Jim Cramer Shows Concern About Conagra's "Outsized" Dividend

Conagra Brands, Inc. (NYSE:CAG) is one of the stocks Jim Cramer shared his take on. Cramer highlighted the company’s high dividend yield, as he said:

“Next, I am concerned when I see outsized dividends versus the rest of the market. UPS, for example, sports a 7.84% yield, which seems darned high, way too high versus the rest of the S&P to make me comfortable. Something’s awry. You know what, I’m beginning to feel the same way about Conagra with its 7.7% yield. It reports Wednesday.

Conagra makes money. It has a lot of solid brands, but the Street’s looking for down earnings, and that would be untenable. It is time for a statement upside surprise, plain and simple from Conagra. That’s the only thing that will reverse that hideous slide of their stock.”

Conagra Brands, Inc. (NYSE:CAG) produces and markets packaged food products across grocery, frozen, and foodservice categories. Its portfolio includes well-known brands such as Slim Jim, Duncan Hines, Birds Eye, Marie Callender’s, Healthy Choice, and Reddi-wip.

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Disclosure: None. This article is originally published at Insider Monkey.