By Nate Wolf

Shares of J.M. Smucker jumped Thursday after the company reported better-than-expected quarterly earnings and struck a deal with activist investor Elliott Investment Management.

The company, which owns brands like Jif peanut butter and Folgers coffee, posted adjusted earnings of $2.38 a share for its fiscal third quarter, ahead of Wall Street's forecast of $2.27. Net sales totaled $2.34 billion, up 7% from last year and above analysts' consensus call for $2.32 billion, according to FactSet.

Smucker also announced the appointments of Woo-Sung (Bruce) Chung and David Singer to its board, effective April 15, following discussions with Elliott. The activist firm entered into an information-sharing agreement with Smucker to collaborate toward driving shareholder value.

Smucker stock jumped 6.7% Thursday, putting it on pace for its largest single-day percentage increase since Aug. 25, 2020, according to Dow Jones Market Data. On a day when many market observers expected Nvidia's earnings beat to boost the technology sector, Smucker was one of the S&P 500's top performers.

Shares were up 9% this year through Wednesday's close as Wall Street rotated out of riskier growth stocks and into consumer staples. But the company has struggled to attract investors in recent years amid sluggish growth in the packaged-food category. An ill-fated purchase of Twinkies in 2023 hasn't helped.

Smucker's coffee business -- its largest segment -- was the major growth driver in the third quarter. Coffee sales rose 23% from last year, though profit declined.

The company reiterated its earnings guidance for fiscal 2026, but it now expects year-over-year sales growth of 3.5% to 4%, down at the high end from a previous range of 3.5% to 4.5%. The adjustment came after a fire at one of Smucker's manufacturing facilities, the company said.

Write to Nate Wolf at nate.wolf@barrons.com

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February 26, 2026 10:11 ET (15:11 GMT)

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