RBC Capital analysts provided their perspective on Conagra Brands (NYSE:CAG) in anticipation of the Q3 earnings announcement on Wednesday. They mentioned that the company’s demand patterns are stable but less dynamic, with reduced elasticities, which is comparable to other packaged food companies.
The analysts expect Q3 organic sales growth of 5.8% (vs. Street estimate of 6.9%) and EPS of $0.63 (vs. Street’s $0.64).
As a reminder, the company confirmed fiscal 2023 guidance in late February. Overall, the analysts expect another pricing-driven quarter with volumes remaining in focus given the company’s more muted trends in tracked channels but acknowledge some noise in tracked channels (coming off allocation and supply chain disruptions a year ago).