Campbell Soup (CPB)
NASDAQ:CPB
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Campbell Soup
(NASDAQ:CPB)
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Rating:54Neutral
Price Target:
$23.50
▲(15.03% Upside)
Action:ReiteratedDate:03/12/26
CPB scores mid-range driven by pressured fundamentals (profitability downshift and high leverage) despite resilient cash generation. Technicals are weak with the stock in a clear downtrend, while valuation is supportive thanks to a moderate P/E and high dividend yield. The latest earnings call adds a mixed outlook: strong RAO’S/Meals & Beverages and cost actions, but Snacks weakness and a back-half-weighted recovery plan.
Positive Factors
Cash Generation
Steady operating cash flow and improved trailing‑twelve‑month free cash flow provide recurring internal funding to cover working capital, dividends and capex. Over the next 2–6 months this reduces liquidity stress, helps service debt, and supports execution of deleveraging and cost plans.
Negative Factors
Elevated Leverage
Elevated debt‑to‑equity and a TTM debt spike materially constrain financial flexibility, increase refinancing and interest rate risk, and limit the ability to invest or respond to shocks. Over 2–6 months this raises the priority of deleveraging and constrains strategic and capital allocation choices.
Read all positive and negative factors
Positive Factors
Negative Factors
Cash Generation
Steady operating cash flow and improved trailing‑twelve‑month free cash flow provide recurring internal funding to cover working capital, dividends and capex. Over the next 2–6 months this reduces liquidity stress, helps service debt, and supports execution of deleveraging and cost plans.
Read all positive factors
Campbell Soup (CPB) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$6.09B
Dividend Yield5.64%
Average Volume (3M)10.34M
Price to Earnings (P/E)14.1
Beta (1Y)0.07
Revenue Growth2.71%
EPS Growth4.90%
CountryUS
Employees14,400
SectorConsumer Defensive
Sector Strength42
IndustryPackaged Foods
Share Statistics
EPS (TTM)0.51
Shares Outstanding298,146,480
10 Day Avg. Volume8,641,433
30 Day Avg. Volume10,344,446
Financial Highlights & Ratios
PEG Ratio2.53
Price to Book (P/B)2.47
Price to Sales (P/S)0.94
P/FCF Ratio13.65
Enterprise Value/Market Cap2.07
Enterprise Value/Revenue1.26
Enterprise Value/Gross Profit4.28
Enterprise Value/Ebitda8.64
Forecast
1Y Price Target
$23.20Price Target Upside13.56% Upside
Rating ConsensusHold
Number of Analyst Covering16
EPS Forecast (FY)2.19
Revenue Forecast (FY)$9.78B
Campbell Soup Business Overview & Revenue Model
Company Description
Campbell Soup Company, together with its subsidiaries, manufactures and markets food and beverage products the United States and internationally. The company operates through Meals & Beverages and Snacks segments. The Meals & Beverages segment eng...
How the Company Makes Money
Campbell’s makes money primarily by selling branded packaged foods and beverages to retailers and, to a lesser extent, to foodservice and other commercial customers. Revenue is generated when the company ships finished goods (e.g., soups and simpl...
Campbell Soup Key Performance Indicators (KPIs)
Any
Revenue by Segment
Breaks down revenue across various business segments, revealing which products or services are performing well and contributing most to Campbell Soup's top line.
Breaks down revenue across various business segments, revealing which products or services are performing well and contributing most to Campbell Soup's top line.
Data provided by:
The Fly
The FlyCampbell Soup Earnings Call Summary
Earnings Call Date:Mar 11, 2026
(Q2-2026)
| % Change Since: |
Next Earnings Date:Jun 10, 2026
Earnings Call Sentiment Neutral
The call conveyed a mixed picture: clear strengths in Meals & Beverages (notably RAO’S and broth/condensed cooking SKUs), product innovation (cookies, Late July), and decisive cash preservation actions, but material near-term challenges in Snacks—a 6% sales decline, a 390 bps margin hit to a 7% segment margin, Fresh Bakery execution problems, and competitive pressure in chips. Management provided a recovery roadmap (stabilization in Q3, better margin mix and tariff lapses in Q4) but acknowledged significant work remains to restore volume and margins.Positive Updates
Strong RAO’S Performance
RAO’S in-market consumption grew 14.5% in Q2; management expects high-single-digit growth for RAO’S for the full year, and the brand is a key growth driver in Meals & Beverages.
Negative Updates
Snacks Top-Line Decline
Snacks net sales declined 6% in the quarter; management expects Snacks to be down roughly 4% in the second half of the fiscal year (fairly balanced between Q3 and Q4).
Read all updates
Q2-2026 Updates
Positive
Negative
Strong RAO’S Performance
RAO’S in-market consumption grew 14.5% in Q2; management expects high-single-digit growth for RAO’S for the full year, and the brand is a key growth driver in Meals & Beverages.
Read all positive updates
Company Guidance
Management said Snacks posted a Q2 segment margin of about 7%, down 390 basis points quarter-over-quarter (roughly one-quarter of that drag from Fresh Bakery), with Snacks net sales down ~6% in Q2 and anticipated to be down ~4% in the second half (fairly balanced between Q3 and Q4, slightly better in Q4); they expect Q3 margins to improve modestly and a more meaningful rebound in Q4 (helped by lapping Sovos ERP-related volume, tariffs, and lower advertising), with the EPS cadence described as Q3 roughly similar to Q2 and a Q4 step to help achieve about $0.90 of EPS in the back half at the midpoint. Key cash and capital priorities: marketing spend up year-over-year but reallocated toward promotions, capex trimmed by $50M for the year, no share buybacks, dividend maintained (roughly a little over two‑thirds of EPS at guidance), a near‑term La Regina payment of ~$140–$150M (second payment option to issue equity a year out), a $100M overhead cost‑reduction target over the next couple years, and a push to reduce leverage closer to ~3x (about 85% of commodities/diesel currently hedged). Meals & Beverages expects positive net pricing in H2 but modest consumption pressure (around -1% to 0%), while RAO’S consumption grew 14.5% in Q2 with full‑year growth expected in the high single digits.Campbell Soup Financial Statement Overview
Summary
Income Statement
56
Neutral
Balance Sheet
45
Neutral
Cash Flow
63
Positive
| Breakdown | TTM | Jul 2025 | Jul 2024 | Jul 2023 | Jul 2022 | Jul 2021 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 10.04B | 10.25B | 9.64B | 9.36B | 8.56B | 8.48B |
| Gross Profit | 2.94B | 3.12B | 2.97B | 2.92B | 2.63B | 2.81B |
| EBITDA | 1.46B | 1.57B | 1.42B | 1.70B | 1.50B | 1.86B |
| Net Income | 550.00M | 602.00M | 567.00M | 858.00M | 757.00M | 1.00B |
Balance Sheet | ||||||
| Total Assets | 15.35B | 14.90B | 15.23B | 12.06B | 11.89B | 11.73B |
| Cash, Cash Equivalents and Short-Term Investments | 561.00M | 132.00M | 108.00M | 189.00M | 109.00M | 69.00M |
| Total Debt | 7.08B | 7.21B | 7.54B | 4.97B | 5.05B | 5.29B |
| Total Liabilities | 11.34B | 10.99B | 11.44B | 8.39B | 8.56B | 8.58B |
| Stockholders Equity | 4.00B | 3.90B | 3.79B | 3.66B | 3.33B | 3.15B |
Cash Flow | ||||||
| Free Cash Flow | 919.00M | 705.00M | 668.00M | 773.00M | 939.00M | 760.00M |
| Operating Cash Flow | 1.13B | 1.13B | 1.19B | 1.14B | 1.18B | 1.03B |
| Investing Cash Flow | -246.00M | -187.00M | -3.13B | -340.00M | -230.00M | -158.00M |
| Financing Cash Flow | -1.16B | -919.00M | 1.86B | -723.00M | -910.00M | -1.67B |
Campbell Soup Technical Analysis
Negative
20.43
Price Trends
24.32
Negative
25.97
Negative
28.21
Negative
Market Momentum
-0.86
Negative
30.36
Neutral
10.39
Positive
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For CPB, the sentiment is Negative. The current price of 20.43 is below the 20-day moving average (MA) of 21.10, below the 50-day MA of 24.32, and below the 200-day MA of 28.21, indicating a bearish trend. The MACD of -0.86 indicates Negative momentum. The RSI at 30.36 is Neutral, neither overbought nor oversold. The STOCH value of 10.39 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for CPB.
Campbell Soup Risk Analysis
Campbell Soup disclosed 21 risk factors in its most recent earnings report. Campbell Soup reported the most risks in the "Production" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks
Campbell Soup Peers Comparison
UnderperformOutperform
Sector (62)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
74 Outperform | $8.42B | 8.73 | 30.72% | ― | 1.81% | 24.67% | |
62 Neutral | $20.33B | 14.63 | -3.31% | 3.23% | 1.93% | -12.26% | |
61 Neutral | $9.70B | -3.86 | -21.55% | 4.45% | -0.66% | -326.55% | |
60 Neutral | $18.99B | 20.26 | 23.70% | 5.19% | -5.65% | 0.41% | |
54 Neutral | $6.09B | 14.14 | 13.98% | 5.64% | 2.71% | 4.90% | |
54 Neutral | $7.26B | 11.30 | -0.51% | 7.87% | -5.82% | -119.70% | |
52 Neutral | $5.83B | 30.39 | 16.90% | 3.37% | 2.35% | 9.61% |
* Consumer Defensive Sector Average
CPB
Campbell Soup
20.43
-16.30
-44.37%
CAG
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15.18
-9.18
-37.68%
GIS
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35.59
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90.91
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-19.78%
PPC
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35.44
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LW
Lamb Weston Holdings
42.19
-12.25
-22.50%
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.