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. While CAG is still in line with the averages on profitability rating, there are concerns on its financial health. 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
- CAG had positive earnings in the past year.
- CAG had a positive operating cash flow in the past year.
- In the past 5 years CAG has always been profitable.
- CAG had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
- CAG has a Return On Assets of -0.50%. This is comparable to the rest of the industry: CAG outperforms 40.23% of its industry peers.
- CAG has a Return On Equity (-1.21%) which is in line with its industry peers.
- With a decent Return On Invested Capital value of 6.94%, CAG is doing good in the industry, outperforming 74.71% of the companies in the same industry.
- Measured over the past 3 years, the Average Return On Invested Capital for CAG 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.
- CAG has a better Operating Margin (12.86%) than 83.91% of its industry peers.
- CAG's Operating Margin has declined in the last couple of years.
- CAG has a Gross Margin (24.57%) which is in line with its industry peers.
- 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
- With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), CAG is creating some value.
- The number of shares outstanding for CAG remains at a similar level compared to 1 year ago.
- CAG has less shares outstanding than it did 5 years ago.
- Compared to 1 year ago, CAG has an improved debt to assets ratio.
2.2 Solvency
- CAG has an Altman-Z score of 1.65. This is a bad value and indicates that CAG is not financially healthy and even has some risk of bankruptcy.
- Looking at the Altman-Z score, with a value of 1.65, CAG is in line with its industry, 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.
- CAG's Debt to FCF ratio of 8.70 is fine compared to the rest of the industry. CAG outperforms 62.07% of its industry peers.
- CAG has a Debt/Equity ratio of 0.85. This is a neutral value indicating CAG is somewhat dependend on debt financing.
- CAG has a Debt to Equity ratio of 0.85. This is in the lower half of the industry: CAG underperforms 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
WACC6.84%
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.
- CAG's Current ratio of 0.89 is on the low side compared to the rest of the industry. CAG is outperformed by 78.16% of its industry peers.
- A Quick Ratio of 0.28 indicates that CAG may have some problems paying its short term obligations.
- With a Quick ratio value of 0.28, CAG is not doing good in the industry: 93.10% of the companies in the same industry are doing better.
| 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
- Based on estimates for the next years, CAG will show a decrease in Earnings Per Share. The EPS will decrease by -1.00% on average per year.
- The Revenue is expected to decrease by -0.05% on average over the next years.
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
- The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
- 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
- A Price/Earnings ratio of 9.09 indicates a reasonable valuation of CAG.
- CAG's Price/Earnings ratio is rather cheap when compared to the industry. CAG is cheaper than 88.51% of the companies in the same industry.
- CAG's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 27.54.
- With a Price/Forward Earnings ratio of 9.36, the valuation of CAG can be described as very reasonable.
- 96.55% of the companies in the same industry are more expensive than CAG, based on the Price/Forward Earnings ratio.
- 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 | 8.4 |
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.
- Compared to an average industry Dividend Yield of 2.43, CAG pays a better dividend. On top of this CAG pays more dividend than 95.40% of the companies listed in the same industry.
- Compared to an average S&P500 Dividend Yield of 1.92, CAG pays a better dividend.
| 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 been paying a dividend for at least 10 years, so it has a reliable track record.
- CAG has not decreased their dividend for at least 10 years, which is a reliable track record.
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 | 8.4 |
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
WACC6.84%
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.