Is Conagra Brands (NYSE:CAG) stock way too aggressive for baby boomers?


USD 37.56  0.69  1.80%   

It looks as if Conagra Brands may not have a good chance to recover from the latest dip as its shares fell again. Conagra Brands current daily volatility is 1.46 percent, with a beta of 0.59 and an alpha of 0.01 over DOW. As many millenniums are trying to avoid the latest volatility, we are going to digest Conagra Brands a little further to understand its historical price patterns. We will cover the possibilities of making Conagra Brands into a steady grower in November.
Published over two months ago
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The company runs under Consumer Defensive sector within Packaged Foods industry.
Our advice module can be used to complement Conagra Brands investment recommendation provided by average analyst sentiment. It analyzes the company's potential to grow using fundamental, technical, data market data available at the time.
Investing in ConAgra Foods, just like investing in any other equity instrument, is characterized by a strong risk-return correlation. High risks mean high returns and low risk means lower expected returns. Risk management is the act of identifying and assessing the potential risk and developing strategies to minimize these risks and earn maximum possible profits while holding ConAgra Foods along with other instruments in the same portfolio. Using conventional technical analysis and fundamental analysis to select individual securities into a portfolio complements risk management and adds value to overall investors' investing strategies.
Sophisticated investors, who have witnessed many market ups and downs, frequently view the market will even out over time. This tendency of ConAgra Foods' price to converge to an average value over time is called mean reversion. However, historically, high market prices usually discourage investors that believe in mean reversion to invest, while low prices are viewed as an opportunity to buy. Please use the tools below to analyze the current value of ConAgra Foods in the context of predictive analytics.
Please note, it is not enough to conduct a financial or market analysis of a single entity such as ConAgra Foods. Your research has to be compared to or analyzed against ConAgra Foods' peers to derive any actionable benefits. When done correctly, ConAgra Foods' competitive analysis will give you plenty of quantitative and qualitative data to validate your investment decisions or develop an entirely new strategy towards taking a position in ConAgra Foods.

How important is ConAgra Foods's Liquidity

ConAgra Foods financial leverage refers to using borrowed capital as a funding source to finance ConAgra Foods ongoing operations. It is usually used to expand the firm's asset base and generate returns on borrowed capital. ConAgra Foods financial leverage is typically calculated by taking the company's all interest-bearing debt and dividing it by total capital. So the higher the debt-to-capital ratio (i.e., financial leverage), the riskier the company. Please check the breakdown between ConAgra Foods's total debt and its cash.

What do experts say?

Stock analysis is a method for investors and traders to make buying and selling decisions. By studying and evaluating past and current data, investors and traders attempt to gain an edge in the markets by making informed decisions.
It is good to see analyst projects for ConAgra Foods, but it might be worth checking our own buy vs. sell analysis

ConAgra Foods Correlation with Peers

Investors in ConAgra can reduce exposure to individual asset risk by holding a diversified portfolio of assets in addition to a long position in ConAgra Foods. Diversification will allow for the same portfolio return with reduced risk. The correlation table of ConAgra Foods and its peers is a two-dimensional matrix that shows the correlation coefficient between pairs of securities ConAgra is related in some way. The cells in the table are color-coded to highlight significantly positive and negative relationships. Each cell shows the correlation between one pair of equities and can be used to run pair trading strategies or create efficient portfolios with your current brokerage.
Please check volatility of ConAgra for more details

Breaking down ConAgra Foods Indicators

Conagra Brands secures Sharpe Ratio (or Efficiency) of -0.0229, which signifies that the company had -0.0229% of return per unit of risk over the last 3 months. Macroaxis standpoint towards foreseeing the risk of any stock is to look at both systematic and unsystematic factors of the business, including all available market data and technical indicators. Conagra Brands exposes twenty-one different technical indicators, which can help you to evaluate volatility that cannot be diversified away. Please be advised to confirm Conagra Brands risk adjusted performance of (0.001674), and Mean Deviation of 0.9921 to double-check the risk estimate we provide.

Another 3 percent dip for Conagra Brands

Maximum drawdown is down to 8.47. It may indicate a possible volatility dip.
As of the 5th of October, Conagra Brands shows the risk adjusted performance of (0.001674), and Mean Deviation of 0.9921. Conagra Brands technical analysis gives you the methodology to make use of historical prices and volume patterns to determine a pattern that approximates the direction of the firm's future prices. Put another way, you can use this information to find out if the firm will indeed mirror its model of historical prices and volume momentum, or the prices will eventually revert. We were able to analyze nineteen technical drivers for Conagra Brands, which can be compared to its rivals. Please confirm Conagra Brands maximum drawdown, semi variance, and the relationship between the jensen alpha and potential upside to decide if Conagra Brands is priced correctly, providing market reflects its regular price of 32.63 per share. Given that Conagra Brands has jensen alpha of 0.0103, we suggest you to validate Conagra Brands's prevailing market performance to make sure the company can sustain itself at a future point.

Our Takeaway on Conagra Brands Investment

Although some companies in the packaged foods industry are either recovering or due for a correction, Conagra Brands may not be performing as strong as the other in terms of long-term growth potentials. Taking everything into account, as of the 5th of October 2022, our research shows that Conagra Brands is a rather very steady investment opportunity with a below average probability of distress in the next two years. From a slightly different view, the entity currently appears to be undervalued. Our present 90 days 'Buy-Sell' recommendation on the firm is Strong Hold.

Editorial Staff

This story should be regarded as informational only and should not be considered a solicitation to sell or buy any financial products. Macroaxis does not express any opinion as to the present or future value of any investments referred to in this post. This post may not be reproduced without the consent of Macroaxis LLC. Macroaxis LLC and Rifka Kats do not own shares of ConAgra Foods. Please refer to our Terms of Use for any information regarding our disclosure principles.

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