NYSE:TSN

Stock Analysis Report

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Executive Summary

Tyson Foods, Inc., together with its subsidiaries, operates as a food company worldwide. More Details


Snowflake Analysis

Very undervalued established dividend payer.


Similar Companies

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 has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

-2.5%

TSN

-1.6%

US Food

-1.1%

US Market


1 Year Return

-29.5%

TSN

6.5%

US Food

15.0%

US Market

Return vs Industry: TSN underperformed the US Food industry which returned 6.8% over the past year.

Return vs Market: TSN underperformed the US Market which returned 15.6% over the past year.


Shareholder returns

TSNIndustryMarket
7 Day-2.5%-1.6%-1.1%
30 Day-3.5%1.8%2.9%
90 Day-6.3%-0.1%5.7%
1 Year-27.8%-29.5%9.1%6.5%17.6%15.0%
3 Year-16.3%-21.3%9.2%0.3%38.9%29.7%
5 Year39.3%27.7%16.2%0.4%78.4%58.4%

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?

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: TSN ($57.67) is trading below our estimate of fair value ($123.13)

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 (11.5x) compared to the US Food industry average (25.9x).

PE vs Market: TSN is good value based on its PE Ratio (11.5x) compared to the US market (18.9x).


Price to Earnings Growth Ratio

PEG Ratio: TSN is good value based on its PEG Ratio (0.8x)


Price to Book Ratio

PB vs Industry: TSN is good value based on its PB Ratio (1.4x) compared to the US Food industry average (2.1x).


Next Steps

Future Growth

How is Tyson Foods forecast to perform in the next 1 to 3 years based on estimates from 12 analysts?

14.4%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: TSN's forecast earnings growth (14.4% per year) is above the savings rate (2.2%).

Earnings vs Market: TSN's earnings (14.4% per year) are forecast to grow slower than the US market (22.2% per year).

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

Revenue vs Market: TSN's revenue (3.1% per year) is forecast to grow slower than the US market (10% per year).

High Growth Revenue: TSN's revenue (3.1% 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 (14.8%).


Next Steps

Past Performance

How has Tyson Foods performed over the past 5 years?

9.2%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: TSN has high quality earnings.

Growing Profit Margin: TSN's current net profit margins (4.3%) are lower than last year (5.3%).


Past Earnings Growth Analysis

Earnings Trend: TSN's earnings have grown by 9.2% per year over the past 5 years.

Accelerating Growth: TSN's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: TSN had negative earnings growth (-17%) over the past year, making it difficult to compare to the Food industry average (-6.4%).


Return on Equity

High ROE: TSN's Return on Equity (12.2%) is considered low.


Next Steps

Financial Health

How is Tyson Foods's financial position?


Financial Position Analysis

Short Term Liabilities: TSN's short term assets ($7.7B) exceed its short term liabilities ($4.3B).

Long Term Liabilities: TSN's short term assets ($7.7B) do not cover its long term liabilities ($15.3B).


Debt to Equity History and Analysis

Debt Level: TSN's debt to equity ratio (80.2%) is considered high.

Reducing Debt: TSN's debt to equity ratio has increased from 74.6% to 80.2% over the past 5 years.

Debt Coverage: TSN's debt is well covered by operating cash flow (30.6%).

Interest Coverage: TSN's interest payments on its debt are well covered by EBIT (6.8x coverage).


Balance Sheet


Next Steps

Dividend

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

2.91%

Current Dividend Yield


Upcoming Dividend Payment


Dividend Yield vs Market

Notable Dividend: TSN's dividend (2.91%) is higher than the bottom 25% of dividend payers in the US market (1.65%).

High Dividend: TSN's dividend (2.91%) is low compared to the top 25% of dividend payers in the US market (4.63%).


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 (32.7%), 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 (30.1% payout ratio).


Next Steps

Management

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

2.7yrs

Average management tenure


CEO

Samuel Banks (47 yo)

no data

Tenure

US$277,815

Compensation

Mr. Samuel Dean Banks, Jr., has been President of Tyson Foods, Inc. since December 20, 2019 and its Director since November 15, 2017. He has been the Chief Executive Officer of Tyson Foods, Inc. since Octo ...


Leadership Team

NamePositionTenureCompensationOwnership
Samuel Banks
CEO, President & Non-Independent Directorno dataUS$277.82k0.0046%
$ 974.7k
Noel White
Executive Vice Chairmanno dataUS$10.40m0.043%
$ 9.1m
Stewart Glendinning
Executive VP & CFO2.67yrsUS$3.73m0.014%
$ 2.9m
Jay Spradley
Chief Technology Officer3.33yrsUS$3.67m0.0098%
$ 2.1m
Donnie King
President of Poultryno dataUS$6.26m0.033%
$ 6.9m
Phillip Thomas
Chief Accounting Officer0.25yrno data0.0038%
$ 794.1k
Jon Kathol
VP of Investor Relations & Assistant Secretary9yrsno datano data
Amy Tu
Executive VP & General Counsel2.83yrsno data0.0089%
$ 1.9m
Noelle O'Mara
Group President of Prepared Foods & Interim Chief Marketing Officer1.42yrsno data0.0032%
$ 670.1k
Johanna Soderstrom
Executive VP & Chief Human Resources Officer0.25yrno data0.0016%
$ 334.0k
Kevin Igli
Chief Environmentalno datano datano data
Jerry Holbrook
Senior Vice President of Sales & Marketing of Tyson Fresh Meatsno datano datano data

2.7yrs

Average Tenure

52yo

Average Age

Experienced Management: TSN's management team is considered experienced (2.7 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Samuel Banks
CEO, President & Non-Independent Directorno dataUS$277.82k0.0046%
$ 974.7k
Noel White
Executive Vice Chairmanno dataUS$10.40m0.043%
$ 9.1m
Kevin McNamara
Vice Chairman of the Board & Lead Independent Director0.67yrUS$267.33k0.0091%
$ 1.9m
John Tyson
Chairman of the Board22.75yrsUS$10.32m0.97%
$ 203.1m
Leslie Baledge
Director0.67yrno data0.0071%
$ 1.5m
Barbara Tyson
Independent Director32.75yrsUS$278.11k0.056%
$ 11.7m
Jonathan Mariner
Independent Director1.42yrsUS$172.50k0.00098%
$ 205.9k
Gaurdie Banister
Independent Director8.92yrsUS$312.78k0.0081%
$ 1.7m
Jeffery Schomburger
Independent Director3.83yrsUS$269.80k0.0032%
$ 682.7k
Mikel Durham
Independent Director5.25yrsUS$298.17k0.0020%
$ 413.8k
Robert Thurber
Independent Director11.67yrsUS$292.23k0.0038%
$ 802.5k
Mike Beebe
Independent Director4.83yrsUS$269.34k0.0032%
$ 680.6k

4.8yrs

Average Tenure

63yo

Average Age

Experienced Board: TSN's board of directors are considered experienced (4.8 years average tenure).


Ownership

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


Insider Trading Volume

Insider Buying: TSN insiders have only sold shares 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$21.007b
  • Shares outstanding: 364.26m
  • Website: https://www.tysonfoods.com

Number of Employees


Location

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

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
TSNNYSE (New York Stock Exchange)YesClass A Common StockUSUSDJan 1980
TF7ADB (Deutsche Boerse AG)YesClass A Common StockDEEURJan 1980
0LHRLSE (London Stock Exchange)YesClass A Common StockGBUSDJan 1980
TSN *BMV (Bolsa Mexicana de Valores)YesClass A Common StockMXMXNJan 1980
TSNF34BOVESPA (Bolsa de Valores de Sao Paulo)BDR EACH 1 REP 1 COM CLASS'A' USD0.10BRBRLMay 2019

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 Analysis2020/10/28 00:54
End of Day Share Price2020/10/27 00:00
Earnings2020/06/27
Annual Earnings2019/09/28


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.