Does The Street Have Kellogg Figured Out?

Kellogg (NYSE: K  ) is expected to report Q4 earnings on Feb. 5. Here's what Wall Street wants to see:

The 10-second takeaway
Comparing the upcoming quarter to the prior-year quarter, average analyst estimates predict Kellogg's revenues will increase 14.1% and EPS will expand 3.1%.

The average estimate for revenue is $3.44 billion. On the bottom line, the average EPS estimate is $0.66.

Revenue details
Last quarter, Kellogg booked revenue of $3.72 billion. GAAP reported sales were 12% higher than the prior-year quarter's $3.31 billion.

Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.

EPS details
Last quarter, non-GAAP EPS came in at $0.86. GAAP EPS of $0.82 for Q3 were 2.5% higher than the prior-year quarter's $0.80 per share.

Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.

Recent performance
For the preceding quarter, gross margin was 38.8%, 200 basis points worse than the prior-year quarter. Operating margin was 13.4%, 60 basis points worse than the prior-year quarter. Net margin was 8.0%, 80 basis points worse than the prior-year quarter.

Looking ahead

The full year's average estimate for revenue is $14.08 billion. The average EPS estimate is $3.39.

Investor sentiment
The stock has a three-star rating (out of five) at Motley Fool CAPS, with 877 members out of 962 rating the stock outperform, and 85 members rating it underperform. Among 300 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 282 give Kellogg a green thumbs-up, and 18 give it a red thumbs-down.

Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Kellogg is hold, with an average price target of $52.60.

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