0821 ET - Declines in SNAP benefits as a result of eligibility tightening and cost shifts to states from President Trump's tax bill pose structural headwinds to food companies, say Jefferies analysts. Added administrative friction and stricter rules have already weighed on SNAP benefit participation. That will lead to more affordability strain, leading consumers to trade down and driving more price competition, promotion and private label substitution. "For manufacturers, this creates a slow-burn margin vs. volume trade-off," the analysts say. These dynamics could pose a low-single-digit-percent headwind for several companies most notably Campbell's Company, Conagra Brands and Flowers Foods given their high U.S. retail exposure, the analysts say.(nicholas.miller@wsj.com)

(END) Dow Jones Newswires

March 30, 2026 08:21 ET (12:21 GMT)

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