Core Insights - The Campbell's Company is facing significant cost pressures due to tariffs on steel and aluminum, which are essential for canned goods production, with these costs projected to account for about 4% of its cost of goods sold in fiscal 2026 [2][4] - The company reported Q4 fiscal 2025 net sales of $2.3 billion, reflecting a 1% year-over-year increase, although organic sales declined by 3% [4] - Adjusted earnings per share for the quarter were $0.62, exceeding estimates by 8.8%, but overall earnings before interest and taxes are expected to decline by 9-13% for the fiscal year [4] Cost Pressures - Rising costs from tariffs on steel and aluminum are impacting the company's financials, particularly in the meals and beverages segment where selective price hikes may be necessary [2][4] - Limited domestic capacity for steel derivatives, especially tinplate, forces the company to rely on imports, complicating cost mitigation efforts [2] Supply Chain Challenges - The Campbell's Company has experienced some success with its premium Rao's pasta sauce brand through collaborations with Italian suppliers, but overall supply chain constraints remain a significant issue [3] - The company is actively seeking alternative suppliers for tinplate and other imported goods, although transitions take time to ensure product quality and consumer satisfaction [3] Financial Performance - The company declared a quarterly dividend payable in November 2025, with an annualized yield of 4.6% [4]

Core Insights - Investors are increasingly turning to dividend-yielding stocks during market turbulence, favoring companies with high free cash flows and substantial dividend payouts [1] Group 1: Conagra Brands, Inc. (NYSE: CAG) - Conagra Brands has a dividend yield of 7.74% [7] - Morgan Stanley analyst Megan Alexander maintained an Equal-Weight rating and raised the price target from $20 to $21 on Sept. 24, 2025, with an accuracy rate of 65% [7] - UBS analyst Bryan Adams maintained a Neutral rating and reduced the price target from $20 to $19 on Sept. 24, 2025, with an accuracy rate of 66% [7] - Conagra Brands will release its fiscal 2026 first quarter results on Wednesday, Oct. 1, 2025 [7] Group 2: Target Corporation (NYSE: TGT) - Target Corporation has a dividend yield of 5.23% [7] - Evercore ISI Group analyst Greg Melich maintained an In-Line rating and cut the price target from $106 to $105 on Sept. 23, 2025, with an accuracy rate of 78% [7] - UBS analyst Michael Lasser maintained a Buy rating and reduced the price target from $135 to $130 on Aug. 21, 2025, with an accuracy rate of 79% [7] - On Sept. 22, Target received notice of an unsolicited mini-tender offer by TRC Capital Corporation to purchase up to 1,500,000 shares at $89.00 per share [7] Group 3: The Campbell's Company (NASDAQ: CPB) - The Campbell's Company has a dividend yield of 4.84% [7] - Morgan Stanley analyst Megan Alexander maintained an Equal-Weight rating and raised the price target from $32 to $33 on Sept. 5, 2025, with an accuracy rate of 65% [7] - TD Cowen analyst Robert Moskow maintained a Hold rating and increased the price target from $29 to $31 on Sept. 4, 2025, with an accuracy rate of 65% [7] - On Sept. 3, Campbell Soup reported fourth-quarter EPS above estimates [7]

Core Insights - During market turbulence, investors often seek dividend-yielding stocks, which typically have high free cash flows and offer substantial dividends [1] Group 1: Conagra Brands, Inc. (NYSE: CAG) - Conagra Brands has a dividend yield of 7.74% [7] - Morgan Stanley analyst Megan Alexander maintained an Equal-Weight rating and raised the price target from $20 to $21 on Sept. 24, 2025, with an accuracy rate of 65% [7] - UBS analyst Bryan Adams maintained a Neutral rating and reduced the price target from $20 to $19 on Sept. 24, 2025, with an accuracy rate of 66% [7] - Conagra Brands will release its fiscal 2026 first quarter results on Wednesday, Oct. 1, 2025 [7] Group 2: Target Corporation (NYSE: TGT) - Target has a dividend yield of 5.23% [7] - Evercore ISI Group analyst Greg Melich maintained an In-Line rating and cut the price target from $106 to $105 on Sept. 23, 2025, with an accuracy rate of 78% [7] - UBS analyst Michael Lasser maintained a Buy rating and reduced the price target from $135 to $130 on Aug. 21, 2025, with an accuracy rate of 79% [7] - On Sept. 22, Target received notice of an unsolicited mini-tender offer by TRC Capital Corporation to purchase up to 1,500,000 shares at $89.00 per share [7] Group 3: The Campbell's Company (NASDAQ: CPB) - Campbell's Company has a dividend yield of 4.84% [7] - Morgan Stanley analyst Megan Alexander maintained an Equal-Weight rating and raised the price target from $32 to $33 on Sept. 5, 2025, with an accuracy rate of 65% [7] - TD Cowen analyst Robert Moskow maintained a Hold rating and increased the price target from $29 to $31 on Sept. 4, 2025, with an accuracy rate of 65% [7] - On Sept. 3, Campbell Soup reported fourth-quarter EPS above estimates [7]

Core Viewpoint - The discussion emphasizes the necessity of incorporating nuclear energy into the power generation mix to meet the increasing demand for electricity sustainably and reliably, highlighting the advancements in nuclear technology that make it a viable option for the future [2][3][6]. Group 1: Nuclear Energy Demand and Strategy - There is a generational opportunity in power demand, with significant increases not seen in decades, necessitating a mix of natural gas, solar, and nuclear energy to meet this demand [2]. - The strategy involves adding advanced nuclear reactors, such as the Natrium reactor, to create a sustainable and clean energy system [2][5]. Group 2: Advanced Nuclear Technology - The Natrium reactor, set to be the next nuclear power station in the U.S., is designed to be less capital intensive, requiring less concrete, steel, and labor compared to traditional plants [5][11]. - The first Natrium reactor is scheduled to load nuclear fuel in 2030, with plans to deploy additional reactors in the Evergy service region in Kansas [5][6]. Group 3: Economic Viability and Public Support - The economic feasibility of new nuclear plants is crucial, with advanced technologies expected to reduce costs and construction times, making them competitive with natural gas plants [11][12]. - There is strong public support for nuclear energy in the U.S., and the safety record of existing plants, like Evergy's Wolf Creek plant, contributes to this confidence [10][7].

Company Overview - The Campbell's Company (CPB) is based in Camden, New Jersey, and specializes in manufacturing and marketing food and beverage products both domestically and internationally. The company has a market capitalization of nearly $10 billion, categorizing it as a large-cap stock within the packaged food industry [1]. Stock Performance - CPB stock has experienced a significant decline of 34.8% from its 52-week high of $51.01 reached on September 23, 2024. In contrast, the stock has seen a modest increase of 4.4% over the past three months, which is notably lower than the Nasdaq Composite's 17.2% increase during the same period [2]. - Over a longer timeframe, CPB's stock has dropped 20.6% in 2025 and 35.1% over the past 52 weeks, underperforming the Nasdaq Composite's 18% increase in 2025 and 27% increase over the past year. The stock has consistently remained below its 200-day moving average since November of the previous year, although it has recently climbed slightly above its 50-day moving average [3]. Financial Results - Following the release of better-than-expected Q4 results on September 3, Campbell's stock prices rose by 7.2%. The company's overall topline revenue was reported at $2.3 billion, reflecting a year-over-year increase of 1.2%, which was mostly in line with market expectations. However, the adjusted EPS decreased by 1 cent from the previous year to $0.62, surpassing consensus estimates by 8.8% [4]. Peer Comparison - Compared to its peer, Hormel Foods Corporation (HRL), Campbell's has performed slightly better, with HRL experiencing a 22.5% decline in 2025 and a 23.5% decline over the past year. Among the 19 analysts covering CPB stock, the consensus rating is a "Hold," with the stock trading slightly below its mean price target of $33.83 [5].

Financial Performance - Net sales for 2025 reached $10,253 million, an increase of 6.4% from $9,636 million in 2024[246] - Net earnings attributable to The Campbell's Company for 2025 were $602 million, up 6.2% from $567 million in 2024[246] - Earnings before interest and taxes (EBIT) for 2025 were $1,124 million, compared to $1,000 million in 2024, reflecting a 12.4% increase[246] - Total costs and expenses increased to $9,129 million in 2025, up from $8,636 million in 2024, representing a 5.7% rise[246] - The company reported a total comprehensive income of $604 million for 2025, compared to $553 million in 2024[249] - Net earnings for 2025 were $602 million, an increase from $567 million in 2024 and a decrease from $858 million in 2023[255] - Segment operating earnings for 2025 were $1,636 million, compared to $1,622 million in 2024, reflecting a slight increase[319] - Earnings before taxes for 2025 were $796 million, compared to $757 million in 2024, showing an increase[319] Costs and Expenses - Total costs and expenses increased to $9,129 million in 2025, up from $8,636 million in 2024, representing a 5.7% rise[246] - The cost of products sold in 2025 was $7,110 million, up from $6,595 million in 2024, indicating a rise in production costs[319] - Research and development expenses were $100 million in 2025, slightly down from $102 million in 2024[246] - Restructuring charges in 2025 amounted to $24 million, with total pre-tax charges related to cost-saving initiatives at $104 million[330] Assets and Equity - Total assets decreased to $14,896 million in 2025 from $15,235 million in 2024[251] - Total equity attributable to The Campbell's Company increased to $3,902 million in 2025 from $3,794 million in 2024[251] - The total equity at the end of 2025 was $3,904 million, up from $3,796 million in 2024[258] Debt and Cash Flow - Long-term debt increased to $6,095 million in 2025, up from $5,761 million in 2024[251] - Net cash provided by operating activities was $1,131 million in 2025, compared to $1,185 million in 2024 and $1,143 million in 2023[255] - Net cash used in investing activities significantly decreased to $(187) million in 2025 from $(3,128) million in 2024, indicating improved cash flow management[255] - Short-term borrowings increased to $1,846 million in 2025 from $5,622 million in 2024, while long-term borrowings were $1,144 million in 2025 compared to $2,496 million in 2024[255] - Total long-term debt decreased from $6,911 million in 2024 to $6,095 million in 2025, a reduction of approximately 11.8%[390] Acquisitions and Sales - The acquisition of Sovos Brands, Inc. was completed for a total consideration of $2.899 billion, with cash paid to shareholders amounting to $2.339 billion[289] - The acquisition contributed $423 million to net sales and resulted in a loss of $84 million to net earnings for the period from March 12, 2024, to July 28, 2024[292] - The company recognized a pre-tax loss of $25 million on the sale of the Pop Secret popcorn business, which had net sales of $119 million in 2024[295] - The Emerald nuts business was sold for $41 million, resulting in a pre- and after-tax loss of $13 million, with net sales of $51 million in 2023[294] - The noosa yoghurt business was sold for $188 million, with an after-tax loss of $15 million recorded on the sale[297] Shareholder Returns - Dividends paid increased to $460 million in 2025 from $445 million in 2024, reflecting a commitment to returning value to shareholders[258] - In 2025, the company repurchased 1.303 million shares at a cost of $62 million, with approximately $198 million remaining under the September 2024 share repurchase program[422] - The company authorized a new anti-dilutive share repurchase program of up to $250 million in September 2024, replacing a similar program from June 2021[421] Taxation - The effective income tax rate for 2025 was 24.4%, an increase from 25.1% in 2024, primarily due to the acquisition of Sovos Brands[374] - The total income taxes for 2025 amounted to $194 million, compared to $190 million in 2024 and $270 million in 2023[374] - As of August 3, 2025, the net deferred tax liability was $1.351 billion, a decrease from $1.424 billion in 2024[377] Pension and Benefits - The net periodic benefit expense for pension plans in 2025 was $21 million, compared to $31 million in 2024, while postretirement benefits expense was $3 million in 2025, down from $8 million in 2024[344] - The pension benefit obligation at the end of 2025 was $1.214 billion, a decrease from $1.267 billion in 2024, while postretirement benefit obligation decreased to $127 million from $145 million[347] - The fair value of pension plan assets at the end of 2025 was $1.244 billion, down from $1.307 billion in 2024, with an actual return on plan assets of $45 million in 2025[348] Litigation - The company is involved in ongoing litigation concerning alleged violations of the Clean Water Act, with potential civil penalties being uncertain but not expected to materially affect financial conditions[438]

Core Viewpoint - The Campbell's Company has declared a regular quarterly dividend of $0.39 per share, reflecting its commitment to returning value to shareholders [1]. Dividend Announcement - The quarterly dividend is scheduled to be payable on November 3, 2025, to shareholders of record as of the close of business on October 2, 2025 [1]. Company Background - The Campbell's Company has a long history of over 155 years in the food industry, focusing on connecting people through food they love [1].

Group 1 - The S&P 500 recently reached an all-time high, raising concerns about stock valuations being too high [2] - The market-weighted index is heavily influenced by a small number of technology companies [2] Group 2 - iREIT+HOYA Capital focuses on income-producing asset classes that provide sustainable portfolio income, diversification, and inflation hedging [1]

Core Insights - Campbell's Company CPB reported better-than-expected earnings for Q4, with sales growth of 1% year-over-year to $2.32 billion, slightly missing the analyst consensus estimate of $2.33 billion. Adjusted EPS was 62 cents, surpassing the consensus estimate of 56 cents [1][2]. Financial Performance - For the full year, Campbell expects sales between $10.035 billion and $10.240 billion, indicating a decline of 2% to flat growth. Adjusted EBIT is projected to fall by 9% to 13%, with adjusted EPS forecasted in the range of $2.40 to $2.55 [2]. Market Reaction - Following the earnings announcement, Campbell's shares fell by 2.5%, trading at $32.89 [2]. Analyst Ratings and Price Targets - Bernstein analyst Alexia Howard maintained an Outperform rating and raised the price target from $38 to $39 [5]. - TD Cowen analyst Robert Moskow maintained a Hold rating and increased the price target from $29 to $31 [5]. - B of A Securities analyst Peter Galbo maintained an Underperform rating and raised the price target from $29 to $30 [5].

Core Insights - The company has undergone leadership changes, with Mick Beekhuizen transitioning from CFO to CEO over the past six months, bringing a wealth of experience from various roles within the organization [2][3] - The company is focused on navigating an evolving market environment to achieve sustainable profitable growth, leveraging its strong portfolio of brands [3] Leadership Transition - Mick Beekhuizen has been with the company for six years, holding key positions that have provided him with a deep understanding of the organization [2] - The transition to CEO has not revealed any major surprises, indicating a strong familiarity with the company's operations and challenges [2] Market Environment - The current market environment is described as continuously evolving, which presents both challenges and opportunities for the company [2] - The emphasis is on adapting strategies to ensure the company can return to a path of sustainable profitable growth [3]