Campbell Soup Company (CPB)
NASDAQ:CPB
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Campbell Soup
(NASDAQ:CPB)
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Rating:62Neutral
Price Target:
$23.00
▲(9.58% Upside)
Action:Reiterated
Date:06/08/26
The score reflects steady cash generation but weakened TTM revenue/earnings and leverage constraints. Technical momentum and an attractive dividend/valuation help offset the mixed earnings-call outlook, where a Snacks recovery is the key swing factor.
Positive Factors
Strong free cash flow generation
Campbell’s solid trailing-twelve-month operating cash flow and high free cash flow provide a durable internal funding source. This supports the dividend, targeted capex cuts, debt paydown and productivity programs, increasing resilience to inflation and enabling strategic reinvestment without relying on external financing.
Negative Factors
Elevated leverage (~1.8x equity)
TTM debt near 1.8x equity constrains financial flexibility: it limits buybacks, forces prioritization of debt reduction, and increases sensitivity to rate or volume shocks. Sustained deleveraging will require continued strong free cash flow, constraining capital allocation and strategic optionality over multiple quarters.
Read all positive and negative factors
Positive Factors
Negative Factors
Strong free cash flow generation
Campbell’s solid trailing-twelve-month operating cash flow and high free cash flow provide a durable internal funding source. This supports the dividend, targeted capex cuts, debt paydown and productivity programs, increasing resilience to inflation and enabling strategic reinvestment without relying on external financing.
Read all positive factors
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 (CPB) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$6.80B
Dividend Yield5.64%
Average Volume (3M)8.33M
Price to Earnings (P/E)11.2
Beta (1Y)0.10
Revenue Growth-2.90%
EPS Growth33.92%
CountryUS
Employees14,400
SectorConsumer Defensive
Sector Strength42
IndustryPackaged Foods
Share Statistics
EPS (TTM)2.05
Shares Outstanding298,206,240
10 Day Avg. Volume10,857,022
30 Day Avg. Volume8,332,357
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 Cap1.88
Enterprise Value/Revenue1.29
Enterprise Value/Gross Profit4.47
Enterprise Value/Ebitda8.96
Forecast
1Y Price Target
$19.47Price Target Upside-7.26% Downside
Rating ConsensusModerate Sell
Number of Analyst Covering16
EPS Forecast (FY)2.17
Revenue Forecast (FY)$9.76B
Campbell Soup Business Overview & Revenue Model
Company Description
Campbell Soup Company (CPB) is a leading international producer and marketer of a wide variety of food and beverage products. The enterprise conducts its business through two main operational divisions: Meals & Beverages and Snacks. The Meals & Be...
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 Earnings Call Summary
Earnings Call Date:Mar 11, 2026
(Q3-2026)
| % Change Since: |
Next Earnings Date:Aug 27, 2026
Earnings Call Sentiment Neutral
The call presented a mixed picture: clear operational and portfolio initiatives (SG&A reduction plan, RGM improvements, Goldfish stabilization, M&B momentum, tariff refund and acquisition margin benefit) are positives, but significant macro and company‑specific headwinds (potentially 5%–6% inflation, $40M incentive comp reset, gross margin deterioration, Snacks and salty category pressure, share dilution and muted net sales outlook) temper near‑term outlook. Management has active mitigation plans, but risks are substantial and likely to constrain near‑term earnings.Positive Updates
Tariff Refund Benefit for Q4
Company projects tariff refunds to provide a $0.03–$0.04 per share benefit in Q4 (part direct refund and part via vendors), partially offsetting higher fuel and logistics costs in the quarter.
Negative Updates
Elevated Inflation Risk for FY2027
Management warned of potential incremental inflation of 2%–3% on top of a prior ~3% base inflation forecast — implying a possible 5%–6% total inflationary impact if oil stays near $100/barrel; drivers include oil, logistics, aluminum and fertilizer price pressure.
Read all updates
Q3-2026 Updates
Positive
Negative
Tariff Refund Benefit for Q4
Company projects tariff refunds to provide a $0.03–$0.04 per share benefit in Q4 (part direct refund and part via vendors), partially offsetting higher fuel and logistics costs in the quarter.
Read all positive updates
Company Guidance
Management warned of elevated cost pressure for FY27, estimating base inflation ~3% plus an incremental 2–3% (i.e., roughly 5–6% total if oil stays near $100/bbl) with FY26 largely hedged but first‑half FY27 exposure likely; they expect Q4 tariff refunds of ~$0.03–$0.04 per share (direct La Regina piece plus a smaller vendor‑timing piece), a ~70–80 bps margin benefit from the acquisition contribution in Q4, and are working to accelerate parts of a $100 million SG&A takeout over the next couple years (while a $40 million incentive‑comp reset will hit next year). Management said Q4 net sales could be flattish to slightly up but views a -1% to -2% net‑sales scenario as realistic, the company’s GAAP share count is about 300 million (up from ~299M to ~306M including ~7M from the acquisition), Snacks EBIT margin improved sequentially from ~7% to ~10% but remains ~400 bps below last year, Q3 gross margin was down ~240 bps, Goldfish is stabilized (down ~1–2%), multipacks are up ~6% in the last 13 weeks, and they will rely on elevated productivity, RGM (favoring feature/display over TPRs), targeted pricing as a last resort, and consideration of hybrid debt (150–200 bps higher coupon but ~50% equity credit) to restore earnings and reach leverage in the low‑3x range while maintaining the dividend.Campbell Soup Financial Statement Overview
Summary
Income Statement
58
Neutral
Balance Sheet
50
Neutral
Cash Flow
67
Positive
| Breakdown | TTM | Jul 2025 | Jul 2024 | Jul 2023 | Jul 2022 | Jul 2021 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 9.93B | 10.25B | 9.64B | 9.36B | 8.56B | 8.48B |
| Gross Profit | 2.86B | 3.12B | 2.97B | 2.92B | 2.63B | 2.81B |
| EBITDA | 1.43B | 1.57B | 1.42B | 1.70B | 1.50B | 1.86B |
| Net Income | 608.00M | 602.00M | 567.00M | 858.00M | 757.00M | 1.00B |
Balance Sheet | ||||||
| Total Assets | 15.14B | 14.90B | 15.23B | 12.06B | 11.89B | 11.73B |
| Cash, Cash Equivalents and Short-Term Investments | 402.00M | 132.00M | 108.00M | 189.00M | 109.00M | 69.00M |
| Total Debt | 7.01B | 7.21B | 7.54B | 4.97B | 5.05B | 5.29B |
| Total Liabilities | 11.11B | 10.99B | 11.44B | 8.39B | 8.56B | 8.58B |
| Stockholders Equity | 4.03B | 3.90B | 3.79B | 3.66B | 3.33B | 3.15B |
Cash Flow | ||||||
| Free Cash Flow | 899.00M | 705.00M | 668.00M | 773.00M | 939.00M | 760.00M |
| Operating Cash Flow | 1.10B | 1.13B | 1.19B | 1.14B | 1.18B | 1.03B |
| Investing Cash Flow | -463.00M | -187.00M | -3.13B | -340.00M | -230.00M | -158.00M |
| Financing Cash Flow | -551.00M | -919.00M | 1.86B | -723.00M | -910.00M | -1.67B |
Campbell Soup Technical Analysis
Positive
20.99
Price Trends
20.90
Positive
22.92
Negative
26.11
Negative
Market Momentum
0.48
Negative
70.73
Negative
83.46
Negative
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For CPB, the sentiment is Positive. The current price of 20.99 is below the 20-day moving average (MA) of 21.10, above the 50-day MA of 20.90, and below the 200-day MA of 26.11, indicating a neutral trend. The MACD of 0.48 indicates Negative momentum. The RSI at 70.73 is Negative, neither overbought nor oversold. The STOCH value of 83.46 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive 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 |
|---|---|---|---|---|---|---|---|
62 Neutral | $20.33B | 14.63 | -3.31% | 3.23% | 1.93% | -12.26% | |
62 Neutral | $6.80B | 11.18 | 13.98% | 5.64% | -2.90% | 33.92% | |
62 Neutral | $18.42B | 8.44 | 23.70% | 5.19% | -6.48% | -10.99% | |
62 Neutral | $12.43B | -89.61 | -21.55% | 4.45% | 3.72% | 88.76% | |
62 Neutral | $7.15B | 8.05 | 24.19% | ― | 3.30% | -26.64% | |
56 Neutral | $6.57B | -151.97 | -0.51% | 7.87% | -4.73% | -112.96% | |
52 Neutral | $6.27B | 21.01 | 16.90% | 3.37% | 2.04% | -16.15% |
* Consumer Defensive Sector Average
CPB
Campbell Soup
22.81
-7.66
-25.14%
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27.26%
PPC
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45.38
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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.