operating Margin has been stable in the last couple of years.
GIS has a better Gross Margin (34.60%) than 78.65% of its industry peers.
In the last couple of years the Gross Margin of GIS has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 17.24% | ||
| PM (TTM) | 11.78% | ||
| GM | 34.6% |
OM growth 3Y-0.78%
OM growth 5Y0.01%
PM growth 3Y-6.16%
PM growth 5Y-0.98%
GM growth 3Y0.86%
GM growth 5Y-0.37%
2. Health
2.1 Basic Checks
GIS has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
The number of shares outstanding for GIS has been reduced compared to 1 year ago.
The number of shares outstanding for GIS has been reduced compared to 5 years ago.
GIS has a worse debt/assets ratio than last year.
2.2 Solvency
GIS has an Altman-Z score of 2.43. This is not the best score and indicates that GIS is in the grey zone with still only limited risk for bankruptcy at the moment.
With a Altman-Z score value of 2.43, GIS perfoms like the industry average, outperforming 57.30% of the companies in the same industry.
The Debt to FCF ratio of GIS is 6.49, which is on the high side as it means it would take GIS, 6.49 years of fcf income to pay off all of its debts.
With a decent Debt to FCF ratio value of 6.49, GIS is doing good in the industry, outperforming 71.91% of the companies in the same industry.
A Debt/Equity ratio of 1.45 is on the high side and indicates that GIS has dependencies on debt financing.
GIS has a worse Debt to Equity ratio (1.45) than 82.02% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.45 | ||
| Debt/FCF | 6.49 | ||
| Altman-Z | 2.43 |
ROIC/WACC1.54
WACC6.76%
2.3 Liquidity
GIS has a Current Ratio of 0.67. This is a bad value and indicates that GIS is not financially healthy enough and could expect problems in meeting its short term obligations.
The Current ratio of GIS (0.67) is worse than 87.64% of its industry peers.
A Quick Ratio of 0.43 indicates that GIS may have some problems paying its short term obligations.
GIS's Quick ratio of 0.43 is on the low side compared to the rest of the industry. GIS is outperformed by 78.65% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.67 | ||
| Quick Ratio | 0.43 |
3. Growth
3.1 Past
GIS shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by -6.86%.
GIS shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 3.12% yearly.
Looking at the last year, GIS shows a decrease in Revenue. The Revenue has decreased by -1.87% in the last year.
The Revenue has been growing slightly by 2.03% on average over the past years.
EPS 1Y (TTM)-6.86%
EPS 3Y2.23%
EPS 5Y3.12%
EPS Q2Q%-26.73%
Revenue 1Y (TTM)-1.87%
Revenue growth 3Y0.86%
Revenue growth 5Y2.03%
Sales Q2Q%-3.35%
3.2 Future
Based on estimates for the next years, GIS will show a small growth in Earnings Per Share. The EPS will grow by 0.77% on average per year.
GIS is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 0.05% yearly.
EPS Next Y-12.48%
EPS Next 2Y-4.4%
EPS Next 3Y-0.83%
EPS Next 5Y0.77%
Revenue Next Year-4.11%
Revenue Next 2Y-2.25%
Revenue Next 3Y-0.79%
Revenue Next 5Y0.05%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 11.80, the valuation of GIS can be described as very reasonable.
75.28% of the companies in the same industry are more expensive than GIS, based on the Price/Earnings ratio.
GIS is valuated cheaply when we compare the Price/Earnings ratio to 26.84, which is the current average of the S&P500 Index.
GIS is valuated correctly with a Price/Forward Earnings ratio of 13.49.
GIS's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. GIS is cheaper than 76.40% of the companies in the same industry.
GIS's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 22.48.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.8 | ||
| Fwd PE | 13.49 |
4.2 Price Multiples
GIS's Enterprise Value to EBITDA is on the same level as the industry average.
Based on the Price/Free Cash Flow ratio, GIS is valued a bit cheaper than 78.65% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 11.59 | ||
| EV/EBITDA | 10.37 |
4.3 Compensation for Growth
The decent profitability rating of GIS may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)3.78
EPS Next 2Y-4.4%
EPS Next 3Y-0.83%
5. Dividend
5.1 Amount
GIS has a Yearly Dividend Yield of 5.04%, which is a nice return.
GIS's Dividend Yield is rather good when compared to the industry average which is at 4.82. GIS pays more dividend than 86.52% of the companies in the same industry.
Compared to an average S&P500 Dividend Yield of 2.32, GIS pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.04% |
5.2 History
The dividend of GIS has a limited annual growth rate of 4.26%.
GIS has been paying a dividend for at least 10 years, so it has a reliable track record.
Dividend Growth(5Y)4.26%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
58.33% of the earnings are spent on dividend by GIS. This is a bit on the high side, but may be sustainable.
GIS's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP58.33%
EPS Next 2Y-4.4%
EPS Next 3Y-0.83%
NYSE:GIS (9/4/2025, 1:21:00 PM)
49.69
-0.06 (-0.12%)
Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupFood, Beverage & Tobacco
GICS IndustryFood Products
Earnings (Last)
Earnings (Next)
Inst Owners87.31%
Inst Owner Change-3.13%
Ins Owners0.28%
Ins Owner Change3.74%
Market Cap26.57B
Analysts66.15
Price Target56.64 (13.99%)
Short Float %6.31%
Short Ratio5.45
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.04% |
Yearly Dividend2.43
Dividend Growth(5Y)4.26%
DP58.33%
Div Incr Years0
Div Non Decr Years0
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)3.21%
Min EPS beat(2)3.07%
Max EPS beat(2)3.36%
EPS beat(4)4
Avg EPS beat(4)5.08%
Min EPS beat(4)0.06%
Max EPS beat(4)13.83%
EPS beat(8)7
Avg EPS beat(8)4.84%
EPS beat(12)11
Avg EPS beat(12)4.87%
EPS beat(16)14
Avg EPS beat(16)4.93%
Revenue beat(2)0
Avg Revenue beat(2)-2.51%
Min Revenue beat(2)-3.37%
Max Revenue beat(2)-1.66%
Revenue beat(4)1
Avg Revenue beat(4)-1.03%
Min Revenue beat(4)-3.37%
Max Revenue beat(4)0.93%
Revenue beat(8)2
Avg Revenue beat(8)-1.47%
Revenue beat(12)3
Avg Revenue beat(12)-1.24%
Revenue beat(16)6
Avg Revenue beat(16)-0.48%
PT rev (1m)0%
PT rev (3m)-10.73%
EPS NQ rev (1m)0.14%
EPS NQ rev (3m)-14.92%
EPS NY rev (1m)-0.19%
EPS NY rev (3m)-9.4%
Revenue NQ rev (1m)-0.02%
Revenue NQ rev (3m)-2.42%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-2.43%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.8 | ||
| Fwd PE | 13.49 | ||
| P/S | 1.36 | ||
| P/FCF | 11.59 | ||
| P/OCF | 9.1 | ||
| P/B | 2.89 | ||
| P/tB | N/A | ||
| EV/EBITDA | 10.37 |
EPS(TTM)4.21
EY8.47%
EPS(NY)3.68
Fwd EY7.41%
FCF(TTM)4.29
FCFY8.63%
OCF(TTM)5.46
OCFY10.98%
SpS36.44
BVpS17.2
TBVpS-25.26
PEG (NY)N/A
PEG (5Y)3.78
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.94% | ||
| ROE | 24.95% | ||
| ROCE | 13.33% | ||
| ROIC | 10.39% | ||
| ROICexc | 10.54% | ||
| ROICexgc | 95.29% | ||
| OM | 17.24% | ||
| PM (TTM) | 11.78% | ||
| GM | 34.6% | ||
| FCFM | 11.77% |
ROA(3y)7.71%
ROA(5y)7.84%
ROE(3y)25.45%
ROE(5y)25.35%
ROIC(3y)10.86%
ROIC(5y)11.02%
ROICexc(3y)11.08%
ROICexc(5y)11.42%
ROICexgc(3y)120.36%
ROICexgc(5y)166.96%
ROCE(3y)13.69%
ROCE(5y)13.98%
ROICexcg growth 3Y-15.78%
ROICexcg growth 5Y-18.87%
ROICexc growth 3Y-3.26%
ROICexc growth 5Y-1.02%
OM growth 3Y-0.78%
OM growth 5Y0.01%
PM growth 3Y-6.16%
PM growth 5Y-0.98%
GM growth 3Y0.86%
GM growth 5Y-0.37%
F-Score5
Asset Turnover0.59
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.45 | ||
| Debt/FCF | 6.49 | ||
| Debt/EBITDA | 3.42 | ||
| Cap/Depr | 116.01% | ||
| Cap/Sales | 3.21% | ||
| Interest Coverage | 7.08 | ||
| Cash Conversion | 74.85% | ||
| Profit Quality | 99.9% | ||
| Current Ratio | 0.67 | ||
| Quick Ratio | 0.43 | ||
| Altman-Z | 2.43 |
F-Score5
WACC6.76%
ROIC/WACC1.54
Cap/Depr(3y)127.4%
Cap/Depr(5y)114.04%
Cap/Sales(3y)3.51%
Cap/Sales(5y)3.29%
Profit Quality(3y)93.9%
Profit Quality(5y)97.6%
High Growth Momentum
Growth
EPS 1Y (TTM)-6.86%
EPS 3Y2.23%
EPS 5Y3.12%
EPS Q2Q%-26.73%
EPS Next Y-12.48%
EPS Next 2Y-4.4%
EPS Next 3Y-0.83%
EPS Next 5Y0.77%
Revenue 1Y (TTM)-1.87%
Revenue growth 3Y0.86%
Revenue growth 5Y2.03%
Sales Q2Q%-3.35%
Revenue Next Year-4.11%
Revenue Next 2Y-2.25%
Revenue Next 3Y-0.79%
Revenue Next 5Y0.05%
EBIT growth 1Y-8.02%
EBIT growth 3Y0.07%
EBIT growth 5Y2.04%
EBIT Next Year4.84%
EBIT Next 3Y3.04%
EBIT Next 5Y3.06%
FCF growth 1Y-9.32%
FCF growth 3Y-5.85%
FCF growth 5Y-6.54%
OCF growth 1Y-11.64%
OCF growth 3Y-4.17%
OCF growth 5Y-4.51%