Zacks Investment Research upgraded shares of Conagra Brands (NYSE:CAG) from a sell rating to a hold rating in a research report released on Monday, Zacks.com reports. The brokerage currently has $36.00 price target on the stock.
According to Zacks, “Conagra’s shares have underperformed the industry in the past three months. We note that the company is struggling with sluggish trends in the Foodservice unit, thanks to soft restaurant traffic, amid the coronavirus pandemic. Also, input cost inflation and adverse impacts from divested businesses have been a drag. Nevertheless, the company’s retail business is doing well, backed by rising at-home consumption. Such trends have boosted the company’s organic sales during second-quarter fiscal 2021. Markedly, the retail business saw sales growth in categories such as staples, frozen and snacks. Apart from this, Conagra has been benefiting from solid innovations and synergies from the Pinnacle Foods’ buyout. Additionally, management provided an optimistic outlook for the third quarter, while reiterating its view for fiscal 2022.”
CAG has been the subject of a number of other research reports. Morgan Stanley raised their target price on shares of Conagra Brands from $35.00 to $36.00 and gave the company an equal weight rating in a research report on Friday, October 2nd. Credit Suisse Group downgraded shares of Conagra Brands from a neutral rating to an underperform rating and decreased their target price for the company from $38.00 to $34.00 in a research report on Tuesday, January 5th. Jefferies Financial Group started coverage on shares of Conagra Brands in a research report on Friday, January 8th. They issued a buy rating and a $41.00 target price for the company. Finally, ValuEngine downgraded shares of Conagra Brands from a sell rating to a strong sell rating in a research report on Monday, November 2nd. Two equities research analysts have rated the stock with a sell rating, seven have given a hold rating, three have assigned a buy rating and one has issued a strong buy rating to the company’s stock. The company currently has a consensus rating of Hold and a consensus target price of $35.75.
Shares of CAG stock opened at $33.38 on Monday. The firm has a fifty day moving average of $35.59 and a 200-day moving average of $36.29. The company has a quick ratio of 0.35, a current ratio of 0.83 and a debt-to-equity ratio of 0.98. Conagra Brands has a 12-month low of $22.83 and a 12-month high of $39.34. The company has a market capitalization of $16.31 billion, a price-to-earnings ratio of 14.70, a P/E/G ratio of 1.87 and a beta of 0.86.
Conagra Brands (NYSE:CAG) last issued its quarterly earnings data on Wednesday, January 6th. The company reported $0.81 earnings per share (EPS) for the quarter, topping the Thomson Reuters’ consensus estimate of $0.74 by $0.07. The company had revenue of $3 billion during the quarter, compared to the consensus estimate of $2.98 billion. Conagra Brands had a net margin of 9.67% and a return on equity of 16.50%. The firm’s revenue was up 6.2% compared to the same quarter last year. During the same quarter in the prior year, the firm earned $0.63 earnings per share. On average, equities analysts expect that Conagra Brands will post 2.61 EPS for the current year.
The company also recently declared a quarterly dividend, which will be paid on Wednesday, March 3rd. Shareholders of record on Friday, January 29th will be paid a $0.275 dividend. This represents a $1.10 dividend on an annualized basis and a yield of 3.30%. The ex-dividend date of this dividend is Thursday, January 28th. Conagra Brands’s dividend payout ratio is currently 48.25%.
In other news, Director Richard H. Lenny purchased 10,000 shares of the business’s stock in a transaction on Friday, January 8th. The stock was purchased at an average price of $33.70 per share, for a total transaction of $337,000.00. The purchase was disclosed in a document filed with the Securities & Exchange Commission, which is available through this hyperlink. Company insiders own 2.60% of the company’s stock.
Several hedge funds and other institutional investors have recently bought and sold shares of the company. BlackRock Inc. lifted its stake in shares of Conagra Brands by 1.4% during the 3rd quarter. BlackRock Inc. now owns 35,701,452 shares of the company’s stock worth $1,274,900,000 after buying an additional 503,608 shares during the last quarter. Coho Partners Ltd. lifted its stake in shares of Conagra Brands by 0.8% during the 3rd quarter. Coho Partners Ltd. now owns 4,305,841 shares of the company’s stock worth $153,762,000 after buying an additional 33,597 shares during the last quarter. Nuveen Asset Management LLC lifted its stake in shares of Conagra Brands by 1.7% during the 2nd quarter. Nuveen Asset Management LLC now owns 3,298,579 shares of the company’s stock worth $116,011,000 after buying an additional 53,889 shares during the last quarter. JPMorgan Chase & Co. lifted its stake in shares of Conagra Brands by 70.2% during the 3rd quarter. JPMorgan Chase & Co. now owns 2,895,846 shares of the company’s stock worth $102,743,000 after buying an additional 1,194,470 shares during the last quarter. Finally, LSV Asset Management lifted its stake in shares of Conagra Brands by 11.2% during the 3rd quarter. LSV Asset Management now owns 2,839,358 shares of the company’s stock worth $101,393,000 after buying an additional 286,543 shares during the last quarter. Institutional investors own 82.11% of the company’s stock.
About Conagra Brands
Conagra Brands, Inc, together with its subsidiaries, operates as a consumer packaged goods food company in North America. The company operates through Grocery & Snacks, Refrigerated & Frozen, International, and Foodservice segments. The Grocery & Snacks segment primarily offers shelf stable food products in various retail channels in the United States.
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