Valued at a market cap of $8.5 billion, Conagra Brands, Inc. (CAG) is a packaged food company that manufactures, markets, and distributes a wide range of branded and private-label food products, including frozen meals, snacks, condiments, packaged meals, and grocery staples. The Chicago, Illinois-based company is scheduled to announce its fiscal Q2 earnings for 2026 before the market opens on Friday, Dec. 19.
Ahead of this event, analysts expect this packaged foods company to report a profit of $0.44 per share, down 37.1% from $0.70 per share in the year-ago quarter. The company has surpassed Wall Street’s bottom-line estimates in two of the last four quarters, while missing on two other occasions. In Q1, CAG’s EPS of $0.39 exceeded the forecasted figure by a notable margin of 18.2%.
For the current fiscal year, ending in May 2026, analysts expect CAG to report a profit of $1.75 per share, down 23.9% from $2.30 per share in fiscal 2025. Nonetheless, its EPS is expected to rebound and grow by 6.3% year-over-year to $1.86 in fiscal 2027.
CAG has declined 35.7% over the past 52 weeks, considerably lagging behind both the S&P 500 Index's ($SPX) 11.1% return and the State Street Consumer Staples Select Sector SPDR ETF’s (XLP) 2.2% downtick over the same time period.
On Oct. 1, shares of CAG rose 5.4% after the company delivered better-than-expected Q1 results. The company’s overall revenue declined 5.8% year-over-year to $2.6 billion, but topped analyst expectations. Meanwhile, due to a decrease in adjusted gross profit, its adjusted EPS also fell by a notable 26.4% from the year-ago quarter to $0.39, yet it surpassed consensus estimates of $0.33.
Wall Street analysts are cautious about CAG’s stock, with an overall "Hold" rating. Among 16 analysts covering the stock, two recommend "Strong Buy," 12 suggest "Hold,” one indicates a “Moderate Sell,” and one advises a "Strong Sell” rating. The mean price target for CAG is $20.07, indicating a 12% potential upside from the current levels.
On the date of publication, Neharika Jain did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.
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