Tyson Foods (TSN) Outperforms Broader Market: What You Need to Know
Tyson Foods (TSN) closed the latest trading day at $60.42, indicating a +0.47% change from the previous session's end. The stock's change was more than the S&P 500's daily gain of 0.28%. Meanwhile, the Dow experienced a rise of 0.15%, and the technology-dominated Nasdaq saw an increase of 0.15%.
Coming into today, shares of the meat producer had lost 5.23% in the past month. In that same time, the Consumer Staples sector gained 1.83%, while the S&P 500 gained 2%.
Market participants will be closely following the financial results of Tyson Foods in its upcoming release. The company's earnings per share (EPS) are projected to be $0.64, reflecting a 72.97% increase from the same quarter last year. Meanwhile, our latest consensus estimate is calling for revenue of $13.33 billion, down 0.17% from the prior-year quarter.
For the full year, the Zacks Consensus Estimates project earnings of $2.82 per share and a revenue of $53.07 billion, demonstrating changes of +110.45% and +0.36%, respectively, from the preceding year.
Furthermore, it would be beneficial for investors to monitor any recent shifts in analyst projections for Tyson Foods. These revisions help to show the ever-changing nature of near-term business trends. Therefore, positive revisions in estimates convey analysts' confidence in the company's business performance and profit potential.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the past month, there's been no change in the Zacks Consensus EPS estimate. Tyson Foods is holding a Zacks Rank of #3 (Hold) right now.
Digging into valuation, Tyson Foods currently has a Forward P/E ratio of 21.33. Its industry sports an average Forward P/E of 20.13, so one might conclude that Tyson Foods is trading at a premium comparatively.
It's also important to note that TSN currently trades at a PEG ratio of 0.42. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. The Food - Meat Products was holding an average PEG ratio of 0.42 at yesterday's closing price.
The Food - Meat Products industry is part of the Consumer Staples sector. With its current Zacks Industry Rank of 41, this industry ranks in the top 17% of all industries, numbering over 250.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Ensure to harness Zacks.com to stay updated with all these stock-shifting metrics, among others, in the next trading sessions.
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Tyson Foods, Inc. (TSN) : Free Stock Analysis Report