Conagra Brands (CAG) Drops 3.41% in Three-Day Slide as Earnings, Tariffs Weigh

The share price fell to its lowest level since April 2009 today, with an intraday decline of 2.87%. Conagra Brands (CAG) has now lost 3.41% over three consecutive days, extending a year-long slump that has left the stock down 41.1% in the past 52 weeks. The decline outpaces the S&P 500’s 18.5% gain and the Consumer Staples sector’s 6.1% drop during the same period.

Macroeconomic pressures, including inflation and tariffs, have weighed heavily on the $8.2 billion market capitalization company. A 3% tariff impact and 7% rise in cost of goods sold during fiscal 2026 have eroded margins, despite pricing actions and cost-cutting measures. Earnings forecasts reflect this strain, with analysts projecting a 23.5% year-over-year drop in adjusted EPS to $1.76. While Q1 2026 results briefly lifted the stock 5.4% on revenue and profit beats, the positive momentum faded as operational challenges persisted.

Analysts remain cautious, with a “Hold” consensus and a mean price target of $20.53—nearly 20% above current levels. The mixed outlook underscores uncertainty about Conagra’s ability to sustain profitability amid volatile costs and competitive sector dynamics. Its exposure to discretionary and frozen food categories, which are more sensitive to economic cycles than core staples, has amplified its underperformance. For now, the stock’s trajectory hinges on its capacity to stabilize margins and convince investors of long-term resilience.