Conagra Brands Stock: Analyst Estimates & Ratings

Core Viewpoint - Conagra Brands, Inc. is facing significant stock underperformance despite a strong market position and positive quarterly results, with ongoing challenges from inflation and tariffs impacting future earnings expectations [1][2][4]. Company Overview - Conagra Brands has a market capitalization of $8.2 billion and operates in the North American packaged foods sector with a diverse brand portfolio including Birds Eye, Healthy Choice, Slim Jim, Reddi-wip, and Marie Callender's [1]. - The company operates across four segments: Grocery & Snacks, Refrigerated & Frozen, International, and Foodservice, focusing on innovative food products that cater to changing consumer preferences [1]. Stock Performance - Over the past 52 weeks, Conagra's stock has decreased by 41.1%, significantly underperforming the S&P 500 Index, which has increased by 18.5% during the same period [2]. - Year-to-date, the stock is down 38.3%, while the S&P 500 has risen by 15.1% [2]. Recent Financial Results - On October 1, Conagra reported Q1 2026 revenue of $2.63 billion and adjusted EPS of $0.39, exceeding expectations [4]. - The company has maintained its annual forecasts despite facing inflation and tariff pressures, indicating confidence in its pricing actions and cost-saving initiatives to offset rising costs [4]. Earnings Expectations - For the fiscal year ending in May 2026, analysts project a 23.5% year-over-year decrease in adjusted EPS to $1.76 [5]. - Conagra's earnings surprise history is mixed, with two beats and two misses in the last four quarters [5]. Analyst Ratings - Among 17 analysts covering Conagra, the consensus rating is a "Hold," with two "Strong Buy," 13 "Holds," one "Moderate Sell," and one "Strong Sell" [5]. - Morgan Stanley has set a price target of $21, with a mean price target of $20.53 indicating a nearly 20% premium to current levels, while the highest target of $27 suggests a potential upside of 57.8% [6].