Thu, Mar. 26, 12:37 PM
- Deutsche Bank thinks 3G Capital will be back in the food sector for a major acquisition faster than some other investment firms anticipate.
- 3G put itself in a stronger position to make a major purchase by not adding debt in the Kraft deal.
- Analyst Eric Katzman sees some food names trading with a premium as the 3G shadow hangs over the sector, while others have downside risk with M&A speculation not making as much sense.
- Premium on: ConAgra (NYSE:CAG), General Mills (NYSE:GIS), Mondelez International (NASDAQ:MDLZ), Pinnacle Foods (NYSE:PF), PepsiCo (NYSE:PEP).
- Premium off: Campbell Soup (NYSE:CPB), Hershey (NYSE:HSY), Hormel (NYSE:HRL), Kellogg (NYSE:K), J.M. Smucker (NYSE:SJM).
- Previously: Investors snapping up food stocks (Mar. 25 2015)
- Previously: Beer fallout from Kraft buyout (Mar. 25 2015)
- Previously: Kraft-Heinz merger has a few ETFs on the move (Mar. 25 2015)
Wed, Mar. 25, 7:07 AM
- Food stocks could see a lift today after a high-profile merger between Kraft and Heinz was announced.
- The sector has been identified by analysts as a likely hotbed for consolidation.
- Early premarket gainers include Mondelez International (NASDAQ:MDLZ) +2.1%, General Mills (NYSE:GIS) +1.0%, and Campbell Soup (NYSE:CPB) +0.4%.
- Previously: Kraft, Heinz announce merger
Thu, Feb. 12, 5:28 PM
- Campbell Soup (NYSE:CPB) -4.5% AH after lowering guidance for its FQ2 and the full year ending in August, partly due to foreign currency translation.
- CPB now sees FQ2 EPS of $0.65-$0.66 vs. $0.68 analyst consensus, revenues falling 2% to ~$2.24B and in line with consensus, and adjusted EBIT declining by ~17%.
- For FY 2015, CPB lowers EPS to $2.32-$2.38 from earlier guidance of $2.42-$2.50 and below $2.45 consensus, while seeing revenues rising or falling by ~1% to $8.19B-$8.35B vs. $8.2B consensus, reflecting the negative impact of currency translation; excluding the forex impact, sales guidance is unchanged.
- CPB had already lowered its outlook in November, pointing to currency volatility.
Wed, Jan. 7, 8:05 AM
- Campbell Soup (NYSE:CPB) is higher in early trading after being thrown back into the M&A pot.
- Today's speculation centers on a play from 3G in the food sector.
- It's of note that 3G was able to quickly cut $700M in costs when it snapped up Heinz and lifted the company's profit margins by 700 bps.
- CPB +2.3% premarket to $44.01.
Wed, Jan. 7, 7:12 AM
- Shares of Campbell Soup (NYSE:CPB) and PepsiCo (NYSE:PEP) are on watch after the WSJ reports 3G is discussing trying to acquire a major food company.
- Sources indicate the massive size of PepsiCo deal could prompt a partial buyout or a bid in tandem with Aneuser-Busch InBev (NYSE:BUD).
- PEP +0.8% premarket, CPB inactive.
Nov. 26, 2014, 5:37 PM
Sep. 8, 2014, 7:48 AM
- Campbell Soup (NYSE:CPB) reports organic sales fell 2% in FQ4.
- Acquisitions added 3% to growth while promotional spending clipped 2%.
- Gross margin rate -210 bps to 34.1%.
- Segment growth: U.S. Simple Meals +5% to $518M; Global Baking and Snacking +10% to $628M; International Simple Meals and Beverages +1% to $188M; U.S. Beverages +6% to $184M; Bolthouse and Foodservice +11% to $334M.
- Guidance: Full-year EPS of $2.45-$2.60 expected vs. $2.54 consensus.
- CPB -1.9% premarket
May. 27, 2014, 7:28 AM
- A $6.4B offer by Pilgrim Pride's (PPC) to buy Hillshire Brands (HSH) could rattle the food sector.
- For starters, the deal could spoil Hillshire's offer on the table to buy Pinnacle Foods (PF).
- The quick analyst take on a PPC-HSH combination is favorable with the companies focused in different areas (chicken vs. packaged meat) which could lead to easy access to new distribution channels.
- Premarket: HSH +22.9% to $45.49, PF -5.3% to $31.50.
- Also on merger watch in the food sector: THS, SJM, GIS, KRFT, CPB, ADM, BGS, RAH, HAIN, K CAG
May. 19, 2014, 9:13 AM
May. 19, 2014, 8:24 AM
- Shares of Campbell Soup (CPB) are down sharply in early trading after the company sees margins crumble in FQ3 and cuts its growth outlook.
- Soup sales were disappointing for the company despite the extended cold snap across the U.S. during the winter.
- CPB -5.5% premarket
Dec. 9, 2013, 10:17 AM
- Share of Campbell Soup (CPB +1.2%) shoot higher again in early action and are now up over 10% over the last 5 trading sessions in the midst of a tough patch for the sector.
- The company is in the spotlight due to some unusual call option buying last week.
- Trader talk: A huge merger in the foodservice industry has just increased the chatter that Campbell Soup might be flirting with a peer.
Nov. 19, 2013, 9:33 AM| 1 Comment
Nov. 19, 2013, 9:14 AM
- Campbell Soup (CPB) has a disappointing quarter as both soup and beverage sales fall off sharply.
- The company missed FQ1 profit estimates by a wide margin as it took a hit by marketing new products heavily and suffered a negative impact from the later timing of Thanksgiving this year.
- CPB -5.1% premarket.
Nov. 12, 2013, 9:59 AM
- Margin worries at Dean Foods (DF -7.6%) is affecting sentiment over a number of other packaged foods companies in early trading.
- Though the company warned specifically on the dairy commodity environment, its drop in guidance on Q4 "challenges" looks a bit broader.
- Underperformers: KRFT -0.7%, SJM -1.0%, HAIN -1.0%, CAG -0.5%, CPB -1.0%, TSN -0.6%.
Aug. 14, 2013, 3:57 PM
- Kerry O’Shea of Huntington Beach, California is angry with Campbell Soup (CPB -1.8%) and the American Heart Association — so angry in fact, that she's filing a lawsuit.
- O'Shea claims that the AHA has no business allowing CPB to display the "Heart-Check Mark" logo on the side of Healthy Request soups because each can allegedly has "at least six times as much sodium as the organization recommends."
- "That misrepresentation (or omission of the true facts) is unfair, deceptive, and misleading," Bloomberg quotes the complaint as saying.
Feb. 14, 2013, 8:11 AM
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