Stock fact sheet · data as of
General Mills, Inc. (GIS): fair value, margin of safety and Wheel Score
Consumer Defensive · Packaged Foods · United States · Speculative / Distressed
Is GIS undervalued?
GIS has a margin of safety of 46%: the stock closed at 32.88 on 16 Oct 2026 against a GLS average fair value of 60.70. 3 of the 3 valuation models that produced a number sit above the price. Our screens treat a discount this large as a strong starting point for a cash-secured put, not as a verdict - the fair value is a model output, and a wide gap can mean the models are missing something the market knows.
The average is built from just 3 models (DCF, 10 Cap, DDM) - the rest returned nothing because an input they need (dividends, free cash flow, book value) is zero or negative - so treat it with more caution than usual.
The nightly engine files GIS under Speculative / Distressed - negative earnings or a Piotroski score of 3 or less - which caps its Wheel Score at 45 and keeps it out of the Sunday Scan.
Nine valuation models for GIS
Each model turns the latest filed numbers into a value per share; the GLS fair value is the simple average of the ones that produce a positive number. The last two rows are shown for reference and never enter the average. The Quote page lets you switch any model off and add your own margin of safety.
| Model | Value | vs price | What it measures |
|---|---|---|---|
| DCF | 67.34 | +105% | Present value of the projected free cash flows, discounted at the cost of capital |
| Graham Number | - | - | The most a defensive investor pays for the earnings and book value per share; no value tonight |
| Graham Growth | - | - | Graham's growth formula: EPS × (8.5 + 2 × growth), adjusted for bond yields; no value tonight |
| Lynch | - | - | EPS × the earnings growth rate (PEG of 1), growth capped at 25%; no value tonight |
| GLS Growth | - | - | EPS compounded ten years at the blended growth rate, discounted back at 15% a year; no value tonight |
| 10 Cap | 78.85 | +140% | Owner's earnings (operating cash flow less maintenance capex) capitalised at 10% |
| Payback Time | - | - | Eight years of compounded free cash flow: the price at which the business pays for itself; no value tonight |
| DDM | 35.90 | +9% | Dividend discount model: next year's dividend ÷ (10% − 3% growth); needs a dividend |
| EPV | - | - | Earnings power value: current EPS capitalised at 9% with no growth; no value tonight |
| Zombie (liquidation) | -33.70 | -202% | Current assets less all liabilities, per share: the balance-sheet floor. Not in the average |
| Wall St target | 36.00 | +9% | Analysts' average 12-month price target. Not in the average |
Quality and financial health
General Mills, Inc. scores 5 of 9 on the Piotroski F-score: a middling result that falls one point short of the Sunday Scan's "6 or more" rule. Some of the nine tests on profitability, leverage and efficiency are failed, so the accounts are worth a look before selling a put on the name. A GLS Moat score of 2.4/10 is a weak reading: the ten-year history the score grades (revenue, EPS, book value, margins, cash flow, share count, ROIC) has not been steady, so the Moat part of the Wheel Score contributes little.
Returns on capital are thin or negative - ROIC -0.4%, ROE -1.2%, ROA -0.3% - with debt at 1.84 times equity and a free-cash-flow yield of 8.8%.
The dividend yield is high at 7.42% (payout ratio -147%). A yield this size is often the market's way of pricing a risk to the payout, so the health score and cash flow matter more than usual. Revenue comes mainly from Snacks 24%, Cereal 17%, Pet 15% (quarter Q1 FY2027).
Institutional ownership scores 10/10, insider activity 1/10 and Congressional trading 10/10 on the GLS smart-money scales.
| Piotroski F-score | 5 / 9 | ROIC | -0.4% |
|---|---|---|---|
| GLS Moat | 2.4 / 10 | ROE | -1.2% |
| Debt / equity | 1.84 | ROA | -0.3% |
| Free-cash-flow yield | 8.8% | Payout ratio | -147% |
| Institutions | 10 / 10 | Insiders · Congress | 1 · 10 / 10 |
Wheel Score 45: Weak
With a Wheel Score of 45 General Mills, Inc. sits in the Weak band, capped at 45 because the engine files it as Speculative / Distressed. The parts - Value 25/25, Health 11/20, Moat 4/15, Premium 19/20, Stability 20/20 - show where: Moat (4/15) scores lowest.
Implied volatility is 34% on the near-the-money contracts 20-60 days out: some premium, but under the 35-60% range the Wheel Score pays full marks for (19 of 20 points). The option chain is deep: 249,036 contracts of open interest across all expiries, which means tight fills at most strikes.
Volume runs at 13.7M shares a day on a market cap of $17.6B, with a beta of -0.05 - a low beta, so day-to-day moves are smaller than the market's; the Stability part of the Wheel Score gives that 20 of 20.
| Part | Points | From | |
|---|---|---|---|
| Value | 25 / 25 | 46% margin of safety | |
| Health | 11 / 20 | Piotroski 5/9 | |
| Moat | 4 / 15 | moat 2.4/10 | |
| Premium | 19 / 20 | implied volatility 34% | |
| Stability | 20 / 20 | 13.7M shares/day, $17.6B cap, beta -0.05 |
The Wheel Score ranks ~7,400 US stocks for selling cash-secured puts and covered calls; it is updated nightly and is not a recommendation. The walkthrough lesson shows how the score fits into a trade, start to finish.
Upcoming events
The next earnings report is due on 23 Dec 2026, 68 days away - outside the window of a 30-45-day put sold today.
Earnings, dividend, IPO, split and economic calendars for the whole market, filterable to your watchlists.
Similar stocks in Packaged Foods
The 12 companies below are the closest to General Mills, Inc. by market cap within the Packaged Foods industry, each with its own fact sheet; the Compare page puts up to eight of them side by side.
| Stock | Close | Fair value | MoS | Wheel | Mkt cap |
|---|---|---|---|---|---|
| SJM The J. M. Smucker Company | 121.84 | 80.04 | -52% | 56Fair | $13.0B |
| MKC McCormick & Company, Incorporated | 45.71 | 73.06 | +37% | 81Prime | $12.3B |
| MICC The Magnum Ice Cream Company N.V. | 18.44 | 21.79 | +15% | 76Good | $11.3B |
| KHC The Kraft Heinz Company | 23.28 | 35.95 | +35% | 45Weak | $27.6B |
| HRL Hormel Foods Corporation | 20.19 | 16.39 | -23% | 54Fair | $11.1B |
| JBS Jbs N.V. | 12.72 | 66.75 | +81% | 88Prime | $28.2B |
| DAR Darling Ingredients Inc. | 60.87 | 63.96 | +5% | 81Prime | $9.6B |
| LW Lamb Weston Holdings, Inc. | 54.21 | 39.77 | -36% | 63Fair | $7.5B |
| SFD Smithfield Foods, Inc. | 18.30 | 34.73 | +47% | 78Good | $7.2B |
| PPC Pilgrim's Pride Corporation | 29.01 | 65.35 | +56% | 82Prime | $6.9B |
| CAG Conagra Brands, Inc. | 14.18 | 26.09 | +46% | 45Weak | $6.8B |
| INGR Ingredion Incorporated | 97.27 | 228.28 | +57% | 82Prime | $6.1B |
⚖ Compare GIS with 7 of them All Consumer Defensive stocks →
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Start free See the Sunday ScanQuestions about GIS
Is GIS undervalued right now?
By the GLS models, yes: at 32.88 the stock is 46% below the average fair value of 60.70 (data as of 16 Oct 2026). Whether the discount is deserved is the question to research next.
What is the Wheel Score of GIS and what does it mean?
GIS scores 45 out of 100 (Weak). The Wheel Score blends the margin of safety (25 points), Piotroski health (20), the GLS moat (15), the option premium on offer (20) and trading stability (20) into one number that ranks stocks for the wheel strategy - selling cash-secured puts, then covered calls if assigned. 80 and above is Prime, 65-79 Good, 50-64 Fair, under 50 Weak.
What is the GLS fair value for GIS?
60.70 per share as of 16 Oct 2026 - the simple average of the 3 valuation models (out of nine: DCF, Graham Number, Graham Growth, Lynch, GLS Growth, 10 Cap, Payback Time, DDM and EPV) that produced a positive value. The models run every night on the latest filings; the Quote page lets you switch any of them off and add a margin of safety of your own.
When does General Mills, Inc. report earnings next?
The next earnings report is due on 23 Dec 2026, 68 days from the data date of 16 Oct 2026. The Calendars page lists every upcoming report with its time of day.
Does GIS have listed options, and how liquid are they?
Yes. The nightly snapshot found 362 listed contracts with 249,036 open interest across all expiries and implied volatility of 34% on the near-the-money contracts. The Options scanner lists the cash-secured put and covered call set-ups with premium and annualised yield worked out.