Conagra Brands (NYSE:CAG) Stock Price Down 6% – Should You Sell?

Conagra Brands (NYSE:CAG)’s share price fell 6% during mid-day trading on Wednesday . The stock traded as low as $17.23 and last traded at $16.99. 2,037,169 shares changed hands during trading, a decline of 84% from the average session volume of 12,696,718 shares. The stock had previously closed at $18.08.

Analysts Set New Price Targets

CAG has been the topic of several research analyst reports. UBS Group reiterated a “neutral” rating and issued a $20.00 price objective on shares of Conagra Brands in a report on Friday, February 13th. Deutsche Bank Aktiengesellschaft cut their price target on shares of Conagra Brands from $19.00 to $18.00 and set a “hold” rating on the stock in a research note on Monday, December 22nd. Bank of America reduced their price objective on Conagra Brands from $18.00 to $17.00 and set an “underperform” rating for the company in a research note on Monday, December 22nd. Sanford C. Bernstein dropped their price objective on shares of Conagra Brands from $21.00 to $18.00 and set a “market perform” rating on the stock in a research note on Monday, December 22nd. Finally, Wells Fargo & Company increased their price objective on Conagra Brands from $18.00 to $20.00 and gave the stock an “equal weight” rating in a research report on Tuesday, February 17th. One research analyst has rated the stock with a Buy rating, twelve have issued a Hold rating and three have issued a Sell rating to the stock. According to data from MarketBeat.com, Conagra Brands currently has a consensus rating of “Reduce” and a consensus price target of $19.07.

Conagra Brands Stock Performance

The company has a market cap of $8.26 billion, a price-to-earnings ratio of -78.43 and a beta of -0.02. The company has a debt-to-equity ratio of 0.80, a current ratio of 0.89 and a quick ratio of 0.28. The firm has a fifty day simple moving average of $18.23 and a 200 day simple moving average of $18.13.

Conagra Brands (NYSE:CAG) last posted its quarterly earnings data on Friday, December 19th. The company reported $0.45 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.44 by $0.01. Conagra Brands had a negative net margin of 0.87% and a positive return on equity of 10.59%. The business had revenue of $2.98 billion during the quarter, compared to the consensus estimate of $3 billion. During the same period in the prior year, the firm earned $0.70 EPS. Conagra Brands’s quarterly revenue was down 6.8% compared to the same quarter last year. Conagra Brands has set its FY 2026 guidance at 1.700-1.85 EPS. On average, sell-side analysts expect that Conagra Brands will post 2.35 earnings per share for the current fiscal year.

Conagra Brands Dividend Announcement

The company also recently announced a quarterly dividend, which was paid on Thursday, February 26th. Investors of record on Tuesday, January 27th were given a $0.35 dividend. This represents a $1.40 annualized dividend and a yield of 8.1%. The ex-dividend date of this dividend was Tuesday, January 27th. Conagra Brands’s dividend payout ratio (DPR) is -636.36%.

Institutional Inflows and Outflows

Hedge funds have recently added to or reduced their stakes in the business. NewEdge Advisors LLC raised its holdings in shares of Conagra Brands by 4.2% in the 1st quarter. NewEdge Advisors LLC now owns 23,541 shares of the company’s stock worth $628,000 after buying an additional 954 shares in the last quarter. United Services Automobile Association acquired a new stake in Conagra Brands in the 1st quarter valued at $225,000. Empowered Funds LLC grew its position in Conagra Brands by 5.9% in the first quarter. Empowered Funds LLC now owns 36,356 shares of the company’s stock valued at $970,000 after acquiring an additional 2,038 shares during the period. Woodline Partners LP grew its position in Conagra Brands by 40.7% in the first quarter. Woodline Partners LP now owns 40,326 shares of the company’s stock valued at $1,075,000 after acquiring an additional 11,664 shares during the period. Finally, Assetmark Inc. raised its stake in Conagra Brands by 633.3% during the second quarter. Assetmark Inc. now owns 2,999 shares of the company’s stock worth $61,000 after acquiring an additional 2,590 shares in the last quarter. Institutional investors and hedge funds own 83.75% of the company’s stock.

About Conagra Brands

Conagra Brands, Inc is a leading packaged foods company based in Chicago, Illinois, with a broad portfolio of shelf-stable, frozen and refrigerated foods marketed under familiar brands. The company develops, produces and distributes a wide range of consumer food products, serving both retail grocery and foodservice channels. Conagra’s product lineup includes frozen entrees, snacks, condiments, baking goods and desserts, providing convenient meal solutions for consumers across North America and select international markets.

Among its well-known brands are Birds Eye, Healthy Choice, Lean Cuisine, Marie Callender’s and Banquet in the frozen foods category, as well as Hunt’s sauces, Orville Redenbacher’s popcorn, Slim Jim meat snacks and Reddi-wip toppings.