NEW YORK (TheStreet) --Shares of Hormel Foods (HRL) and Campbell Soup (CPB) were climbing in early morning trading on Tuesday, after both companies reported strong earnings and revenue results before the market open.
"I think it's worth pointing out that we have had a real decline in the packaged foods, until now," TheStreet's Jim Cramer said on CNBC's "Squawk on the Street" today.
Cramer began by noting the solid number reported by Campbell's. The Camden, NJ-based American producer of canned soups, beat estimates for earnings and reported in-line revenue for the fiscal 2017 first quarter.
"I have a fondness for what Campbell's is trying to do, which is to become more natural and organic," Cramer noted.
Furthermore, he recounted an episode of his TV show "Mad Money" in which Campbell's CEO Denise Morrison contended the company was only "a quarter or two" away from righting the ship, and reassured him they would be successful.
"This was a very good quarter. That's a nice win," Cramer said.
Campbell's stock is up 8.26% year-to-date.
Another packaged food company reporting strong financial results this morning was Hormel.
"Hormel is doing well everything other than their specialties," Cramer noted.
Quarterly profit from Hormel's specialty foods is down 10% in the fiscal 2016 fourth quarter, compared to 2015 fourth quarter.
However, Cramer pointed out the success Hormel saw in its Spam, Skippy, Jennie-O-Turkey, and Muscle Milk brands.
The strong sales in both Spam and Skippy illustrate the company's 16% increase in sales from its grocery products in the quarter, when compared to 2015 fourth quarter.
Jennie-O-Turkey's dollar sales rose 29% in the quarter and Hormel's Muscle Milk brand posted double-digit sales growth when compared to the previous year's quarter.
"It's great to see a reversal in a group that had been hammered," Cramer said.