NEW YORK (TheStreet) -- General Mills Inc. will cut another 700 to 800 jobs as part of a major cost-cutting effort, layoffs announced less than two weeks after the company reported aa bleak fourth quarter and announced two plant closings, the Star Tribune reports. The consumer foods company, buffeted by weak sales, revealed the job cuts late Tuesday in a filing with federal securities regulators. The head count reduction will primarily be in the U.S., the filing said. General Mills employs about 5,000 in the Twin Cities, mostly in white-collar positions, the Star Tribune added. Shares of General Mills closed down at $50.45 yesterday. Must Read: Warren Buffett's 25 Favorite Stocks 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 GENERAL MILLS INC as a Buy with a ratings score of A-. TheStreet Ratings Team has this to say about their recommendation: "We rate GENERAL MILLS INC (GIS) a BUY. This is based on the convergence of positive investment measures, which should help this stock outperform the majority of stocks that we rate. The company's strengths can be seen in multiple areas, such as its notable return on equity, expanding profit margins and increase in stock price during the past year. We feel these strengths outweigh the fact that the company has had sub par growth in net income." Highlights from the analysis by TheStreet Ratings Team goes as follows: The return on equity has improved slightly when compared to the same quarter one year prior. This can be construed as a modest strength in the organization. When compared to other companies in the Food Products industry and the overall market, GENERAL MILLS INC's return on equity exceeds that of the industry average and significantly exceeds that of the S&P 500. GENERAL MILLS INC's earnings per share declined by 21.4% in the most recent quarter compared to the same quarter a year ago. This company has reported somewhat volatile earnings recently. But, we feel it is poised for EPS growth in the coming year. During the past fiscal year, GENERAL MILLS INC increased its bottom line by earning $2.83 versus $2.79 in the prior year. This year, the market expects an improvement in earnings ($2.99 versus $2.83). 37.23% is the gross profit margin for GENERAL MILLS INC which we consider to be strong. Regardless of GIS's high profit margin, it has managed to decrease from the same period last year. Despite the mixed results of the gross profit margin, GIS's net profit margin of 8.08% compares favorably to the industry average. GIS, with its decline in revenue, slightly underperformed the industry average of 1.4%. Since the same quarter one year prior, revenues slightly dropped by 2.4%. Weakness in the company's revenue seems to have hurt the bottom line, decreasing earnings per share. In its most recent trading session, GIS has closed at a price level that was not very different from its closing price of one year earlier. This is probably due to its weak earnings growth as well as other mixed factors. Turning our attention to the future direction of the stock, it goes without saying that even the best stocks can fall in an overall down market. However, in any other environment, this stock still has good upside potential despite the fact that it has already risen in the past year. You can view the full analysis from the report here: GIS 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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