📊 SJM Key Takeaways
Is J M SMUCKER Co (SJM) a Good Investment?
J.M. Smucker faces significant profitability headwinds with operating and net losses despite 6.7% revenue growth, indicating margin compression and operational challenges. While free cash flow generation remains positive at $672.3M, deteriorating liquidity metrics (current ratio 0.84x, quick ratio 0.35x) combined with high leverage (1.31x debt-to-equity) and negative interest coverage raise concerns about financial flexibility. The company must demonstrate a clear path to profitability restoration and deleveraging.
J M Smucker shows decent top-line growth and solid free cash flow generation, but current fundamentals are weighed down by sharply negative operating and net profitability. Weak liquidity, elevated leverage, and negative interest coverage suggest the business has limited balance-sheet flexibility unless margins recover meaningfully.
Why Buy J M SMUCKER Co Stock? SJM Key Strengths
- Revenue growth of 6.7% YoY demonstrates top-line demand resilience in consumer staples sector
- Strong free cash flow generation at $672.3M ($52M monthly burn on $6.8B revenue) provides liquidity despite profitability challenges
- Gross margin of 32% remains respectable, indicating pricing power and underlying product economics are intact
- Revenue grew 6.7% year over year, indicating the business still has demand support
- Operating cash flow of $894.40M and free cash flow of $672.30M provide meaningful internal cash generation
- Gross margin of 32.0% suggests the core product portfolio still retains underlying pricing power and gross profitability
SJM Stock Risks: J M SMUCKER Co Investment Risks
- Operating margin of -1.2% and net margin of -7.8% indicate severe profitability deterioration and operational inefficiency
- Liquidity crisis emerging: current ratio of 0.84x and quick ratio of 0.35x suggest insufficient short-term assets to cover liabilities
- High leverage with 1.31x debt-to-equity and negative interest coverage (-1.2x) limits financial flexibility and refinancing options
- Sharply negative returns (ROE -10.1%, ROA -3.2%) and $526.8M net loss represent capital destruction for shareholders
- Operating margin of -1.2% and net margin of -7.8% indicate serious earnings pressure
- Current ratio of 0.84x and quick ratio of 0.35x point to weak short-term liquidity
- Debt/equity of 1.31x and negative interest coverage raise concern about leverage sustainability if earnings stay depressed
Key Metrics to Watch
- Operating margin recovery trajectory and timeline to profitability
- Current ratio and working capital trends to assess liquidity runway
- Debt reduction pace relative to free cash flow generation
- Operating margin recovery and interest coverage improvement
- Free cash flow consistency alongside debt reduction
J M SMUCKER Co (SJM) Financial Metrics & Key Ratios
💡 AI Analyst Insight
The current ratio below 1.0x warrants monitoring of short-term liquidity.
SJM Profit Margin, ROE & Profitability Analysis
SJM vs Market Sector: How J M SMUCKER Co Compares
How J M SMUCKER Co compares to Market sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is J M SMUCKER Co Stock Overvalued? SJM Valuation Analysis 2026
Based on fundamental analysis, J M SMUCKER Co shows some fundamental concerns relative to the Market sector in 2026.
Note: This is a fundamental analysis based on SEC filings. For P/E ratio, price targets, and market-based valuation, consult financial data providers. This is not investment advice.
J M SMUCKER Co Balance Sheet: SJM Debt, Cash & Liquidity
SJM Revenue & Earnings Growth: 5-Year Financial Trend
5-Year Trend Summary: J M SMUCKER Co's revenue has shown modest growth of 9% over the 5-year period. The most recent EPS of $-0.86 indicates the company is currently unprofitable.
SJM Revenue Growth, EPS Growth & YoY Performance
SJM Quarterly Earnings & Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q3 2026 | $2.2B | -$24.5M | $-4.72 |
| Q2 2026 | $2.3B | -$24.5M | $-0.23 |
| Q1 2026 | $2.1B | -$43.9M | $-0.41 |
| Q3 2025 | $2.2B | -$24.5M | $1.13 |
| Q2 2025 | $1.9B | -$24.5M | $-0.23 |
| Q1 2025 | $1.8B | $183.6M | $1.74 |
| Q3 2024 | $2.2B | $109.8M | $1.13 |
| Q2 2024 | $1.9B | $109.8M | $1.79 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
J M SMUCKER Co Dividends, Buybacks & Capital Allocation
SJM SEC Filings: Latest 10-K & 10-Q Analysis
Access official SEC EDGAR filings for J M SMUCKER Co (CIK: 0000091419)
📋 Recent SEC Filings
| Date | Form | Document | Action |
|---|---|---|---|
| Apr 3, 2026 | 4 | xslF345X06/wk-form4_1775249700.xml | View → |
| Apr 3, 2026 | 4 | xslF345X06/wk-form4_1775249671.xml | View → |
| Apr 3, 2026 | 4 | xslF345X06/wk-form4_1775249645.xml | View → |
| Apr 3, 2026 | 4 | xslF345X06/wk-form4_1775249528.xml | View → |
| Mar 23, 2026 | 4 | xslF345X06/wk-form4_1774298909.xml | View → |
❓ Frequently Asked Questions about SJM
What is the AI rating for SJM?
J M SMUCKER Co (SJM) has a Combined AI Rating of SELL from Claude (SELL) and ChatGPT (SELL) with 78% combined confidence, based on fundamental analysis of SEC EDGAR filings.
What are SJM's key strengths?
Claude: Revenue growth of 6.7% YoY demonstrates top-line demand resilience in consumer staples sector. Strong free cash flow generation at $672.3M ($52M monthly burn on $6.8B revenue) provides liquidity despite profitability challenges. ChatGPT: Revenue grew 6.7% year over year, indicating the business still has demand support. Operating cash flow of $894.40M and free cash flow of $672.30M provide meaningful internal cash generation.
What are the risks of investing in SJM?
Claude: Operating margin of -1.2% and net margin of -7.8% indicate severe profitability deterioration and operational inefficiency. Liquidity crisis emerging: current ratio of 0.84x and quick ratio of 0.35x suggest insufficient short-term assets to cover liabilities. ChatGPT: Operating margin of -1.2% and net margin of -7.8% indicate serious earnings pressure. Current ratio of 0.84x and quick ratio of 0.35x point to weak short-term liquidity.
What is SJM's revenue and growth?
J M SMUCKER Co reported revenue of $6.8B.
Does SJM pay dividends?
J M SMUCKER Co pays dividends, with $347.9M distributed to shareholders in the trailing twelve months.
Where can I find SJM SEC filings?
Official SEC filings for J M SMUCKER Co (CIK: 0000091419) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is SJM's EPS?
J M SMUCKER Co has a diluted EPS of $-4.94.
How is the AI analysis conducted?
Two independent AI systems — Claude (Anthropic) and ChatGPT (OpenAI) — analyze SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports. Each AI evaluates financial health, profitability ratios, balance sheet strength, and growth metrics. The combined rating reflects both perspectives for balanced insights.
Is SJM a good stock to buy right now?
Based on our AI fundamental analysis in April 2026, J M SMUCKER Co has a SELL rating with 78% confidence. Review the strengths and risks sections above before making a decision. This is not investment advice.
Is SJM stock overvalued or undervalued?
Valuation metrics for SJM: ROE of -10.1% (sector avg: 15%), net margin of -7.8% (sector avg: 12%). Compare these metrics with sector averages to assess valuation.
Should I buy SJM stock in 2026?
Our dual AI analysis gives J M SMUCKER Co a combined SELL rating for 2026. Revenue is data pending, with profitability at or below sector average. Always conduct your own research.
What is SJM's free cash flow?
J M SMUCKER Co's operating cash flow is $894.4M, with capital expenditures of $222.1M. FCF margin is 9.9%.
How does SJM compare to other Market stocks?
Vs Default sector averages: Net margin -7.8% (avg: 12%), ROE -10.1% (avg: 15%), current ratio 0.84 (avg: 1.8).