GENERAL MILLS INC (GRM.DE) Stock Fundamental Analysis
Europe - Frankfurt Stock Exchange - FRA:GRM - US3703341046 - Common Stock
39.655 EUR
+0.21 (+0.53%)
GRM gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 59 industry peers in the Food Products industry. While GRM belongs to the best of the industry regarding profitability, there are concerns on its financial health. GRM has a valuation in line with the averages, but on the other hand it scores bad on growth. Finally GRM also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
In the past year GRM was profitable.
GRM had a positive operating cash flow in the past year.
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 86.44% of its industry peers.
Looking at the Return On Equity, with a value of 30.71%, GRM belongs to the top of the industry, outperforming 91.53% of the companies in the same industry.
With an excellent Return On Invested Capital value of 10.30%, GRM belongs to the best of the industry, outperforming 88.14% of the companies in the same industry.
GRM had an Average Return On Invested Capital over the past 3 years of 10.86%. This is above the industry average of 7.10%.
| 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
GRM has a Profit Margin of 15.24%. This is amongst the best in the industry. GRM outperforms 93.22% of its industry peers.
In the last couple of years the Profit Margin of GRM has remained more or less at the same level.
The Operating Margin of GRM (16.84%) is better than 91.53% of its industry peers.
GRM's Operating Margin has been stable in the last couple of years.
With a Gross Margin value of 34.39%, GRM perfoms like the industry average, outperforming 47.46% of the companies in the same industry.
In the last couple of years the Gross Margin of GRM has remained more or less at the same level.
| 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
GRM has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
Compared to 1 year ago, GRM has less shares outstanding
The number of shares outstanding for GRM has been reduced compared to 5 years ago.
The debt/assets ratio for GRM is higher compared to a year ago.
2.2 Solvency
GRM has an Altman-Z score of 2.40. 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 (2.40) which is in line with 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.
The Debt to FCF ratio of GRM (6.87) is comparable to the rest of the industry.
A Debt/Equity ratio of 1.29 is on the high side and indicates that GRM has dependencies on debt financing.
GRM's Debt to Equity ratio of 1.29 is on the low side compared to the rest of the industry. GRM is outperformed by 81.36% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.29 | ||
| Debt/FCF | 6.87 | ||
| Altman-Z | 2.4 |
ROIC/WACC1.55
WACC6.66%
2.3 Liquidity
A Current Ratio of 0.66 indicates that GRM may have some problems paying its short term obligations.
The Current ratio of GRM (0.66) is worse than 91.53% of its industry peers.
A Quick Ratio of 0.40 indicates that GRM may have some problems paying its short term obligations.
With a Quick ratio value of 0.40, GRM is not doing good in the industry: 83.05% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.66 | ||
| Quick Ratio | 0.4 |
3. Growth
3.1 Past
GRM shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -11.11%.
GRM shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 3.12% yearly.
The Revenue has decreased by -3.26% in the past year.
The Revenue has been growing slightly by 2.03% on average over the past years.
EPS 1Y (TTM)-11.11%
EPS 3Y2.23%
EPS 5Y3.12%
EPS Q2Q%-19.63%
Revenue 1Y (TTM)-3.26%
Revenue growth 3Y0.86%
Revenue growth 5Y2.03%
Sales Q2Q%-6.82%
3.2 Future
GRM is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 0.42% yearly.
The Revenue is expected to decrease by -0.04% on average over the next years.
EPS Next Y-12.43%
EPS Next 2Y-4.52%
EPS Next 3Y-1.3%
EPS Next 5Y0.42%
Revenue Next Year-4.69%
Revenue Next 2Y-2.59%
Revenue Next 3Y-1.12%
Revenue Next 5Y-0.04%
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
Based on the Price/Earnings ratio of 11.56, the valuation of GRM can be described as reasonable.
Based on the Price/Earnings ratio, GRM is valued a bit cheaper than the industry average as 72.88% of the companies are valued more expensively.
The average S&P500 Price/Earnings ratio is at 26.46. GRM is valued rather cheaply when compared to this.
The Price/Forward Earnings ratio is 12.05, which indicates a correct valuation of GRM.
GRM's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. GRM is cheaper than 62.71% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 36.10. GRM is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.56 | ||
| Fwd PE | 12.05 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of GRM is on the same level as its industry peers.
Based on the Price/Free Cash Flow ratio, GRM is valued a bit cheaper than the industry average as 79.66% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 11.77 | ||
| EV/EBITDA | 10.11 |
4.3 Compensation for Growth
The excellent profitability rating of GRM may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)3.7
EPS Next 2Y-4.52%
EPS Next 3Y-1.3%
5. Dividend
5.1 Amount
GRM has a Yearly Dividend Yield of 5.31%, which is a nice return.
Compared to an average industry Dividend Yield of 3.35, GRM pays a better dividend. On top of this GRM pays more dividend than 88.14% of the companies listed in the same industry.
Compared to an average S&P500 Dividend Yield of 2.32, GRM pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.31% |
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.
GRM's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP45.62%
EPS Next 2Y-4.52%
EPS Next 3Y-1.3%
FRA:GRM (12/5/2025, 7:00:00 PM)
39.655
+0.21 (+0.53%)
Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupFood, Beverage & Tobacco
GICS IndustryFood Products
Earnings (Last)
Earnings (Next)
Inst Owners86.14%
Inst Owner ChangeN/A
Ins Owners0.28%
Ins Owner ChangeN/A
Market Cap21.15B
Revenue(TTM)19.16B
Net Income(TTM)2.92B
Analysts65.38
Price Target47.59 (20.01%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.31% |
Yearly Dividend2.09
Dividend Growth(5Y)4.26%
DP45.62%
Div Incr Years6
Div Non Decr Years6
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)3.8%
Min EPS beat(2)3.07%
Max EPS beat(2)4.53%
EPS beat(4)4
Avg EPS beat(4)6.19%
Min EPS beat(4)3.07%
Max EPS beat(4)13.83%
EPS beat(8)8
Avg EPS beat(8)5.44%
EPS beat(12)11
Avg EPS beat(12)4.45%
EPS beat(16)14
Avg EPS beat(16)4.55%
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)0.83%
PT rev (3m)-2.5%
EPS NQ rev (1m)-0.06%
EPS NQ rev (3m)-6.17%
EPS NY rev (1m)0%
EPS NY rev (3m)0.06%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-0.9%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-0.61%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.56 | ||
| Fwd PE | 12.05 | ||
| P/S | 1.29 | ||
| P/FCF | 11.77 | ||
| P/OCF | 9.17 | ||
| P/B | 2.6 | ||
| P/tB | N/A | ||
| EV/EBITDA | 10.11 |
EPS(TTM)3.43
EY8.65%
EPS(NY)3.29
Fwd EY8.3%
FCF(TTM)3.37
FCFY8.5%
OCF(TTM)4.32
OCFY10.9%
SpS30.78
BVpS15.28
TBVpS-21.28
PEG (NY)N/A
PEG (5Y)3.7
Graham Number34.34
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%
ROICexgc growth 3Y-15.78%
ROICexgc 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 | 2.4 |
F-Score4
WACC6.66%
ROIC/WACC1.55
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)-11.11%
EPS 3Y2.23%
EPS 5Y3.12%
EPS Q2Q%-19.63%
EPS Next Y-12.43%
EPS Next 2Y-4.52%
EPS Next 3Y-1.3%
EPS Next 5Y0.42%
Revenue 1Y (TTM)-3.26%
Revenue growth 3Y0.86%
Revenue growth 5Y2.03%
Sales Q2Q%-6.82%
Revenue Next Year-4.69%
Revenue Next 2Y-2.59%
Revenue Next 3Y-1.12%
Revenue Next 5Y-0.04%
EBIT growth 1Y-9.08%
EBIT growth 3Y0.07%
EBIT growth 5Y2.04%
EBIT Next Year5.08%
EBIT Next 3Y2.65%
EBIT Next 5Y2.69%
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%
GENERAL MILLS INC / GRM.DE FAQ
What is the ChartMill fundamental rating of GENERAL MILLS INC (GRM.DE) stock?
ChartMill assigns a fundamental rating of 4 / 10 to GRM.DE.
Can you provide the valuation status for GENERAL MILLS INC?
ChartMill assigns a valuation rating of 6 / 10 to GENERAL MILLS INC (GRM.DE). This can be considered as Fairly Valued.
How profitable is GENERAL MILLS INC (GRM.DE) stock?
GENERAL MILLS INC (GRM.DE) has a profitability rating of 8 / 10.
What is the expected EPS growth for GENERAL MILLS INC (GRM.DE) stock?
The Earnings per Share (EPS) of GENERAL MILLS INC (GRM.DE) is expected to decline by -12.43% in the next year.
How sustainable is the dividend of GENERAL MILLS INC (GRM.DE) stock?
The dividend rating of GENERAL MILLS INC (GRM.DE) is 7 / 10 and the dividend payout ratio is 45.62%.