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Kellogg Co K

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Morningstar’s Analysis

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1-Star Price

PREMIUM

5-Star Price

PREMIUM

Economic Moat

PREMIUM

Capital Allocation

PREMIUM

Even If Murky Conditions Lie Ahead, We Think Kellogg Has Built a Solid Foundation; Shares Attractive

Erin Lash, CFA Sector Director

Analyst Note

| Erin Lash, CFA |

Heading into Kellogg’s second-quarter earnings report, we think the market was keen to assess how its top line would stack up as the effects of the pandemic fade. And from our vantage point, the modest 0.4% draw-down in organic sales relative to 9% organic growth realized at the height of consumer stock-ups in the April through June quarter last year suggests Kellogg’s strategic playbook (focused on increasing investments in capabilities and brands) is hitting the mark.

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Company Profile

Business Description

Founded in 1906, Kellogg is a leading global manufacturer and marketer of cereal, cookies, crackers, and other packaged foods. Its offerings are manufactured in 21 countries and marketed in more than 180 countries. Its product mix includes well-known brands such as Special K, Frosted Flakes, Froot Loops, Rice Krispies, Pop-Tarts, Eggo, Kashi, and Morningstar Farms. The firm added the Pringles brand to its mix in 2012. Sales outside its home turf account for around 40% of Kellogg's consolidated sales base.

Contact
One Kellogg Square
Battle Creek, MI, 49016-3599
T +1 269 961-2000
Sector Consumer Defensive
Industry Packaged Foods
Most Recent Earnings Mar 31, 2021
Fiscal Year End Jan 1, 2022
Stock Type High Yield
Employees 31,000

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