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Campbell Soup (CPB) Gains But Lags Market: What You Should Know
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In the latest trading session, Campbell Soup (CPB - Free Report) closed at $51.80, marking a +0.72% move from the previous day. This change lagged the S&P 500's 1.15% gain on the day. Elsewhere, the Dow gained 1.11%, while the tech-heavy Nasdaq added 11.35%.
Heading into today, shares of the maker of canned soup, Pepperidge Farm cookies and V8 juice had lost 6.42% over the past month, lagging the Consumer Staples sector's loss of 2.89% and the S&P 500's gain of 4.49% in that time.
Investors will be hoping for strength from Campbell Soup as it approaches its next earnings release. The company is expected to report EPS of $0.73, up 5.8% from the prior-year quarter. Our most recent consensus estimate is calling for quarterly revenue of $2.44 billion, up 10.24% from the year-ago period.
CPB's full-year Zacks Consensus Estimates are calling for earnings of $2.99 per share and revenue of $9.26 billion. These results would represent year-over-year changes of +4.91% and +8.15%, respectively.
It is also important to note the recent changes to analyst estimates for Campbell Soup. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate remained stagnant. Campbell Soup currently has a Zacks Rank of #2 (Buy).
Looking at its valuation, Campbell Soup is holding a Forward P/E ratio of 17.2. This valuation marks a discount compared to its industry's average Forward P/E of 17.83.
Investors should also note that CPB has a PEG ratio of 5.07 right now. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The Food - Miscellaneous was holding an average PEG ratio of 2.82 at yesterday's closing price.
The Food - Miscellaneous industry is part of the Consumer Staples sector. This industry currently has a Zacks Industry Rank of 66, which puts it in the top 27% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
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Campbell Soup (CPB) Gains But Lags Market: What You Should Know
In the latest trading session, Campbell Soup (CPB - Free Report) closed at $51.80, marking a +0.72% move from the previous day. This change lagged the S&P 500's 1.15% gain on the day. Elsewhere, the Dow gained 1.11%, while the tech-heavy Nasdaq added 11.35%.
Heading into today, shares of the maker of canned soup, Pepperidge Farm cookies and V8 juice had lost 6.42% over the past month, lagging the Consumer Staples sector's loss of 2.89% and the S&P 500's gain of 4.49% in that time.
Investors will be hoping for strength from Campbell Soup as it approaches its next earnings release. The company is expected to report EPS of $0.73, up 5.8% from the prior-year quarter. Our most recent consensus estimate is calling for quarterly revenue of $2.44 billion, up 10.24% from the year-ago period.
CPB's full-year Zacks Consensus Estimates are calling for earnings of $2.99 per share and revenue of $9.26 billion. These results would represent year-over-year changes of +4.91% and +8.15%, respectively.
It is also important to note the recent changes to analyst estimates for Campbell Soup. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate remained stagnant. Campbell Soup currently has a Zacks Rank of #2 (Buy).
Looking at its valuation, Campbell Soup is holding a Forward P/E ratio of 17.2. This valuation marks a discount compared to its industry's average Forward P/E of 17.83.
Investors should also note that CPB has a PEG ratio of 5.07 right now. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The Food - Miscellaneous was holding an average PEG ratio of 2.82 at yesterday's closing price.
The Food - Miscellaneous industry is part of the Consumer Staples sector. This industry currently has a Zacks Industry Rank of 66, which puts it in the top 27% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.