Conagra Brands (NYSE:CAG) Announces $0.35 Quarterly Dividend

Key Points

• Conagra Brands declared a quarterly dividend of $0.35 per share, with payment scheduled for November 26th to stockholders recorded by October 30th.
• The company reported earnings per share of $0.56 for the last quarter, missing expectations, and experienced a 4.3% revenue decline compared to the same period last year.
• Despite the recent performance, analysts have set a consensus target price of $21.83 for Conagra Brands, with a mix of ratings that include one Strong Buy and nine Hold ratings.

Conagra Brands (NYSE:CAG - Get Free Report) announced a quarterly dividend on Tuesday, September 30th, RTT News reports. Stockholders of record on Thursday, October 30th will be paid a dividend of 0.35 per share on Wednesday, November 26th. This represents a c) annualized dividend and a dividend yield of 7.8%.

Conagra Brands has a payout ratio of 56.0% indicating that its dividend is sufficiently covered by earnings. Equities analysts expect Conagra Brands to earn $2.49 per share next year, which means the company should continue to be able to cover its $1.40 annual dividend with an expected future payout ratio of 56.2%.

Conagra Brands Price Performance

Shares of NYSE:CAG opened at $18.02 on Tuesday. Conagra Brands has a 1-year low of $17.89 and a 1-year high of $32.90. The firm has a market capitalization of $8.63 billion, a PE ratio of 7.54, a PEG ratio of 1.75 and a beta of 0.07. The business's 50 day moving average is $19.01 and its 200-day moving average is $21.73. The company has a current ratio of 0.71, a quick ratio of 0.24 and a debt-to-equity ratio of 0.70.

Conagra Brands (NYSE:CAG - Get Free Report) last announced its quarterly earnings data on Thursday, July 10th. The company reported $0.56 earnings per share for the quarter, missing the consensus estimate of $0.61 by ($0.05). Conagra Brands had a return on equity of 12.52% and a net margin of 9.92%.The firm had revenue of $2.78 billion for the quarter, compared to analyst estimates of $2.88 billion. During the same period in the previous year, the business posted $0.61 EPS. Conagra Brands's revenue for the quarter was down 4.3% compared to the same quarter last year. Sell-side analysts predict that Conagra Brands will post 2.35 earnings per share for the current year.

Wall Street Analyst Weigh In

Several analysts recently commented on CAG shares. Evercore ISI decreased their price target on Conagra Brands from $24.00 to $23.00 and set an "in-line" rating on the stock in a research note on Wednesday, September 24th. Bank of America lowered Conagra Brands from a "neutral" rating to an "underperform" rating and decreased their price target for the company from $27.00 to $20.00 in a research note on Thursday, June 12th. Royal Bank Of Canada reduced their price objective on Conagra Brands from $25.00 to $22.00 and set a "sector perform" rating on the stock in a research note on Friday, July 11th. Wells Fargo & Company reduced their price objective on Conagra Brands from $20.00 to $19.00 and set an "equal weight" rating on the stock in a research note on Thursday, September 25th. Finally, The Goldman Sachs Group lowered Conagra Brands from a "neutral" rating to a "sell" rating and reduced their price objective for the stock from $26.00 to $21.00 in a research note on Monday, June 9th. One analyst has rated the stock with a Strong Buy rating, one has given a Buy rating, nine have given a Hold rating and two have given a Sell rating to the stock. Based on data from MarketBeat.com, the company presently has an average rating of "Hold" and a consensus target price of $21.83.

About Conagra Brands

Conagra Brands, Inc, together with its subsidiaries, operates as a consumer packaged goods food company primarily in the United States. The company operates through Grocery & Snacks, Refrigerated & Frozen, International, and Foodservice segments. The Grocery & Snacks segment primarily offers shelf stable food products through various retail channels.

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