What to Expect From Conagra Brands’ Q3 Results on Wednesday?

Conagra Brands, Inc. (NYSE:CAG) has recently reported its earnings, showcasing a strong performance in the packaged foods industry. Here are three key insights from their latest earnings report:

- Conagra's earnings per share of $0.39 exceeded the estimated $0.33, with revenue also surpassing expectations at approximately $2.63 billion.

- Despite challenges such as inflation affecting consumer spending, Conagra managed to surpass Wall Street's expectations for first-quarter sales, driven by strong demand for its products.

- The company has shown progress in top-line performance and strategic execution, achieving key supply chain objectives and reducing net debt, despite a decrease in net sales.

Conagra Brands, Inc. (NYSE:CAG) is a major player in the packaged foods industry, known for its popular products like Reddi-Wip and Slim Jim. The company competes with other food giants such as General Mills and Kraft Heinz. On October 1, 2025, Conagra reported earnings per share of $0.39, surpassing the estimated $0.33, and revenue of approximately $2.63 billion, exceeding the estimated $2.62 billion. The positive earnings report has led to a slight increase in Conagra's stock price, as highlighted by Barrons. Despite this, 2025 has been challenging for the company. Inflation has affected consumer spending, yet Conagra managed to surpass Wall Street's expectations for first-quarter sales, driven by strong demand for pantry staples like Slim Jim and Act II popcorn. Conagra's first-quarter results for fiscal year 2026, ending August 24, 2025, show progress in top-line performance and strategic execution.

The company achieved key supply chain objectives and reduced net debt, despite a 5.8% decrease in net sales. CEO Sean Connolly expressed satisfaction with these improvements, emphasizing disciplined execution and balanced capital allocation. Financially, Conagra has a price-to-earnings (P/E) ratio of 7.60, indicating a relatively low valuation compared to its earnings. The price-to-sales ratio is 0.75, suggesting investors pay 75 cents for every dollar of sales.

The enterprise value to sales ratio is 1.46, reflecting the company's total valuation relative to its sales. Conagra's enterprise value to operating cash flow ratio is 10.05, showing how many times the operating cash flow can cover the enterprise value. The earnings yield is 13.16%, representing the return on investment for shareholders. The debt-to-equity ratio is 0.93, indicating slightly less debt than equity. However, the current ratio of 0.71 suggests potential challenges in covering short-term liabilities with short-term assets.

Conagra Brands, Inc. (NYSE:CAG) is a major player in the packaged foods industry, known for its wide range of products including frozen, refrigerated, and shelf-stable foods. As the company prepares to release its quarterly earnings on October 1, 2025, Wall Street analysts have set their sights on an earnings per share (EPS) estimate of $0.33, with projected revenues of around $2.62 billion.

Despite these projections, Conagra is expected to report a decline in earnings for the quarter ending August 2025, as highlighted by Zacks. The anticipated lower revenues suggest that the company might not achieve the desired combination of factors for an earnings beat. This could significantly impact Conagra's stock price, with potential for both upward and downward movements depending on the actual figures reported.

Conagra's financial metrics provide a deeper understanding of its current market position. The company's price-to-earnings (P/E) ratio of approximately 7.69 indicates a relatively low valuation compared to its earnings. Additionally, the price-to-sales ratio of about 0.76 suggests that investors are paying less than a dollar for every dollar of sales, which could be attractive to value-focused investors.

The enterprise value to sales ratio stands at approximately 1.47, reflecting Conagra's total valuation relative to its sales. This, along with an enterprise value to operating cash flow ratio of around 10.11, offers insight into how the market values the company's cash-generating ability. The earnings yield of approximately 13.01% provides a measure of the return on investment for shareholders.

Conagra's debt-to-equity ratio is about 0.93, indicating a moderate level of debt relative to equity. However, the current ratio of approximately 0.71 suggests potential challenges in covering short-term liabilities with short-term assets. The management's discussion during the earnings call will be crucial in determining the sustainability of any immediate price changes and future earnings projections.

Conagra Brands (NYSE:CAG) took a hit Thursday, with shares falling around 4% after the company posted disappointing fourth-quarter results and laid out a cautious outlook for fiscal 2026 that missed Wall Street expectations by a wide margin.

For the fiscal fourth quarter, adjusted earnings per share came in at $0.56, short of the $0.59 consensus. Revenue also fell short, declining 4.3% year-over-year to $2.78 billion—well below analyst estimates of $2.85 billion. The top-line miss was driven by a 3.5% drop in organic sales, with both lower volumes and modest pricing pressure weighing on results.

Looking ahead, the packaged food maker offered guidance that significantly underwhelmed investors. For fiscal 2026, the company expects adjusted EPS between $1.70 and $1.85—well below the $2.19 analysts had been forecasting. Organic sales are projected to be flat at best, and operating margins are expected to range between 11.0% and 11.5%.

Conagra cited ongoing inflation and the newly introduced U.S. tariffs as key challenges. Core inflation is projected at around 4%, while tariffs could raise the company’s annual cost of goods sold by approximately 3% before any cost-offsetting measures are applied.

For fiscal 2025, the company reported a 3.6% decline in net sales to $11.6 billion and a 13.9% drop in adjusted EPS to $2.30. Despite the weak results, Conagra did manage to reduce net debt by 4.4% to $8.0 billion and generated $1.7 billion in operating cash flow—offering some stability in an otherwise uncertain environment.

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.