Chicago, Illinois-based Mondelez International, Inc. (MDLZ) manufactures, markets, and sells a wide range of snacks and beverages. With a market cap of $101 billion, Mondelez's operations span various countries in the Americas, Asia-Pacific, the Middle East, Africa, and Europe.
Companies worth $10 billion or more are generally described as "large-cap stocks," Mondelez fits right into that category, with its market cap exceeding this threshold, reflecting its substantial size, influence, and dominance in the confectionery industry. It is famously known for its chocolates, biscuits, and candies.
Mondelez is down 2.8% from its 52-week high of $77.20, achieved on Feb. 2. MDLZ gained 10.4% over the three months, outperforming the S&P 500 Index’s ($SPX) 2.8% gains during the same time frame.
Over the longer term, Mondelez has underperformed SPX. MDLZ gained 7.9% over the past 52 weeks and 3.6% in 2024, lagging behind SPX’s 22.4% gains over the past year and 15.4% returns on a YTD basis.
To confirm the recent bullish trend, MDLZ has traded above its 50-day moving average since late July and above its 200-day moving average since mid-August.
Shares of Mondelez rose 1.9% following its Q2 earnings release on Jul. 30. Although the company reported a 1.9% annual decline in net revenues to $8.3 billion due to a drop in volumes, its organic revenue grew by 2.5%. Additionally, its EPS of $0.86 surpassed the consensus estimates by 10.3%
Recently, on Sep. 4, Mondelez's stock surged 4.2% after its top executives at the Barclays Global Consumer Staples Conference indicated early signs of a volume recovery. They also outlined plans to expand their cakes and pastries category in markets where Mondelez has established a strong presence in biscuits, chocolate, and baked snacks.
Mondelez's competitor, Hershey Company (HSY), has underperformed MDLZ over the past year. HSY has dipped 6.6% over the 52 weeks however, HSY is up 6.3% in 2024, outpacing MDLZ on a YTD basis.
Among the 22 analysts covering the MDLZ stock, the consensus rating is a “Strong Buy.” The mean target price of $78.28 represents a potential upside of 4.3% from current price levels.
On the date of publication, Aditya Sarawgi 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. For more information please view the Barchart Disclosure Policy here.
