Zacks Research Has Negative View of Campbell's Q1 Earnings

Key Points

• Zacks Research cut Campbell’s Q1 2027 EPS estimate to $0.42 from $0.65 and maintains a “Strong Sell” rating, citing weaker expected earnings.
• Campbell’s latest quarter met consensus at $0.39 EPS, but revenue fell 7.9% year over year to $2.14 billion, while full-year guidance stands at $1.65–$1.80 EPS.
• Analyst sentiment remains cautious: the stock has a consensus “Reduce” rating, a $19.88 average price target, and its $1.00 annual dividend implies a 4.8% yield but exceeds earnings with a 119% payout ratio.

The Campbell's Company (NASDAQ:CPB - Free Report) - Equities research analysts at Zacks Research decreased their Q1 2027 EPS estimates for shares of Campbell's in a research note issued on Thursday, September 17th. Zacks Research analyst Team now anticipates that the company will earn $0.42 per share for the quarter, down from their previous forecast of $0.65. Zacks Research has a "Strong Sell" rating on the stock. The consensus estimate for Campbell's' current full-year earnings is $1.70 per share. Zacks Research also issued estimates for Campbell's' Q1 2028 earnings at $0.50 EPS.

CPB has been the subject of several other reports. Jefferies Financial Group decreased their price objective on shares of Campbell's from $22.00 to $20.00 and set a "hold" rating for the company in a research report on Thursday, September 3rd. TD Cowen upped their price objective on Campbell's from $20.00 to $22.00 and gave the stock a "hold" rating in a research report on Wednesday, August 19th. DA Davidson reissued a "neutral" rating and set a $20.00 target price on shares of Campbell's in a research report on Tuesday, September 8th. William Blair initiated coverage on Campbell's in a report on Tuesday, June 23rd. They issued a "market perform" rating for the company. Finally, BTIG Research reiterated a "neutral" rating on shares of Campbell's in a research note on Friday, September 4th. Twelve analysts have rated the stock with a Hold rating and seven have assigned a Sell rating to the company. Based on data from MarketBeat, the stock presently has a consensus rating of "Reduce" and a consensus target price of $19.88.

Campbell's Price Performance

Shares of Campbell's stock opened at $20.69 on Monday. The company has a quick ratio of 0.33, a current ratio of 0.82 and a debt-to-equity ratio of 1.60. Campbell's has a 52-week low of $19.56 and a 52-week high of $34.17. The company has a market capitalization of $6.17 billion, a P/E ratio of 15.79, a P/E/G ratio of 2.43 and a beta of 0.03. The company has a 50 day moving average of $22.45 and a 200 day moving average of $21.89.

Campbell's (NASDAQ:CPB - Get Free Report) last posted its quarterly earnings data on Thursday, September 3rd. The company reported $0.39 earnings per share for the quarter, hitting analysts' consensus estimates of $0.39. The business had revenue of $2.14 billion for the quarter. Campbell's had a return on equity of 16.44% and a net margin of 4.04%.The firm's revenue was down 7.9% compared to the same quarter last year. During the same period in the prior year, the company posted $0.62 EPS. Campbell's has set its FY 2027 guidance at 1.650-1.800 EPS.

Campbell's Cuts Dividend

The firm also recently announced a quarterly dividend, which will be paid on Monday, November 2nd. Stockholders of record on Thursday, October 1st will be issued a $0.25 dividend. This represents a $1.00 dividend on an annualized basis and a dividend yield of 4.8%. The ex-dividend date of this dividend is Thursday, October 1st. Campbell's's payout ratio is presently 119.08%.

Institutional Trading of Campbell's

Large investors have recently bought and sold shares of the business. Sittner & Nelson LLC acquired a new position in Campbell's in the 4th quarter valued at about $29,000. IMA Advisory Services Inc. purchased a new stake in shares of Campbell's during the fourth quarter worth approximately $33,000. Comprehensive Financial Planning Inc. PA acquired a new stake in shares of Campbell's during the second quarter worth $31,000. Glen Eagle Advisors LLC grew its position in Campbell's by 133.2% in the 4th quarter. Glen Eagle Advisors LLC now owns 1,434 shares of the company's stock valued at $40,000 after buying an additional 819 shares during the last quarter. Finally, Fideuram Asset Management Ireland dac acquired a new position in Campbell's in the 4th quarter valued at $44,000. Institutional investors and hedge funds own 52.35% of the company's stock.

Key Headlines Impacting Campbell's

Here are the key news stories impacting Campbell's this week:

• Positive Sentiment: Zacks Research raised several quarterly EPS estimates, including Q3 2027 to $0.44 from $0.43, Q4 2027 to $0.42 from $0.39, Q3 2028 to $0.47 from $0.46, and Q4 2028 to $0.46 from $0.43. These increases suggest some expectations for earnings resilience in selected periods. Zacks Research Campbell’s earnings estimates
• Neutral Sentiment: Deutsche Bank maintained its Hold rating on Campbell’s, indicating no change in its view and limited evidence of an imminent catalyst to drive a stronger revaluation. Deutsche Bank Hold rating
• Neutral Sentiment: Campbell’s extended a credit facility of approximately $1.85 billion. The agreement supports financial flexibility and refinancing capacity, although the company’s existing leverage and weak liquidity ratios remain considerations for investors. Campbell’s credit facility extension
• Negative Sentiment: Zacks Research cut its FY2027 EPS forecast to $1.71 from $1.92 and its FY2028 estimate to $1.86 from $2.07. It also reduced Q2 2027 EPS to $0.43 from $0.46 and Q2 2028 EPS to $0.44 from $0.51. Zacks retains a Strong Sell rating, reinforcing concerns about Campbell’s longer-term earnings trajectory. Zacks Research Campbell’s EPS revisions

About Campbell's

Campbell's NASDAQ: CPB is a branded food company that develops, produces and markets packaged meals, beverages and snacks. Its portfolio includes soups, sauces, pasta products, frozen meals, dips, crackers, cookies and yogurt.

The company's brands include Campbell's, Goldfish, Pepperidge Farm, V8, Prego, Pace, Swanson, Rao's, Michael Angelo's and noosa. Products are sold primarily through grocery stores, mass merchants, club stores, convenience stores, food-service distributors and e-commerce channels.

Founded in 1869 by Joseph A.

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