Campbell Story

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CPB -- USA Stock  

USD 46.62  0.04  0.09%

It looks like Kellogg will be up for a correction faster as its share price went up 0.88% today to Campbell Soup's 2.03%As many rational traders are trying to avoid consumer defensive space, it makes sense to go over Campbell Soup a little further and understand how it stands against Kellogg and other similar entities. We are going to analyze some of the competitive aspects of both Campbell and Kellogg.
Published over a month ago
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Will Kellogg investors switch to Campbell (NYSE:CPB)?
By analyzing existing fundamental drivers between Campbell Soup and Kellogg, you can compare the effects of market volatilities on both companies' prices and check if they can diversify away market risk if combined in one of your portfolios. You can also utilize pair trading strategies for matching a long position in Kellogg with a short position in Campbell Soup. Check out our pair correlation module for more information.

Let's begin by analyzing the assets. The asset utilization indicator refers to the revenue earned for every dollar of assets a company currently reports. Campbell Soup has an asset utilization ratio of 110.88 percent. This suggests that the company is making $1.11 for each dollar of assets. An increasing asset utilization means that Campbell Soup is more efficient with each dollar of assets it utilizes for everyday operations.
Out of tens of thousands of stocks, funds, and ETFs that trade on global exchanges each represent an individual company which you can analyze using comparative analysis. To determine which one of the two companies, such as Campbell or Kellogg is a better fit for your portfolio, analyzing a few basic fundamental indicators is a good first step.

UNDERSTANDING Campbell Soup dividends

A dividend is the distribution of a portion of Campbell Soup earnings, decided and managed by the company's board of directors and paid to a class of its shareholders. Note, announcements of dividend payouts are generally accompanied by a proportional increase or decrease in a company's stock price. Campbell Soup dividend payments follow a chronological order of events, and the associated dates are important to determine the shareholders who qualify for receiving the dividend payment. Campbell one year expected dividend income is about $0.7 per share.
Campbell Soup Dividend Yield is projected to slightly decrease based on the last few years of reporting. The past year's Dividend Yield was at 0.02. The current year Dividends per Basic Common Share is expected to grow to 1.40, whereas Payment of Dividends and Other Cash Distributions is forecasted to decline to (420.8 M).
Last ReportedProjected for 2021
Payment of Dividends and Other Cash Distributions-390 M-420.8 M
Dividend Yield 0.02  0.0231 
Dividends per Basic Common Share 1.25  1.40 
Investing in dividend-paying stocks, such as Campbell Soup is one of the few strategies that are good for long-term investment. Ex-dividend dates are significant because investors in Campbell Soup must own a stock before its ex-dividend date to receive its next dividend. This type of analysis is very useful when you want to generate a past dividend schedule and payout information for Campbell Soup. Then that information in the form of graph and calendar can be used to fully explain how Du Pont dividends can provide a real clue to its valuation.

How important is Campbell Soup's Liquidity

Campbell Soup financial leverage refers to using borrowed capital as a funding source to finance Campbell Soup ongoing operations. It is usually used to expand the firm's asset base and generate returns on borrowed capital. Campbell Soup 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 Campbell Soup'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 Campbell Soup, but it might be worth checking our own buy vs. sell analysis

Correlation Between Campbell and Kellogg Company

In general, stock analysis is a method for investors and traders to make individual buying and selling decisions. Stock correlation analysis is also essential because it can help investors realize that they may not be as diversified as they think. Risk management strategies are usually required to make sure all portfolios are properly aligned against their risk tolerance level. You can consider holding Campbell Soup together with similar or unrelated positions with a negative correlation. For example, you can also add Kellogg to your portfolio. If Kellogg is not perfectly correlated to Campbell Soup it will diversify some of the market risks out of the positively correlated stocks in your portfolio. However, the disadvantage of this sort of hedging is that it can potentially affect your investment returns throughout market cycles. When Campbell Soup for example, for example, performs excellent and delivers stable returns, the negatively correlated position you locked in as a hedge may drag your returns down. Please check pair correlation details between CPB and K for more information.

Note

Are you currently holding both Campbell Soup and Kellogg in your portfolio? Please note if you are using this as a pair-trade strategy between Campbell Soup and Kellogg, watch out for correlation discrepancy over time. Relying on the historical price correlations and assuming that it will not change may lead to short-term losses.

Campbell Soup exotic insider transaction detected

Legal trades by Campbell Soup insiders are very common, as founders, directors, or employees of any publicly traded firm often have stock or stock options. These trades are made public in the United States through the filing of Form 4 of the Securities and Exchange Commission. Below entry was recorded recently and is publicly available as an insider trade:
Campbell insider trading alert for general transaction of common stock by Vanbeuren Archbold D, the corporate stakeholder, on 5th of January 2021. This event was filed by Campbell Soup Co with SEC on 2021-01-05. Statement of changes in beneficial ownership - SEC Form 4 [view details]   
Note, although insider trading is legal, in the United States, Canada, Australia, and Germany, for mandatory reporting purposes, corporate insiders are defined as a company's officers, directors, and any beneficial owners of more than 10% of a class of the company's equity securities.

Breaking down Campbell Soup Further

Revenue is income that a firm generates from business activities such us rendering services or selling goods to customers. It is a crucial part of a business and an essential item when evaluating a company's financial statements. Revenues from a firm's primary business operations can be reported on the income statement as sales revenue, net sales, or simply sales, depending on the industry in which a given company operates.
Revenue is typically recorded when cash or cash equivalents are exchanged for services or goods and can include product or services discounts, promotions, as well as early payments on invoices or services rendered in advance.

Revenue Breakdown

Lets now check Campbell Soup revenue. Based on the latest financial disclosure, Campbell Soup reported 8.69 B of revenue. This is 41.5% lower than that of the Consumer Defensive sector and 4.48% higher than that of the Packaged Foods industry. The revenue for all United States stocks is 7.89% higher than that of Campbell Soup. As for Kellogg we see revenue of 13.53 B, which is 62.67% higher than that of the Packaged Foods

Campbell8.69 Billion
Sector8.32 Billion
Kellogg13.53 Billion
8.7 B
Campbell
8.3 B
Sector
13.5 B
Kellogg

Analysis of Campbell Soup

The coefficient of variation is down to 4406.24 as of today. As of the 9th of December, Campbell Soup shows the Downside Deviation of 1.47, mean deviation of 0.9361, and Risk Adjusted Performance of 0.0282. Campbell Soup 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 have analyzed nineteen technical drivers for Campbell Soup, which can be compared to its rivals. Please confirm Campbell Soup treynor ratio, and the relationship between the variance and potential upside to decide if Campbell Soup is priced correctly, providing market reflects its regular price of 47.28 per share. Given that Campbell Soup has jensen alpha of (0.012485), we suggest you to validate Campbell Soup's prevailing market performance to make sure the company can sustain itself at a future point.

Whereas many of the other players under the packaged foods industry are still a bit expensive, Campbell Soup may offer a potential longer-term growth to investors. To conclude, as of the 9th of December 2020, we see that Campbell Soup slowly supersedes the market. The company is undervalued with below average odds of financial distress within the next 24 months. Our up-to-date 30 days Buy-Hold-Sell recommendation on the company is Hold.

About Contributor

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 Achuva Shats do not own shares of Campbell Soup. Please refer to our Terms of Use for any information regarding our disclosure principles.

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