ConAgra Foods, Inc. (CAG - Free Report) has carved a name for itself in the processed & packaging food industry with superior processed food items for household and commercial clients. The product portfolio of this Omaha, NE-headquartered firm includes leading consumer brands that are found in 99% of America’s households.
However, this largest packaged food business of North America faces price volatility for raw materials much like its industry peers. As the extent of industry competition is increasing over time, investors have been eagerly awaiting for the company’s latest earnings report.
Currently, CAG has a Zacks Rank #3 (Hold), but that could definitely change after the release of its upcoming earnings report. We have highlighted some of the key stats from this just-revealed announcement below:
Earnings: CAG’s earnings from continuing operations, adjusted for items impacting comparability, in first-quarter fiscal 2017, came in at 61 cents, above with the Zacks Consensus Estimate of 48 cents.
Revenue: CAG posted revenues of $2,667.5 million, below the Zacks Consensus Estimate of $2,742 million.
CAG claimed that by fiscal 2017-end, it would successfully spin-off its Lamb Weston business. The action would result in the formation of two separate pure play public companies - ConAgra Brands and Lamb Weston.
Lamb Weston and ConAgra Brands would be hosting investor events on Oct 13, 2016 and Oct 18, 2016, respectively.
Stock Price: At the time of writing, the stock price of CAG was up nearly 0.12% ($0.05) in the pre-market trade on Nasdaq. Clearly the initial reaction to the release is positive. We view the company’s robust earnings performance in first-quarter fiscal 2017 result as the primary reason responsible for this positive sentiment.
Check back our full write up on this CAG earnings report later!
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