Kellanova (K), Formerly Kellogg Company, is a global leader in snacks and convenience foods, with brands like Pringles, Cheez-It, and Pop-Tarts. The company, valued at a market cap of $28.5 billion, operates across North America, Europe, Latin America, and AMEA.
Companies worth $10 billion or more are generally described as “large-cap stocks,” and Kellanova perfectly fits that description, with its market cap exceeding this mark, underscoring its size, influence, and dominance within the packaged goods industry.
K shares currently hovers marginally above its 52-week high of $83.22, achieved on March 4. Over the past three months, K stock has gained 2.1%, outperforming the Nasdaq Food & Beverage ETF’s (FTXG) marginally decline over the same time frame.
Over the long term, K has gained 2.3% in the past six months and surged 48.5% over the past year, significantly outperforming FTXG, which dropped 10.8% in six months and 6.7% over the past year.
Confirming its bullish momentum, K has remained above its 200-day moving average since mid-April last year and has consistently traded above its 50-day moving average since early August.
On Feb. 6, K shares surged marginally after reporting its Q4 results. Its adjusted EPS of $0.92 smashed Street’s expectations and was up 17.9% from the year-ago quarter. The company’s revenue stood at $3.12 billion, surpassing analysts’ expectations of $3.10 billion, reflecting robust demand across its product portfolio. The company benefited from strong volume growth, strategic pricing actions, and brand strength, particularly in key segments like snacks and convenience foods.
K’s top competitor, General Mills, Inc. (GIS), has lagged behind the stock, declining 21.2% over the past six months and 15.8% over the past 52 weeks.
Wall Street analysts are cautious about K’s prospects. The stock has a consensus “Hold” rating from the 16 analysts covering it, and it currently trades above its mean price target of $81.47.
