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

Key Points

• Conagra Brands has received an average analyst rating of "Reduce" from fourteen research firms, with three analysts recommending a sell, ten a hold, and one a buy.
• The company reported a quarterly earnings per share (EPS) of $0.39, surpassing estimates, although it showed a year-over-year revenue decline of 5.8%.
• Conagra Brands announced a quarterly dividend of $0.35 per share, yielding 7.5%, with the dividend payment scheduled for November 26th.

Shares of Conagra Brands (NYSE:CAG - Get Free Report) have been assigned an average rating of "Reduce" from the fourteen research firms that are covering the company, MarketBeat.com reports. Three equities research analysts have rated the stock with a sell recommendation, ten have issued a hold recommendation and one has assigned a buy recommendation to the company. The average 1 year price target among brokers that have covered the stock in the last year is $21.9167.

Several research analysts have weighed in on the stock. Royal Bank Of Canada reaffirmed a "sector perform" rating and set a $22.00 target price on shares of Conagra Brands in a research note on Thursday, October 2nd. Evercore ISI lowered their price objective on shares of Conagra Brands from $24.00 to $23.00 and set an "in-line" rating for the company in a research report on Wednesday, September 24th. Wells Fargo & Company lifted their target price on shares of Conagra Brands from $19.00 to $20.00 and gave the company an "equal weight" rating in a report on Thursday. Zacks Research upgraded Conagra Brands from a "strong sell" rating to a "hold" rating in a research note on Thursday, October 2nd. Finally, UBS Group lowered their price target on Conagra Brands from $20.00 to $19.00 and set a "neutral" rating for the company in a research report on Wednesday, September 24th.

Conagra Brands Trading Down 2.0%

Shares of Conagra Brands stock opened at $18.73 on Tuesday. The stock has a 50 day moving average of $18.96 and a 200 day moving average of $21.49. The company has a debt-to-equity ratio of 0.81, a quick ratio of 0.44 and a current ratio of 1.06. The firm has a market capitalization of $8.96 billion, a price-to-earnings ratio of 10.64, a PEG ratio of 1.82 and a beta of 0.03. Conagra Brands has a fifty-two week low of $17.89 and a fifty-two week high of $30.47.

Conagra Brands (NYSE:CAG - Get Free Report) last announced its quarterly earnings results on Wednesday, October 1st. The company reported $0.39 EPS for the quarter, beating the consensus estimate of $0.33 by $0.06. The business had revenue of $2.63 billion for the quarter, compared to analyst estimates of $2.62 billion. Conagra Brands had a return on equity of 11.72% and a net margin of 7.42%.The company's quarterly revenue was down 5.8% on a year-over-year basis. During the same quarter in the prior year, the company posted $0.53 EPS. Conagra Brands has set its FY 2026 guidance at 1.700-1.85 EPS. As a group, research analysts predict that Conagra Brands will post 2.35 earnings per share for the current year.

Conagra Brands Announces Dividend

The company also recently announced a quarterly dividend, which will be paid on Wednesday, November 26th. Investors of record on Thursday, October 30th will be issued 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 is Thursday, October 30th. Conagra Brands's dividend payout ratio (DPR) is 79.55%.

Institutional Trading of Conagra Brands

Hedge funds have recently made changes to their positions in the business. Alpine Bank Wealth Management acquired a new position in shares of Conagra Brands in the first quarter valued at approximately $26,000. MJT & Associates Financial Advisory Group Inc. acquired a new position in shares of Conagra Brands in the first quarter worth $27,000. Capital Advisors Ltd. LLC grew its stake in shares of Conagra Brands by 82.3% in the first quarter. Capital Advisors Ltd. LLC now owns 1,001 shares of the company's stock worth $27,000 after acquiring an additional 452 shares in the last quarter. Golden State Wealth Management LLC increased its position in shares of Conagra Brands by 235.2% during the first quarter. Golden State Wealth Management LLC now owns 1,056 shares of the company's stock worth $28,000 after acquiring an additional 741 shares during the period. Finally, Quaker Wealth Management LLC raised its stake in shares of Conagra Brands by 202.3% in the second quarter. Quaker Wealth Management LLC now owns 1,227 shares of the company's stock valued at $25,000 after acquiring an additional 2,427 shares in the last quarter. Institutional investors and hedge funds own 83.75% of the company's stock.

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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