CONAGRA BRANDS INC (CAG) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:CAG - US2058871029 - Common Stock
17.37 USD
+0.25 (+1.46%)
17.3884 USD
+0.02 (+0.11%)
Overall CAG gets a fundamental rating of 4 out of 10. We evaluated CAG against 87 industry peers in the Food Products industry. There are concerns on the financial health of CAG while its profitability can be described as average. CAG is valued correctly, but it does not seem to be growing. CAG also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
- In the past year CAG was profitable.
- In the past year CAG had a positive cash flow from operations.
- CAG had positive earnings in each of the past 5 years.
- Each year in the past 5 years CAG had a positive operating cash flow.
1.2 Ratios
- The Return On Assets of CAG (-0.50%) is comparable to the rest of the industry.
- CAG has a Return On Equity of -1.21%. This is comparable to the rest of the industry: CAG outperforms 40.23% of its industry peers.
- CAG has a Return On Invested Capital of 6.94%. This is in the better half of the industry: CAG outperforms 74.71% of its industry peers.
- CAG had an Average Return On Invested Capital over the past 3 years of 7.92%. This is significantly below the industry average of 27.80%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -0.5% | ||
| ROE | -1.21% | ||
| ROIC | 6.94% |
ROA(3y)3.42%
ROA(5y)4.02%
ROE(3y)8.28%
ROE(5y)10.03%
ROIC(3y)7.92%
ROIC(5y)7.78%
1.3 Margins
- In the last couple of years the Profit Margin of CAG has grown nicely.
- The Operating Margin of CAG (12.86%) is better than 83.91% of its industry peers.
- In the last couple of years the Operating Margin of CAG has declined.
- With a Gross Margin value of 24.57%, CAG perfoms like the industry average, outperforming 58.62% of the companies in the same industry.
- CAG's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 12.86% | ||
| PM (TTM) | N/A | ||
| GM | 24.57% |
OM growth 3Y-1.53%
OM growth 5Y-3%
PM growth 3Y8.84%
PM growth 5Y5.48%
GM growth 3Y1.42%
GM growth 5Y-1.64%
2. Health
2.1 Basic Checks
- The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so CAG is still creating some value.
- CAG has about the same amout of shares outstanding than it did 1 year ago.
- Compared to 5 years ago, CAG has less shares outstanding
- The debt/assets ratio for CAG has been reduced compared to a year ago.
2.2 Solvency
- Based on the Altman-Z score of 1.65, we must say that CAG is in the distress zone and has some risk of bankruptcy.
- With a Altman-Z score value of 1.65, CAG perfoms like the industry average, outperforming 41.38% of the companies in the same industry.
- The Debt to FCF ratio of CAG is 8.70, which is on the high side as it means it would take CAG, 8.70 years of fcf income to pay off all of its debts.
- Looking at the Debt to FCF ratio, with a value of 8.70, CAG is in the better half of the industry, outperforming 62.07% of the companies in the same industry.
- A Debt/Equity ratio of 0.85 indicates that CAG is somewhat dependend on debt financing.
- The Debt to Equity ratio of CAG (0.85) is worse than 63.22% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.85 | ||
| Debt/FCF | 8.7 | ||
| Altman-Z | 1.65 |
ROIC/WACC1.01
WACC6.85%
2.3 Liquidity
- CAG has a Current Ratio of 0.89. This is a bad value and indicates that CAG is not financially healthy enough and could expect problems in meeting its short term obligations.
- With a Current ratio value of 0.89, CAG is not doing good in the industry: 78.16% of the companies in the same industry are doing better.
- CAG has a Quick Ratio of 0.89. This is a bad value and indicates that CAG is not financially healthy enough and could expect problems in meeting its short term obligations.
- Looking at the Quick ratio, with a value of 0.28, CAG is doing worse than 93.10% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.89 | ||
| Quick Ratio | 0.28 |
3. Growth
3.1 Past
- The earnings per share for CAG have decreased strongly by -24.51% in the last year.
- Measured over the past 5 years, CAG shows a small growth in Earnings Per Share. The EPS has been growing by 0.17% on average per year.
- Looking at the last year, CAG shows a decrease in Revenue. The Revenue has decreased by -5.82% in the last year.
- The Revenue has been growing slightly by 0.99% on average over the past years.
EPS 1Y (TTM)-24.51%
EPS 3Y-0.99%
EPS 5Y0.17%
EPS Q2Q%-35.71%
Revenue 1Y (TTM)-5.82%
Revenue growth 3Y0.22%
Revenue growth 5Y0.99%
Sales Q2Q%-6.76%
3.2 Future
- CAG is expected to show a decrease in Earnings Per Share. In the coming years, the EPS will decrease by -1.00% yearly.
- Based on estimates for the next years, CAG will show a decrease in Revenue. The Revenue will decrease by -0.05% on average per year.
EPS Next Y-23.4%
EPS Next 2Y-10.19%
EPS Next 3Y-4.79%
EPS Next 5Y-1%
Revenue Next Year-3.8%
Revenue Next 2Y-2.34%
Revenue Next 3Y-1.17%
Revenue Next 5Y-0.05%
3.3 Evolution
- When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
- When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
- CAG is valuated reasonably with a Price/Earnings ratio of 9.09.
- 89.66% of the companies in the same industry are more expensive than CAG, based on the Price/Earnings ratio.
- CAG is valuated cheaply when we compare the Price/Earnings ratio to 27.54, which is the current average of the S&P500 Index.
- The Price/Forward Earnings ratio is 9.36, which indicates a very decent valuation of CAG.
- Compared to the rest of the industry, the Price/Forward Earnings ratio of CAG indicates a rather cheap valuation: CAG is cheaper than 96.55% of the companies listed in the same industry.
- CAG is valuated cheaply when we compare the Price/Forward Earnings ratio to 24.31, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.09 | ||
| Fwd PE | 9.36 |
4.2 Price Multiples
- Based on the Enterprise Value to EBITDA ratio, CAG is valued a bit cheaper than 65.52% of the companies in the same industry.
- 87.36% of the companies in the same industry are more expensive than CAG, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 9.48 | ||
| EV/EBITDA | 8.47 |
4.3 Compensation for Growth
- A cheap valuation may be justified as CAG's earnings are expected to decrease with -4.79% in the coming years.
PEG (NY)N/A
PEG (5Y)52.02
EPS Next 2Y-10.19%
EPS Next 3Y-4.79%
5. Dividend
5.1 Amount
- CAG has a Yearly Dividend Yield of 8.44%, which is a nice return.
- CAG's Dividend Yield is rather good when compared to the industry average which is at 2.43. CAG pays more dividend than 95.40% of the companies in the same industry.
- CAG's Dividend Yield is rather good when compared to the S&P500 average which is at 1.92.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 8.44% |
5.2 History
- On average, the dividend of CAG grows each year by 10.50%, which is quite nice.
- CAG has paid a dividend for at least 10 years, which is a reliable track record.
- CAG has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)10.5%
Div Incr Years5
Div Non Decr Years17
5.3 Sustainability
- CAG has negative earnings and hence a negative payout ratio. The dividend may be in danger.
DP-682.55%
EPS Next 2Y-10.19%
EPS Next 3Y-4.79%
17.37
+0.25 (+1.46%)
Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupFood, Beverage & Tobacco
GICS IndustryFood Products
Earnings (Last)12-19 2025-12-19/bmo
Earnings (Next)04-01 2026-04-01/bmo
Inst Owners90.39%
Inst Owner Change0.37%
Ins Owners0.64%
Ins Owner Change3.83%
Market Cap8.31B
Revenue(TTM)11.23B
Net Income(TTM)-98.00M
Analysts55.2
Price Target20.66 (18.94%)
Short Float %6.02%
Short Ratio2.82
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 8.44% |
Yearly Dividend1.4
Dividend Growth(5Y)10.5%
DP-682.55%
Div Incr Years5
Div Non Decr Years17
Ex-Date01-27 2026-01-27 (0.35)
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)8.92%
Min EPS beat(2)2.06%
Max EPS beat(2)15.78%
EPS beat(4)2
Avg EPS beat(4)2.26%
Min EPS beat(4)-4.48%
Max EPS beat(4)15.78%
EPS beat(8)5
Avg EPS beat(8)1.24%
EPS beat(12)9
Avg EPS beat(12)3.66%
EPS beat(16)12
Avg EPS beat(16)4.63%
Revenue beat(2)0
Avg Revenue beat(2)-0.72%
Min Revenue beat(2)-1.13%
Max Revenue beat(2)-0.32%
Revenue beat(4)0
Avg Revenue beat(4)-1.85%
Min Revenue beat(4)-3.1%
Max Revenue beat(4)-0.32%
Revenue beat(8)1
Avg Revenue beat(8)-1.52%
Revenue beat(12)1
Avg Revenue beat(12)-1.59%
Revenue beat(16)3
Avg Revenue beat(16)-1.15%
PT rev (1m)-2.06%
PT rev (3m)-3.74%
EPS NQ rev (1m)-5.24%
EPS NQ rev (3m)-8.2%
EPS NY rev (1m)-0.5%
EPS NY rev (3m)-1.84%
Revenue NQ rev (1m)0.47%
Revenue NQ rev (3m)0.11%
Revenue NY rev (1m)0.02%
Revenue NY rev (3m)-0.23%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.09 | ||
| Fwd PE | 9.36 | ||
| P/S | 0.74 | ||
| P/FCF | 9.48 | ||
| P/OCF | 6.55 | ||
| P/B | 1.03 | ||
| P/tB | N/A | ||
| EV/EBITDA | 8.47 |
EPS(TTM)1.91
EY11%
EPS(NY)1.86
Fwd EY10.68%
FCF(TTM)1.83
FCFY10.55%
OCF(TTM)2.65
OCFY15.27%
SpS23.49
BVpS16.91
TBVpS-8.03
PEG (NY)N/A
PEG (5Y)52.02
Graham Number26.96
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -0.5% | ||
| ROE | -1.21% | ||
| ROCE | 9.08% | ||
| ROIC | 6.94% | ||
| ROICexc | 6.96% | ||
| ROICexgc | 26.13% | ||
| OM | 12.86% | ||
| PM (TTM) | N/A | ||
| GM | 24.57% | ||
| FCFM | 7.8% |
ROA(3y)3.42%
ROA(5y)4.02%
ROE(3y)8.28%
ROE(5y)10.03%
ROIC(3y)7.92%
ROIC(5y)7.78%
ROICexc(3y)7.95%
ROICexc(5y)7.81%
ROICexgc(3y)32.64%
ROICexgc(5y)34.56%
ROCE(3y)10.57%
ROCE(5y)10.3%
ROICexgc growth 3Y-5.95%
ROICexgc growth 5Y-11.19%
ROICexc growth 3Y1.74%
ROICexc growth 5Y-0.82%
OM growth 3Y-1.53%
OM growth 5Y-3%
PM growth 3Y8.84%
PM growth 5Y5.48%
GM growth 3Y1.42%
GM growth 5Y-1.64%
F-Score5
Asset Turnover0.57
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.85 | ||
| Debt/FCF | 8.7 | ||
| Debt/EBITDA | 3.74 | ||
| Cap/Depr | 101.71% | ||
| Cap/Sales | 3.49% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 69.31% | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.89 | ||
| Quick Ratio | 0.28 | ||
| Altman-Z | 1.65 |
F-Score5
WACC6.85%
ROIC/WACC1.01
Cap/Depr(3y)98.17%
Cap/Depr(5y)109.76%
Cap/Sales(3y)3.17%
Cap/Sales(5y)3.62%
Profit Quality(3y)224.76%
Profit Quality(5y)165.72%
High Growth Momentum
Growth
EPS 1Y (TTM)-24.51%
EPS 3Y-0.99%
EPS 5Y0.17%
EPS Q2Q%-35.71%
EPS Next Y-23.4%
EPS Next 2Y-10.19%
EPS Next 3Y-4.79%
EPS Next 5Y-1%
Revenue 1Y (TTM)-5.82%
Revenue growth 3Y0.22%
Revenue growth 5Y0.99%
Sales Q2Q%-6.76%
Revenue Next Year-3.8%
Revenue Next 2Y-2.34%
Revenue Next 3Y-1.17%
Revenue Next 5Y-0.05%
EBIT growth 1Y-22.26%
EBIT growth 3Y-1.31%
EBIT growth 5Y-2.04%
EBIT Next Year4.1%
EBIT Next 3Y3.29%
EBIT Next 5Y4.56%
FCF growth 1Y-24.69%
FCF growth 3Y22.29%
FCF growth 5Y-2.41%
OCF growth 1Y-18.21%
OCF growth 3Y12.88%
OCF growth 5Y-1.68%
CONAGRA BRANDS INC / CAG FAQ
Can you provide the ChartMill fundamental rating for CONAGRA BRANDS INC?
ChartMill assigns a fundamental rating of 4 / 10 to CAG.
What is the valuation status of CONAGRA BRANDS INC (CAG) stock?
ChartMill assigns a valuation rating of 6 / 10 to CONAGRA BRANDS INC (CAG). This can be considered as Fairly Valued.
What is the profitability of CAG stock?
CONAGRA BRANDS INC (CAG) has a profitability rating of 5 / 10.
What is the valuation of CONAGRA BRANDS INC based on its PE and PB ratios?
The Price/Earnings (PE) ratio for CONAGRA BRANDS INC (CAG) is 9.09 and the Price/Book (PB) ratio is 1.03.
Can you provide the financial health for CAG stock?
The financial health rating of CONAGRA BRANDS INC (CAG) is 3 / 10.