Conagra Brands (CAG) Advances While Market Declines: Some Information for Investors
Conagra Brands (CAG) ended the recent trading session at $28.53, demonstrating a +1.42% swing from the preceding day's closing price. The stock outpaced the S&P 500's daily loss of 0.11%. Elsewhere, the Dow gained 0.12%, while the tech-heavy Nasdaq lost 0.41%.
The the stock of company has risen by 2.66% in the past month, leading the Consumer Staples sector's gain of 0.25% and undershooting the S&P 500's gain of 2.7%.
The investment community will be closely monitoring the performance of Conagra Brands in its forthcoming earnings report. The company is scheduled to release its earnings on April 4, 2024. In that report, analysts expect Conagra Brands to post earnings of $0.63 per share. This would mark a year-over-year decline of 17.11%. Meanwhile, the latest consensus estimate predicts the revenue to be $3.02 billion, indicating a 2.3% decrease compared to the same quarter of the previous year.
For the full year, the Zacks Consensus Estimates project earnings of $2.59 per share and a revenue of $12.09 billion, demonstrating changes of -6.5% and -1.51%, respectively, from the preceding year.
Investors should also take note of any recent adjustments to analyst estimates for Conagra Brands. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational rating system.
The Zacks Rank system, which varies between #1 (Strong Buy) and #5 (Strong Sell), carries an impressive track record of exceeding expectations, confirmed by external audits, with stocks at #1 delivering an average annual return of +25% since 1988. Over the past month, there's been no change in the Zacks Consensus EPS estimate. Conagra Brands is currently sporting a Zacks Rank of #4 (Sell).
In terms of valuation, Conagra Brands is currently trading at a Forward P/E ratio of 10.85. This valuation marks a discount compared to its industry's average Forward P/E of 17.03.
It's also important to note that CAG currently trades at a PEG ratio of 2.99. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The average PEG ratio for the Food - Miscellaneous industry stood at 2.02 at the close of the market yesterday.
The Food - Miscellaneous industry is part of the Consumer Staples sector. At present, this industry carries a Zacks Industry Rank of 149, placing it within the bottom 41% of over 250 industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Don't forget to use Zacks.com to keep track of all these stock-moving metrics, and others, in the upcoming trading sessions.
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Conagra Brands (CAG) : Free Stock Analysis Report
