General Mills Stock Drops After Profit, Sales Outlook Cut

General Mills' stock dropped 4.2% in premarket trade Friday after the company cut its full-year profit and sales outlook, citing weak food-industry trends in the U.S. The food giant, which brands include Cheerios, Haagen-Dazs, Pillsbury and Old El Paso, said it now expects adjusted earnings per share for the fiscal year ending May 2015 to grow at a "low single-digit" percentage rate above fiscal 2014 earnings of $2.82 a share, compared with a previous growth target of a "high single-digit" rate. The company cut its percentage-growth target for revenue to a "low single-digit" rate from "mid single-digit." For the fiscal second-quarter, the company expects adjusted per-share earnings of between 75 cents and 77 cents, well below the FactSet consensus analyst estimate of 88 cents. The stock had gained 6.7% year to date through Thursday, compared with a 9.9% rise in the S&P 500.