CAG cuts its quarterly dividend 50% to $0.175 per share

Conagra Brands, Inc. (CAG) has announced a reduction in its quarterly dividend, cutting the payment by 50% from $0.3500 to $0.1750 per share. The new dividend is payable to shareholders of record as of the ex-dividend date of July 30, 2026. This marks a significant shift in the company's payout policy, breaking a streak of stable payments.

The numbers

Previously, CAG had maintained a quarterly dividend of $0.3500 per share for at least the last six payments, including those made on April 28, 2025, July 30, 2025, October 30, 2025, January 27, 2026, and April 30, 2026. The new payment of $0.1750 represents a 50% cut. At the current price of $15.03, the trailing twelve-month (TTM) yield stands at 8.15%, with TTM dividend per share of $1.2250. Despite the cut, the company's five-year dividend CAGR is 8.9%, though it has zero consecutive years of increases, indicating this is a break from its recent growth trajectory.

What it means for income investors

For income investors, the new annualized dividend rate of $0.70 per share (based on the quarterly payment) implies that a holder of 100 shares would receive $70 per year, down from $140 previously. This reduction may impact income-focused portfolios, but the stock's yield remains elevated due to the price decline. Investors should review the company's dividend history for further context.

Reporting based on: DividendSmart market data. Figures verified against market data where available.