Hsbc Holdings PLC Reduces Stake in Conagra Brands $CAG

Key Points

• HSBC Holdings PLC has reduced its stake in Conagra Brands by 23.5%, selling 319,657 shares, and now holds approximately 0.22% of the company valued at $27.8 million.
• Conagra Brands missed analysts' earnings estimates for the quarter, reporting $0.56 EPS against a consensus of $0.61 EPS, with revenue declining by 4.3% year-over-year.
• The company has declared a quarterly dividend of $0.35 per share, yielding 7.1%, with the dividend payout ratio currently at 58.58%.

Hsbc Holdings PLC cut its stake in Conagra Brands (NYSE:CAG - Free Report) by 23.5% in the first quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission. The firm owned 1,042,921 shares of the company's stock after selling 319,657 shares during the quarter. Hsbc Holdings PLC owned approximately 0.22% of Conagra Brands worth $27,796,000 at the end of the most recent reporting period.

Other large investors also recently bought and sold shares of the company. Ameriprise Financial Inc. lifted its holdings in Conagra Brands by 104.1% in the fourth quarter. Ameriprise Financial Inc. now owns 1,793,701 shares of the company's stock valued at $49,776,000 after acquiring an additional 914,820 shares during the period. Victory Capital Management Inc. lifted its holdings in Conagra Brands by 11.9% in the first quarter. Victory Capital Management Inc. now owns 842,094 shares of the company's stock valued at $22,459,000 after acquiring an additional 89,445 shares during the period. Impact Partnership Wealth LLC acquired a new position in Conagra Brands in the first quarter valued at approximately $396,000. OneDigital Investment Advisors LLC lifted its holdings in Conagra Brands by 42.1% in the first quarter. OneDigital Investment Advisors LLC now owns 10,821 shares of the company's stock valued at $289,000 after acquiring an additional 3,207 shares during the period. Finally, Zurcher Kantonalbank Zurich Cantonalbank lifted its holdings in Conagra Brands by 6.8% in the first quarter. Zurcher Kantonalbank Zurich Cantonalbank now owns 259,697 shares of the company's stock valued at $6,926,000 after acquiring an additional 16,546 shares during the period. 83.75% of the stock is owned by institutional investors and hedge funds.

Conagra Brands Price Performance

Shares of CAG traded up $0.35 during trading hours on Wednesday, hitting $19.14. 7,514,243 shares of the stock were exchanged, compared to its average volume of 8,034,129. The company has a debt-to-equity ratio of 0.70, a quick ratio of 0.24 and a current ratio of 0.71. Conagra Brands has a 12-month low of $18.18 and a 12-month high of $33.24. The company has a market cap of $9.16 billion, a price-to-earnings ratio of 8.01, a price-to-earnings-growth ratio of 1.83 and a beta of 0.08. The stock's 50-day moving average price is $19.72 and its two-hundred day moving average price is $22.87.

Conagra Brands (NYSE:CAG - Get Free Report) last issued its quarterly earnings results on Thursday, July 10th. The company reported $0.56 EPS for the quarter, missing the consensus estimate of $0.61 by ($0.05). Conagra Brands had a return on equity of 12.52% and a net margin of 9.92%.The firm had revenue of $2,781,800 billion for the quarter, compared to analysts' expectations of $2.88 billion. During the same quarter in the previous year, the firm posted $0.61 earnings per share. The firm's revenue for the quarter was down 4.3% compared to the same quarter last year. Research analysts expect that Conagra Brands will post 2.35 earnings per share for the current year.

Conagra Brands Announces Dividend

The business also recently announced a quarterly dividend, which will be paid on Thursday, August 28th. Shareholders of record on Wednesday, July 30th will be issued a $0.35 dividend. This represents a $1.40 annualized dividend and a yield of 7.3%. The ex-dividend date is Wednesday, July 30th. Conagra Brands's dividend payout ratio is presently 58.58%.

Analyst Upgrades and Downgrades

CAG has been the subject of a number of analyst reports. Barclays decreased their price target on Conagra Brands from $29.00 to $26.00 and set an "overweight" rating for the company in a report on Monday, May 12th. Evercore ISI reduced their target price on Conagra Brands from $26.00 to $24.00 and set an "in-line" rating for the company in a research note on Friday, July 11th. Wells Fargo & Company reduced their target price on Conagra Brands from $23.00 to $22.00 and set an "equal weight" rating for the company in a research note on Wednesday, July 9th. The Goldman Sachs Group downgraded Conagra Brands from a "neutral" rating to a "sell" rating and reduced their target price for the stock from $26.00 to $21.00 in a research note on Monday, June 9th. Finally, Morgan Stanley reduced their target price on Conagra Brands from $22.00 to $20.00 and set an "equal weight" rating for the company in a research note on Friday, July 11th. One equities research analyst has rated the stock with a Strong Buy rating, one has given a Buy rating, nine have given a Hold rating and two have given a Sell rating to the company's stock. According to MarketBeat, the stock has an average rating of "Hold" and a consensus target price of $22.17.

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.