NYSE:TSN

Stock Analysis Report

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Market Cap

US$26.1b

Last Updated

2021/08/01 22:02 UTC

Data Sources

Company Financials +

Share Price & News

How has Tyson Foods's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: TSN is less volatile than 75% of US stocks over the past 3 months, typically moving +/- 2% a week.

Volatility Over Time: TSN's weekly volatility (2%) has been stable over the past year.


Market Performance


7 Day Return

0.2%

TSN

-1.2%

US Food

-0.4%

US Market


1 Year Return

16.3%

TSN

10.5%

US Food

35.9%

US Market

Return vs Industry: TSN exceeded the US Food industry which returned 10.4% over the past year.

Return vs Market: TSN underperformed the US Market which returned 35.9% over the past year.


Shareholder returns

TSNIndustryMarket
7 Day0.2%-1.2%-0.4%
30 Day-2.9%-3.1%-0.3%
90 Day-9.0%-4.0%3.1%
1 Year19.3%16.3%13.1%10.5%38.0%35.9%
3 Year32.6%23.7%23.2%13.2%62.9%52.7%
5 Year7.1%-3.0%13.4%-2.2%121.3%96.9%

Long-Term Price Volatility Vs. Market

How volatile is Tyson Foods's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Tyson Foods undervalued compared to its fair value and its price relative to the market?

44.1%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: TSN ($71.46) is trading below our estimate of fair value ($127.82)

Significantly Below Fair Value: TSN is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: TSN is good value based on its PE Ratio (12.2x) compared to the US Food industry average (21.3x).

PE vs Market: TSN is good value based on its PE Ratio (12.2x) compared to the US market (18.1x).


Price to Earnings Growth Ratio

PEG Ratio: TSN is poor value based on its PEG Ratio (1.4x)


Price to Book Ratio

PB vs Industry: TSN is good value based on its PB Ratio (1.6x) compared to the US Food industry average (2.2x).


Future Growth

How is Tyson Foods forecast to perform in the next 1 to 3 years based on estimates from 10 analysts?

8.7%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: TSN's forecast earnings growth (8.7% per year) is above the savings rate (2%).

Earnings vs Market: TSN's earnings (8.7% per year) are forecast to grow slower than the US market (15% per year).

High Growth Earnings: TSN's earnings are forecast to grow, but not significantly.

Revenue vs Market: TSN's revenue (2.6% per year) is forecast to grow slower than the US market (9.2% per year).

High Growth Revenue: TSN's revenue (2.6% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: TSN's Return on Equity is forecast to be low in 3 years time (14.2%).


Past Performance

How has Tyson Foods performed over the past 5 years?

2.2%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: TSN has a large one-off loss of $786.0M impacting its April 3 2021 financial results.

Growing Profit Margin: TSN's current net profit margins (4.9%) are higher than last year (4.3%).


Past Earnings Growth Analysis

Earnings Trend: TSN's earnings have grown by 2.2% per year over the past 5 years.

Accelerating Growth: TSN's earnings growth over the past year (13.3%) exceeds its 5-year average (2.2% per year).

Earnings vs Industry: TSN earnings growth over the past year (13.3%) underperformed the Food industry 25.4%.


Return on Equity

High ROE: TSN's Return on Equity (13.3%) is considered low.


Financial Health

How is Tyson Foods's financial position?


Financial Position Analysis

Short Term Liabilities: TSN's short term assets ($8.0B) exceed its short term liabilities ($4.6B).

Long Term Liabilities: TSN's short term assets ($8.0B) do not cover its long term liabilities ($13.8B).


Debt to Equity History and Analysis

Debt Level: TSN's debt to equity ratio (61.2%) is considered high.

Reducing Debt: TSN's debt to equity ratio has reduced from 64.7% to 61.2% over the past 5 years.

Debt Coverage: TSN's debt is well covered by operating cash flow (40.3%).

Interest Coverage: TSN's interest payments on its debt are well covered by EBIT (8.6x coverage).


Balance Sheet


Dividend

What is Tyson Foods's current dividend yield, its reliability and sustainability?

2.49%

Current Dividend Yield


Upcoming Dividend Payment

TodayAug 02 2021Ex Dividend DateAug 31 2021Dividend Pay DateSep 15 202115 days from Ex DividendBuy in the next 28 days to receive the upcoming dividend

Dividend Yield vs Market

Notable Dividend: TSN's dividend (2.49%) is higher than the bottom 25% of dividend payers in the US market (1.31%).

High Dividend: TSN's dividend (2.49%) is low compared to the top 25% of dividend payers in the US market (3.55%).


Stability and Growth of Payments

Stable Dividend: TSN's dividends per share have been stable in the past 10 years.

Growing Dividend: TSN's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (29.2%), TSN's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: TSN's dividends in 3 years are forecast to be well covered by earnings (29.5% payout ratio).


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

1.2yrs

Average management tenure


CEO

Donnie King (59 yo)

0.083

Tenure

US$6,258,296

Compensation

Mr. Donnie D. King is Chief Operating Officer at Tyson Foods, Inc. since February 22, 2021. He serves as President and Chief Executive Officer of Tyson Foods, Inc. since June 2, 2021. He served as Presiden...


CEO Compensation Analysis

Compensation vs Market: Insufficient data to establish whether Donnie's total compensation is reasonable compared to companies of similar size in the US market.

Compensation vs Earnings: Donnie's compensation has been consistent with company performance over the past year.


Leadership Team

Experienced Management: TSN's management team is not considered experienced ( 1.2 years average tenure), which suggests a new team.


Board Members

Experienced Board: TSN's board of directors are considered experienced (5.1 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Tyson Foods, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Tyson Foods, Inc.
  • Ticker: TSN
  • Exchange: NYSE
  • Founded: 1935
  • Industry: Packaged Foods and Meats
  • Sector: Food, Beverage & Tobacco
  • Market Cap: US$26.067b
  • Shares outstanding: 364.78m
  • Website: https://www.tysonfoods.com

Number of Employees


Location

  • Tyson Foods, Inc.
  • 2200 West Don Tyson Parkway
  • Springdale
  • Arkansas
  • 72762-6999
  • United States

Listings


Biography

Tyson Foods, Inc., together with its subsidiaries, operates as a food company worldwide. It operates through four segments: Beef, Pork, Chicken, and Prepared Foods. The company processes live fed cattle an...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/08/01 22:02
End of Day Share Price2021/07/30 00:00
Earnings2021/04/03
Annual Earnings2020/10/03


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.