ConAgra Foods Inc (CAG) Beats on Earnings, Light on Revenue


ConAgra Foods Inc (NYSE:CAG) has reported their fiscal 2016 second quarter earnings this morning and the market seems to be pleased with their results. The company reported an earnings per share of $0.71 for the quarter, beating consensus estimates of $0.60 per share by 11 cents. While the bottom line came in much higher than expected, ConAgra Foods Inc (NYSE:CAG) was a little light on the revenue side of things. The company reported $3.09 billion in sales, while analysts were expecting $3.38 billion. It appears as if the earnings beat outweighs the lighter than expected revenue numbers as the stock is trading up by 0.98% in the pre-market this morning.

The stock closed at $41.02 during the last trading session. It is up 6.38% since May 19, 2015 and is uptrending. It has outperformed the S&P500 by 8.65%.

From a total of 5 analysts covering ConAgra Foods (NYSE:CAG) stock, 3 rate it a “Buy”, 0 a “Sell”, and 2 a “Hold”. This means that 60% of the ratings are positive. The highest target price is $48 while the lowest target price is $43. The mean of all analyst targets is $46 which is 12.14% above today’s ($41.02) stock price. ConAgra Foods was the topic of 6 analyst reports since September 16, 2015 according to the firm StockzIntelligence Inc. Jefferies initiated shares on December 16 with a “Buy” rating. TheStreet downgraded CAG stock in a recent report from September 24 to a “Hold” rating.

The institutional sentiment increased to 0.88 in Q2 2015. It’s up 0.17, from 0.71 in 2015Q2. The ratio is positive, as 67 funds sold all their ConAgra Foods Inc shares they owned while 227 reduced their positions. 57 funds bought stakes while 203 increased their total positions. Institutions now own 337.59 million shares which is 8.68% more than the previous share count of 310.63 million in 2015Q2.

Jana Partners Llc holds 13.96% of its total portfolio in ConAgra Foods Inc, equating to 30.57 million shares. Symons Capital Management Inc owns 432,990 shares representing 4.72% of their total US portfolio. Moreover, Forester Capital Management Ltd has 4.71% of their total portfolio invested in the company, equating to 126,133 shares. The Connecticut-based Sasco Capital Inc Ct has a total of 4.7% of their portfolio invested in the stock. 13D Management Llc, a New York-based fund reported 387,205 shares owned.

ConAgra Foods, Inc. operates as a packaged food company. The company has a market cap of $17.57 billion. The Firm offers branded and private branded food to households, as well as commercial food, which serve various restaurants and foodservice operations. It currently has negative earnings. The Company’s brands include Banquet, Chef Boyardee, Egg Beaters, Healthy Choice, Hebrew National, Hunt’s, Marie Callender’s, Orville Redenbacher’s, PAM, Peter Pan, Reddi-wip, Slim Jim and Snack Pack, among others.