Not to be outdone, last year Walmart launched its Uniquely J line via Jet.com. Campbell Soup Company recently reported fourth-quarter (ended Aug. 2) earnings per share that were higher than the consensus estimate, and revenue … They had pasta, but not a ton of it. This particular grocer is part of a national chain. They had toilet paper, which was a first. Market Data & Company fundamental data provided by FactSet. The logical response for these legacy brands is to acquire fresh and healthy millennial-friendly brands to offset weakness in their core brands. Look for these private labels to steal market share away from traditional food companies. The stock is down 30% year to date, mostly due to management lowering its guidance to a 5%-6% year-over-year adjusted earnings per share decrease. This is the best the firm has done in terms of accelerating sales growth in four quarters. If you have questions, please contact us. But wait -- it gets worse for consumer foods brands. If one were inclined to invest in Campbell Soup, this may present opportunity. Even Kraft Heinz (KHC) has performed. FactSet calculates the Market Cap for the basic symbol to include common shares only. We're sorry. Real Money's message boards are strictly for the open exchange of investment ideas among registered users. Both quality ingredients and health perception are of key interest to millennials, which is now the largest demographical cohort. ETF data provided by Lipper. In terms of organic sales growth, overall the number was excellent at 17%. This wrapped up the sale of the company's international division. That line itself was led by a simply astounding 35% print for growth in canned soups and broths. Thank you, your email to has been sent successfully. This is up significantly from the $2.55 to $2.60 that the firm had been looking for pre-crisis, however keep in mind that Wall Street's consensus had already been ratcheted up to $2.89, so this is not an upside shock that needs to be priced in. Quotes delayed at least 20 minutes for all exchanges. None of the low-sodium variety. See you at the top! However, if no rating change occurs, the data on this page does not update. Please contact customer support to let us know. Unlike retail stores and grocers where cash-rich legacy brands can pay more for shelf placement and floor-space marketing, e-commerce searches often revolve around the lowest price. Jamal graduated from George Mason University with a bachelors of science in finance, American University with a masters in finance, and is a CFA charterholder. For the firm's fiscal third quarter, Campbell Soup reported adjusted EPS of $0.83. Although online shopping may feel ubiquitous, approximately 10% of all retail sales are online with online grocery shopping and delivery still in the infancy states. FYI... if I do get hit, I will be writing a June 19th $51 calls against the position if I can still get more than a buck for those. Additionally, Walmart is spending large sums to win grocery market share on its eponymous site and on its Jet.com website. Stock Advisor launched in February of 2002. Mutual fund data provided by Valueline. The breakfast cereal aisle was stocked. At the time of publication, Stephen Guilfoyle was Long CAG, KHC, PEP equity. That said, even with a revenue miss for the quarter reported on Wednesday morning, there is perhaps enough there to bring back such a nostalgic and in my immature mind, a simply fun advertising jingle. Brand cachet will further be eroded by a continued shift to e-commerce. (PepsiCo is a holding in Jim Cramer's Action Alerts PLUS member club. TheStreet Ratings updates stock ratings daily. The firm now sees full year EPS of $2.87 to $2.92. That was nice. Year-to-date mutual fund returns are calculated on a monthly basis by Value Line and posted mid-month. Any discussions or subjects off that topic or that do not promote this goal will be removed at the discretion of the site's moderators. Unfortunately, Campbell's Soup is merely the canary in the coal mine for brand-heavy food and consumable companies. Learn more now.). Operating margin "exploded" to 17.2% versus expectations of 15.9%. Already you can see grocery stores taking aggressive action to grow their online grocery footprints. On Monday, I had a can of my favorite Campbell Soup for lunch. 225 Liberty Street, 27th Floor, New York, NY 10281. Follow Real Money's Wall Street Pros to receive real-time investing alerts. Campbell Soup (CPB) may have long ago put aside the firm's marketing slogan of yesteryear. Conagra (CAG) has been spectacular. They had limited supply of Campbell Soup cans. There was a problem trying to send your email to .