Zacks Investment Research lowered shares of Kellogg (NYSE:K) from a hold rating to a sell rating in a research note released on Monday.

According to Zacks, “Kellogg’s, whose shares have declined in the past three months, depicted an unimpressive profitability picture when it reported third-quarter 2018 results. Notably, adjusted operating profit declined in the said period, due to higher promotional investments. In fact, management expects increased expenses to continue, owing to which it trimmed adjusted earnings growth view for 2018. Nevertheless, Kellogg’s revenues saw an increase in third-quarter 2018 driven by the takeover of RXBAR and consolidation of Multipro. The quarter marks the company’s sixth consecutive top-line beat. Further, the company expects to continue delivering solid top-line results backed by strong brands. Additionally, Kellogg’s productivity saving initiatives, have been on track. The company is particularly striving toward reducing overhead costs in U.S. Snacks. Also, estimates have remained stable lately, ahead of fourth quarter earnings release.”

Several other analysts have also recently issued reports on K. Buckingham Research cut their price objective on Kellogg from $80.00 to $77.00 and set a buy rating on the stock in a research note on Thursday, November 1st. Royal Bank of Canada lowered their target price on Kellogg to $72.00 and set a market perform rating for the company in a report on Thursday, November 1st. Credit Suisse Group lowered their target price on Kellogg from $70.00 to $66.00 and set a hold rating for the company in a report on Wednesday, November 14th. Piper Jaffray Companies set a $79.00 target price on Kellogg and gave the company a buy rating in a report on Tuesday, October 16th. Finally, Deutsche Bank set a $66.00 target price on Kellogg and gave the company a hold rating in a report on Wednesday, November 14th. Three research analysts have rated the stock with a sell rating, eleven have assigned a hold rating and six have issued a buy rating to the company. The stock presently has an average rating of Hold and a consensus target price of $69.35.

K stock opened at $59.16 on Monday. Kellogg has a 1 year low of $55.11 and a 1 year high of $74.98. The company has a current ratio of 0.84, a quick ratio of 0.52 and a debt-to-equity ratio of 2.41. The stock has a market capitalization of $20.52 billion, a price-to-earnings ratio of 14.64, a P/E/G ratio of 2.24 and a beta of 0.58.

In related news, Chairman Steven A. Cahillane acquired 17,825 shares of the business’s stock in a transaction dated Monday, November 19th. The stock was bought at an average price of $61.63 per share, for a total transaction of $1,098,554.75. The purchase was disclosed in a filing with the SEC, which is accessible through this hyperlink. Also, major shareholder Kellogg W. K. Foundation Trust sold 100,000 shares of the stock in a transaction on Tuesday, January 22nd. The shares were sold at an average price of $58.36, for a total value of $5,836,000.00. The disclosure for this sale can be found here. Over the last ninety days, insiders have sold 580,000 shares of company stock valued at $34,626,200. 1.40% of the stock is currently owned by corporate insiders.

Several institutional investors and hedge funds have recently added to or reduced their stakes in K. Oregon Public Employees Retirement Fund lifted its stake in shares of Kellogg by 5,672.3% in the fourth quarter. Oregon Public Employees Retirement Fund now owns 1,568,573 shares of the company’s stock valued at $28,000 after buying an additional 1,541,399 shares during the period. Capital Investment Advisory Services LLC bought a new stake in shares of Kellogg in the fourth quarter valued at about $50,000. Highwater Wealth Management LLC bought a new stake in shares of Kellogg in the fourth quarter valued at about $70,000. Cavalier Investments LLC bought a new stake in shares of Kellogg in the fourth quarter valued at about $84,000. Finally, Essex Savings Bank bought a new stake in shares of Kellogg in the fourth quarter valued at about $86,000. Institutional investors own 86.55% of the company’s stock.

Kellogg Company Profile

Kellogg Company, together with its subsidiaries, manufactures and markets ready-to-eat cereal and convenience foods. The company operates through U.S. Morning Foods, U.S. Snacks, U.S. Specialty, North America Other, Europe, Latin America, and Asia Pacific segments. Its principal products include cookies, crackers, savory snacks, toaster pastries, cereal bars, granola bars and bites, fruit-flavored snacks, ready-to-eat cereals, frozen waffles, and veggie foods.

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