When a company reports a disappointing quarter, don't you wish management would just come out and admit it?

Well that's exactly what Campbell Soup Company (CPB - Get Report) did on Friday morning, despite the company beating on earnings per share and revenue expectations.

While on CNBC's "Stop Trading" segment, TheStreet's Jim Cramer pointed out the candid response by President and CEO Denise Morrison in the company's press release, saying, "This was a disappointing quarter, driven by continued challenges in U.S. soup and Campbell Fresh."

Initially shares rallied 3% in premarket trading on the results. But upon further inspection, shares reversed lower and ended lower by 3.27% on Friday, closing at $46.17. Campbell Soup stock's 52-week low rests at $43.50.

Soup sales tumbled 7% as the company has an ongoing issue with Walmart, Cramer noted.

He also pointed out that the company's Bolthouse segment, which makes a high-end and "fabulous" juice product, also under-performed.

Bolthouse was part of Campbell's M&A strategy, which also included the recent purchase of Lance-Snyder (LNCE) for $4.87 billion in December. This deal has to work out for Campbell, Cramer stressed, because of how much the deal cost.

Keep in mind Campbell Soup only has a market cap of $14.3 billion.

Soup is not working and its natural offerings aren't working either. Although its snack division is doing well, acknowledged Cramer, who also manages the Action Alerts PLUS charitable trust portfolio.

However, the company is "behind the eight ball" and management needs to resolve its issue with Walmart, he concluded.

At the time of publication, Cramer's Action Alerts PLUS had no position in any security mentioned.