Conagra Brands downgraded to Hold from Buy at Jefferies

Jefferies downgraded Conagra Brands to Hold from Buy with a price target of $38, down from $46. The company reports fiscal Q4 results on July 13 and U.S. tracked channel data for the quarter shows sales decelerated to up 4% with volumes down 6.5%, while trends worsened in June, the analyst tells investors in a research note. Despite ongoing margin expansion potential, the firm has increasing concerns about Conagra’s near-term volume growth potential that it believes could require incremental “promotional depth.”