Conagra Brands (NYSE:CAG) Receives Average Recommendation of "Reduce" from Analysts

Key Points

• Analysts' consensus: Sixteen brokers give Conagra an average recommendation of "Reduce" (3 sell, 12 hold, 1 buy) with a one-year average target price of $19.07.
• Recent quarter showed a slight EPS beat ($0.45 vs. $0.44) but revenue missed at $2.98B and was down 6.8% year-over-year; management set FY2026 guidance of $1.70–$1.85 EPS versus sell-side forecasts of $2.35, signaling a cautious outlook.
• Conagra pays a quarterly dividend of $0.35 (annualized $1.40) for a 7.5% yield, while the stock trades around $18.61 with a negative P/E (-84.59) and a market cap of ~$8.9B.

Conagra Brands (NYSE:CAG - Get Free Report) has been assigned an average recommendation of "Reduce" from the sixteen brokerages that are currently covering the firm, Marketbeat.com reports. Three analysts have rated the stock with a sell recommendation, twelve have assigned a hold recommendation and one has given a buy recommendation to the company. The average 1 year target price among brokers that have issued a report on the stock in the last year is $19.0714.

A number of research analysts recently issued reports on CAG shares. UBS Group reissued a "neutral" rating and issued a $20.00 price objective on shares of Conagra Brands in a research note on Friday, February 13th. TD Cowen reiterated a "hold" rating on shares of Conagra Brands in a research note on Monday, December 22nd. Sanford C. Bernstein lowered their price target on Conagra Brands from $21.00 to $18.00 and set a "market perform" rating for the company in a report on Monday, December 22nd. Bank of America reduced their price objective on Conagra Brands from $18.00 to $17.00 and set an "underperform" rating on the stock in a research note on Monday, December 22nd. Finally, Stifel Nicolaus decreased their target price on Conagra Brands from $21.00 to $19.00 and set a "hold" rating on the stock in a research report on Thursday, December 11th.

Conagra Brands Stock Down 1.3%

Shares of NYSE CAG opened at $18.61 on Friday. The stock has a market capitalization of $8.90 billion, a P/E ratio of -84.59 and a beta of -0.02. The stock's fifty day moving average is $18.16 and its 200 day moving average is $18.16. Conagra Brands has a 52 week low of $15.96 and a 52 week high of $28.51. The company has a debt-to-equity ratio of 0.80, a quick ratio of 0.28 and a current ratio of 0.89.

Conagra Brands (NYSE:CAG - Get Free Report) last announced its quarterly earnings data on Friday, December 19th. The company reported $0.45 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $0.44 by $0.01. The firm had revenue of $2.98 billion for the quarter, compared to the consensus estimate of $3 billion. Conagra Brands had a negative net margin of 0.87% and a positive return on equity of 10.59%. The business's revenue for the quarter was down 6.8% on a year-over-year basis. During the same period in the prior year, the company posted $0.70 earnings per share. Conagra Brands has set its FY 2026 guidance at 1.700-1.85 EPS. Sell-side analysts forecast that Conagra Brands will post 2.35 earnings per share for the current fiscal year.

Conagra Brands Announces Dividend

The business also recently disclosed a quarterly dividend, which was paid on Thursday, February 26th. Investors of record on Tuesday, January 27th were given a dividend of $0.35 per share. This represents a $1.40 dividend on an annualized basis and a yield of 7.5%. The ex-dividend date was Tuesday, January 27th. Conagra Brands's dividend payout ratio is currently -636.36%.

Institutional Trading of Conagra Brands

A number of hedge funds and other institutional investors have recently modified their holdings of the stock. Campbell & CO Investment Adviser LLC bought a new stake in Conagra Brands during the 2nd quarter worth approximately $2,489,000. Wealth Enhancement Advisory Services LLC lifted its holdings in shares of Conagra Brands by 45.3% during the third quarter. Wealth Enhancement Advisory Services LLC now owns 342,942 shares of the company's stock worth $6,485,000 after purchasing an additional 106,891 shares during the period. Hsbc Holdings PLC grew its stake in shares of Conagra Brands by 20.0% in the second quarter. Hsbc Holdings PLC now owns 1,251,371 shares of the company's stock worth $25,578,000 after purchasing an additional 208,450 shares during the last quarter. AE Wealth Management LLC grew its stake in shares of Conagra Brands by 13.7% in the third quarter. AE Wealth Management LLC now owns 720,093 shares of the company's stock worth $13,185,000 after purchasing an additional 86,604 shares during the last quarter. Finally, JPMorgan Chase & Co. increased its holdings in Conagra Brands by 15.6% in the third quarter. JPMorgan Chase & Co. now owns 3,021,478 shares of the company's stock valued at $55,323,000 after purchasing an additional 408,597 shares during the period. Institutional investors own 83.75% of the company's stock.

Conagra Brands Company Profile

Conagra Brands, Inc is a leading packaged foods company based in Chicago, Illinois, with a broad portfolio of shelf-stable, frozen and refrigerated foods marketed under familiar brands. The company develops, produces and distributes a wide range of consumer food products, serving both retail grocery and foodservice channels. Conagra's product lineup includes frozen entrees, snacks, condiments, baking goods and desserts, providing convenient meal solutions for consumers across North America and select international markets.

Among its well-known brands are Birds Eye, Healthy Choice, Lean Cuisine, Marie Callender's and Banquet in the frozen foods category, as well as Hunt's sauces, Orville Redenbacher's popcorn, Slim Jim meat snacks and Reddi-wip toppings.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.