Campbell Soup Co.'s stock edges up as it beats Wall Street profit and revenue estimates
By Steve Gelsi
Food company warns its sales are tracking at lower end of forecast
Campbell Soup Co.'s stock rose Wednesday after the food company's revenue and adjusted second-quarter profit beat analyst estimates, but it said its 2024 performance is currently tracking at the low end of its sales guidance range.
Campbell Soup's (CPB) net income for the three months ended Jan. 28 fell to $203 million, or 68 cents a share, from $232 million, or 77 cents a share, in the year-ago quarter.
Adjusted profit of 80 cents a share beat the FactSet consensus estimate of 77 cents a share. Second-quarter revenue fell 1% to $2.46 billion, ahead of the analyst estimate of $2.44 billion.
Campbell Soup's stock moved up by 0.2% on Wednesday morning.
Looking ahead, Campbell reiterated its guidance from Aug. 31 for its expected financial performance in 2024 but added a note of caution.
"Full-year top-line growth rate is currently tracking to the lower end of the net sales guidance range, with possible upside should the pace of consumer recovery accelerate in the second half of the year," the company said.
In August, Campbell said it expected 2024 sales to either fall by about 0.5% or increase by up to 1.5%.
Analysts currently expect 2024 sales of $9.35 billion, down slightly from $9.36 billion in 2023.
Campbell said it expects to complete its acquisition of Sovos Brands Inc. in the week of March 11.
The company announced the $2.7 billion all cash deal for the parent of Rao's pasta sauces in August.
Prior to Wednesday's moves, the stock has fallen 18% in the last 12 months, while the S&P 500 SPX has gained 25%.
-Steve Gelsi
This content was created by MarketWatch, which is operated by Dow Jones & Co. MarketWatch is published independently from Dow Jones Newswires and The Wall Street Journal.
(END) Dow Jones Newswires
03-06-24 1022ET
Copyright (c) 2024 Dow Jones & Company, Inc.-
What Does Nvidia’s Stock Split Mean for Investors?
-
5 Undervalued Stocks to Buy as Their Stories Play Out
-
Markets Brief: Return of the Meme Stocks
-
What’s Happening In the Markets This Week
-
It’s Been a Terrible Time for Bonds. Here’s Why You Should Own Them
-
Which AI Stocks Are Turning Hype Into Revenue?
-
Best- and Worst-Performing Stocks of May 2024
-
3 Stocks to Buy and 3 Stocks to Sell in June
-
Oracle Earnings: IaaS Signings More Than Make Up for Miss
-
This Undervalued Stock Is a Buy After Its Dividend Increase
-
After Earnings, Is Nio Stock a Buy, a Sell, or Fairly Valued?
-
After Earnings, Is Lululemon Stock a Buy, a Sell, or Fairly Valued?
-
The 10 Best Dividend Stocks
-
The Most Attractive Investment Opportunities in Oil & Gas
-
Apple: Generative AI Strategy Should Drive Sales and Upgrades
-
2 Undervalued Stocks That Just Raised Dividends