RBC Cuts Price Target on Campbell's to $19 From $21, Keeps Sector Perform Rating

Campbell's Co (CPB) announced a $500M cost savings program, strong cooking soups growth, and new product innovations. However, it expects a 3% decline in organic net sales in 2027 due to inflation and reduced dividends. Q1 is expected to be challenging, with gross margins down 50-100 basis points. Management discussed pricing strategies, cost savings, and segment performance during the earnings call.

Campbell's Co (CPB) reported Q4 2026 earnings, expecting organic sales to decline 3% with Meals & Beverages down slightly and Snacks improving. Inflation is projected at 5-6%, with EPS declining in Q1 but turning positive by Q4. The company plans $500M in cost savings and modest price increases. Snacks segment faces challenges but expects recovery in subsequent quarters. Management discussed dividend reduction and pricing strategies.

Campbell Soup Company (CPB) cut 13% of its salaried workforce and closed two snack plants to improve operations. CEO Mick Beekhuizen stated the moves aim to address 'unacceptable' results. The company expects fiscal 2027 net sales to decline 2% to 4% and adjusted earnings per share of $1.65 to $1.80, below analyst estimates. Fourth-quarter net sales fell 8% to $2.14 billion, missing estimates. The company plans to generate $500 million in cost savings by fiscal 2030.

Campbell Soup (CPB) shares fell 3% after Q4 earnings showed a 37% drop in adjusted earnings, missed revenue expectations, and a 36% dividend cut. Net sales declined 8.1% to $2.14B, and the company initiated a cost-reduction program targeting $500M in savings by 2030. Management guided fiscal 2027 net sales to decline 2-4%.

Campbell’s Company reported an 8% decline in net sales to $2.1B and a 17% drop in gross profit to $583M in Q4, citing inflation and lower sales. The company plans $500M in cost cuts by 2030, including plant closures, job cuts, and a 36% dividend reduction, while investing in key brands like Goldfish and Rao’s. Campbell’s expects fiscal 2027 sales to fall 2% to 4% and adjusted EPS to decline 17% to 24%.

Campbell Soup Company (CPB) announced plans to raise prices, cut costs, and reduce its dividend by a third, citing 'unacceptable' results. The company expects fiscal 2027 sales to decline 2-4% and adjusted earnings per share of $1.65-$1.80, below estimates. Q4 net sales fell 8% to $2.14B, missing expectations. The company aims to generate $500M in cost savings by fiscal 2030.