Conagra Brands
Market Cap
US$14.9b
Last Updated
2020/02/19 23:55 UTC
Data Sources
Company Financials +
Executive Summary
Conagra Brands, Inc., together with its subsidiaries, operates as a food company in North America.
Rewards
Risk Analysis
Snowflake Analysis
Undervalued average dividend payer.
Similar Companies
Share Price & News
How has Conagra Brands's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: CAG has not had significant price volatility in the past 3 months.
Market Performance
7 Day Return
-8.7%
CAG
-0.9%
US Food
0.5%
US Market
1 Year Return
24.0%
CAG
7.8%
US Food
20.3%
US Market
Return vs Industry: CAG exceeded the US Food industry which returned 7.8% over the past year.
Return vs Market: CAG exceeded the US Market which returned 20.3% over the past year.
Shareholder returns
| CAG | Industry | Market | |
|---|---|---|---|
| 7 Day | -8.7% | -0.9% | 0.5% |
| 30 Day | -10.6% | -2.0% | 2.0% |
| 90 Day | 5.6% | 3.4% | 9.4% |
| 1 Year | 27.6%24.0% | 10.7%7.8% | 22.8%20.3% |
| 3 Year | -20.3%-26.4% | -2.1%-9.9% | 50.1%40.4% |
| 5 Year | 24.9%-14.2% | 41.5%24.9% | 73.1%54.1% |
Price Volatility Vs. Market
How volatile is Conagra Brands's share price compared to the market and industry in the last 5 years?
Simply Wall St News
2 weeks ago | Simply Wall St
Here's How P/E Ratios Can Help Us Understand Conagra Brands, Inc. (NYSE:CAG)3 weeks ago | Simply Wall St
Conagra Brands, Inc. (NYSE:CAG) Pays A US$0.21 Dividend In Just 4 Days4 weeks ago | Simply Wall St
Does Conagra Brands, Inc. (NYSE:CAG) Create Value For Shareholders?Valuation
Is Conagra Brands undervalued compared to its fair value and its price relative to the market?
>50%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: CAG ($29.8) is trading below our estimate of fair value ($66.7)
Significantly Below Fair Value: CAG is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: CAG is good value based on its PE Ratio (18x) compared to the Food industry average (25x).
PE vs Market: CAG is good value based on its PE Ratio (18x) compared to the US market (18.3x).
Price to Earnings Growth Ratio
PEG Ratio: CAG is poor value based on its PEG Ratio (1.7x)
Price to Book Ratio
PB vs Industry: CAG is good value based on its PB Ratio (1.9x) compared to the US Food industry average (2x).
Next Steps
Future Growth
How is Conagra Brands forecast to perform in the next 1 to 3 years based on estimates from 14 analysts?
10.5%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: CAG's forecast earnings growth (10.5% per year) is above the savings rate (1.7%).
Earnings vs Market: CAG's earnings (10.5% per year) are forecast to grow slower than the US market (14.2% per year).
High Growth Earnings: CAG's earnings are forecast to grow, but not significantly.
Revenue vs Market: CAG's revenue (0.9% per year) is forecast to grow slower than the US market (7.6% per year).
High Growth Revenue: CAG's revenue (0.9% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: CAG's Return on Equity is forecast to be low in 3 years time (14.7%).
Next Steps
Past Performance
How has Conagra Brands performed over the past 5 years?
21.7%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: CAG has a large one-off loss of $344.2M impacting its November 24 2019 financial results.
Growing Profit Margin: CAG's current net profit margins (7.6%) are lower than last year (8.9%).
Past Earnings Growth Analysis
Earnings Trend: CAG's earnings have grown significantly by 21.7% per year over the past 5 years.
Accelerating Growth: CAG's earnings growth over the past year (9.8%) is below its 5-year average (21.7% per year).
Earnings vs Industry: CAG earnings growth over the past year (9.8%) exceeded the Food industry -6.2%.
Return on Equity
High ROE: CAG's Return on Equity (10.4%) is considered low.
Return on Assets
Return on Capital Employed
Next Steps
Financial Health
How is Conagra Brands's financial position?
Financial Position Analysis
Short Term Liabilities: CAG's short term assets ($3.0B) do not cover its short term liabilities ($3.4B).
Long Term Liabilities: CAG's short term assets ($3.0B) do not cover its long term liabilities ($11.4B).
Debt to Equity History and Analysis
Debt Level: CAG's debt to equity ratio (134.1%) is considered high.
Reducing Debt: CAG's debt to equity ratio has reduced from 148.2% to 134.1% over the past 5 years.
Debt Coverage: CAG's debt is not well covered by operating cash flow (12.5%).
Interest Coverage: CAG's interest payments on its debt are well covered by EBIT (3.6x coverage).
Balance Sheet
Inventory Level: CAG has a low level of unsold assets or inventory.
Debt Coverage by Assets: CAG's debt is not covered by short term assets (assets are 0.3x debt).
Next Steps
Dividend
What is Conagra Brands's current dividend yield, its reliability and sustainability?
2.85%
Current Dividend Yield
Dividend Yield vs Market
Current dividend yield vs market & industry
Notable Dividend: CAG's dividend (2.85%) is higher than the bottom 25% of dividend payers in the US market (1.44%).
High Dividend: CAG's dividend (2.85%) is low compared to the top 25% of dividend payers in the US market (3.73%).
Stability and Growth of Payments
Stable Dividend: CAG's dividend payments have been volatile in the past 10 years.
Growing Dividend: CAG's dividend payments have increased over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: With its reasonable payout ratio (51.2%), CAG's dividend payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: CAG's dividends in 3 years are forecast to be well covered by earnings (36% payout ratio).
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
3.9yrs
Average management tenure
CEO
Sean Connolly (54yo)
4.8yrs
Tenure
US$14,392,748
Compensation
Mr. Sean M. Connolly has been the Chief Executive Officer and President of Conagra Brands, Inc. since April 6, 2015. Mr. Connolly served as the Chief Executive Officer at Hillshire Brands Company since Jun ...
CEO Compensation Analysis
Compensation vs Market: Sean's total compensation ($USD14.39M) is above average for companies of similar size in the US market ($USD10.78M).
Compensation vs Earnings: Sean's compensation has increased by more than 20% in the past year.
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| President | 4.8yrs | US$14.39m | 0.063% $9.4m | |
| Executive VP & CFO | 3.5yrs | US$3.63m | 0.0077% $1.1m | |
| Co-COO & Executive VP | 1.3yrs | US$3.64m | 0.030% $4.5m | |
| Co-COO & Executive VP | 1.3yrs | US$2.96m | 0.011% $1.6m | |
| Executive VP | 12yrs | US$3.37m | 0.035% $5.2m | |
| Chief Information Officer | 2.7yrs | no data | no data | |
| Head of Investor Relations | 0yrs | no data | no data | |
| Chief Communications Officer & Senior VP | 4.5yrs | no data | no data | |
| Executive VP & Chief Human Resources Officer | 4.3yrs | no data | 0.0083% $1.2m | |
| Senior Vice President of Supply Chain Management | 0yrs | no data | no data |
3.9yrs
Average Tenure
54yo
Average Age
Experienced Management: CAG's management team is considered experienced (3.9 years average tenure).
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| President | 4.8yrs | US$14.39m | 0.063% $9.4m | |
| Non-Executive Chairman | 1.8yrs | US$437.55k | 0.014% $2.1m | |
| Independent Director | 3.3yrs | US$262.40k | 0.015% $2.3m | |
| Independent Director | 1.6yrs | US$210.69k | 0.0010% $153.8k | |
| Independent Director | 16.8yrs | US$285.40k | 0.011% $1.7m | |
| Independent Director | 6.3yrs | US$260.90k | 0.0063% $939.4k | |
| Independent Director | 11yrs | US$280.90k | 0.011% $1.6m | |
| Independent Director | 1.1yrs | US$100.08k | 0.00060% $89.6k | |
| Independent Director | 11.1yrs | US$263.90k | 0.00088% $131.4k | |
| Independent Director | 12.8yrs | US$286.90k | 0.00066% $98.6k |
5.6yrs
Average Tenure
66yo
Average Age
Experienced Board: CAG's board of directors are considered experienced (5.6 years average tenure).
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: CAG insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
Ownership Breakdown
Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 20.3%.
Top Shareholders
Company Information
Conagra Brands, Inc.'s company bio, employee growth, exchange listings and data sources
Key Information
- Name: Conagra Brands, Inc.
- Ticker: CAG
- Exchange: NYSE
- Founded: 1919
- Industry: Packaged Foods and Meats
- Sector: Food, Beverage & Tobacco
- Market Cap: US$14.935b
- Shares outstanding: 486.81m
- Website: https://www.conagrabrands.com
Number of Employees
Location
- Conagra Brands, Inc.
- 222 West Merchandise Mart Plaza
- Suite 1300
- Chicago
- Illinois
- 60654
- United States
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| CAG | NYSE (New York Stock Exchange) | Yes | Common Stock | US | USD | Jan 1969 |
| CAO | DB (Deutsche Boerse AG) | Yes | Common Stock | DE | EUR | Jan 1969 |
| 0I2P | LSE (London Stock Exchange) | Yes | Common Stock | GB | USD | Jan 1969 |
| C1AG34 | BOVESPA (Bolsa de Valores de Sao Paulo) | BDR EACH REPR 1 COM | BR | BRL | Dec 2019 |
Biography
Conagra Brands, Inc., together with its subsidiaries, operates as a food company in North America. The company operates through Grocery & Snacks, Refrigerated & Frozen, International, Foodservice, and Pinnacle Foods segments. The Grocery & Snacks segment primarily offers shelf stable food products in various retail channels in the United States. The Refrigerated & Frozen segment provides temperature controlled food products in various retail channels in the United States. The International reporting segment offers food products in various temperature states in retail and foodservice channels outside of the United States. The Foodservice segment offers food products, including meals, entrees, sauces, and various custom-manufactured culinary products packaged for sale to restaurants and other foodservice establishments in the United States. The Pinnacle Foods segment provides branded and private-label food products in various retail and foodservice channels in the United States and Canada. The company sells its products under the Birds Eye, Marie Callender's, Banquet, Healthy Choice, Slim Jim, Reddi-wip, Vlasic, Angie's BOOMCHICKAPOP, Duke's, Earth Balance, Gardein, Frontera, Banquet, Chef Boyardee, Alexia, Blake's, and BIGS 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 1919 and is headquartered in Chicago, Illinois.
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2020/02/19 23:55 |
| End of Day Share Price | 2020/02/19 00:00 |
| Earnings | 2019/11/24 |
| Annual Earnings | 2019/05/26 |
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.