Kellogg Stock Analysis, Valuation (NYSE:K)

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$73.63 $0.93 (1.28%) K stock closing price Aug 17, 2018 (Closing)

Investors can watch the Amigobulls Kellogg stock analysis video here. This is our analyst opinion covering the buy and sell arguments for K stock.

Note: Amigobulls stock rating is our opinion based on the historical performance of the company's fundamentals. It is not indicative of the future performance of the stock.

Kellogg Company Stock Rating 3.5/5

Amigobulls K stock analysis relies on business fundamentals such as Kellogg revenue growth, profits and return on equity measures from the latest quarter 2018 Q2 earnings. Kellogg valuation forms a crucial part of our stock analysis. Based on a company's historical fundamentals we arrive at Kellogg stock rating which is indicative of the company's financial performance.

Should you buy K stock?

  • Kellogg had a healthy average operating margin of 15.99 over the last 4 quarters.
  • Net margins came in at average 13.3% for Kellogg over the last twelve months.
  • K stock is trading at an earnings multiple of 16.8 which is better than the sector average of 21.8.
  • Kellogg has an attractive ROIC (Return on Invested Capital) of 14
  • Kellogg has a good Return On Equity (ROE) of 73.7.

Should you sell K stock?

  • Sales declined by -2.3 annually over the last 5 years.
  • Kellogg is debt laden and has a high debt/equity ratio of 2.66.
  • Cash flow from operations is low at 0.3674 times the net income.

Comments on this video and Kellogg stock

Investors can use Amigobulls Kellogg stock analysis as a tool to arrive at accurate conclusions regarding financial health of the company and its valuation. The fundamentals of a company are vital to identify long-term investment opportunities.

Kellogg revenue growth and profit or net income are the main underlying forces which could detremine the direction of the share price. Along with fundamentals, investors can utilize technical analysis to get a better idea about the price trend of Kellogg stock.