Campbell's Facing Challenging Q4 due to Rising Cost Pressures, Faltering Demand, UBS Says
MT Newswires Live
Aug 28
Campbell's (CPB) is facing a challenging fiscal Q4 due to mounting cost pressures and ongoing demand weakness, UBS said in a Thursday research report.
UBS said it expects fiscal Q4 EPS of $0.38, an organic sales decline of 0.2%, and gross margins of 28.2%. For fiscal 2027, it expects EPS of $1.72. The company is due to report fiscal Q4 results on Sept. 3.
UBS said it sees downside to Street numbers for next year, but highlighted an emerging dynamic where a reset of expectations could lead to outperformance, given an undemanding valuation and the lack of a near-term negative catalyst.
UBS reiterated its sell rating on the stock with a price target of $18.
Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.