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Conagra Brands (CAG) Stock Moves -0.96%: What You Should Know

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Conagra Brands (CAG - Free Report) closed the most recent trading day at $28, moving -0.96% from the previous trading session. This move was narrower than the S&P 500's daily loss of 2.98%. Meanwhile, the Dow lost 2.9%, and the Nasdaq, a tech-heavy index, lost 3.47%.

Prior to today's trading, shares of the packaged foods company had gained 0.04% over the past month. This has lagged the Consumer Staples sector's gain of 0.99% and outpaced the S&P 500's loss of 1.28% in that time.

Wall Street will be looking for positivity from CAG as it approaches its next earnings report date. In that report, analysts expect CAG to post earnings of $0.40 per share. This would mark a year-over-year decline of 14.89%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $2.48 billion, up 35.33% from the year-ago period.

For the full year, our Zacks Consensus Estimates are projecting earnings of $2.11 per share and revenue of $10.85 billion, which would represent changes of +4.98% and +13.72%, respectively, from the prior year.

Any recent changes to analyst estimates for CAG should also be noted by investors. These revisions help to show the ever-changing nature of near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.

Our research shows that these estimate changes are directly correlated with near-term stock prices. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.

The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection remained stagnant. CAG is currently sporting a Zacks Rank of #3 (Hold).

Looking at its valuation, CAG is holding a Forward P/E ratio of 13.39. This valuation marks a discount compared to its industry's average Forward P/E of 18.21.

It is also worth noting that CAG currently has a PEG ratio of 1.91. 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 Food - Miscellaneous industry currently had an average PEG ratio of 2.49 as of yesterday's close.

The Food - Miscellaneous industry is part of the Consumer Staples sector. This industry currently has a Zacks Industry Rank of 99, which puts it in the top 39% of all 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.

You can find more information on all of these metrics, and much more, on Zacks.com.


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