Conagra Brands, Inc. [CAG] took an upward turn with a change of 1.15%, trading at the price of $29.01 during the trading session on Thursday. The price movement in correlation with percentage of the mentioned increase can allow a valuable insight to investors. During the last trading session 1.4 million shares changed hands being bought and sold, while Conagra Brands, Inc. shares have an average trading volume of 4.92M shares for that time period. CAG monthly volatility recorded 2.38%, in the meanwhile having share price volatility for the week set at 2.48%. PS value for CAG stocks is 1.45 with PB recorded at 1.87.
Conagra Brands, Inc. [NYSE:CAG]: Analyst Rating and Earnings
Professional stock traders oftentimes make sure they verify what some leading Wall Street voices have to say about a potential buy. Currently, in relation to Conagra Brands, Inc. [CAG], the latest Wall Street average recommendation we can view is from the fiscal quarter that will be ending in the month of May. On average, stock market experts give CAG an Outperform rating. Its stock price has been found in the range of 20.22 to 38.43. This is compared to its latest closing price of $28.68.
Wall Street analysts provide their ratings on a scale of 1 to 5, and the current average score for Conagra Brands, Inc. [CAG] is sitting at 1.93. This is compared to 1 month ago, when its average rating was 1.93.
For the quarter ending in May-19 Conagra Brands, Inc. [CAG] generated $2.61 billion in sales. That’s 1.82% lower than the average estimate of $2.66 billion as provided by Wall Street analysts. The three indicators above suggest that on the whole, this stock is not presenting an attractive investment option, as there are too many red flags that don’t point to a high-value ROI.
Keep on the lookout for this organization’s next scheduled financial results, which are expected to be made public on Thu 26 Sep (In 44 Days).
Fundamental Analysis of Conagra Brands, Inc. [CAG]
Now let’s turn to look at profitability: with a current Operating Margin for Conagra Brands, Inc. [CAG] sitting at +16.21 and its Gross Margin at +27.89, this company’s Net Margin is now 7.10%. These metrics indicate that this company is not generating as much profit, after accounting for expenses, compared to its market peers.
This company’s Return on Total Capital is 12.03, and its Return on Invested Capital has reached 5.50%. Its Return on Equity is 12.30, and its Return on Assets is 4.17. These metrics suggest that this Conagra Brands, Inc. does a poor job of managing its assets, and likely won’t be able to provide successful business outcomes for its investors in the near term.
Turning to investigate this organization’s capital structure, Conagra Brands, Inc. [CAG] has generated a Total Debt to Total Equity ratio of 144.59. Similarly, its Total Debt to Total Capital is 59.12, while its Total Debt to Total Assets stands at 48.07. Looking toward the future, this publicly-traded company’s Long-Term Debt to Equity is 144.30, and its Long-Term Debt to Total Capital is 59.00. This company is not leveraging its assets to take on debt, which stunts its growth and limits the ROI for investors.
What about valuation? This company’s Enterprise Value to EBITDA is 12.97 and its Total Debt to EBITDA Value is 5.68. The Enterprise Value to Sales for this firm is now 2.55, and its Total Debt to Enterprise Value stands at 0.46. Conagra Brands, Inc. [CAG] has a Price to Book Ratio of 1.90, a Price to Cash Flow Ratio of 11.41 and P/E Ratio of 19.13. These metrics all suggest that Conagra Brands, Inc. is more likely to generate a positive ROI.
Shifting the focus to workforce efficiency, Conagra Brands, Inc. [CAG] earns $529,911 for each employee under its payroll. Similarly, this company’s Receivables Turnover is 13.49 and its Total Asset Turnover is 0.59. This publicly-traded organization’s liquidity data is also interesting: its Quick Ratio is 0.54 and its Current Ratio is 1.28. This company is not investing its short-term assets in an optimally efficient way, making it a riskier investment.
Conagra Brands, Inc. [CAG] has 482.10M shares outstanding, amounting to a total market cap of $13.83B. Its stock price has been found in the range of 20.22 to 38.43. At its current price, it has moved down by -24.51% from its 52-week high, and it has moved up 43.47% from its 52-week low.
This stock’s Beta value is currently 0.84, which indicates that it is 2.48% more volatile that the wider market. This stock’s Relative Strength Index (RSI) is at 53.03. This RSI score is good, suggesting this stock is neither overbought or oversold.
Conclusion: Is Conagra Brands, Inc. [CAG] a Reliable Buy?
Conagra Brands, Inc. [CAG] stock is presenting a less attractive investment opportunity when compared to similarly-sized corporations in the same industry. The price performance of these shares has not shown much promise, and the financial results that this company has recently delivered present a highly risky investment.