The upcoming report from Campbell's (CPB) is expected to reveal quarterly earnings of $0.65 per share, indicating a decline of 13.3% compared to the year-ago period. Analysts forecast revenues of $2.44 billion, representing an increase of 2.9% year over year.
The current level reflects a downward revision of 0.5% in the consensus EPS estimate for the quarter over the past 30 days. This demonstrates how the analysts covering the stock have collectively reappraised their initial projections over this period.
Prior to a company's earnings announcement, it is crucial to consider revisions to earnings estimates. This serves as a significant indicator for predicting potential investor actions regarding the stock. Empirical research has consistently demonstrated a robust correlation between trends in earnings estimate revision and the short-term price performance of a stock.
While investors typically use consensus earnings and revenue estimates as a yardstick to evaluate the company's quarterly performance, scrutinizing analysts' projections for some of the company's key metrics can offer a more comprehensive perspective.
In light of this perspective, let's dive into the average estimates of certain Campbell metrics that are commonly tracked and forecasted by Wall Street analysts.
According to the collective judgment of analysts, 'Net Sales- Meals & Beverages' should come in at $1.41 billion. The estimate suggests a change of +10.6% year over year.
The average prediction of analysts places 'Net Sales- Snacks' at $1.03 billion. The estimate suggests a change of -5.8% year over year.
Analysts forecast 'Operating Earnings- Meals & Beverages' to reach $248.40 million. Compared to the current estimate, the company reported $229 million in the same quarter of the previous year.
Analysts predict that the 'Operating Earnings- Snacks' will reach $137.08 million. Compared to the current estimate, the company reported $167 million in the same quarter of the previous year.
View all Key Company Metrics for Campbell here>>>
Over the past month, Campbell shares have recorded returns of -4.7% versus the Zacks S&P 500 composite's +7.4% change. Based on its Zacks Rank #4 (Sell), CPB will likely underperform the overall market in the upcoming period. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>>
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The Campbell's Company (CPB): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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