Topic: How To Invest

Wall Street Stock Forecaster Hotline – Friday, March 6, 2020

Article Excerpt

CAMPBELL SOUP CO., $51.76, New York symbol CPB, is a buy. The company recently completed a strategic review of its operations. As a result, it has sold most of its international and refrigerated-foods businesses. That will let it focus on canned soups, pasta and V8 vegetable juices. Campbell will also keep its snack foods operations, which it significantly expanded in March 2018 when it paid $6.1 billion for snack-foods maker Snyder’s-Lance. In the fiscal 2020 second quarter, ended January 26, 2020, sales fell 0.5%, to $2.16 billion from $2.17 billion a year earlier. That matched the consensus forecast. However, if you adjust for the businesses Campbell sold, sales improved 1% in the latest quarter on stronger demand for snack products. The company continues to find savings in the wake of the Snyder’s-Lance acquisition. So far, it has reduced annual costs for its continuing businesses by $650 million. It expects those yearly savings to reach $850 million by the end of fiscal 2022. If you…