Morgan Stanley Sees Investor Attention Shifting to Fiscal 2027 at J.M. Smucker (SJM)

With a TTM operating cash flow of $1.29 billion, The J. M. Smucker Company (NYSE:SJM) is included among the 12 Cash-Rich Stocks to Buy Right Now.

On June 5, Morgan Stanley raised its price recommendation on The J. M. Smucker Company (NYSE:SJM) to $106 from $104. It reiterated an Equal Weight rating on the shares. The analyst said investor attention is now focused on fiscal 2027 outlooks as several packaged food companies prepare to report off-cycle earnings in the coming weeks. Morgan Stanley also noted that it is lowering estimates “again,” mainly to account for additional cost inflation.

During the company’s fiscal Q4 2026 earnings call, CEO Mark Smucker highlighted a key milestone for the Uncrustables brand, which reached $1 billion in sales. He said the brand is expected to continue growing, though future growth is not likely to remain at double-digit rates.

Smucker also discussed a packaging transition underway for the product line. He explained that all Uncrustables products will become fridge-friendly and that the company is in the process of converting every sandwich to that format.

CFO Tucker Marshall addressed the company’s fiscal 2027 cost outlook and its approach to managing inflation. He said that, excluding the effects of green coffee costs and tariffs, the company expects low-single-digit inflation across the rest of its portfolio.

According to Marshall, the expected cost increases will be driven primarily by packaging, ingredient, and transportation expenses.

The J. M. Smucker Company (NYSE:SJM) manufactures and markets branded food and beverage products worldwide.

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