Campbell’s (NASDAQ:CPB) Posts Quarterly Earnings Results

Campbell’s (NASDAQ:CPB) released its quarterly earnings data on Thursday. The company reported $0.39 EPS for the quarter, meeting the consensus estimate of $0.39, FiscalAI reports. The business had revenue of $2.14 billion during the quarter. Campbell’s had a net margin of 6.12% and a return on equity of 18.04%. The firm’s revenue for the quarter was down 7.9% on a year-over-year basis. During the same period last year, the company earned $0.62 EPS. Campbell’s updated its FY 2027 guidance to 1.650-1.800 EPS.

Here are the key takeaways from Campbell’s’ conference call:

• Campbell’s expects organic sales to decline approximately 3% in fiscal 2027, with Snacks down high single digits in the first quarter and consumption not expected to reach positive growth by year-end.
• The company reduced its dividend, citing the need to support long-term value creation, while interest expense is expected to rise by about $25 million year over year; refinancing a $500 million bond, potentially through a higher-coupon hybrid security, remains under consideration.
• Management announced a new $500 million, four-year cost-savings program, including procurement, headcount reductions, and supply-chain optimization; savings are expected to build through fiscal 2030 and be weighted toward the second half of fiscal 2027.
• Campbell’s plans 4%-5% price increases across roughly 60% of its portfolio, with positive price realization expected from the second quarter onward to help offset 5%-6% inflation and elevated logistics costs.
• Meals & Beverages showed strength in cooking soups, broth, condensed cooking products, and Rao’s, while management is investing in innovation and brand support; Snacks’ recovery will rely on Goldfish and Pepperidge Farm initiatives, though meaningful margin improvement is not expected until the second half.

Campbell’s Trading Down 6.9%

Shares of CPB stock opened at $22.13 on Friday. The company’s 50-day moving average price is $22.75 and its 200-day moving average price is $22.35. Campbell’s has a twelve month low of $19.56 and a twelve month high of $34.17. The company has a current ratio of 0.87, a quick ratio of 0.38 and a debt-to-equity ratio of 1.53. The stock has a market cap of $6.60 billion, a price-to-earnings ratio of 10.96, a PEG ratio of 2.42 and a beta of 0.03.

Campbell’s Cuts Dividend

The company also recently declared a quarterly dividend, which will be paid on Monday, November 2nd. Stockholders of record on Thursday, October 1st will be given a dividend of $0.25 per share. The ex-dividend date of this dividend is Thursday, October 1st. This represents a $1.00 annualized dividend and a dividend yield of 4.5%. Campbell’s’s payout ratio is presently 77.23%.

Analyst Ratings Changes

Several research analysts recently weighed in on the company. Sanford C. Bernstein restated an “underperform” rating and set a $19.00 target price (down from $21.00) on shares of Campbell’s in a research note on Tuesday, June 9th. Zacks Research upgraded shares of Campbell’s from a “strong sell” rating to a “hold” rating in a research note on Monday, August 10th. Evercore set a $22.00 target price on Campbell’s in a report on Monday. Morgan Stanley lowered their price target on shares of Campbell’s from $23.00 to $21.00 and set an “equal weight” rating on the stock in a report on Friday, June 5th. Finally, Barclays lowered their price objective on Campbell’s from $21.00 to $19.00 and set an “underweight” rating on the stock in a research report on Monday, June 8th. Thirteen equities research analysts have rated the stock with a Hold rating and six have issued a Sell rating to the company. According to MarketBeat, the company presently has a consensus rating of “Reduce” and an average target price of $20.06.

Hedge Funds Weigh In On Campbell’s

Several institutional investors have recently bought and sold shares of CPB. Hsbc Holdings PLC boosted its holdings in Campbell’s by 644.9% in the first quarter. Hsbc Holdings PLC now owns 1,864,119 shares of the company’s stock valued at $41,319,000 after purchasing an additional 1,613,873 shares during the period. Fluent Financial LLC purchased a new stake in Campbell’s during the 2nd quarter worth about $1,394,000. Atria Investments Inc acquired a new stake in Campbell’s in the 2nd quarter valued at about $1,136,000. Saba Capital Management L.P. raised its position in Campbell’s by 556.6% in the 1st quarter. Saba Capital Management L.P. now owns 315,406 shares of the company’s stock valued at $7,024,000 after purchasing an additional 267,372 shares in the last quarter. Finally, Cerity Partners LLC boosted its stake in shares of Campbell’s by 190.3% in the 4th quarter. Cerity Partners LLC now owns 2,680,839 shares of the company’s stock valued at $74,715,000 after buying an additional 1,757,264 shares during the period. 52.35% of the stock is owned by institutional investors and hedge funds.

More Campbell’s News

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

• Positive Sentiment: Campbell’s announced a $500 million cost-reduction program that includes workforce reductions, plant closures and other efficiency measures. The plan is intended to improve margins, accelerate debt reduction and strengthen the balance sheet. Campbell’s slashes 13% of salaried workforce as part of $500M cost-cutting plan
• Positive Sentiment: Management is pursuing price increases and restructuring actions to offset inflation-driven cost pressure, although these measures could weigh on demand if consumers remain highly price-sensitive. Campbell’s turns back to price hikes as inflation squeezes margins
• Neutral Sentiment: Campbell’s reported fourth-quarter adjusted EPS of $0.39, in line with the stated consensus estimate, while revenue reached $2.14 billion. The La Regina acquisition was included in the quarter’s results. Campbell’s Reports Fourth Quarter Fiscal 2026 Results
• Negative Sentiment: Revenue declined approximately 8% year over year, and adjusted EPS fell from $0.62 to $0.39. Weakness in the Snacks segment offset gains in Meals & Beverages, while inflation and supply-chain costs pressured margins. Campbell’s Lags Q4 Earnings and Revenue Estimates
• Negative Sentiment: Fiscal 2027 guidance calls for a 2%–4% sales decline and adjusted EPS of $1.65–$1.80, below the approximately $1.92 analyst consensus. The forecast signals another difficult year for demand and earnings. The Campbell’s Company Braces for Pressure as Spending Weakens
• Negative Sentiment: The quarterly dividend was cut 36%, from $0.39 to $0.25 per share, disappointing income-focused investors. Management said the reset will support debt reduction and balance-sheet repair. Campbell’s slashes dividend, with shares taking a hit
• Negative Sentiment: Bank of America reiterated an Underperform rating and an $18 price target, citing the dividend cut and weak fiscal 2027 outlook. Campbell Soup: Dividend Cut, Weak 2027 Outlook Support Underperform Rating

About Campbell’s

Campbell’s (NASDAQ: CPB) is a leading manufacturer of shelf-stable foods and beverages, best known for its iconic soups and broths. Headquartered in Camden, New Jersey, the company offers a diverse portfolio of products designed to meet consumer demand for convenient, affordable meals and snacks. Since its founding in 1869, Campbell’s has grown through a combination of organic innovation and strategic acquisitions to expand its presence in the food industry.

The company’s brand portfolio includes Campbell’s Condensed Soups, V8 juices, Prego pasta sauces, Swanson broths and stocks, Pace salsas and dips, and Pepperidge Farm baked snacks.