Campbell Soup Beats Q3 Estimates, Lowers Outlook

Campbell Soup reported better-than-expected third-quarter earnings, with adjusted EPS of $0.73 and a 4% rise in net sales to $2.48 billion, driven by increased home cooking amid economic uncertainty. Meals & Beverages grew 15%, while the Snacks division declined due to cautious consumer spending and heightened competition. Management now expects fiscal 2025 profitability and sales growth to be at the lower end of earlier guidance, citing ongoing snacks weakness and tariff impacts. Several analysts, including RBC Capital, Morgan Stanley, and Barclays, have lowered their price targets for Campbell Soup. Despite beating earnings estimates, the stock remains near its 52-week low and has lagged the broader market. Elevated food prices, tariffs, and changing consumer habits are expected to continue shaping Campbell's performance and the wider food sector.