MDLZ

Wall Street expects a year-over-year decline in earnings on higher revenues when Mondelez (MDLZ) reports results for the quarter ended September 2026. While this widely-known consensus outlook is important in gauging the company's earnings picture, a powerful factor that could impact its near-term stock price is how the actual results compare to these estimates. The stock might move higher if these key numbers top expectations in the upcoming earnings report, which is expected to be released on October 29. On the other hand, if they miss, the stock may move lower. While management's discussion of business conditions on the earnings call will mostly determine the sustainability of the immediate price change and future earnings expectations, it's worth having a handicapping insight into the odds of a positive EPS surprise. This maker of Oreo cookies, Cadbury chocolate and Trident gum is expected to post quarterly earnings of $0.72 per share in its upcoming report, which represents a year-over-year change of -1.4%. Revenues are expected to be $9.98 billion, up 2.4% from the year-ago quarter. The consensus EPS estimate for the quarter has been revised 0.77% lower over the last 30 days to the current level. This is essentially a reflection of how the covering analysts have collectively reassessed their initial estimates over this period. Investors should keep in mind that the direction of estimate revisions by each of the covering analysts may not always get reflected in the aggregate change. Price, Consensus and EPS Surprise Estimate revisions ahead of a company's earnings release offer clues to the business conditions for the period whose results are coming out. Our proprietary surprise prediction model -- the Zacks Earnings ESP (Expected Surprise Prediction) -- has this insight at its core. The Zacks Earnings ESP compares the Most Accurate Estimate to the Zacks Consensus Estimate for the quarter; the Most Accurate Estimate is a more recent version of the Zacks Consensus EPS estimate. The idea here is that analysts revising their estimates right before an earnings release have the latest information, which could potentially be more accurate than what they and others contributing to the consensus had predicted earlier. Thus, a positive or negative Earnings ESP reading theoretically indicates the likely deviation of the actual earnings from the consensus estimate. However, the model's predictive power is significant for positive ESP readings only. A positive Earnings ESP is a strong predictor of an earnings beat, particularly when combined with a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold). Our research shows that stocks with this combination produce a positive surprise nearly 70% of the time, and a solid Zacks Rank actually increases the predictive power of Earnings ESP. Please note that a negative Earnings ESP reading is not indicative of an earnings miss. Our research shows that it is difficult to predict an earnings beat with any degree of confidence for stocks with negative Earnings ESP readings and/or Zacks Rank of 4 (Sell) or 5 (Strong Sell). For Mondelez, the Most Accurate Estimate is lower than the Zacks Consensus Estimate, suggesting that analysts have recently become bearish on the company's earnings prospects. This has resulted in an Earnings ESP of -0.71%. On the other hand, the stock currently carries a Zacks Rank of #3. So, this combination makes it difficult to conclusively predict that Mondelez will beat the consensus EPS estimate. Analysts often consider to what extent a company has been able to match consensus estimates in the past while calculating their estimates for its future earnings. So, it's worth taking a look at the surprise history for gauging its influence on the upcoming number. For the last reported quarter, it was expected that Mondelez would post earnings of $0.67 per share when it actually produced earnings of $0.73, delivering a surprise of +8.96%. Over the last four quarters, the company has beaten consensus EPS estimates four times. An earnings beat or miss may not be the sole basis for a stock moving higher or lower. Many stocks end up losing ground despite an earnings beat due to other factors that disappoint investors. Similarly, unforeseen catalysts help a number of stocks gain despite an earnings miss. That said, betting on stocks that are expected to beat earnings expectations does increase the odds of success. This is why it's worth checking a company's Earnings ESP and Zacks Rank ahead of its quarterly release. Make sure to utilize our Earnings ESP Filter to uncover the best stocks to buy or sell before they've reported. Mondelez doesn't appear a compelling earnings-beat candidate. However, investors should pay attention to other factors too for betting on this stock or staying away from it ahead of its earnings release. Among the stocks in the Zacks Food - Miscellaneous industry, Chefs' Warehouse (CHEF), is soon expected to post earnings of $0.59 per share for the quarter ended September 2026. This estimate indicates a year-over-year change of +18%. This quarter's revenue is expected to be $1.13 billion, up 10.4% from the year-ago quarter. The consensus EPS estimate for Chefs' Warehouse has been revised 0.6% higher over the last 30 days to the current level. However, a lower Most Accurate Estimate has resulted in an Earnings ESP of -1.70%. When combined with a Zacks Rank of #2 (Buy), this Earnings ESP makes it difficult to conclusively predict that Chefs' Warehouse will beat the consensus EPS estimate. The company beat consensus EPS estimates in each of the trailing four quarters. Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Mondelez International, Inc. (MDLZ) : Free Stock Analysis Report The Chefs' Warehouse, Inc. (CHEF) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

Image from Pixabay PepsiCo (PEP) shares gained 3.7% on October 8, 2026, the day it reported fiscal Q3 2026. The S&P 500 fell 0.5% during the same session. That advance came even as executives lowered their full-year earnings growth forecast while simultaneously raising their sales forecast. Buyers might be wagering that the company can continue to move higher volumes of food and beverages, leaving elevated costs as only a temporary headwind. So is the sales growth solid, and will rising costs keep squeezing its profit? PepsiCo Is Selling More Food And Drinks Sales growth has picked up so far. PepsiCo posted $25.3 billion in revenue, topping the consensus estimate of $24.9 billion. The company also reported core earnings per share of $2.34, ahead of projections of $2.29. Revenue for fiscal Q3 2026 increased 5.6% from a year earlier, outpacing the 2.6% growth recorded in fiscal Q3 2025. Executives noted on the October 8 call that the company moved more product: global beverage volume climbed 3%, and global food volume rose 1%. They described a stellar quarter for international operations, where organic revenue advanced 8%. The domestic market provided the soft spot. North American beverage operations slowed during the quarter, executives said, even though the region's food business improved from fiscal Q2 2026. PepsiCo Expects Rising Costs To Squeeze Its Profit Profitability remains the weaker side of the ledger, and executives anticipate further pressure before the year ends. At the midpoint of its range, PepsiCo now expects core earnings per share to grow 3.0% in fiscal 2026. That marks a decline from its previous outlook of growth at the low end of a 5% to 7% range. Management told analysts on the call that the margin, rather than sales, is behind the downward revision. Input costs are trending higher, and the specific mix of products sold is working against profit. PepsiCo had hedged its costs for six to 12 months. Those hedges are now running off, meaning more of the higher commodity costs will surface in the fourth quarter. Reported operating margin actually rose to 16.9% in fiscal Q3 2026 from 14.9% a year earlier. The squeeze shows up in the core figures instead. Core operating profit grew 3% and EPS rose 2%, both slower than sales. Management said margin performance remains below its own expectations. What Is Behind PepsiCo's Higher Sales Forecast? Currency fluctuations and acquisitions drove the sales upgrade, rather than accelerating growth in the existing business. PepsiCo raised its fiscal 2026 forecast for net revenue growth to 6.0%, up from the 5.0% projected in July. Executives expect currency to add 1.5 points to that total and acquisitions, net of divestitures, to supply another 1.5 points. The underlying organic growth forecast stayed flat at 3.0%. If volume gains fade while costs continue to climb, the higher sales forecast leaves shareholders with no additional organic growth to fall back on. Executives also declined to provide an outlook for 2027 margins on the call, stating they would rather not offer a partial view at this time. Sales growth looks solid for now, with higher volumes of food and drinks sold globally. At the same time, profitability faces mounting pressure from costs, and executives anticipate more of that strain materializing in the fourth quarter. Full-year core EPS growth, measured against the new 2.5% to 3.5% guide, will be the central figure to watch when PepsiCo reports in early February 2027. Does This Mean You Should Act On PEP? Our purpose is to inform you with unique data so you make the right investment decisions. That said, betting on a single stock is always risky, no matter which direction you choose. There is a smarter approach. Since its inception, the Trefis High Quality (HQ) Portfolio has returned 105%, beating the benchmark that combines the three major indices - the S&P 500, S&P Mid-cap, and Russell 2000. And it did so without taking the concentrated risk that comes with do-it-yourself stock picking. If that is how you want to invest, the HQ Portfolio is the place to start.

General Mills, Inc. GIS topped first-quarter fiscal 2027 earnings and sales expectations, but the underlying picture remained mixed. Better execution helped results come in ahead of forecasts even as profit measures declined from a year earlier. The reaffirmed full-year outlook keeps the recovery case measured. General Mills is showing progress in selected businesses, but weaker volume, input-cost pressure and uneven segment trends still limit the pace of earnings improvement. General Mills, Inc. price-consensus-eps-surprise-chart | General Mills, Inc. Quote General Mills posted adjusted earnings of 75 cents per share, above the Zacks Consensus Estimate of 72 cents. Net sales of $4.39 billion also surpassed the consensus estimate of $4.34 billion. The beats did not signal a return to growth. Adjusted earnings fell 13% in constant currency, while reported net sales declined 3% year over year. Organic net sales were essentially flat, showing that the company outperformed expectations without reversing the broader earnings pressure. Adjusted gross margin fell 90 basis points to 33.3% of net sales. Higher input costs weighed on profitability, partly offset by favorable net price realization and mix. Adjusted operating profit declined 11% in constant currency to $634 million, while adjusted operating margin fell 130 basis points to 14.4%. The pressure resembles broader packaged-food challenges. The Campbell's Company CPB reported a 190-basis-point decline in adjusted gross margin in its fiscal 2026 fourth quarter as cost inflation and supply-chain costs outweighed productivity gains. North America Retail organic sales fell 3% in the quarter, although retail sales trends improved sequentially and dollar-share trends strengthened across most priority categories. North America Foodservice and International each delivered 4% organic sales growth. North America Pet organic sales were flat. Double-digit cat-food growth and low-single-digit growth in pet treats were offset by a high-single-digit decline in dog food. Mondelez International, Inc. MDLZ offers a useful industry contrast, with second-quarter 2026 organic net revenues up 2.2% and adjusted gross margin up 20 basis points as pricing and productivity supported results. Management reaffirmed fiscal 2027 organic net sales growth of down 1.5% to up 0.5%. Adjusted operating profit is still expected to decline 8%-13% in constant currency, while adjusted earnings are projected at $3-$3.20 per share. Image Source: Zacks Investment Research The unchanged targets indicate that the first-quarter beat did not materially change the expected full-year reset. General Mills still expects comparison headwinds from the prior year's extra week, normalized incentive compensation and divested yogurt earnings, while cost savings and brand investments are intended to support improvement as the year progresses. The first-quarter report showed better execution in parts of the portfolio, but the earnings picture remains constrained by lower margins and uneven demand. That combination leaves the investment case dependent on whether current operating improvements can broaden and become durable. GIS currently carries a Zacks Rank #3 (Hold). It also has a Value Score of B, Growth Score of D, Momentum Score of C and VGM Score of C. The scores point to better value characteristics than growth or momentum characteristics, while the Zacks Rank supports a more measured stance until earnings trends show clearer improvement. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report General Mills, Inc. (GIS) : Free Stock Analysis Report The Campbell's Company (CPB) : Free Stock Analysis Report Mondelez International, Inc. (MDLZ) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

Helen of Troy Limited HELE reported improved profitability in the second quarter of fiscal 2027, supported by strength in its Home & Outdoor business, favorable tariff-related benefits and lower interest expenses. Management also raised its annual earnings outlook. The company posted adjusted earnings of 79 cents per share, beating the Zacks Consensus Estimate of 51 cents. The bottom line increased 33.9% from 59 cents reported in the year-ago quarter. Net sales increased 2.1% year over year to $440.9 million. The Zacks Consensus Estimate was pegged at $441.5 million. Helen of Troy Limited price-consensus-eps-surprise-chart | Helen of Troy Limited Quote The top line benefited from strong demand for packs, higher international sales, assortment and distribution gains, increased closeout channel sales and new product launches. These gains were partly offset by weakness in hair appliances, prestige hair care and water filtration. The consolidated gross margin expanded 800 basis points (bps) to 52.2%, primarily reflecting favorable tariff refunds, net of higher tariff costs and lower retail trade and promotional expenses. Tariff-related effects contributed approximately 560 bps to the improvement. Inflationary product costs and unfavorable inventory obsolescence trends partly offset these gains. The consolidated selling, general and administrative (SG&A) expense ratio increased 540 bps to 46.4%, reflecting higher personnel expenses, packaging-related costs, marketing investments and divestiture litigation expenses. Adjusted operating income increased 40.9% to $37.9 million, while the adjusted operating margin expanded 240 bps to 8.6%. Adjusted EBITDA rose to $49.4 million from $36.2 million, with the corresponding margin improving 280 bps to 11.2%. Home & Outdoor net sales increased 9.2% to $227.9 million, driven by growth across OXO, Hydro Flask and Osprey. Strong demand for technical, travel and lifestyle packs, higher international sales, distribution gains and new product launches supported performance. The segment's adjusted operating income increased 39.2% to $28 million, while its adjusted operating margin expanded 270 bps to 12.3%. Favorable tariff-related effects and operating leverage supported profitability, partly offset by higher personnel, packaging and marketing costs. Beauty & Wellness net sales declined 4.5% to $213 million. Weak demand for hair appliances and prestige hair care products, competitive pressures, reduced retailer replenishment orders and lower water filtration sales weighed on the performance. These declines were partly offset by higher heater and thermometer sales, strong nail care demand and new product introductions. The segment's adjusted operating income increased 45.7% to $10 million, while its adjusted operating margin improved 160 bps to 4.7%. Helen of Troy ended the quarter with cash and cash equivalents of $22.6 million compared with $22.4 million a year ago. Total short- and long-term debt declined to $672.6 million from $893.2 million in the prior-year period. Inventory decreased to $480.3 million from $528.9 million a year earlier. Accounts receivable turnover increased to 67.6 days from 72.2 days. The company's net leverage ratio improved to 3.0 times from 3.5 times at the end of the preceding quarter. For the first six months of fiscal 2027, operating cash flow increased to $56.5 million from $47.9 million. Free cash flow rose to $38.3 million from $23 million in the year-ago period. Management narrowed its fiscal 2027 net sales guidance to $1,768-$1,822 million from $1,759-$1,831 million. Home & Outdoor sales are projected at $851-$876 million, while Beauty & Wellness sales are anticipated at $917-$946 million. Adjusted earnings guidance was raised to $3.60-$4.15 per share from $3.25-$3.75. Adjusted EBITDA is now expected between $203 million and $210 million, up from the previous projection of $190-$197 million. The company also raised its free cash flow forecast to $120-$140 million from $85-$100 million. Management expects a net leverage ratio of 2.7 times or lower by fiscal year-end. For the third quarter, management anticipates net sales of $478.3-$504.5 million and adjusted earnings of $2.05-$2.40 per share, including an estimated tariff refund benefit of 66-77 cents per share. The second-quarter results included gross pretax tariff refunds of $26.9 million, of which approximately $23 million was reinvested. This resulted in a net pretax benefit of approximately $4 million and an estimated adjusted earnings benefit of 12 cents per share. For fiscal 2027, management expects approximately $80.5 million in gross tariff refunds, with 83-88% earmarked for reinvestment in brand development, organizational capabilities and inventory improvements. The estimated net pretax benefit is $10-$14 million. The outlook incorporates continued inflationary pressures, cautious retailer inventory management, weak discretionary demand and heightened promotional activity. Higher commodity, freight and supply-chain costs remain challenges as management prioritizes brand investment, commercial execution and balance-sheet productivity. The Zacks Rank #3 (Hold) stock has rallied 28.2% over the past year against the industry's decline of 1.4%. e.l.f. Beauty, Inc. ELF, a cosmetics and skincare products company currently carries a Zacks Rank #1 (Strong Buy). ELF delivered a trailing four-quarter surprise of 61.5%, on average. You can see the complete list of today's Zacks #1 Rank stocks here. The Zacks Consensus Estimate for e.l.f. Beauty's current fiscal-year sales and earnings per share (EPS) implies growth of 20.3% and 16.6%, respectively, from the year-ago figures. Mondelez International, Inc. MDLZ, a global snacking company, currently carries a Zacks Rank #2 (Buy). MDLZ delivered a trailing four-quarter earnings surprise of 5.8%, on average. The Zacks Consensus Estimate for Mondelez's current fiscal-year sales and EPS implies growth of 3.7% and 4.5%, respectively, from the year-ago figures. Mama's Creations, Inc. MAMA, a prepared-foods company focused on fresh, ready-to-eat and deli products, currently carries a Zacks Rank of 2. MAMA delivered a trailing four-quarter surprise of 121.7%, on average. The Zacks Consensus Estimate for Mama's Creations' current fiscal-year sales and EPS indicates respective increases of 30.3% and 66.7% from the year-ago period. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Helen of Troy Limited (HELE) : Free Stock Analysis Report Mondelez International, Inc. (MDLZ) : Free Stock Analysis Report e.l.f. Beauty (ELF) : Free Stock Analysis Report Mama's Creations, Inc. (MAMA) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

Valued at a market cap of $76.1 billion, Mondelez International, Inc. (MDLZ) makes and sells a broad range of biscuits, chocolates, and snack foods across markets worldwide. From Oreo and Ritz to Cadbury, Milka, and Toblerone, the Chicago-based food giant has built a global snack empire spanning some of the world's best-known treats. Mondelez is set to report its fiscal Q3 earnings in the near term. Wall Street expects EPS of $0.71, down 2.7% from $0.73 per share a year earlier. Still, Mondelez has a strong recent track record, beating analysts' bottom-line estimates in each of the past four quarters. - A $40 Billion Reason Why SPCX Stock Is Down Today - Why This Wall Street Analyst Just Issued a Bold Prediction for Nebius Stock - Why Investors Are Celebrating Qualcomm Striking a Licensing Deal with Huawei — Which Is Still on the Entity List - Our exclusive Barchart Brief newsletter is your FREE midday guide to what's moving stocks, sectors, and investor sentiment - delivered right when you need the info most. Subscribe today! For the current fiscal year, ending in December, analysts expect MDLZ to report a profit of $3.05 per share, representing a 4.5% increase from $2.92 per share in fiscal 2025. Furthermore, its EPS is expected to grow 10.8% year over year to $3.38 in fiscal 2027. MDLZ has declined 5.1% over the past 52 weeks, considerably underperforming both the S&P 500 Index's ($SPX) 16.2% return and the State Street Consumer Staples Select Sector SPDR ETF's (XLP) 4.5% uptick over the same time period. MDLZ has trailed the broader market as higher cocoa and other input costs, aggressive pricing, and weakening volumes have put pressure on both demand and profitability. After raising prices to offset soaring commodity costs, Mondelez has seen unit sales decline over the past two years, suggesting consumers are becoming more price-sensitive. At the same time, the company's expected 2.6% sales growth over the next 12 months points to a slower growth trajectory. On the bright side, MDLZ shares rose 1.5% on Sept. 22 after Mondelez unveiled Toblerone Diamond Truffles with Biscoff, a new premium chocolate collaboration with Lotus Bakeries. The diamond-shaped truffles combine Toblerone milk chocolate, Biscoff spread, and honey-almond nougat, targeting rising demand for premium, innovative confectionery. Wall Street analysts are moderately optimistic about MDLZ's stock, with a "Moderate Buy" rating overall. Among 23 analysts covering the stock, 13 recommend "Strong Buy," two indicate "Moderate Buy," and eight suggest "Hold." The mean price target for MDLZ is $68.55, indicating a 15.4% potential upside from the current levels. On the date of publication, Kritika Sarmah did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. This article was originally published on Barchart.com

PepsiCo, Inc. PEP has reported better-than-expected third-quarter 2026 results, wherein earnings and revenues surpassed the Zacks Consensus Estimate and improved year over year. Results benefited from organic revenue growth, favorable foreign currency translation and contributions from acquisitions, net of divestitures. PEP's third-quarter core earnings per share (EPS) of $2.34 beat the Zacks Consensus Estimate of $2.29 and improved 2% year over year. The company's core constant-currency EPS increased 1.5%. Foreign currency hurt EPS by 1%. Reported earnings rose 17% to $2.23 per share versus $1.90 in the year-ago quarter. Shares of the Zacks Rank #4 (Sell) company have lost 10.2% in the past three months compared with the industry's 1% decline. Image Source: Zacks Investment Research Net revenues increased 5.6% year over year to $25.27 billion and surpassed the Zacks Consensus Estimate of $24.88 billion. Organic revenues grew 3.1%, reflecting effective net pricing and contributions from organic volume growth. This marked the company's strongest organic revenue growth since the fourth quarter of 2023. PepsiCo's reported revenue growth included a 1.7-percentage-point net benefit from acquisitions and divestitures, and a 0.7-percentage-point benefit from foreign exchange translation. International organic revenues advanced 8%, marking the 22nd consecutive quarter of at least mid-single-digit growth. Global beverages and convenient foods organic volumes increased 3% and 1%, respectively, supported by robust international performance. Our model predicted year-over-year organic revenue growth of 2.5% for the third quarter, with a 2.1% gain from the price/mix and a 0.4% rise in volume. PepsiCo, Inc. price-consensus-eps-surprise-chart | PepsiCo, Inc. Quote On a consolidated basis, reported gross profit increased 7.3% year over year to $13.754 billion from $12.82 billion. The reported gross margin expanded 80 basis points (bps) to 54.4% from 53.6% in the year-ago quarter, reflecting stronger gross profit growth than revenues. The core gross profit increased 6.5% year over year to $13.748 billion. The core gross margin rose 50 bps to 54.4%. We anticipated the core gross margin to increase 30 bps year over year to 54.2% in the third quarter. In dollar terms, core gross profit was expected to improve 4.1%. PepsiCo's reported operating profit increased 19% to $4.26 billion, while core operating profit advanced 3% to $4.28 billion. The reported operating margin expanded 195 bps to 16.9%, whereas the core operating margin contracted 35 bps. Core operating profit benefited from productivity savings, effective net pricing and $178 million in tariff refunds. However, operating cost inflation, and increased advertising and marketing investments partly offset these gains. Our model predicted core SG&A expenses of $9.1 billion, which indicated year-over-year growth of 4%. As a percentage of revenues, core SG&A expenses were anticipated to be 36.8%, suggesting a 20-bps rise from the prior-year quarter. We expected a core operating margin of 17.4%, implying a 10-bps increase from the year-ago quarter's actual. PepsiCo Foods North America (PFNA) generated revenues of $6.5 billion, slightly below $6.53 billion in the year-ago quarter. Organic revenues declined marginally as lower effective net pricing offset volume gains. Organic volume benefited from improved performance in U.S. savory and salty snacks. The segment's core operating margin contracted 280 bps, reflecting affordability investments, higher advertising spending and the comparison with a prior-year asset sale gain. Productivity savings and increased organic volume provided partial offsets. PepsiCo Beverages North America (PBNA) reported revenues of $7.71 billion, up 5% year over year. Acquisitions primarily drove reported growth, while organic revenues declined slightly. Organic beverage volume fell 2%, although functional hydration and zero-sugar offerings performed well. International Beverages Franchise revenues increased 8% year over year to $1.4 billion, with organic revenues advancing 7%. Beverage volume grew 5%, supported by sustained demand across international markets. Europe, Middle East and Africa generated revenues of $5.41 billion, up 8% year over year. Organic revenues grew 9%, supported by effective net pricing and beverage volume growth. Latin America Foods' revenues climbed 14% year over year to $3.02 billion, while organic revenues advanced 6%. The segment registered 3% volume growth, reflecting continued demand across key markets. Asia Pacific Foods delivered revenues of $1.23 billion, representing 10% year-over-year growth. Organic revenues increased 9%, supported by an 11% rise in organic volume, the strongest volume performance among PepsiCo's reported segments. PepsiCo ended third-quarter 2026 with cash and cash equivalents of $10.68 billion as of Sept. 5, 2026, compared with $9.16 billion at the end of 2025. Short-term debt obligations totaled $9.22 billion, while long-term debt stood at $42.66 billion. Net cash provided by operating activities reached $7.95 billion as of the end of third-quarter 2026 compared with $5.47 billion in the year-ago period. Capital spending totaled $2.18 billion. The company paid out cash dividends of $5.94 billion and repurchased shares worth $739 million in the year-to-date period. PEP updated its outlook for 2026. PepsiCo expects organic revenue growth of 3% for 2026 compared with the previously mentioned 2-4%. Reported net revenue growth is projected at 6% versus the earlier stated 4-6%. The company lowered its core constant-currency earnings growth outlook to 1-2% from the previously mentioned low end of 4-6%. Core earnings growth is projected at 2.5-3.5% compared with the earlier stated low end of 5-7%. Management expects continued North American margin pressure in the fourth quarter. PepsiCo anticipates a core effective tax rate of 21% and capital spending below 5% of revenues. The company maintained its shareholder cash-return target of $8.9 billion, comprising $7.9 billion in dividends and $1 billion in share repurchases. Diageo Plc DEO is a global beverage alcohol company that produces, distills, brews, bottles, packages and distributes spirits, wine and beer. The company currently flaunts a Zacks Rank #1 (Strong Buy). You can see the complete list of today's Zacks #1 Rank stocks here. The Zacks Consensus Estimate for DEO's fiscal 2027 sales implies a decline of 3.1% and the same for earnings suggests 2.1% growth from the previous year's reported numbers. The Coca-Cola Company KO is the world's largest non-alcoholic beverage company, marketing a broad portfolio of sparkling soft drinks, water, juice, coffee, tea and sports beverages. It currently carries a Zacks Rank #2 (Buy). The Zacks Consensus Estimate for Coca-Cola's 2026 sales and earnings indicates growth of 4% and 9.7%, respectively, from the prior-year reported levels. KO delivered a trailing four-quarter earnings surprise of 4.6%, on average. Mondelez International Inc. MDLZ is a global snack food company that owns a broad portfolio of brands, including Oreo, Cadbury, Toblerone, Ritz and LU. MDLZ carries a Zacks Rank #2 at present. The Zacks Consensus Estimate for Mondelez's 2026 sales and earnings implies increases of 3.7% and 4.5%, respectively, from the prior-year reported levels. MDLZ delivered a trailing four-quarter earnings surprise of 5.8%, on average. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report PepsiCo, Inc. (PEP) : Free Stock Analysis Report CocaCola Company (The) (KO) : Free Stock Analysis Report Diageo plc (DEO) : Free Stock Analysis Report Mondelez International, Inc. (MDLZ) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

McCormick (MKC) came out with quarterly earnings of $0.86 per share, beating the Zacks Consensus Estimate of $0.75 per share. This compares to earnings of $0.85 per share a year ago. These figures are adjusted for non-recurring items. This quarterly report represents an earnings surprise of +14.67%. A quarter ago, it was expected that this spices and seasonings company would post earnings of $0.69 per share when it actually produced earnings of $0.8, delivering a surprise of +15.94%. Over the last four quarters, the company has surpassed consensus EPS estimates three times. McCormick, which belongs to the Zacks Food - Miscellaneous industry, posted revenues of $2.02 billion for the quarter ended August 2026, surpassing the Zacks Consensus Estimate by 2.34%. This compares to year-ago revenues of $1.72 billion. The company has topped consensus revenue estimates three times over the last four quarters. The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call. McCormick shares have lost about 31.9% since the beginning of the year versus the S&P 500's gain of 11.8%. While McCormick has underperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock? There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately. Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions. Ahead of this earnings release, the estimate revisions trend for McCormick was unfavorable. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #4 (Sell) for the stock. So, the shares are expected to underperform the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $0.87 on $2.11 billion in revenues for the coming quarter and $3.08 on $7.85 billion in revenues for the current fiscal year. Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Food - Miscellaneous is currently in the bottom 18% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1. Mondelez (MDLZ), another stock in the same industry, has yet to report results for the quarter ended September 2026. This maker of Oreo cookies, Cadbury chocolate and Trident gum is expected to post quarterly earnings of $0.71 per share in its upcoming report, which represents a year-over-year change of -2.7%. The consensus EPS estimate for the quarter has been revised 0.4% lower over the last 30 days to the current level. Mondelez's revenues are expected to be $9.97 billion, up 2.4% from the year-ago quarter. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report McCormick & Company, Incorporated (MKC) : Free Stock Analysis Report Mondelez International, Inc. (MDLZ) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

McCormick & Company, Incorporated MKC delivered a solid third-quarter fiscal 2026 performance, benefiting from the McCormick de Mexico acquisition, organic sales growth and improved profitability. Adjusted earnings of 86 cents per share rose 1.2% year over year and beat the Zacks Consensus Estimate of 75 cents. Net sales increased 17.4% to $2,024.8 million, surpassing the consensus mark of $1,979 million. Organic sales grew 1.9%, while adjusted gross margin expanded 180 basis points. McCormick & Company, Incorporated price-consensus-eps-surprise-chart | McCormick & Company, Incorporated Quote McCormick's reported sales growth included a 14.6% contribution from the McCormick de Mexico acquisition and a 0.9% favorable currency impact. On a constant-currency basis, net sales advanced 16.5%. Organic sales growth reflected a 2.2% contribution from pricing, partly offset by a 0.3% decline in volume and product mix. Management noted improving trends in Consumer Americas, while demand remained softer among certain CPG and quick-service restaurant customers in Flavor Solutions. Adjusted gross profit was $794.9 million in the quarter, up 23% year over year. Adjusted gross margin expanded 180 basis points to 39.3%, aided by McCormick de Mexico accretion, higher sales and savings from the Comprehensive Continuous Improvement program. Higher commodity and freight costs partly offset these benefits. Adjusted operating income increased 22.1% year over year to $358.5 million, including a 1.2% favorable currency impact. On a constant-currency basis, adjusted operating income rose 20.9%. The increase reflected higher gross profit and productivity savings, partly offset by higher selling, general and administrative expenses related to acquisitions, brand marketing and technology investments. Consumer segment sales increased 24.9% year over year to $1,215 million. McCormick de Mexico contributed 23.2% to growth, while organic sales increased 1.1%. Pricing rose 2.2%, more than offsetting a 1.1% decline in volume and product mix. Consumer-adjusted operating income advanced 24.4% to $241 million. Flavor Solutions sales climbed 7.7% to $809 million, including a 3.4% acquisition contribution. Organic sales grew 3%, supported by a 2.2% increase in pricing and 0.8% growth in volume and mix. Adjusted operating income rose 17.6% to $117 million. Asia-Pacific was a notable growth area, with organic sales increasing 8.3%, supported by new product launches and limited-time offers with QSR customers. Net cash provided by operating activities totaled $598.8 million for the first nine months of fiscal 2026 compared with $420.2 million in the prior-year period. The company paid $387 million in dividends and spent $131.2 million on capital expenditures. McCormick ended the quarter with cash and cash equivalents of $331.1 million. Long-term debt stood at $2,906.1 million, while short-term borrowings and the current portion of long-term debt totaled $2,112.1 million. Management reported a quarter-end leverage ratio of approximately 2.9 times and expects to continue reducing debt ahead of the proposed Unilever Foods combination. McCormick reaffirmed its fiscal 2026 net sales growth outlook of 13-17%, including an expected 11-13% contribution from McCormick de Mexico. Organic sales are projected to grow 1-3% on a constant-currency basis. Management now expects organic growth to land between the low end and midpoint of that range. Adjusted operating income is still projected to increase 16-20%, while adjusted earnings are anticipated between $3.05 and $3.13 per share, representing growth of 2-5%. Management expects adjusted operating income growth and adjusted earnings to finish around the midpoint of their respective ranges. The company continues to expect adjusted gross margin expansion of 100-120 basis points for fiscal 2026 and now anticipates reaching the high end of the range. This comes despite management raising its cost inflation expectation to 6-7% from the prior mid-single-digit forecast. For the fourth quarter, McCormick expects rising commodity and freight expenses, along with increased commercial investments in Consumer Americas, to pressure gross margin. A packaging-material supply constraint could also reduce total company fourth-quarter volume growth by up to one percentage point and is expected to affect full-year organic growth by about 30 basis points. The Zacks Rank #4 (Sell) stock has tumbled 31.9% year to date compared with the industry's decline of 6.5%. Mondelez International, Inc. MDLZ, a global snacking company, currently carries a Zacks Rank #2 (Buy). MDLZ delivered a trailing four-quarter earnings surprise of 5.8%, on average. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. The Zacks Consensus Estimate for Mondelez's current fiscal-year sales and earnings per share (EPS) implies growth of 3.7% and 4.5%, respectively, from the year-ago figures. Mama's Creations, Inc. MAMA, a prepared-foods company focused on fresh, ready-to-eat and deli products, currently carries a Zacks Rank of 2. MAMA delivered a trailing four-quarter surprise of 121.7%, on average. The Zacks Consensus Estimate for Mama's Creations' current fiscal-year sales and EPS indicates respective increases of 30.3% and 66.7% from the year-ago period. Laird Superfood, Inc. LSF, a consumer product company that develops, manufactures and markets plant-based, natural and functional food and beverage products, currently carries a Zacks Rank #2. LSF delivered an earnings surprise of 100% in the last reported quarter. The Zacks Consensus Estimate for Laird Superfood's current fiscal-year sales and EPS calls for growth of 188.2% and 104%, respectively, from the year-ago figures. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report McCormick & Company, Incorporated (MKC) : Free Stock Analysis Report Mondelez International, Inc. (MDLZ) : Free Stock Analysis Report Laird Superfood, Inc. (LSF) : Free Stock Analysis Report Mama's Creations, Inc. (MAMA) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

York Water holds the longest dividend streak in US public markets at 27 consecutive years, while WTW's $1.775B operating cash flow dwarfs its $358M dividend obligation. Amdocs and Ituran both run near-recession-proof revenue models, with DOX posting near-100% managed services renewal rates and ITRN carrying zero debt alongside $103.7M in net cash. All five stocks fund dividends from contracted or recurring revenue streams such as regulated rates, fee income, or subscriptions, insulating payouts from economic cycles. Read More: Learn 7 secret wealth tips high net worth investors use that most investors miss (sponsor) Income investors heading into the fourth quarter want payouts that don't wobble with the business cycle. The five names below share one thing: dividends funded by recurring, contracted, or fee-based revenue streams that keep flowing whether or not the macro cooperates. Each has raised its payout recently, and each trades on Nasdaq. As a grounding data point, Willis Towers Watson (NASDAQ:WTW) alone generated $360 million of first-half free cash flow, roughly double the prior-year period, giving the broker ample room to keep funding both dividends and buybacks. York Water (NASDAQ:YORW) is the small Pennsylvania regulated water utility whose payout streak is the longest in US public markets. The dividend yield sits at 2.73%, with a quarterly rate of $0.228 and the next payment due October 15, 2026. Trailing EPS of $1.60 against an annualized payout implied by that quarterly rate leaves solid earnings coverage, and management flagged its 27th consecutive year of dividend increases in the Q1 summary. The bull case is straightforward regulated rate-base growth. A rate increase that took effect March 1, 2026 drove Q3 revenue up 22.5% year over year to $23.52 million, with EPS of $0.49 beating the $0.40 estimate. Small tuck-ins including CMV Sewage and Pine Run extend the footprint. The caveat: annual capex has run above operating cash flow every year from 2020 through 2025, so growth is debt- and equity-financed, and the absolute yield is modest for the sector. How do you continue to grow a seven-figure portfolio in retirement? The last thing you want is to run out of money, you want your money to generate lasting income while you enjoy your life. Learn seven strategies high net worth investors use with new report: The Seven Secrets of High Net Worth Investors from Fisher Investments. Get your guide here (sponsor) WTW is a global insurance broker and HR advisor whose revenue is heavily fee-based and highly recurring. The current yield is 0.6%, with the quarterly dividend raised to $0.96 in 2026 from $0.92 in 2025, extending a multi-year hike cadence that shows quarterly amounts stepping up from $0.48 in 2016 to today. Trailing EPS of $16.16 dwarfs the annualized payout, and 2025 operating cash flow of $1.775 billion against $358 million in dividends leaves the payout well covered. The bull case is capital return on top of margin expansion. Q2 adjusted EPS rose 17% to $3.35, adjusted operating margin expanded 100 basis points to 19.5%, and management reiterated at least $1 billion of buybacks for the year. The Propel program targets an enterprise adjusted operating margin near 30% by 2028. Risk: the Willis Re JV creates a roughly $0.30 EPS headwind and the Newfront transaction is about $0.10 dilutive near term. Mondelez International (NASDAQ:MDLZ) owns Oreo, Ritz, Cadbury, Milka, and Toblerone. The current yield is 3.2%, backed by a quarterly dividend that stepped up to $0.50 beginning with the September 30, 2025 ex-date, extending a run of annual hikes visible in the record from $0.13 in 2013 to today. Full-year 2025 operating cash flow of $4.51 billion against $2.49 billion in dividend payments leaves clear coverage even after $1.28 billion of capex, and management guided FY2026 free cash flow to roughly $3 billion. The bull case is scale in snacking with emerging-market horsepower. Q2 adjusted EPS of $0.73 beat the $0.68 estimate, with Latin America up 15.1% and AMEA up 8.2%. CEO Dirk Van de Put said on the Q2 call that "emerging markets, strong volume-led growth, we expect that to continue," and CFO Luca Zaramella framed the profit trajectory bluntly: "You're going to see an acceleration of the gross profit dollar number, particularly in Q3, but also in Q4." Risk: cocoa cost volatility pressured Q2 adjusted operating margin by 120 basis points, and Europe organic revenue was down 1.0%. Amdocs (NASDAQ:DOX) sells the software and managed services that run telecom operators' billing and customer systems. The dividend yield is 3.6%, with the quarterly rate lifted to $0.569 in fiscal 2026 from $0.527 in fiscal 2025, continuing a hike cadence visible from $0.155 in 2014. Trailing EPS of $4.21 and fiscal 2025 operating cash flow of $749 million against $224 million in dividends and $104 million in capex give the payout wide coverage. The bull case is the annuity-like managed services base. Q3 non-GAAP EPS of $1.84 beat the $1.65 estimate, managed services made up 67% of revenue at $790.5 million with near-100% renewal rates, and 12-month backlog reached $4.26 billion. A new 10-year partnership with Liberty Latin America for the aOS agentic operating system anchors the AI pillar, and roughly $600 million of buyback capacity remains. Risk: shares are down 21% year to date on telco spending caution and a $106 million restructuring charge that pressured GAAP net income. Ituran Location and Control (NASDAQ:ITRN) runs vehicle telematics and stolen-vehicle recovery subscriptions in Israel and Latin America. The regular quarterly dividend is $0.50, alongside a $1.50 special payment tied to the March 30, 2026 ex-date. The regular rate stepped up from $0.39 across 2024 to $0.50 across 2025 and 2026. Trailing EPS of $3.23, a $103.7 million net cash balance sheet with no debt, and Q2 operating cash flow of $32.22 million underwrite the payout. The bull case is a growing recurring subscription book with expanding margins. Q2 revenue rose 20.7% to $104.79 million, subscription revenue was up 25% at $79.82 million, and Ituran added 41,000 net subscribers to reach a base of 2,711,000. Gross margin expanded to 50.9%. Risk: geographic concentration in Israel and Latin America and shekel currency exposure can whipsaw reported results. These five names are stitched together by one idea: dividends paid out of contracted rates, fee income, subscription revenue, or globally diversified snack cash flows rather than cyclical earnings. YORW and WTW anchor the list on multi-decade hike track records (if you want the tier above that, the 50-year club, we ranked ten of them by valuation in a free Dividend Kings report); MDLZ and DOX add mid-single-digit yields with covered cash flows; ITRN brings a debt-free balance sheet and a special payment on top of a rising regular dividend. Heading into year end, that mix of durability and rising payouts is what income investors should be prioritizing. How do you continue to grow a seven-figure portfolio in retirement? The last thing you want is to run out of money, you want your money to generate lasting income while you enjoy your life. Learn seven strategies high net worth investors use with new report: The Seven Secrets of High Net Worth Investors from Fisher Investments. Get your guide here (sponsor) Contact [email protected] for any questions or corrections.

General Mills (NYSE:GIS) is set to report its earnings on Tuesday, September 23, 2026. The company has $19 billion in current market capitalization. Revenue over the last twelve months was $18 billion, and it was operationally profitable with $2.7 billion in operating profits. While a lot will depend on how results stack up against consensus and expectations, understanding historical patterns might just turn the odds in your favor if you are an event-driven trader. There are two ways to do that: understand the historical odds and position yourself prior to the earnings release, or look at the correlation between immediate and medium-term returns post earnings and position yourself accordingly after the earnings are released. See earnings reaction history of all stocks Ask yourself - Is holding GIS stock risky? Of course it is. The Trefis High Quality Portfolio mitigates that risk. General Mills's Historical Odds Of Positive Post-Earnings Return Some observations on one-day (1D) post-earnings returns: There are 20 earnings data points recorded over the last five years, with 9 positive and 11 negative one-day (1D) returns observed. In summary, positive 1D returns were seen about 45% of the time. However, this percentage decreases to 33% if we consider data for the last 3 years instead of 5. Median of the 9 positive returns = 3.3%, and median of the 11 negative returns = -3.6% Additional data for observed 5-Day (5D) and 21-Day (21D) returns post earnings are summarized along with the statistics in the table below. Correlation Between 1D, 5D and 21D Historical Returns A relatively less risky strategy (though not useful if the correlation is low) is to understand the correlation between short-term and medium-term returns post earnings, find a pair that has the highest correlation, and execute the appropriate trade. For example, 5D_21D shows the strongest correlation here: if the 5D post-earnings return is positive, a trader can position themselves in the same direction over the following 21D window. Here is some correlation data based on a 5-year and a 3-year (more recent) history. Note that these correlations are between subsequent windows, not the cumulative columns above: 1D_5D is the correlation between the 1D post-earnings return and the subsequent return from day 1 through day 5, 1D_21D is between the 1D return and the subsequent return from day 1 through day 21, and 5D_21D is between the 5D return and the subsequent return from day 5 through day 21. Separately, if you want upside with a smoother ride than an individual stock such as GIS, consider the Trefis High Quality (HQ) Portfolio, with a collection of 30 stocks, has a track record of comfortably outperforming its benchmark that includes all 3 — the S&P 500, S&P mid-cap, and Russell 2000 indices. Why is that? As a group, HQ Portfolio stocks provided better returns with less risk versus the benchmark index; less of a roller-coaster ride, as evident in HQ Portfolio performance metrics.