14 Best Mid-Cap Dividend Stocks To Buy Now

7. Conagra Brands, Inc. (NYSE:CAG)

Number of Hedge Fund Holders: 34

Market Cap: $8.11 Billion

On January 16, Morgan Stanley analyst Megan Alexander Clapp lowered her price target on Conagra Brands, Inc. (NYSE:CAG) to $18 from $19, while keeping an Equal Weight rating on the shares. She said the outlook remains tough, calling it “an already challenging backdrop” for US food stocks. Morgan Stanley also warned that competitive pressure is picking up again as value-driven pricing, heavier promotions, and renewed private-label momentum carry into 2026.

In early December, Conagra maintained its full-year sales and profit guidance even after a quieter second quarter. The company, known for brands like Slim Jim, has been dealing with uneven demand for pantry staples as consumers cut back spending and competition stays intense. Conagra also posted a quarterly loss, largely due to a $968 million non-cash impairment charge tied to a prolonged drop in its share price.

Over the past year, Conagra’s stock has taken a hit, with the company losing around 34% of its market value. The pressure has come from multiple angles, including supply chain disruptions, higher ingredient costs, and softer demand as budget-conscious shoppers trade down. Longer term, shifting consumer preferences toward healthier eating, boosted by the “Make America Healthy Again” movement, along with the growing use of GLP-1 weight-loss drugs, could add another layer of risk for packaged food companies.CEO Sean Connolly also made it clear the company is not currently focused on acquisitions. Instead, management wants to prioritize cash flow generation and use that to reduce debt.

Conagra Brands, Inc. (NYSE:CAG) is a major branded food company with operations across Grocery & Snacks, Refrigerated & Frozen, International, and Foodservice.