Conagra Brands (CAG) AI Stock Analysis

• Market Cap: $8.68B
• Dividend Yield: 7.7%
• Average Volume (3M): 11.29M
• Price to Earnings (P/E): 7.6
• Beta (1Y): -0.01
• Revenue Growth: -3.64%
• EPS Growth: 231.77%
• Country: US
• Employees: 18,500
• Sector: Consumer Defensive
• Sector Strength: 42
• Industry: Packaged Foods
• EPS (TTM): 0.56
• Shares Outstanding: 477,443,000
• 10 Day Avg. Volume: 11,336,121
• 30 Day Avg. Volume: 11,293,348
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• Enterprise Value/Market Cap: 2.19
• Enterprise Value/Revenue: 1.63
• Enterprise Value/Gross Profit: 6.31
• Enterprise Value/Ebitda: 9.67
• 1Y Price Target: $20.46
• Price Target Upside: 12.54% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 14

• Rating: 71 Outperform
• Price Target: $21.00 ▲(15.51% Upside)

Conagra Brands' overall score reflects a solid financial foundation with attractive valuation metrics. The company's strategic focus on productivity and supply chain improvements, alongside successful product innovations, supports a positive outlook. However, high leverage and persistent inflationary pressures present ongoing challenges.

Positive Factors

Product Innovation

Successful product innovations like Banquet Mega Chicken Fillets demonstrate Conagra's ability to adapt to consumer preferences, enhancing its competitive edge and supporting long-term revenue growth.

Supply Chain Resilience

Investing in supply chain resilience, such as repatriating production, can lower costs and improve margins, providing a durable competitive advantage in operational efficiency.

Operational Efficiency

Strong operational efficiencies through productivity and tariff mitigation efforts enhance profitability, enabling Conagra to better manage costs and sustain margins despite external pressures.

Negative Factors

High Leverage

High leverage can limit financial flexibility and increase risk during economic downturns, potentially impacting Conagra's ability to invest in growth opportunities.

Inflationary Pressures

Persistent inflationary pressures can compress margins and challenge profitability, requiring strategic pricing and cost management to maintain financial health.

Supply Constraints

Supply constraints can hinder growth by limiting the ability to meet consumer demand, impacting revenue and market share in the long term if not addressed effectively.

Conagra Brands Business Overview & Revenue Model

Company Description

Conagra Brands, Inc., together with its subsidiaries, operates as a consumer packaged goods food company in North America. The company operates in four segments: Grocery & Snacks, Refrigerated & Frozen, International, and Foodservice. The Grocery & Snacks segment primarily offers shelf stable food products through various retail channels in the United States. The Refrigerated & Frozen segment provides temperature-controlled food products through various retail channels in the United States. The International segment offers food products in various temperature states through retail and foodservice channels outside of the United States. The Foodservice segment offers branded and customized food products, including meals, entrees, sauces, and various custom-manufactured culinary products packaged for restaurants and other foodservice establishments in the United States. The company sells its products under the Birds Eye, Duncan Hines, Healthy Choice, Marie Callender's, Reddi-wip, Slim Jim, Angie's BOOMCHICKAPOP, Duke's, Earth Balance, Gardein, and Frontera brands. The company was formerly known as ConAgra Foods, Inc. and changed its name to Conagra Brands, Inc. in November 2016. Conagra Brands, Inc. was founded in 1861 and is headquartered in Chicago, Illinois.

How the Company Makes Money

Conagra Brands generates revenue primarily through the sale of its packaged food products across multiple categories, including frozen, refrigerated, and shelf-stable goods. The company's revenue model is built on a combination of direct sales to retailers, food service distributors, and direct-to-consumer channels. Key revenue streams include branded products, private label offerings, and innovative new products that cater to consumer trends such as health and wellness. Furthermore, Conagra has formed strategic partnerships and collaborations with retailers and food service companies to enhance distribution and visibility of its brands, contributing to increased market penetration and sales. Additionally, the company invests in marketing and promotional activities to drive brand awareness and consumer engagement, which further supports its revenue generation efforts.

Conagra Brands Financial Statement Overview

Summary

Conagra Brands demonstrates a solid financial position with strong operational margins and recent improvements in net income and cash flow generation. However, high leverage and inconsistent revenue growth present challenges.

Income Statement

Conagra Brands shows a mixed performance in its income statement. The gross profit margin has been stable, indicating consistent production efficiency. However, the net profit margin has fluctuated due to variable net income, with a significant increase in the most recent year. Revenue growth rate has been inconsistent, with some periods of decline, but a recovery in the latest year. EBIT and EBITDA margins remain healthy, reflecting strong operational profitability.

Balance Sheet

The balance sheet reflects moderate stability. The debt-to-equity ratio is relatively high, indicating significant leverage, which could pose a risk in volatile market conditions. Return on equity has improved recently due to increased net income, suggesting better use of shareholder funds. The equity ratio is stable, showing a balanced asset financing structure.

Cash Flow

Conagra's cash flow statement reveals some challenges. Free cash flow has shown volatility, with recent growth indicating better capital management. The operating cash flow to net income ratio is solid, suggesting effective cash generation relative to net income. However, the free cash flow to net income ratio has shown instability, highlighting potential issues in translating profits into cash.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	11.61B	11.61B	12.05B	12.28B	11.54B	11.18B
Gross Profit	3.01B	3.12B	3.35B	3.28B	2.82B	3.40B
EBITDA	1.96B	1.96B	1.44B	1.47B	1.79B	2.22B
Net Income	1.15B	1.15B	347.20M	683.60M	888.20M	1.30B
Balance Sheet
Total Assets	20.93B	20.93B	20.86B	22.05B	22.44B	22.20B
Cash, Cash Equivalents and Short-Term Investments	68.00M	68.00M	77.70M	93.30M	83.30M	79.20M
Total Debt	8.31B	8.31B	8.61B	9.42B	9.18B	9.19B
Total Liabilities	12.00B	12.00B	12.35B	13.25B	13.57B	13.56B
Stockholders Equity	8.93B	8.93B	8.44B	8.74B	8.79B	8.55B
Cash Flow
Free Cash Flow	1.30B	1.30B	1.63B	633.20M	712.90M	961.70M
Operating Cash Flow	1.69B	1.69B	2.02B	995.40M	1.18B	1.47B
Investing Cash Flow	-542.20M	-542.20M	-375.00M	-354.90M	-434.90M	-340.30M
Financing Cash Flow	-1.16B	-1.16B	-1.66B	-631.60M	-738.00M	-1.61B

Conagra Brands Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 18.18
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For CAG, the sentiment is Negative. The current price of 18.18 is below the 20-day moving average (MA) of 18.86, below the 50-day MA of 18.96, and below the 200-day MA of 22.59, indicating a bearish trend. The MACD of -0.26 indicates Positive momentum. The RSI at 39.29 is Neutral, neither overbought nor oversold. The STOCH value of 14.18 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for CAG.

Conagra Brands Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
CAG	71 Outperform	$8.68B	7.57	13.27%	7.70%	-3.64%	231.77%
MKC	69 Neutral	$17.63B	22.82	13.85%	2.69%	0.89%	4.85%
GIS	67 Neutral	$26.72B	9.48	30.60%	4.81%	-3.26%	25.58%
CPB	67 Neutral	$9.56B	15.99	15.43%	4.80%	6.40%	6.17%
KHC	56 Neutral	$30.83B	-5.81	-12.74%	6.14%	-3.83%	-384.08%
SJM	54 Neutral	$11.65B	-7.96	-24.63%	3.97%	2.54%	-293.39%
Sector *	62 Neutral	$20.33B	14.63	-3.31%	3.23%	1.93%	-12.26%

Conagra Brands Corporate Events

Conagra Brands Completes $1 Billion Senior Notes Offering

On July 22, 2025, Conagra Brands completed a public offering of $1 billion in senior notes, split between $500 million due in 2030 and $500 million due in 2035. This move, facilitated by major financial institutions, aims to strengthen the company’s financial position, with implications for its debt management and market operations.

The most recent analyst rating on (CAG) stock is a Buy with a $33.00 price target. To see the full list of analyst forecasts on Conagra Brands stock, see the CAG Stock Forecast page.