Conagra (NYSE: CAG) is looking like a buy in October because the FQ1 results confirm that its turnaround efforts are succeeding, it is on track to resume growth, expand its margin, and maintain its capital return. In terms of value and yield, they are currently at historic lows and highs, presenting a once-in-a-generation chance for risk-averse and income-focused investors.
Trading at only 10.5x its FY2026 earnings outlook and yielding nearly 7.5%, this stock price is poised to more than double over the next five to ten years, while continuing to pay its dividend. The takeaway for investors is that Conagra stock is poised to deliver a high double-digit annual total return over the coming decade, including a steady and reliable dividend, which presents an attractive opportunity that will outperform bonds by a wide margin.
