Jefferies Raises Price Target for J.M. Smucker (SJM), Keeps Hold Rating

On Wednesday, May 28, Jefferies analyst Scott Marks raised the price target for The J. M. Smucker Company (NYSE:SJM) from $111 to $118 from the previous $111 and kept a “Hold” rating.

The analyst pointed out that the company’s coffee business is not very sensitive to price changes, and its Uncrustables sandwich brand is seeing significant distribution gains. The growth of Jif peanut butter and Meow Mix cat food products is helping balance out weaker sales in Hostess baked goods and Milk-Bone dog treats.

A wholesaler distributing peanut butter, fruit spreads and specialty spreads to a retailer.

Marks noted that a significant portion of The J. M. Smucker Company’s (NYSE:SJM) portfolio appears to be not as impacted by the challenges that usually affect the center store categories in supermarkets. However, there are still concerns about the future performance of brands like Hostess, possible tariff-related costs impacting the coffee business, and how the company will deal with overhead costs in the pet food business after divestitures.

Overall, Marks kept his “Hold” rating, which suggests a cautious outlook on The J. M. Smucker Company (NYSE:SJM). The analyst’s commentary highlighted the company’s strengths in some areas but also pointed out that there are risks that could affect future performance.

The J. M. Smucker Company (NYSE:SJM), or simply Smuckers, is a leading consumer packaged goods company. The company has a strong position across North America in the coffee, peanut butter, fruit spreads, frozen handheld, sweet baked goods, dog snacks, and cat food categories.

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Disclosure: None.