Zacks Investment Research upgraded shares of Campbell Soup (NYSE:CPB) from a hold rating to a buy rating in a research report released on Wednesday morning. They currently have $48.00 target price on the stock.
According to Zacks, “Campbell is progressing well with its cost savings plan as it raised the annualized savings target to $500 million, which is expected to be achieved by the end of fiscal 2020. Further, the company is making acquisitions to enhance its brand portfolio and accelerate growth. Recently, it completed the buyout of Snyder’s-Lance, Inc., which is likely to fortify Campbell's snacks portfolio. Further, the company delivered earnings beat in second-quarter fiscal 2018 after three straight misses, while sales turned positive after lagging estimates in the preceding four quarters. However, persistent challenges in the U.S. soup category and Campbell Fresh division led the stock to underperform the industry in the past year. Also, margins remain pressurized owing to higher cost inflation, escalated supply chain expenses and adverse mix, and are likely to decline in fiscal 2018.”
Several other research analysts also recently commented on CPB. Piper Jaffray set a $43.00 price objective on Campbell Soup and gave the stock a sell rating in a report on Wednesday. Credit Suisse Group reiterated an underperform rating and issued a $40.00 price objective on shares of Campbell Soup in a report on Monday, April 16th. Wolfe Research began coverage on Campbell Soup in a report on Friday, January 26th. They issued a market perform rating on the stock. Goldman Sachs reiterated a sell rating and issued a $43.00 price objective on shares of Campbell Soup in a report on Friday, April 13th. Finally, Citigroup reiterated a neutral rating and issued a $54.00 price objective (up previously from $50.00) on shares of Campbell Soup in a report on Wednesday, December 20th. Eight research analysts have rated the stock with a sell rating, four have given a hold rating and three have given a buy rating to the company’s stock. The stock presently has an average rating of Hold and a consensus target price of $48.00.
Campbell Soup (NYSE:CPB) last released its quarterly earnings data on Friday, February 16th. The company reported $1.00 EPS for the quarter, topping the Thomson Reuters’ consensus estimate of $0.81 by $0.19. The firm had revenue of $2.18 billion for the quarter, compared to the consensus estimate of $2.16 billion. Campbell Soup had a return on equity of 54.10% and a net margin of 13.41%. The company’s quarterly revenue was up .4% on a year-over-year basis. During the same quarter in the previous year, the business earned $0.91 earnings per share. analysts predict that Campbell Soup will post 3.12 earnings per share for the current year.
The firm also recently declared a quarterly dividend, which will be paid on Monday, April 30th. Investors of record on Wednesday, April 11th will be issued a dividend of $0.35 per share. The ex-dividend date of this dividend is Tuesday, April 10th. This represents a $1.40 dividend on an annualized basis and a yield of 3.47%. Campbell Soup’s dividend payout ratio is presently 46.05%.
In other Campbell Soup news, insider Luca Mignini purchased 4,400 shares of Campbell Soup stock in a transaction that occurred on Wednesday, February 21st. The shares were bought at an average price of $45.53 per share, for a total transaction of $200,332.00. Following the acquisition, the insider now directly owns 87,814 shares in the company, valued at $3,998,171.42. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this link. 37.20% of the stock is owned by insiders.
A number of institutional investors have recently bought and sold shares of the business. Advisor Partners LLC boosted its position in Campbell Soup by 22.8% during the 4th quarter. Advisor Partners LLC now owns 5,779 shares of the company’s stock valued at $274,000 after acquiring an additional 1,074 shares in the last quarter. Stifel Financial Corp boosted its position in Campbell Soup by 6.7% during the 3rd quarter. Stifel Financial Corp now owns 17,993 shares of the company’s stock valued at $839,000 after acquiring an additional 1,133 shares in the last quarter. First Personal Financial Services boosted its position in Campbell Soup by 44.0% during the 4th quarter. First Personal Financial Services now owns 3,856 shares of the company’s stock valued at $186,000 after acquiring an additional 1,179 shares in the last quarter. Envestnet Asset Management Inc. boosted its position in Campbell Soup by 17.5% during the 3rd quarter. Envestnet Asset Management Inc. now owns 8,529 shares of the company’s stock valued at $398,000 after acquiring an additional 1,271 shares in the last quarter. Finally, Robeco Institutional Asset Management B.V. boosted its position in Campbell Soup by 1.3% during the 4th quarter. Robeco Institutional Asset Management B.V. now owns 108,596 shares of the company’s stock valued at $5,225,000 after acquiring an additional 1,421 shares in the last quarter. 50.21% of the stock is currently owned by institutional investors and hedge funds.
About Campbell Soup
Campbell Soup Company, together with its subsidiaries, manufactures and markets food and beverage products. It operates through three segments: Americas Simple Meals and Beverages; Global Biscuits and Snacks; and Campbell Fresh. The Americas Simple Meals and Beverages segment engages in the retail and food service of Campbell's condensed and ready-to-serve soups; Swanson broth and stocks; Prego pasta sauces; Pace Mexican sauces; Campbell's gravies, pastas, beans, and dinner sauces; Swanson canned poultry; Plum food and snacks; V8 juices and beverages; and Campbell's tomato juices.
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