Company Overview

Conagra Brands, Inc., along with its subsidiaries, operates as a prominent consumer packaged goods food company, primarily within the United States. It stands as one of North America's leading branded food companies, blending a century-long legacy of producing quality food with a keen focus on agility, collaboration, and innovation. Conagra Brands, Inc. was incorporated in 1919 and is headquartered in Chicago, Illinois. As of September 24, 2025, Conagra Brands held a market capitalization of $8.734 billion, positioning it as a significant entity in the packaged foods industry. The company has 477 million shares outstanding and conducts its business through four distinct operating segments.

Business Segments

Conagra Brands operates across four primary business segments:

- Grocery & Snacks: This segment primarily offers shelf-stable food products distributed through various retail channels.

- Refrigerated & Frozen: This segment provides temperature-controlled food products via multiple retail channels. A substantial portion of its revenue is derived from frozen foods, featuring well-known brands such as Marie Callender's, Healthy Choice, Banquet, and Birds Eye.

- International: This segment encompasses food products in various temperature states, sold through retail and foodservice channels outside of the United States.

- Foodservice: This segment supplies branded and customized food products, including meals, entrees, sauces, and specially manufactured culinary items packaged for restaurants and other foodservice establishments.

Iconic Brand Portfolio

The company markets its extensive range of products under a portfolio of popular brands, including:

- Key Brands: Birds Eye, Marie Callender's, Duncan Hines, Healthy Choice, Slim Jim, Reddi-wip, Angie's BOOMCHICKAPOP.

- Additional Brands: Conagra also offers snacks, shelf-stable staples, and refrigerated foods under brands such as Hunt's, Vlasic, Orville Redenbacher's, Wish-Bone, and Chef Boyardee.

Market Position and Financial Performance

Revenue and Earnings (Fiscal 2025)

- Conagra Brands generated net sales of nearly $12 billion in fiscal 2025.

- For fiscal 2025, the company's revenue stood at $11.61 billion, reflecting a decrease of -3.64% compared to the previous year's $12.05 billion.

- Earnings for the period were $1.15 billion, marking a significant increase of 231.91%.

Key Financial Metrics (Q4 Fiscal 2025)

- Reported diluted earnings per share (EPS) for the fourth quarter was $0.53; adjusted EPS decreased 8.2% to $0.56.

- The company reported $0.56 earnings per share for the quarter, missing the consensus estimate of $0.58 by $0.02.

- Reported operating margin increased by 467 basis points to 11.8%; adjusted operating margin decreased by 188 basis points to 14.1%.

Geographic Focus

Conagra Brands operates predominantly in the United States, accounting for 91% of its fiscal 2025 revenue. The company primarily serves the US retail channel. International markets and the foodservice segment each contributed 9% to fiscal 2025 revenue.

Strategic Focus and Innovation

The company's strategic initiatives are centered on reinforcing its market presence in the frozen foods and snacks segments. This is being achieved through targeted innovation and premiumization strategies, which are critical for navigating the competitive market landscape.

Dividend Information

As of July 9, 2025, Conagra Brands's Board of Directors approved a quarterly dividend payment of $0.35 per share of common stock, indicating an annualized dividend rate of $1.40 per share. The company's quarterly dividend of $0.35 translates to an annual dividend yield of approximately 7.3%.

Fiscal 2026 Outlook and Guidance

Conagra Brands has provided the following guidance for fiscal year 2026:

- Organic Net Sales Growth: Expected to be between (1)% and 1% compared to fiscal 2025.

- Adjusted Operating Margin: Projected to be between approximately 11.0% and 11.5%.

Cost Challenges

- The company anticipates that the cost of goods sold inflation will persist at an elevated level into fiscal 2026.

- Guidance projects core inflation to be around 4%.

- An additional 3% inflation is expected from tariffs.

- Conagra plans to offset approximately 4% of core inflation through productivity improvements.

Debt Management

- The company is targeting a debt paydown of $700 million.

- Cash flow conversion is projected to be 90%.

Recent Developments

Conagra Brands is scheduled to release its fiscal 2026 first quarter results on Wednesday, October 1, 2025. The company continues to invest in manufacturing and technology enhancements to bolster supply chain resilience while actively managing ongoing inflationary pressures within the food industry.

Stock Performance

As of September 24, 2025:

- PE Ratio (TTM): 7.60

- EPS (TTM): 2.40

Market analysis suggests the stock may be undervalued, trading near its 52-week low of $18.18, with a P/E ratio of approximately 7.92x.