Why ConAgra Is Poised to Outperform in 2013

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Based on the aggregated intelligence of 180,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, food company ConAgra Foods has earned a respected four-star ranking.

With that in mind, let's take a closer look at ConAgra and see what CAPS investors are saying about the stock right now.

ConAgra facts

Headquarters (Founded)

Omaha, Neb. (1919)

Market Cap

$11.9 billion

Industry

Packaged foods

Trailing-12-Month Revenue

$13.8 billion

Management

CEO Gary Rodkin (since 2005)
CFO John Gehring (since 2009)

Return on Equity (Average, Past 3 Years)

14.5%

Cash/Debt

$476.8 million / $3.6 billion

Dividend Yield

3.4%

Competitors

H.J. Heinz
Mondelez International

Nestle


Sources: S&P Capital IQ and Motley Fool CAPS.

On CAPS, 90% of the 693 members who have rated ConAgra believe the stock will outperform the S&P 500 going forward.

Earlier today, one of those Fools, InvestorDeb, succinctly summed up the ConAgra bull case for our community:

[T]he recently announced plan to purchase private label [Ralcorp Holdings ] broadens their reach in consumer packaging. Margins will improve as a result of improved raw costs and addition of private label packaging. Volume trends are improving.

Shares of ConAgra have a 3.40% dividend yield, based on last night's closing stock price of $29.39. The stock has technical support in the $27-$28 area.

If you want market-thumping returns, you need to put together the best portfolio you can. Owning exceptional stocks is a surefire way to secure your financial future. Of course, despite a strong four-star rating, ConAgra may not be your top choice.

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The article Why ConAgra Is Poised to Outperform in 2013 originally appeared on Fool.com.

Fool contributor Brian Pacampara and The Motley Fool have no positions in the stocks mentioned above. Motley Fool newsletter services recommend H.J. Heinz Company. Try any of our Foolish newsletter services free for 30 days. We Fools don't all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.

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