Conagra Brands (NYSE:CAG) Sets New 1-Year Low - Here's What Happened

Key Points

• Conagra Brands shares reached a new 52-week low of $17.89 during trading, reflecting a significant drop as they last traded at $18.01.
• Analysts have mixed views on Conagra, with varying target prices ranging from $19.00 to $21.00, and an average rating of "Hold."
• The company reported a revenue decline of 4.3% year-over-year for the last quarter, missing earnings estimates and raising concerns about its financial performance.

Conagra Brands (NYSE:CAG - Get Free Report) shares hit a new 52-week low during trading on Monday . The stock traded as low as $17.89 and last traded at $18.01, with a volume of 2055666 shares traded. The stock had previously closed at $18.18.

Wall Street Analyst Weigh In

Several research analysts have recently commented on the company. JPMorgan Chase & Co. assumed coverage on Conagra Brands in a report on Wednesday, August 20th. They issued a "neutral" rating and a $20.00 target price on the stock. Wells Fargo & Company dropped their target price on shares of Conagra Brands from $20.00 to $19.00 and set an "equal weight" rating for the company in a research report on Thursday. Sanford C. Bernstein set a $21.00 target price on shares of Conagra Brands and gave the stock a "market perform" rating in a research note on Friday, July 11th. Evercore ISI reduced 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 note on Wednesday, September 24th. Finally, UBS Group lowered their target price on shares of Conagra Brands from $20.00 to $19.00 and set a "neutral" rating on the stock in a report on Wednesday, September 24th. One investment analyst has rated the stock with a Strong Buy rating, one has issued a Buy rating, nine have issued a Hold rating and two have issued a Sell rating to the company. According to MarketBeat.com, the stock has an average rating of "Hold" and an average price target of $21.83.

Conagra Brands Trading Down 0.5%

The company has a debt-to-equity ratio of 0.70, a current ratio of 0.71 and a quick ratio of 0.24. The stock has a market capitalization of $8.66 billion, a PE ratio of 7.56, a PEG ratio of 1.75 and a beta of 0.07. The stock's 50 day simple moving average is $19.02 and its two-hundred day simple moving average is $21.79.

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

Conagra Brands Dividend Announcement

The business also recently declared a quarterly dividend, which was paid on Thursday, August 28th. Stockholders of record on Wednesday, July 30th were issued a dividend of $0.35 per share. This represents a $1.40 dividend on an annualized basis and a dividend yield of 7.7%. The ex-dividend date of this dividend was Wednesday, July 30th. Conagra Brands's dividend payout ratio (DPR) is presently 58.58%.

Hedge Funds Weigh In On Conagra Brands

Large investors have recently added to or reduced their stakes in the company. Vanguard Group Inc. increased its position in Conagra Brands by 1.6% during the second quarter. Vanguard Group Inc. now owns 61,369,876 shares of the company's stock valued at $1,256,241,000 after acquiring an additional 966,031 shares during the last quarter. State Street Corp lifted its stake in Conagra Brands by 2.3% in the second quarter. State Street Corp now owns 26,202,392 shares of the company's stock worth $536,363,000 after acquiring an additional 588,435 shares during the period. Geode Capital Management LLC lifted its stake in Conagra Brands by 1.5% in the second quarter. Geode Capital Management LLC now owns 12,870,239 shares of the company's stock worth $262,405,000 after acquiring an additional 193,829 shares during the period. Invesco Ltd. lifted its position in shares of Conagra Brands by 4.7% during the second quarter. Invesco Ltd. now owns 12,414,110 shares of the company's stock valued at $254,117,000 after buying an additional 554,125 shares during the last quarter. Finally, Ameriprise Financial Inc. lifted its position in shares of Conagra Brands by 69.5% during the second quarter. Ameriprise Financial Inc. now owns 10,145,798 shares of the company's stock valued at $207,685,000 after buying an additional 4,160,542 shares during the last quarter. Hedge funds and other institutional investors own 83.75% of the company's stock.

Conagra Brands Company Profile

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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