Conagra Stock Slips as Slim Jim Parent’s Q4 Results Fall Short

Conagra Brands (CAG) stock fell in premarket trading Thursday after the snack foods giant’s fiscal fourth-quarter results came in below expectations.

The company behind Slim Jim, Healthy Choice, Hunt’s, and dozens of other brands reported adjusted earnings per share of $0.56 on sales that fell 4% year-over-year to $2.78 billion. Analysts surveyed by Visible Alpha had expected $0.58 and $2.83 billion, respectively.

“While the second half was impacted by higher than expected inflation, foreign exchange headwinds, and supply constraints, our long-term value creation strategy remains unchanged,” CEO Sean Connolly said.

Connolly added: “In fiscal 2026, we expect elevated inflation and macroeconomic uncertainty to persist but remain focused on proactively managing the business by investing in our high-potential frozen and snacks domains, prioritizing volume strength, and further enhancing supply chain resiliency while continuing disciplined cost management and focus on cash flow.”

Conagra said it expects organic net sales to be up or down by 1% in fiscal 2026, compared with a 2.9% drop in fiscal 2025, and adjusted EPS between $1.70 and $1.85, down from $2.30 and below analysts’ expectations of $2.13.

Conagra shares fell 5% shortly after the results. They entered Thursday down about 27% since the start of the year.

Conagra Phasing Out Artificial Colors, Recently Sold Chef Boyardee

Last month, Conagra completed the sales of the Chef Boyardee, Van de Kamp’s, and Mrs. Paul’s brands. The company is also one of a number of food makers who have said they will phase out artificial coloring in its foods. Conagra said “certified Food, Drug & Cosmetic colors” will be removed from its frozen food lineup by the end of this year, out of foods sold to schools by the start of the 2026-27 school year, and out of its entire U.S. portfolio by the end of 2027.

Last quarter, Conagra’s grocery and snacks unit sales fell by 3.2% year-over-year, while those of refrigerated and frozen foods fell by 7.2%, leading to worse-than-expected results.