How Will Mondelez International (MDLZ) Stock Be Affected By Its New Leadership?

NEW YORK (TheStreet) -- Mondelez International (MDLZ)  appointed Dana Anderson as its new senior vice president and chief marketing officer on Thursday, making her overseer of the company's global portfolio of advertising, media and marketing partners.

Anderson, the 25 year industry veteran, previously held the position of SVP Marketing Communication and Strategy for the snack foods manufacturer since 2012 after holding the same position at Kraft since 2009.

Mondelez International shares are down 1.3% to $34.80 on heavy trading volume Thursday.STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12 months. Learn more.

TheStreet Ratings team rates MONDELEZ INTERNATIONAL INC as a Buy with a ratings score of B+. TheStreet Ratings Team has this to say about their recommendation:

"We rate MONDELEZ INTERNATIONAL INC (MDLZ) a BUY. This is driven by a few notable strengths, which we believe should have a greater impact than any weaknesses, and should give investors a better performance opportunity than most stocks we cover. The company's strengths can be seen in multiple areas, such as its growth in earnings per share, good cash flow from operations, increase in net income, largely solid financial position with reasonable debt levels by most measures and expanding profit margins. Although no company is perfect, currently we do not see any significant weaknesses which are likely to detract from the generally positive outlook."

Highlights from the analysis by TheStreet Ratings Team goes as follows:

  • MONDELEZ INTERNATIONAL INC has improved earnings per share by 9.1% in the most recent quarter compared to the same quarter a year ago. The company has demonstrated a pattern of positive earnings per share growth over the past year. We feel that this trend should continue. During the past fiscal year, MONDELEZ INTERNATIONAL INC increased its bottom line by earning $1.28 versus $0.87 in the prior year. This year, the market expects an improvement in earnings ($1.69 versus $1.28).
  • Net operating cash flow has increased to $945.00 million or 17.68% when compared to the same quarter last year. The firm also exceeded the industry average cash flow growth rate of 0.95%.
  • The net income growth from the same quarter one year ago has exceeded that of the S&P 500, but is less than that of the Food Products industry average. The net income increased by 3.5% when compared to the same quarter one year prior, going from $601.00 million to $622.00 million.
  • The current debt-to-equity ratio, 0.57, is low and is below the industry average, implying that there has been successful management of debt levels. Despite the fact that MDLZ's debt-to-equity ratio is low, the quick ratio, which is currently 0.51, displays a potential problem in covering short-term cash needs.
  • 39.43% is the gross profit margin for MONDELEZ INTERNATIONAL INC which we consider to be strong. Regardless of MDLZ's high profit margin, it has managed to decrease from the same period last year. Despite the mixed results of the gross profit margin, the net profit margin of 7.37% trails the industry average.
  • You can view the full analysis from the report here: MDLZ Ratings Report
STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12 months. Learn more.

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