DA Davidson Has Weak Outlook for Campbell's FY2025 Earnings

The Campbell's Company (NASDAQ:CPB - Free Report) - Investment analysts at DA Davidson cut their FY2025 earnings per share estimates for shares of Campbell's in a report issued on Monday, June 9th. DA Davidson analyst B. Holland now forecasts that the company will post earnings of $2.91 per share for the year, down from their prior estimate of $2.97. DA Davidson has a "Neutral" rating and a $34.00 price objective on the stock. The consensus estimate for Campbell's' current full-year earnings is $3.15 per share. DA Davidson also issued estimates for Campbell's' Q4 2025 earnings at $0.55 EPS.

Campbell's (NASDAQ:CPB - Get Free Report) last posted its quarterly earnings results on Monday, June 2nd. The company reported $0.73 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $0.65 by $0.08. Campbell's had a net margin of 5.57% and a return on equity of 23.79%. The company had revenue of $2.48 billion during the quarter, compared to the consensus estimate of $2.44 billion. During the same period last year, the firm earned $0.75 EPS. The company's revenue for the quarter was up 4.5% on a year-over-year basis.

Other equities research analysts also recently issued reports about the stock. Wells Fargo & Company reduced their price target on shares of Campbell's from $40.00 to $34.00 and set an "equal weight" rating for the company in a research report on Friday, May 30th. Stifel Nicolaus cut their price objective on Campbell's from $40.00 to $38.00 and set a "hold" rating for the company in a research report on Tuesday, June 3rd. Piper Sandler cut their price objective on Campbell's from $45.00 to $42.00 and set an "overweight" rating for the company in a research report on Friday, May 23rd. Citigroup cut their price objective on Campbell's from $33.00 to $32.00 and set a "sell" rating for the company in a research report on Tuesday, June 3rd. Finally, Deutsche Bank Aktiengesellschaft cut their price objective on Campbell's from $43.00 to $39.00 and set a "hold" rating for the company in a research report on Wednesday, May 21st. Five equities research analysts have rated the stock with a sell rating, eleven have issued a hold rating and five have given a buy rating to the company. According to data from MarketBeat, the stock has a consensus rating of "Hold" and a consensus target price of $40.11.

Campbell's Price Performance

Shares of CPB stock traded down $0.53 during midday trading on Tuesday, reaching $32.79. 4,834,677 shares of the company traded hands, compared to its average volume of 2,943,459. The firm's 50 day simple moving average is $35.59 and its two-hundred day simple moving average is $38.61. Campbell's has a 1-year low of $32.74 and a 1-year high of $52.81. The company has a debt-to-equity ratio of 1.74, a current ratio of 0.91 and a quick ratio of 0.50. The firm has a market cap of $9.78 billion, a PE ratio of 17.92, a price-to-earnings-growth ratio of 2.71 and a beta of 0.11.

Institutional Trading of Campbell's

A number of institutional investors have recently added to or reduced their stakes in CPB. Nuveen LLC purchased a new stake in Campbell's during the 1st quarter worth $65,588,000. Two Sigma Advisers LP boosted its position in Campbell's by 272.7% during the 4th quarter. Two Sigma Advisers LP now owns 2,243,300 shares of the company's stock worth $93,949,000 after purchasing an additional 1,641,400 shares during the period. Man Group plc boosted its position in Campbell's by 1,296.1% during the 4th quarter. Man Group plc now owns 1,407,161 shares of the company's stock worth $58,932,000 after purchasing an additional 1,306,372 shares during the period. Invesco Ltd. lifted its holdings in Campbell's by 38.2% in the 4th quarter. Invesco Ltd. now owns 4,645,548 shares of the company's stock worth $194,556,000 after buying an additional 1,282,957 shares in the last quarter. Finally, Norges Bank acquired a new position in Campbell's in the 4th quarter worth $50,908,000. 52.35% of the stock is owned by hedge funds and other institutional investors.

Insider Activity

In related news, EVP Charles A. Brawley III sold 2,498 shares of the company's stock in a transaction on Monday, March 31st. The shares were sold at an average price of $40.03, for a total transaction of $99,994.94. Following the completion of the sale, the executive vice president now directly owns 37,590 shares of the company's stock, valued at approximately $1,504,727.70. This represents a 6.23% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. Corporate insiders own 20.19% of the company's stock.

Campbell's Announces Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Monday, August 4th. Stockholders of record on Thursday, July 3rd will be paid a dividend of $0.39 per share. The ex-dividend date of this dividend is Thursday, July 3rd. This represents a $1.56 annualized dividend and a dividend yield of 4.76%. Campbell's's dividend payout ratio is presently 103.31%.

Campbell's Company Profile

The Campbell's Company, formerly known as Campbell Soup Company, together with its subsidiaries, manufactures and markets food and beverage products in the United States and internationally. The company operates through Meals & Beverages and Snacks segments. The Meals & Beverages segment engages in the retail and foodservice businesses in the United States and Canada.