On Wednesday, Campbell Soup Co. (NYSE:CPB) shares edged slightly higher after reporting its most recent quarterly results. The company announced its fiscal first-quarter results before markets opened, beating analyst expectations on earnings. However, Campbell Soup’s FQ1 revenue failed to match Street expectations.
The company posted FQ1 non-GAAP earnings per share of $0.89, outperforming the consensus for analyst expectations of $0.81. On the other hand, its GAAP EPS of $0.86 exceeded the estimate of $0.81, while revenue for the quarter declined by 4.3% from the same quarter last year to $2.24 billion, missing expectations by $40 million.
Are you looking for fast-news, hot-tips and market analysis?
Sign-up for the Invezz newsletter, today.
Campbell Soup reinstated its full-year 2022 revenue and earnings guidance despite the mixed FQ1 report.
The stock has fallen by nearly 15% this year, making it an intriguing option for investors.
Is Campbell Soup undervalued?
The processed food and snack maker’s shares trade at exciting trailing 12-month and forward P/E ratios of 12.43 and 14.00, respectively, thus making it a compelling option for value investors.
In addition, analysts expect its EPS to grow by nearly 70% this year before rising by a further 6.41% next year.
Therefore, the stock could also gain the attention of growth investors.
Technically, Campbell Soup shares seem to be trading within an ascending channel formation in the hourly chart. However, the stock pulled back on Wednesday afternoon to find the trendline support, creating another opportunity to buy.
Therefore, investors could target potential rebound profits at about $41.70, or higher at $42.18, while $40.71 and $40.15 are crucial support zones.
Where to buy right now
To invest simply and easily, users need a low-fee broker with a track record of reliability. The following brokers are highly rated, recognised worldwide, and safe to use: