GIS Stock Nears Fresh High on Bull Note

Piper Sandler said General Mills is well positioned to outperform in the current market

Digital Content Manager
Apr 15, 2020 at 9:50 AM
facebook twitter linkedin


Packaged food producer General Mills, Inc. (NYSE:GIS) is up 1% at $59.41 after Piper Sandler upgraded the equity to "overweight" from "neutral" and lifted its price target to $67 from $59. The analyst said General Mills' recent retail trends and limited exposure to the foodservice space indicates that it is well positioned to outperform in the current market. 

The pop puts GIS at a one-month high, which is just a chip shot from its two-year peak of $60. Looking back, the equity has enjoyed recent support at its 10-day moving average, which helped guide GIS away from its late-March plummet near the $47 region. Since then, GIS is up roughly 25%, and boasts a 10% year-to-date gain. 

The majority of the brokerage bunch still isn't sold on General Mills. Of the 12 covering the cereal specialist, only two call it a "strong buy" while the rest say "hold." Adding to this, the consensus 12-month price target of $58.88 is right in line with last night's close. 

Echoing this, GIS sports a 10-day put/call volume ratio of 0.82 at the the International Securities Exchange (ISE), Cboe Options Exchange (CBOE), and NASDAQ OMX PHLX (PHLX) which sits in the 75th percentile of its annual range. This means that while long calls are still outnumbering long puts overall, there's been a healthier-than-usual appetite for these bearish bets of late.  

 

 

Minimize Risk While Maximizing Profits

There is no options strategy like this one, which consistently minimizes risk while maintaining maximum profits. Perfect for traders looking for ways to control risk, reduce losses, and increase the likelihood of success when trading calls and puts. The Schaeffer’s team has over 41 years of options trading success targeting +100% gains on every trade. Rest assured your losses are effectively limited to your initial cost at the time of making your move! Don't waste another second... join us right now before the next trade is released! 

 

300x250 - Banner 3 - v1