Latest news with #B&GFoods
Yahoo
14-07-2025
- Business
- Yahoo
B&G Foods (BGS) Stock Trades Down, Here Is Why
Shares of packaged foods company B&G Foods (NYSE:BGS) fell 3.9% in the afternoon session after the stock continued to be weighed down by negative investor sentiment, evidenced by a recent significant increase in bets against the company. The pressure on the packaged foods company comes as data shows a recent 11.2% rise in short interest. Short interest represents the number of shares that investors have sold short, a strategy used to profit from a stock's decline. A notable increase in this metric indicates that a growing number of market participants are anticipating further weakness in the share price. This pessimistic outlook is fueled by underlying business concerns. The stock market overreacts to news, and big price drops can present good opportunities to buy high-quality stocks. Is now the time to buy B&G Foods? Access our full analysis report here, it's free. B&G Foods's shares are somewhat volatile and have had 14 moves greater than 5% over the last year. In that context, today's move indicates the market considers this news meaningful but not something that would fundamentally change its perception of the business. B&G Foods is down 40.7% since the beginning of the year, and at $4.23 per share, it is trading 54.8% below its 52-week high of $9.34 from September 2024. Investors who bought $1,000 worth of B&G Foods's shares 5 years ago would now be looking at an investment worth $164.72. Today's young investors likely haven't read the timeless lessons in Gorilla Game: Picking Winners In High Technology because it was written more than 20 years ago when Microsoft and Apple were first establishing their supremacy. But if we apply the same principles, then enterprise software stocks leveraging their own generative AI capabilities may well be the Gorillas of the future. So, in that spirit, we are excited to present our Special Free Report on a profitable, fast-growing enterprise software stock that is already riding the automation wave and looking to catch the generative AI next. Sign in to access your portfolio
Business Insider
10-07-2025
- Business
- Business Insider
RBC Capital Reaffirms Their Hold Rating on B&G Foods (BGS)
In a report released on July 8, Nik Modi from RBC Capital maintained a Hold rating on B&G Foods, with a price target of $6.00. The company's shares closed yesterday at $4.19. Don't Miss TipRanks' Half-Year Sale Take advantage of TipRanks Premium at 50% off! Unlock powerful investing tools, advanced data, and expert analyst insights to help you invest with confidence. Make smarter investment decisions with TipRanks' Smart Investor Picks, delivered to your inbox every week. Modi covers the Consumer Defensive sector, focusing on stocks such as Constellation Brands, Procter & Gamble, and Clorox. According to TipRanks, Modi has an average return of 1.2% and a 51.98% success rate on recommended stocks. Currently, the analyst consensus on B&G Foods is a Hold with an average price target of $5.00. Based on B&G Foods' latest earnings release for the quarter ending March 29, the company reported a quarterly revenue of $425.4 million and a net profit of $835 thousand. In comparison, last year the company earned a revenue of $475.22 million and had a GAAP net loss of $40.24 million Based on the recent corporate insider activity of 36 insiders, corporate insider sentiment is negative on the stock. This means that over the past quarter there has been an increase of insiders selling their shares of BGS in relation to earlier this year.
Business Wire
01-07-2025
- Business
- Business Wire
B&G Foods Announces Credit Agreement Amendment
BUSINESS WIRE)--B&G Foods, Inc. (NYSE: BGS) announced today that it has completed an amendment to its senior secured credit facility. The amendment temporarily increases the maximum consolidated leverage ratio permitted under its revolving credit facility, decreases the size of its revolving credit facility and modifies certain other terms and conditions. B&G Foods' maximum consolidated leverage ratio (defined as the ratio, determined on a pro forma basis, of consolidated net debt, as of the last day of any period of four consecutive fiscal quarters to adjusted EBITDA (as defined in the credit agreement) before share-based compensation for such period), will increase from 7.00 to 1.00 to 7.50 to 1.00 for the quarter ending June 28, 2025 through the quarter ending October 3, 2026 and then the maximum consolidated leverage ratio will decrease to 7.25 to 1.00 for the quarter ending January 2, 2027 before returning to 7.00 to 1.00 for the quarters ending April 3, 2027 and thereafter. The size of B&G Foods' revolving credit facility will decrease from $475.0 million to $430.0 million. In addition, for so long as the revolving credit facility is outstanding, the available amount (as defined in the credit agreement) of B&G Foods' cash that may be used for restricted debt payments and investments will be further restricted to a maximum consolidated leverage ratio of less than or equal to 7.00 to 1.00 after giving effect to such repayment or investment (measured on the date of irrevocable redemption notice so long as payment is made within 90 days) and for restricted payments, including dividends, to a maximum consolidated leverage ratio of less than or equal to 7.25 to 1.00 after giving effect to the restricted payment (measured on the dividend declaration date so long as payment is made within 90 days). As of June 28, 2025, the last day of B&G Foods' second quarter of 2025, $235.0 million aggregate principal amount of revolving credit loans remained outstanding. B&G Foods also announced that during the second quarter of 2025, B&G Foods has repurchased $20.7 million aggregate principal amount of B&G Foods' 5.25% senior notes due 2027 in open market purchases at an average discounted repurchase price of 89.98% of such principal amount plus accrued and unpaid interest. As of June 28, 2025, $529.3 million aggregate principal amount of the 5.25% senior notes due 2027 remained outstanding. 'We believe that temporarily increasing our maximum consolidated leverage ratio is a prudent measure given the current difficult consumer environment in the packaged foods industry, our working capital needs and tariff uncertainty. As evidenced by our recently announced divestiture of the Don Pepino and Sclafani brands and our repurchases of senior notes due 2027, we continue our efforts to reshape our portfolio through the divestiture of non-core brands and reduce long-term debt. We are also committed to reducing costs,' explained Bruce C. Wacha, Executive Vice President of Finance and Chief Financial Officer of B&G Foods. About B&G Foods, Inc. Based in Parsippany, New Jersey, B&G Foods and its subsidiaries manufacture, sell and distribute high-quality, branded shelf-stable and frozen foods across the United States, Canada and Puerto Rico. With B&G Foods' diverse portfolio of more than 50 brands you know and love, including B&G, B&M, Bear Creek, Cream of Wheat, Crisco, Dash, Green Giant, Las Palmas, Le Sueur, Mama Mary's, Maple Grove Farms, New York Style, Ortega, Polaner, Spice Islands and Victoria, there's a little something for everyone. For more information about B&G Foods and its brands, please visit Forward-Looking Statements Statements in this press release that are not statements of historical or current fact constitute 'forward-looking statements.' The forward-looking statements contained in this press release include, without limitation, statements related to our efforts to reshape our portfolio through the divestiture of non-core brands, reduce costs and reduce long-term debt. Such forward-looking statements involve known and unknown risks, uncertainties and other unknown factors that could cause the actual results of B&G Foods to be materially different from the historical results or from any future results expressed or implied by such forward-looking statements. In addition to statements that explicitly describe such risks and uncertainties, readers are urged to consider statements labeled with the terms 'believes,' 'belief,' 'expects,' 'projects,' 'intends,' 'anticipates,' 'assumes,' 'could,' 'should,' 'estimates,' 'potential,' 'seek,' 'predict,' 'may,' 'will' or 'plans' and similar references to future periods to be uncertain and forward-looking. Factors that may affect actual results include, without limitation: B&G Foods' substantial leverage, which may impact B&G Foods' ability, among other things, to fund capital expenditures, working capital needs, dividend payments and acquisitions, and to obtain refinancing or additional financing; B&G Foods' ability to comply with the ratios or tests under its long-term debt agreements, including the maximum consolidated leverage ratio and minimum consolidated interest coverage ratio under its credit agreement, which may be affected not only by B&G Foods' operating performance but also by events beyond B&G Foods' control, including prevailing economic, financial and industry conditions; the effects of international trade disputes, tariffs, quotas, and other import or export restrictions on B&G Foods' procurement, sales and operations (including recent U.S. tariffs imposed or threatened to be imposed on China, Canada and Mexico and other countries and retaliatory actions taken or threatened to be taken by such countries); the effects of rising costs for and/or decreases in supply of B&G Foods' commodities, ingredients, packaging, other raw materials, distribution and labor; crude oil prices and their impact on distribution, packaging and energy costs; B&G Foods' ability to successfully implement sales price increases and cost saving measures to offset any cost increases; intense competition, changes in consumer preferences, demand for B&G Foods' products and local economic and market conditions; B&G Foods' continued ability to promote brand equity successfully, to anticipate and respond to new consumer trends, to develop new products and markets, to broaden brand portfolios in order to compete effectively with lower priced products and in markets that are consolidating at the retail and manufacturing levels and to improve productivity; the ability of B&G Foods and its supply chain partners to continue to operate manufacturing facilities, distribution centers and other work locations without material disruption, and to procure ingredients, packaging and other raw materials when needed despite disruptions in the supply chain or labor shortages; the impact pandemics or disease outbreaks, may have on B&G Foods' business, including among other things, B&G Foods' supply chain, manufacturing operations or workforce and customer and consumer demand for B&G Foods' products; B&G Foods' ability to recruit and retain senior management and a highly skilled and diverse workforce at B&G Foods' corporate offices, manufacturing facilities and other work locations despite a very tight labor market and changing employee expectations as to fair compensation, an inclusive and diverse workplace, flexible working and other matters; the risks associated with the possible expansion of B&G Foods' business through acquisitions or reduction in size through divestitures; B&G Foods' possible inability to successfully complete divestitures of non-core businesses to sharpen its focus, improve margins, reduce costs and reduce its long-term debt, and, if completed, B&G Foods' possible inability to achieve the expected margin improvements, cost savings and debt reduction; B&G Foods' possible inability to identify new acquisitions or to integrate recent or future acquisitions or B&G Foods' failure to realize anticipated revenue enhancements, cost savings or other synergies from recent or future acquisitions; B&G Foods' ability to successfully complete the integration of recent or future acquisitions into B&G Foods' enterprise resource planning (ERP) system; tax reform and legislation, including the effects of the Infrastructure Investment and Jobs Act, the Inflation Reduction Act, the U.S. Tax Cuts and Jobs Act and the U.S. CARES Act, and any future tax reform or legislation; B&G Foods' ability to access the credit markets and B&G Foods' borrowing costs and credit ratings, which may be influenced by credit markets generally and the credit ratings of B&G Foods' competitors; unanticipated expenses, including, without limitation, litigation or legal settlement expenses; the effects of currency movements of the Canadian dollar and the Mexican peso as compared to the U.S. dollar; future impairments of B&G Foods' goodwill, other intangible assets, and tangible assets, such as property, plant, equipment or inventory, which impairments may be triggered if operating results for any of B&G Foods' brands deteriorate at rates in excess of its current projections, B&G Foods' market capitalization declines or discount rates change, even if due to macroeconomic factors, or may be triggered by divestitures if divestiture proceeds are less than the book value of the assets being divested; B&G Foods' ability to protect information systems against, or effectively respond to, a cybersecurity incident, other disruption or data leak; B&G Foods' ability to successfully implement B&G Foods' sustainability initiatives and achieve B&G Foods' sustainability goals, and changes to environmental laws and regulations; B&G Foods' ability to successfully adopt and utilize new technologies, such as artificial intelligence, including machine learning and generative artificial intelligence; and other factors that affect the food industry generally, including: recalls if products become adulterated or misbranded, liability if product consumption causes injury, ingredient disclosure and labeling laws and regulations and the possibility that consumers could lose confidence in the safety and quality of certain food products; competitors' pricing practices and promotional spending levels; fluctuations in the level of B&G Foods' customers' inventories and credit and other business risks related to B&G Foods' customers operating in a challenging economic and competitive environment; and the risks associated with third-party suppliers and co-packers, including the risk that any failure by one or more of B&G Foods' third-party suppliers or co-packers to comply with food safety or other laws and regulations may disrupt B&G Foods' supply of raw materials or certain finished goods products or injure B&G Foods' reputation. The forward-looking statements contained herein are also subject generally to other risks and uncertainties that are described from time to time in B&G Foods' filings with the Securities and Exchange Commission, including under Item 1A, 'Risk Factors' in B&G Foods' most recent Annual Report on Form 10-K and in its subsequent reports on Forms 10-Q and 8-K. Investors are cautioned not to place undue reliance on any such forward-looking statements, which speak only as of the date they are made. B&G Foods undertakes no obligation to publicly update or revise any forward-looking statement, whether as a result of new information, future events or otherwise.
Yahoo
11-06-2025
- Business
- Yahoo
BGS Q1 Earnings Call: Management Details Inventory Shifts and Cost Actions Amid Industry Headwinds
Packaged foods company B&G Foods (NYSE:BGS) missed Wall Street's revenue expectations in Q1 CY2025, with sales falling 10.5% year on year to $425.4 million. Its non-GAAP profit of $0.04 per share was 74.2% below analysts' consensus estimates. Is now the time to buy BGS? Find out in our full research report (it's free). Revenue: $425.4 million vs analyst estimates of $456.5 million (10.5% year-on-year decline, 6.8% miss) Adjusted EPS: $0.04 vs analyst expectations of $0.16 (74.2% miss) Adjusted EBITDA: $59.14 million vs analyst estimates of $70.48 million (13.9% margin, 16.1% miss) Operating Margin: 8.4%, up from -3.3% in the same quarter last year Market Capitalization: $363.9 million B&G Foods' first quarter performance was shaped by persistent headwinds in the packaged foods sector and significant inventory adjustments by retailers. CEO Casey Keller discussed how net sales declined, especially in January due to retailers operating with lower inventory levels and clearing out fall merchandising stock more quickly than usual. The company also saw a marked impact from increased promotional investment in its Green Giant U.S. business and higher seasonal production costs for core vegetables, including corn and peas. Keller noted, 'Our consumption was approximately minus 6% in the quarter one period. We expect the trends will improve in the back half as we lap negative comps from the middle of last year.' Looking ahead, B&G Foods' forward guidance reflects expectations for gradual stabilization in consumer demand and ongoing cost-saving initiatives. Management is implementing a portfolio reshaping strategy, focusing on divesting non-core assets and reducing operating expenses. CFO Bruce Wacha explained, 'We have implemented efforts to reduce operating and overhead costs in the third and fourth quarters, which we expect to deliver $10 million in projected savings for this year.' Keller added that targeted productivity improvements and a more focused brand lineup are intended to support margin recovery and set the stage for future M&A in core business lines such as spices, Mexican meal preparation, and baking staples. However, both executives highlighted ongoing uncertainty related to consumer behavior and evolving trade and tariff negotiations. Management attributed the quarter's results to a combination of retailer inventory destocking, timing shifts in holiday merchandising, and targeted promotional investments in core brands. Retailer inventory reduction: B&G Foods experienced a sharp decline in January sales as major retail partners reduced their inventory levels, leading to approximately $15 million in lost net sales during the quarter. Management described this as a mostly permanent shift, with retailers aiming for greater operational efficiency. Promotional investment in Green Giant: The company increased short-term promotional spending on the Green Giant frozen business to remain competitive amid aggressive category pricing. This move temporarily reduced margins but helped stabilize volumes. Management expects to revert to more typical promotional levels later in the year. Easter timing impact: The later occurrence of Easter in 2025 shifted significant merchandising of Green Giant and Crisco into April, reducing Q1 shipments by an estimated $8 million. This timing adjustment is expected to benefit Q2 sales. Input cost and crop pressures: Elevated costs for vegetables such as corn and peas, due to crop issues, further pressured margins in the Frozen & Vegetables business. While most raw material costs remained stable, certain categories like black pepper and garlic saw persistent inflation. Portfolio reshaping underway: Management reiterated plans to divest the Frozen & Vegetables business and other non-core units, aiming for a more focused portfolio centered on spices, Mexican meal preparation, and baking staples. Proceeds from any divestitures are targeted for debt reduction and a streamlined cost structure. Management expects gradual improvement in net sales and margins, driven by cost reductions, portfolio adjustments, and a more favorable comparison period in the second half of the year. Cost reduction initiatives: The company has launched a plan to achieve $10 million in cost savings during the remainder of the year, with a projected annual run rate of $15 million to $20 million. This includes SG&A cuts, improved productivity, and more selective promotional spending. Portfolio focus and divestitures: B&G Foods is prioritizing the sale of its Frozen & Vegetables business and evaluating additional non-core asset divestitures. Management believes a sharper focus on shelf-stable categories will improve margin stability and cash flow, supporting future M&A in core areas. External uncertainty and tariffs: The outlook remains subject to risks from ongoing trade and tariff negotiations, particularly for imported ingredients like spices. Management cautioned that the evolving political environment could impact input costs and overall profitability, especially in the spices segment, which sources from Asia. In the coming quarters, the StockStory team will be closely watching (1) whether consumption trends continue to stabilize or improve as the company laps prior-year declines, (2) the pace and execution of portfolio divestitures and associated debt reduction, and (3) the effectiveness of cost reduction initiatives in supporting margin recovery. Additionally, the impact of trade policy developments and input cost volatility will be important markers for B&G Foods' execution against its strategic objectives. B&G Foods currently trades at a forward P/E ratio of 6.5×. Is the company at an inflection point that warrants a buy or sell? See for yourself in our full research report (it's free). The market surged in 2024 and reached record highs after Donald Trump's presidential victory in November, but questions about new economic policies are adding much uncertainty for 2025. While the crowd speculates what might happen next, we're homing in on the companies that can succeed regardless of the political or macroeconomic environment. Put yourself in the driver's seat and build a durable portfolio by checking out our Top 6 Stocks for this week. This is a curated list of our High Quality stocks that have generated a market-beating return of 183% over the last five years (as of March 31st 2025). Stocks that made our list in 2020 include now familiar names such as Nvidia (+1,545% between March 2020 and March 2025) as well as under-the-radar businesses like the once-small-cap company Comfort Systems (+782% five-year return). Find your next big winner with StockStory today. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
03-06-2025
- Business
- Yahoo
1 Stock Under $10 to Target This Week and 2 to Question
Investors can certainly boost their returns by concentrating on stocks trading between $1 and $10. However, a disciplined approach is necessary because many of these businesses are speculative and lack the underlying fundamentals to support their prices. Luckily for you, our mission at StockStory is to help you make money and avoid losses by sorting the winners from the losers. That said, here is one stock under $10 with huge potential and two that may have trouble. Share Price: $4.16 Started as a small grocery store in New York City, B&G Foods (NYSE:BGS) is an American packaged foods company with a diverse portfolio of more than 50 brands. Why Are We Out on BGS? Products have few die-hard fans as sales have declined by 3.3% annually over the last three years Earnings per share decreased by more than its revenue over the last three years, showing each sale was less profitable High net-debt-to-EBITDA ratio of 7× could force the company to raise capital at unfavorable terms if market conditions deteriorate B&G Foods is trading at $4.16 per share, or 5.9x forward P/E. Dive into our free research report to see why there are better opportunities than BGS. Share Price: $2.29 Founded as a chain of daily newspapers, E.W. Scripps (NASDAQ:SSP) is a diversified media enterprise operating a range of local television stations, national networks, and digital media platforms. Why Do We Steer Clear of SSP? Lackluster 1.2% annual revenue growth over the last two years indicates the company is losing ground to competitors Projected 8.2 percentage point decline in its free cash flow margin next year reflects the company's plans to increase its investments to defend its market position Shrinking returns on capital from an already weak position reveal that neither previous nor ongoing investments are yielding the desired results E.W. Scripps's stock price of $2.29 implies a valuation ratio of 0.8x forward EV-to-EBITDA. To fully understand why you should be careful with SSP, check out our full research report (it's free). Share Price: $9.55 Founded by famous lawyer Robert Shapiro, LegalZoom (NASDAQ:LZ) offers online legal services and documentation assistance for individuals and businesses. Why Are We Positive On LZ? Subscription Units have increased by an average of 10.5% annually, giving it the potential for margin-accretive growth if it can develop valuable complementary products and features Performance over the past three years was turbocharged by share buybacks, which enabled its earnings per share to grow faster than its revenue Free cash flow margin grew by 13.1 percentage points over the last few years, giving the company more chips to play with At $9.55 per share, LegalZoom trades at 9.6x forward EV/EBITDA. Is now the time to initiate a position? Find out in our full research report, it's free. The market surged in 2024 and reached record highs after Donald Trump's presidential victory in November, but questions about new economic policies are adding much uncertainty for 2025. While the crowd speculates what might happen next, we're homing in on the companies that can succeed regardless of the political or macroeconomic environment. Put yourself in the driver's seat and build a durable portfolio by checking out our Top 5 Strong Momentum Stocks for this week. This is a curated list of our High Quality stocks that have generated a market-beating return of 183% over the last five years (as of March 31st 2025). Stocks that made our list in 2020 include now familiar names such as Nvidia (+1,545% between March 2020 and March 2025) as well as under-the-radar businesses like the once-small-cap company Comfort Systems (+782% five-year return). Find your next big winner with StockStory today for free. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
