No notable earnings were released late Monday or early Tuesday.

Before U.S. markets open on Wednesday, cannabis products company Tilray will report quarterly results.

Here are our previews of three companies set to report results first thing Thursday morning.

Conagra

Over the past 12 months, the share price of packaged food giant Conagra Brands Inc. (NYSE: CAG) has fallen by around 18%. For the year to date, however, the stock is down nearly 31%.

The stock’s price is tracking both revenue and adjusted earnings per share (EPS), both of which have declined for three consecutive quarters. EPS met the lowered expectations in each quarter, as did sales in two of the three quarters. On its conference call following its July report, the company, CEO Sean Connolly noted that sales volumes were slipping even as prices were falling. And it is not just Conagra’s problem, he said.

Of 16 analysts following the stock, 12 have Hold ratings and the other four rate it at Buy or Strong Buy. At a recent price of around $26.80 a share, the upside potential based on a median price target of $36.50 is 36.2%. At the high price target of $46.50, the upside potential is 73.5%.

The consensus estimate for first-quarter fiscal 2024 revenue is $2.96 billion, which would be down about 0.6% sequentially but up 2.0% year over year. Adjusted earnings per share (EPS) are expected to come in at $0.60, down 3.5% sequentially and 5.3% higher year over year. Estimates for the fiscal year that ends in May call for EPS of $2.72, down 1.5%, on sales of $12.39 billion, up 0.9%.

Conagra Brands stock trades at 9.87 times expected 2024 EPS, 9.4 times estimated 2025 earnings of $2.83 and 8.9 times estimated 2026 earnings of $2.98 per share. The 52-week trading range is $26.61 to $41.30. The low was posted early Tuesday. The company pays an annual dividend of $1.32 (yield of 5.23%). Total shareholder return over the past 12 months was negative 15.32%.

Constellation Brands

Constellation Brands Inc. (NYSE: STZ) produces, imports and sells beer, wine and spirits in the United States and other countries. With a market cap of around $45.3 billion, it is the country’s largest publicly traded alcoholic beverage stock. The stock price has added 8.4% over the past 12 months and about 7.5% for the year to date.

The company has struck a deal with activist investor Elliott Management, and sales of its Bud Light brand (the subject of a boycott earlier this year) have essentially been replaced by sales of Corona Light, another Constellation brand.
Of 23 analysts covering Constellation, 20 have a Buy or Strong Buy rating and the others have Hold ratings. At a share price of around $250.00, the upside potential based on a median price target of $297.50 is 19%. At the high price target of $315.00, the upside potential rises to 26%.

Analysts expect Constellation to report fiscal 2024 second-quarter revenue of $2.82 billion, up 12.2% sequentially and by 6.0% year over year. Adjusted EPS are pegged at $3.37, up 15.9% sequentially and 6.3% higher year over year. For the full fiscal year ending in February, estimates call for EPS of $11.71, up by 9.9%, and revenue of $10.11 billion, up 6.9%.

Constellation stock trades at 21.4 times expected 2024 EPS, 18.7 times estimated 2025 earnings of $13.40 and 16.6 times estimated 2026 earnings of $15.05 per share. The 52-week trading range is $208.12 to $273.65. Constellation pays an annual dividend of $3.56 (yield of 1.42%). Total shareholder return for the past 12 months was 10.37%.

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Lamb Weston

Lamb Weston Holdings Inc. (NYSE: LW) is the nation’s largest producer and marketer of frozen potato products and the ninth-largest packaged food company of any kind.

In February, the company acquired the 50% of a joint venture that it did not already own from Netherlands-based Meijer Frozen Foods. That boosted revenue in the May quarter but came at a cost to EPS, and EPS is expected to take a hit again in the August quarter. The hit to EPS sent investors fleeing, and the share price has fallen by about 20% over the past three months. The outlook for the full fiscal year calls for more growth, however.

Of nine analysts covering the company, eight have a Buy or Strong Buy rating, and the other has a Sell rating. At a share price of around $91.70, the upside potential based on a median price target of $125.00 is about 36.3%. At the high price target of $130.00, the upside potential rises to  41.8%.

Analysts expect the company to report fiscal 2024 first-quarter revenue of $1.61 billion, down 4.8% sequentially but 42.5% higher year over year. Adjusted EPS are pegged at $1.08, down 11.3% sequentially and up 44.0% year over year. For the full fiscal year that ends in May, estimates call for EPS of $5.29, up by 13%, and revenue of $6.81 billion, up 27.3%.

Lamb Weston stock trades at 17.3 times expected 2024 EPS, 15.7 times estimated 2025 earnings of $5.84 and 14.7 times estimated 2026 earnings of $6.25 per share. The 52-week range is $76.56 to $117.38. The company pays an annual dividend of $1.12 (yield of 1.21%). Total shareholder return for the past 12 months was 19.94%.

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