Bear of the Day: The Campbell's Company (CPB)

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Bear of the Day: The Campbell's Company (CPB)

The Campbell's Company CPB, together with its subsidiaries, is a worldwide manufacturer and marketer of high-quality, branded convenience food products.

The stock is currently a Zacks Rank #5 (Strong Sell), with EPS revisions remaining bearish across the board.

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CPB Shares Tumble

CPB shares have continued to see weak action in 2026, down roughly 26% and widely underperforming relative to the S&P 500. Quarterly results have largely been disappointing as of late, with shares facing pressure following its latest earnings release.

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CPB fell short of the latest Zacks Consensus EPS estimate by more than 10%, with sales also coming in 1.6% lower than expected. Concerning growth, sales fell by nearly 5% YoY, whereas earnings were down 31%. Earnings growth has been weak for the company over the last several years, as shown below.

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Image Source: Zacks Investment Research

CPB also lowered its current-year outlook following the above-mentioned period, helping explain some of the downward revisions we’ve seen over the past months. The company does remain confident in a potential turnaround, though, looking to mitigate recent cost headwinds while also leaning into new product innovation. 

Bottom Line

Negative earnings estimate revisions stemming from a guidance cut paint a challenging picture for the company’s shares in the near term.

The Campbell’s Company CPB is a Zacks Rank #5 (Strong Sell), indicating that analysts have taken a bearish stance on the company’s earnings outlook.

For those seeking strong stocks, the best idea would be to focus on stocks with a Zacks Rank #1 (Strong Buy) or a Zacks Rank #2 (Buy) – these stocks sport a notably stronger earnings outlook paired with the potential to deliver explosive gains in the near term.

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The Campbell's Company (CPB): Free Stock Analysis Report

This article originally published on Zacks Investment Research (zacks.com).

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