Conagra Slides 4% as Weak Earnings and Bleak Outlook Rattle Investors

ConAgra Brands Inc. (NYSE:CAG) is a well-known player in the packaged food industry, recognized for its popular brands like Slim Jim, Healthy Choice, and Hunt's. The company operates in a competitive market, facing rivals such as General Mills and Kraft Heinz. On July 10, 2025, ConAgra reported its earnings, revealing some challenges in meeting market expectations.

ConAgra's earnings per share (EPS) for the quarter were $0.56, falling short of the Zacks Consensus Estimate of $0.59. This also marked a decline from the $0.61 EPS reported in the same quarter the previous year. The company's revenue was approximately $2.78 billion, missing the anticipated $2.88 billion. This shortfall in earnings and revenue has contributed to a decline in ConAgra's stock price.

The company's performance was impacted by several factors, including higher-than-expected inflation, foreign exchange challenges, and supply constraints, as noted by CEO Sean Connolly. Despite these hurdles, Connolly remains focused on ConAgra's long-term strategy, which includes investing in high-potential frozen and snack segments and enhancing supply chain resilience.

ConAgra's financial metrics provide further insight into its current position. The company has a price-to-earnings (P/E) ratio of approximately 28.24, indicating how the market values its earnings. Its price-to-sales ratio is about 0.79, reflecting investor willingness to pay per dollar of sales. The enterprise value to sales ratio stands at around 1.48, showing the company's total valuation relative to its sales.

The company's debt-to-equity ratio is approximately 0.93, suggesting a balanced use of debt and equity in financing its assets. However, the current ratio of around 0.69 may indicate potential liquidity challenges in meeting short-term obligations. Despite these challenges, ConAgra remains committed to disciplined cost management and cash flow focus, aiming to navigate the ongoing macroeconomic uncertainties.

• Analysts have lowered the consensus price target for Conagra Brands, Inc. (NYSE: CAG) from $29.5 to $24, reflecting a more cautious outlook.
• Despite challenges such as cost inflation and weak demand in the foodservice sector, Morgan Stanley's Pamela Kaufman sets a positive price target of $36, indicating a potential upside.
• Conagra's upcoming fiscal fourth-quarter earnings on July 10, 2025, are anticipated to show earnings of $0.61 per share on revenue of $2.88 billion, with the company's robust cash flow and margin defensiveness potentially offering resilience against market challenges.

Conagra Brands, Inc. (NYSE: CAG) is a prominent name in the North American consumer packaged goods food industry. The company boasts a diverse portfolio of well-known brands, including Birds Eye, Duncan Hines, and Slim Jim. Conagra operates through four main segments: Grocery & Snacks, Refrigerated & Frozen, International, and Foodservice, catering to a broad spectrum of consumer needs both domestically and internationally.

Recently, there has been a shift in the consensus price target for Conagra's stock. A year ago, analysts had set an average price target of $29.5, reflecting a more optimistic outlook. However, this target has decreased to $24 in the last quarter and last month, indicating a more cautious stance from analysts. This change could be influenced by various factors, including market conditions and company performance.

As Conagra prepares to release its fiscal fourth-quarter earnings on July 10, 2025, analysts, including Pamela Kaufman from Morgan Stanley, anticipate earnings of $0.61 per share on revenue of $2.88 billion. This revenue is expected to remain approximately unchanged from the previous year. Despite the challenges, Kaufman has set a price target of $36 for the stock, suggesting a positive outlook.

Conagra faces challenges such as cost inflation, weak demand in the foodservice sector, and foreign exchange headwinds. These factors may contribute to the decline in the consensus price target. However, the company's attractive dividend yield and potential for productivity gains could influence investor sentiment positively.

Investors should keep an eye on Conagra's upcoming earnings announcement, as it could impact the stock's movement. Analysts are predicting a decline in earnings, but the company's robust cash flow and margin defensiveness may offer some resilience. The market may be over-discounting these strengths, as highlighted by Morgan Stanley's Kaufman, who has initiated a "Strong Buy" rating with a price target of $35.

• Evercore ISI sets a bullish price target of $26 for NYSE:CAG, suggesting a potential increase of 23.87% from its current trading price.
• UBS adopts a more conservative stance, lowering its price target for ConAgra from $22 to $21 amidst market fluctuations.
• Despite a modest daily increase, ConAgra's stock has experienced volatility, with a yearly high of $33.24 and a low of $20.26.

ConAgra Brands, Inc. (NYSE:CAG) is a major player in the packaged foods industry, known for its wide range of products that include frozen, refrigerated, and shelf-stable foods. The company competes with other giants like General Mills and Kraft Heinz. On July 7, 2025, David Palmer from Evercore ISI set a price target of $26 for CAG, suggesting a potential increase of 23.87% from its current trading price of $20.99.

Despite this optimistic outlook from Evercore ISI, UBS has taken a more conservative stance. UBS recently lowered its price target for ConAgra from $22 to $21. This adjustment reflects a cautious approach amidst a fluctuating market environment. On July 10th, ConAgra's stock saw a modest increase of 2.56%, indicating some positive movement despite the lowered target.

Currently, CAG is priced at $20.99, showing a slight decrease of 0.71% with a change of $0.15. The stock has experienced some volatility, with a daily range between $20.93 and $21.27. Over the past year, CAG has seen a high of $33.24 and a low of $20.26, highlighting the stock's fluctuating nature.

ConAgra's market capitalization is approximately $10 billion, reflecting its significant presence in the industry. The stock's trading volume on the NYSE is 6,100,811 shares, indicating active investor interest. As the company navigates market challenges, these metrics provide insight into its current standing and potential future performance.

• Evercore ISI downgraded Conagra Brands, Inc. (NYSE: CAG) to "Reduce" with a current stock price of $20.99.
• Conagra is removing FD&C colors from its U.S. frozen product line by 2025 to align with consumer preferences.
• The stock has experienced a slight decrease of 0.71%, indicating some market volatility.

Conagra Brands, Inc. (NYSE: CAG) is a major player in the packaged foods industry, known for its diverse range of products. The company owns popular brands like Birds Eye, Healthy Choice, and Marie Callender's. Conagra competes with other food giants such as General Mills and Kraft Heinz. Recently, Evercore ISI adjusted Conagra's stock rating to "Reduce," with the stock priced at $20.99.

Conagra is actively modernizing its product portfolio to align with consumer preferences. By the end of 2025, the company plans to remove certified Food, Drug & Cosmetic colors (FD&C colors) from its U.S. frozen product line. This initiative is part of Conagra's strategy to innovate and respond to changing consumer trends, as highlighted by Tom McGough, the executive vice president and chief operating officer.

Despite these efforts, Conagra's stock has seen a slight decrease of 0.71%, or $0.15, bringing the current price to $20.99. The stock has fluctuated between $20.93 and $21.27 today. Over the past year, it has experienced a high of $33.24 and a low of $20.26, indicating some volatility in its market performance.

Conagra's market capitalization is approximately $10 billion, reflecting its significant presence in the industry. The company's trading volume on the NYSE is 6,100,811 shares, suggesting active investor interest. As Conagra continues to modernize its portfolio, investors will likely keep a close eye on how these changes impact the company's financial performance and stock value.

• Conagra Brands, Inc. (NYSE:CAG) is expected to report an EPS of $0.60 with projected revenue of $2.88 billion.
• The company aims to eliminate certified food, drug, and cosmetic colors from its U.S. frozen product portfolio by the end of 2025.
• Despite a slight dip in projected revenue, Conagra's strategic initiatives could bolster future earnings.

Conagra Brands, Inc. (NYSE:CAG), a major player in the packaged foods industry, known for its diverse range of products, is set to release its quarterly earnings on Thursday, July 10, 2025. Wall Street estimates earnings per share (EPS) to be $0.60, with projected revenue of approximately $2.88 billion.

Analysts expect Conagra to report earnings of $0.61 per share, consistent with the same period last year. The company's projected quarterly revenue is $2.88 billion, slightly down from $2.91 billion in the previous year. This slight dip in revenue may reflect market challenges or shifts in consumer preferences.

Conagra's recent announcement to eliminate certified food, drug, and cosmetic colors from its U.S. frozen product portfolio by the end of 2025 is part of its strategy to enhance product quality and consumer trust. This move could positively impact future earnings by aligning with consumer demand for cleaner labels.

Ahead of the earnings release, Conagra's shares rose by 2.8%, closing at $21.05. However, analyst Bryan Spillane from B of A Securities recently downgraded the stock, indicating a cautious stance among some analysts. This mixed sentiment reflects the market's uncertainty about Conagra's future performance.

Conagra's financial metrics provide insight into its market position. The company's P/E ratio of 30.71 suggests a high market valuation of its earnings. The price-to-sales ratio of 0.86 indicates investor willingness to pay per dollar of sales. However, a current ratio of 0.69 may suggest potential liquidity challenges in meeting short-term obligations.

• ConAgra Brands Inc. (NYSE:CAG) reported an EPS of $0.51, missing estimates by $0.01 and marking a decline from the previous year's $0.69.
• Revenue reached $2.84 billion, slightly below the expected $2.86 billion, with a notable year-over-year decrease from $3.03 billion.
• Despite challenges, including a decline in sales across key segments and supply-chain disruptions, ConAgra's fiscal 2025 guidance remains unchanged.

ConAgra Brands Inc. (NYSE:CAG), a leading packaged foods company known for brands like Slim Jim and Duncan Hines, reported its earnings on April 3, 2025. The company announced earnings per share (EPS) of $0.51, slightly missing the estimated $0.52. Revenue was reported at $2.84 billion, just under the anticipated $2.86 billion, reflecting challenges in meeting market expectations.

The reported EPS of $0.51 also marks a decline from the $0.69 per share in the same quarter the previous year, as highlighted by Zacks. This drop in earnings, along with a decrease in net sales from $3.03 billion to $2.84 billion, contributed to a decline in ConAgra's share price in premarket trading. Analysts had predicted a slightly higher EPS of $0.53 and sales of $2.90 billion.

ConAgra's grocery and snacks unit experienced a 3.2% year-over-year decline in sales, while the refrigerated and frozen foods segment saw a 7.2% drop. These declines were attributed to lower prices and volume, as well as supply-chain disruptions that affected the company's ability to meet consumer demand. CEO Sean Connolly noted that shipments lagged behind consumption due to supply constraints announced in February.

Despite these challenges, ConAgra's fiscal 2025 guidance remains unchanged. The company is working on restoring inventory and improving customer service levels. ConAgra's financial metrics include a price-to-earnings (P/E) ratio of approximately 25.79 and a price-to-sales ratio of about 1.06, indicating the market's valuation of its sales. The debt-to-equity ratio is 0.96, suggesting a balanced approach to leveraging debt, though the current ratio of 0.70 may indicate potential liquidity concerns.