Has the Upturn Nearly Begun for this High-Yield Dividend Stock?
Investors looking for a consumer staples company to add to a high-yield dividend portfolio would do well to consider Conagra (NYSE: CAG). The first reason some investors may notice is its attractive 4.7% dividend yield. The average consumer staples stock, using Vanguard Consumer Staples ETF as a proxy, has a yield of just 2.6%. But there's another feature to like about Conagra: improving operating results. Let's dig in.
The coronavirus pandemic left behind all sorts of dislocations in the world, and one very important lingering impact has been inflation. For a food maker like Conagra, that meant higher prices for ingredients, rising employee costs, and increasing shipping rates. It clearly wasn't alone in facing this challenge, nor was it alone in the way it addressed the headwind. Conagra increased consumer prices just like all of its peers.
Image source: Getty Images.
Source Fool.com
