We use cookies to understand how you use our site and to improve your experience.
This includes personalizing content and advertising.
By pressing "Accept All" or closing out of this banner, you consent to the use of all cookies and similar technologies and the sharing of information they collect with third parties.
You can reject marketing cookies by pressing "Deny Optional," but we still use essential, performance, and functional cookies.
In addition, whether you "Accept All," Deny Optional," click the X or otherwise continue to use the site, you accept our Privacy Policy and Terms of Service, revised from time to time.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Campbell's Q3 Earnings Coming Up: What Investors Need to Understand
Read MoreHide Full Article
The Campbell's Company (CPB - Free Report) is likely to register top-line growth when it reports third-quarter fiscal 2025 earnings on June 2. The Zacks Consensus Estimate for revenues is pegged at $2.44 billion, implying a 2.9% increase from the prior-year quarter’s reported figure.
However, the company is likely to register a bottom-line decline in the fiscal third quarter. The consensus mark for quarterly earnings has moved down a penny in the past 30 days to 65 cents per share, indicating a 13.3% decrease from the figure reported in the year-ago quarter. CPB delivered a trailing four-quarter earnings surprise of 3.1%, on average.
Campbell's has been benefiting from momentum in the Meals & Beverages division, bolstered by the successful integration of Sovos Brands. In addition, brands like Rao’s and Prego continue to gain market traction in the segment. Our model indicates 10.8% sales growth in the segment during the third quarter of fiscal 2025. This, coupled with a strong innovation pipeline and effective marketing, bodes well.
However, the company has been experiencing weaker-than-expected performance in the Snacks business amid shifting consumer trends and competitive dynamics within the market. On its last earnings call, management emphasized that while the company expects to make continued sequential progress on Snacks margins, it does not anticipate reaching the previously expected margin levels. We expect the segment’s organic sales to decline 3.2% in the to-be-reported quarter. Apart from this, core inflation and ongoing supply-chain cost pressures are headwinds.
Despite these pressures, Campbell has been making strong progress on its cost savings plan, with benefits from the Sovos Brands integration and network optimization projects supporting overall efficiency. Additionally, the company’s focus on driving SG&A cost efficiencies is likely to have supported margins and profitability in the to-be-reported quarter.
Earnings Whispers for CPB Stock
Our proven model does not conclusively predict an earnings beat for Campbell's this time. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat, which is not the case here. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Campbell's currently has a Zacks Rank #3 and an Earnings ESP of -0.30%.
More Stocks With the Favorable Combination
Here are some companies worth considering, as our model shows that these have the right combination of elements to beat on earnings this reporting cycle.
GAP is likely to register top-line growth when it releases first-quarter 2025 results. The Zacks Consensus Estimate for its quarterly revenues is pegged at $3.42 billion, which implies growth of 0.8% from the figure reported in the year-ago quarter.
The consensus estimate for GAP’s quarterly EPS has increased a penny in the past 30 days to 44 cents, implying growth of 7.3% from the year-ago quarter’s number. GAP delivered an earnings surprise of 77.5%, on average, in the trailing four quarters.
Burlington Stores (BURL - Free Report) currently has an Earnings ESP of +3.45% and a Zacks Rank of 3. BURL’s top line is anticipated to advance year over year when it reports first-quarter fiscal 2025 results. The Zacks Consensus Estimate for its quarterly revenues is pegged at $2.53 billion, which indicates a 7.3% rise from the figure reported in the year-ago quarter.
The consensus estimate for Burlington Stores’ first-quarter earnings is pegged at $1.42 per share, unchanged year over year. BURL delivered a trailing four-quarter earnings surprise of 17.9%, on average.
The Kroger Co. (KR - Free Report) currently has an Earnings ESP of +0.38% and a Zacks Rank of 3. KR’s top line is anticipated to advance year over year when it reports first-quarter fiscal 2025 results. The Zacks Consensus Estimate for its quarterly revenues is pegged at $45.38 billion, which implies a 0.3% rise from the figure reported in the year-ago quarter.
The company is expected to register an increase in the bottom line. The consensus estimate for Kroger’s first-quarter earnings is pegged at $1.44 per share, up 0.7% from the year-ago quarter. KR delivered a trailing four-quarter earnings surprise of 2.6%, on average.
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
Campbell's Q3 Earnings Coming Up: What Investors Need to Understand
The Campbell's Company (CPB - Free Report) is likely to register top-line growth when it reports third-quarter fiscal 2025 earnings on June 2. The Zacks Consensus Estimate for revenues is pegged at $2.44 billion, implying a 2.9% increase from the prior-year quarter’s reported figure.
However, the company is likely to register a bottom-line decline in the fiscal third quarter. The consensus mark for quarterly earnings has moved down a penny in the past 30 days to 65 cents per share, indicating a 13.3% decrease from the figure reported in the year-ago quarter. CPB delivered a trailing four-quarter earnings surprise of 3.1%, on average.
The Campbell's Company Price and EPS Surprise
The Campbell's Company price-eps-surprise | The Campbell's Company Quote
Things to Know Ahead of CPB’s Q3 Earnings
Campbell's has been benefiting from momentum in the Meals & Beverages division, bolstered by the successful integration of Sovos Brands. In addition, brands like Rao’s and Prego continue to gain market traction in the segment. Our model indicates 10.8% sales growth in the segment during the third quarter of fiscal 2025. This, coupled with a strong innovation pipeline and effective marketing, bodes well.
However, the company has been experiencing weaker-than-expected performance in the Snacks business amid shifting consumer trends and competitive dynamics within the market. On its last earnings call, management emphasized that while the company expects to make continued sequential progress on Snacks margins, it does not anticipate reaching the previously expected margin levels. We expect the segment’s organic sales to decline 3.2% in the to-be-reported quarter. Apart from this, core inflation and ongoing supply-chain cost pressures are headwinds.
Despite these pressures, Campbell has been making strong progress on its cost savings plan, with benefits from the Sovos Brands integration and network optimization projects supporting overall efficiency. Additionally, the company’s focus on driving SG&A cost efficiencies is likely to have supported margins and profitability in the to-be-reported quarter.
Earnings Whispers for CPB Stock
Our proven model does not conclusively predict an earnings beat for Campbell's this time. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat, which is not the case here. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Campbell's currently has a Zacks Rank #3 and an Earnings ESP of -0.30%.
More Stocks With the Favorable Combination
Here are some companies worth considering, as our model shows that these have the right combination of elements to beat on earnings this reporting cycle.
Gap (GAP - Free Report) has an Earnings ESP of +3.03% and a Zacks Rank of 3 at present. You can see the complete list of today’s Zacks #1 Rank stocks here.
GAP is likely to register top-line growth when it releases first-quarter 2025 results. The Zacks Consensus Estimate for its quarterly revenues is pegged at $3.42 billion, which implies growth of 0.8% from the figure reported in the year-ago quarter.
The consensus estimate for GAP’s quarterly EPS has increased a penny in the past 30 days to 44 cents, implying growth of 7.3% from the year-ago quarter’s number. GAP delivered an earnings surprise of 77.5%, on average, in the trailing four quarters.
Burlington Stores (BURL - Free Report) currently has an Earnings ESP of +3.45% and a Zacks Rank of 3. BURL’s top line is anticipated to advance year over year when it reports first-quarter fiscal 2025 results. The Zacks Consensus Estimate for its quarterly revenues is pegged at $2.53 billion, which indicates a 7.3% rise from the figure reported in the year-ago quarter.
The consensus estimate for Burlington Stores’ first-quarter earnings is pegged at $1.42 per share, unchanged year over year. BURL delivered a trailing four-quarter earnings surprise of 17.9%, on average.
The Kroger Co. (KR - Free Report) currently has an Earnings ESP of +0.38% and a Zacks Rank of 3. KR’s top line is anticipated to advance year over year when it reports first-quarter fiscal 2025 results. The Zacks Consensus Estimate for its quarterly revenues is pegged at $45.38 billion, which implies a 0.3% rise from the figure reported in the year-ago quarter.
The company is expected to register an increase in the bottom line. The consensus estimate for Kroger’s first-quarter earnings is pegged at $1.44 per share, up 0.7% from the year-ago quarter. KR delivered a trailing four-quarter earnings surprise of 2.6%, on average.