Valued at a market cap of $87.6 billion, Mondelez International, Inc. (MDLZ) manufactures, markets, and sells snack food and beverage products. The Chicago, Illinois-based company owns iconic brands like Oreo, Cadbury, Toblerone, Ritz, and Bournvita, and specializes in biscuits, chocolate, gum, candy, and powdered beverages. 

Shares of this confectionery company have lagged behind the broader market over the past 52 weeks. MDLZ has declined 3.9% over this time frame, while the broader S&P 500 Index ($SPX) has surged 12.3%. However, on a YTD basis, the stock is up 13.4%, outpacing SPX’s 3.3% downtick. 

Narrowing the focus, MDLZ has outperformed the First Trust Nasdaq Food & Beverage ETF’s (FTXG) 6.8% loss over the past 52 weeks and marginal decline on a YTD basis. 

On Apr. 29, MDLZ released its mixed Q1 earnings results, and shares of the company soared 3.8% in the following trading session. Its revenue rose marginally year-over-year to $9.3 billion but slightly missed the consensus estimates due to currency headwinds and the end of a temporary distributor deal tied to its divested gum business. Nonetheless, on the upside, its organic revenue grew 3.1% from the year-ago quarter. Additionally, despite a 20.4% drop in adjusted EPS to $0.74, the figure surpassed Wall Street expectations by a notable 13.8%, thanks to fewer outstanding shares, lower taxes, and contributions from an acquisition, which partially offset operating declines and higher interest and other expenses. 

Looking ahead to fiscal 2025, Mondelez maintained its forecast of approximately 5% organic revenue growth but expects adjusted EPS to fall nearly 10% due to unprecedented cocoa cost inflation.

For the current fiscal year, ending in December, analysts expect MDLZ’s EPS to decline 10.1% year over year to $3.02. The company’s earnings surprise history is mixed. It exceeded the consensus estimates in three of the last four quarters, while missing on another occasion. 

Among the 25 analysts covering the stock, the consensus rating is a “Moderate Buy” which is based on 14 “Strong Buy,” two “Moderate Buy,” eight “Hold,” and one “Strong Sell” rating. 

This configuration is slightly less bullish than a month ago, with 15 analysts suggesting a “Strong Buy” rating. 

On May 1, D.A. Davidson analyst Brian Holland maintained a “Hold” rating on MDLZ and set a price target of $68, which indicates a marginal potential upside from the current levels. 

The mean price target of $71 represents a 4.8% potential upside from MDLZ’s current price levels, while the Street-high price target of $79 suggests an upside potential of 16.6%.