GENERAL MILLS INC (GRM.DE) Stock Fundamental Analysis
Europe - FRA:GRM - US3703341046 - Common Stock
42.54 EUR
+0.13 (+0.31%)
We assign a fundamental rating of 5 out of 10 to GRM. GRM was compared to 55 industry peers in the Food Products industry. GRM scores excellent on profitability, but there are concerns on its financial health. GRM has a valuation in line with the averages, but it does not seem to be growing. Finally GRM also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
In the past year GRM was profitable.
In the past year GRM had a positive cash flow from operations.
GRM had positive earnings in each of the past 5 years.
Each year in the past 5 years GRM had a positive operating cash flow.
1.2 Ratios
The Return On Assets of GRM (8.84%) is better than 87.27% of its industry peers.
GRM has a better Return On Equity (30.71%) than 90.91% of its industry peers.
GRM has a better Return On Invested Capital (10.30%) than 85.45% of its industry peers.
The Average Return On Invested Capital over the past 3 years for GRM is above the industry average of 7.42%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.84% | ||
| ROE | 30.71% | ||
| ROIC | 10.3% |
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
The Profit Margin of GRM (15.24%) is better than 94.55% of its industry peers.
In the last couple of years the Profit Margin of GRM has remained more or less at the same level.
GRM's Operating Margin of 16.84% is amongst the best of the industry. GRM outperforms 92.73% of its industry peers.
GRM's Operating Margin has been stable in the last couple of years.
GRM has a Gross Margin (34.39%) which is comparable to the rest of the industry.
GRM's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 16.84% | ||
| PM (TTM) | 15.24% | ||
| GM | 34.39% |
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
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so GRM is still creating some value.
GRM has less shares outstanding than it did 1 year ago.
GRM has less shares outstanding than it did 5 years ago.
Compared to 1 year ago, GRM has a worse debt to assets ratio.
2.2 Solvency
GRM has an Altman-Z score of 2.45. This is not the best score and indicates that GRM is in the grey zone with still only limited risk for bankruptcy at the moment.
GRM has a Altman-Z score of 2.45. This is comparable to the rest of the industry: GRM outperforms 54.55% of its industry peers.
The Debt to FCF ratio of GRM is 6.87, which is on the high side as it means it would take GRM, 6.87 years of fcf income to pay off all of its debts.
With a Debt to FCF ratio value of 6.87, GRM perfoms like the industry average, outperforming 52.73% of the companies in the same industry.
A Debt/Equity ratio of 1.29 is on the high side and indicates that GRM has dependencies on debt financing.
GRM has a Debt to Equity ratio of 1.29. This is amonst the worse of the industry: GRM underperforms 81.82% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.29 | ||
| Debt/FCF | 6.87 | ||
| Altman-Z | 2.45 |
ROIC/WACC1.59
WACC6.49%
2.3 Liquidity
GRM has a Current Ratio of 0.66. This is a bad value and indicates that GRM is not financially healthy enough and could expect problems in meeting its short term obligations.
GRM's Current ratio of 0.66 is on the low side compared to the rest of the industry. GRM is outperformed by 89.09% of its industry peers.
GRM has a Quick Ratio of 0.66. This is a bad value and indicates that GRM is not financially healthy enough and could expect problems in meeting its short term obligations.
GRM has a worse Quick ratio (0.40) than 87.27% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.66 | ||
| Quick Ratio | 0.4 |
3. Growth
3.1 Past
GRM shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by -6.86%.
GRM shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 3.12% yearly.
GRM shows a decrease in Revenue. In the last year, the revenue decreased by -3.26%.
Measured over the past years, GRM shows a small growth in Revenue. The Revenue has been growing by 2.03% on average per year.
EPS 1Y (TTM)-6.86%
EPS 3Y2.23%
EPS 5Y3.12%
EPS Q2Q%115.8%
Revenue 1Y (TTM)-3.26%
Revenue growth 3Y0.86%
Revenue growth 5Y2.03%
Sales Q2Q%-6.82%
3.2 Future
The Earnings Per Share is expected to grow by 0.77% on average over the next years.
Based on estimates for the next years, GRM will show a small growth in Revenue. The Revenue will grow by 0.05% on average per year.
EPS Next Y-12.48%
EPS Next 2Y-4.4%
EPS Next 3Y-0.88%
EPS Next 5Y0.77%
Revenue Next Year-4.16%
Revenue Next 2Y-2.26%
Revenue Next 3Y-0.8%
Revenue Next 5Y0.05%
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
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
A Price/Earnings ratio of 11.85 indicates a reasonable valuation of GRM.
69.09% of the companies in the same industry are more expensive than GRM, based on the Price/Earnings ratio.
GRM's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 27.06.
Based on the Price/Forward Earnings ratio of 12.98, the valuation of GRM can be described as correct.
Based on the Price/Forward Earnings ratio, GRM is valued a bit cheaper than the industry average as 61.82% of the companies are valued more expensively.
The average S&P500 Price/Forward Earnings ratio is at 22.64. GRM is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.85 | ||
| Fwd PE | 12.98 |
4.2 Price Multiples
GRM's Enterprise Value to EBITDA is on the same level as the industry average.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of GRM indicates a somewhat cheap valuation: GRM is cheaper than 72.73% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 12.74 | ||
| EV/EBITDA | 10.64 |
4.3 Compensation for Growth
GRM has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)3.79
EPS Next 2Y-4.4%
EPS Next 3Y-0.88%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 4.89%, GRM is a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 3.26, GRM pays a better dividend. On top of this GRM pays more dividend than 87.27% of the companies listed in the same industry.
GRM's Dividend Yield is rather good when compared to the S&P500 average which is at 2.38.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.89% |
5.2 History
The dividend of GRM has a limited annual growth rate of 4.26%.
Dividend Growth(5Y)4.26%
Div Incr Years6
Div Non Decr Years6
5.3 Sustainability
45.62% of the earnings are spent on dividend by GRM. This is a bit on the high side, but may be sustainable.
The dividend of GRM is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP45.62%
EPS Next 2Y-4.4%
EPS Next 3Y-0.88%
FRA:GRM (9/26/2025, 5:04:41 PM)
42.54
+0.13 (+0.31%)
Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupFood, Beverage & Tobacco
GICS IndustryFood Products
Earnings (Last)
Earnings (Next)
Inst Owners87.31%
Inst Owner ChangeN/A
Ins Owners0.28%
Ins Owner ChangeN/A
Market Cap22.75B
Analysts65.38
Price Target47.8 (12.36%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.89% |
Yearly Dividend2.07
Dividend Growth(5Y)4.26%
DP45.62%
Div Incr Years6
Div Non Decr Years6
Ex-DateN/A
Surprises & Revisions
EPS beat(2)N/A
Avg EPS beat(2)N/A
Min EPS beat(2)N/A
Max EPS beat(2)N/A
EPS beat(4)N/A
Avg EPS beat(4)N/A
Min EPS beat(4)N/A
Max EPS beat(4)N/A
EPS beat(8)N/A
Avg EPS beat(8)N/A
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)0
Avg Revenue beat(2)-1.27%
Min Revenue beat(2)-1.66%
Max Revenue beat(2)-0.89%
Revenue beat(4)1
Avg Revenue beat(4)-1.25%
Min Revenue beat(4)-3.37%
Max Revenue beat(4)0.93%
Revenue beat(8)2
Avg Revenue beat(8)-1.51%
Revenue beat(12)3
Avg Revenue beat(12)-1.24%
Revenue beat(16)5
Avg Revenue beat(16)-0.84%
PT rev (1m)-2.56%
PT rev (3m)-10.64%
EPS NQ rev (1m)-0.15%
EPS NQ rev (3m)-9.25%
EPS NY rev (1m)0%
EPS NY rev (3m)-8.97%
Revenue NQ rev (1m)-0.1%
Revenue NQ rev (3m)-2.37%
Revenue NY rev (1m)-0.06%
Revenue NY rev (3m)-2.49%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.85 | ||
| Fwd PE | 12.98 | ||
| P/S | 1.39 | ||
| P/FCF | 12.74 | ||
| P/OCF | 9.92 | ||
| P/B | 2.81 | ||
| P/tB | N/A | ||
| EV/EBITDA | 10.64 |
EPS(TTM)3.59
EY8.44%
EPS(NY)3.28
Fwd EY7.7%
FCF(TTM)3.34
FCFY7.85%
OCF(TTM)4.29
OCFY10.08%
SpS30.52
BVpS15.15
TBVpS-21.1
PEG (NY)N/A
PEG (5Y)3.79
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.84% | ||
| ROE | 30.71% | ||
| ROCE | 12.88% | ||
| ROIC | 10.3% | ||
| ROICexc | 10.71% | ||
| ROICexgc | 187.52% | ||
| OM | 16.84% | ||
| PM (TTM) | 15.24% | ||
| GM | 34.39% | ||
| FCFM | 10.94% |
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-Score4
Asset Turnover0.58
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.29 | ||
| Debt/FCF | 6.87 | ||
| Debt/EBITDA | 3.25 | ||
| Cap/Depr | 110.48% | ||
| Cap/Sales | 3.1% | ||
| Interest Coverage | 6.25 | ||
| Cash Conversion | 71.48% | ||
| Profit Quality | 71.81% | ||
| Current Ratio | 0.66 | ||
| Quick Ratio | 0.4 | ||
| Altman-Z | 2.45 |
F-Score4
WACC6.49%
ROIC/WACC1.59
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%115.8%
EPS Next Y-12.48%
EPS Next 2Y-4.4%
EPS Next 3Y-0.88%
EPS Next 5Y0.77%
Revenue 1Y (TTM)-3.26%
Revenue growth 3Y0.86%
Revenue growth 5Y2.03%
Sales Q2Q%-6.82%
Revenue Next Year-4.16%
Revenue Next 2Y-2.26%
Revenue Next 3Y-0.8%
Revenue Next 5Y0.05%
EBIT growth 1Y-9.08%
EBIT growth 3Y0.07%
EBIT growth 5Y2.04%
EBIT Next Year4.84%
EBIT Next 3Y2.93%
EBIT Next 5Y3.06%
FCF growth 1Y3.4%
FCF growth 3Y-5.85%
FCF growth 5Y-6.54%
OCF growth 1Y-2.78%
OCF growth 3Y-4.17%
OCF growth 5Y-4.51%