Conagra Brands

CAG

Market cap $8.85B

Conagra Brands, Inc. stock trades at a bargain valuation with a 7.7% dividend yield and a forward P/E of 10.3, making it appealing for value investors. Recent results show improving volumes, reduced promotional activity, and strong productivity gains. CAG's divestitures, debt reduction, and supply chain modernization strengthen its balance sheet and support its high-yield dividend.

Conagra Brands is upgraded to Buy as the stock approached my target range, with some internal improvements despite ongoing macro uncertainty and industry headwinds. CAG's focus on debt reduction, portfolio rebalancing, and a robust 7.5% dividend yield support the investment case, even as cash flow faces near-term pressure. Rate cuts and internal improvements are expected to benefit CAG, but persistent inflation, tariffs, and political risks continue to weigh on market sentiment.

Conagra Brands is upgraded from sell to hold following Q1 2026 results, reflecting operational improvements and a more balanced risk/reward profile. CAG showed progress in supply chain recovery, targeted pricing, and deleveraging, but margin pressures from inflation and tariffs persist. The Q1 earnings beat was aided by one-off factors and delayed tariff impacts, raising concerns about sustainability and execution risk for FY26 guidance.

Company Offers Industry Leading Brands in Meat Snacks, Salty Snacks and Seeds CHICAGO , Oct. 14, 2025 /PRNewswire/ -- Conagra Brands, Inc. (NYSE: CAG), one of North America's leading branded food companies, is welcoming the annual NACS Show back to the company's hometown of Chicago. Hosted by the National Association of Convenience Stores, the industry's largest yearly event is the perfect opportunity for Conagra to showcase the company's $3.2 billion 1  snacks portfolio.

Consumer staples companies are typically more resilient to macroeconomic headwinds than their peers, but in the past six months, tariffs have trampled the sector.

Fourteen of the highest-yielding, 'safer' S&P 500 dividend stocks are currently attractively priced, with free cash flow supporting their payouts. Top ten S&P 500 dividend 'dogs' are projected to deliver 23.93% to 38.57% net gains by October 2026, based on analyst targets. Stocks like CAG, VZ, DOC, BMY, KVUE, CPB, UDR, VTRS, KIM, TFC, KEY, HPQ, T, and RF meet the ideal of dividends from $1K invested exceeding share price.

The Investment Committee give you their top stocks to watch for the second half.

This article is part of our monthly series where we highlight five large-cap, relatively safe, dividend-paying companies offering significant discounts to their historical norms. We go over our filtering process to select just five conservative DGI stocks from more than 7,500 companies that are traded on U.S. exchanges, including OTC networks. In addition to the primary list that yields 3.56%, we present two other groups of five DGI stocks each, from moderate to high yields of up to 8%.

The S&P 500 Index, weighted by market capitalization, currently has a high price-to-earnings (P/E) ratio of 25, which is way above its historical average.

Conagra NYSE: CAG is looking like a buy in October because the FQ1 results confirm that its turnaround efforts are succeeding, it is on track to resume growth, expand its margin, and maintain its capital return. In terms of value and yield, they are currently at historic lows and highs, presenting a once-in-a-generation chance for risk-averse and income-focused investors.