Seaboard (SEB) AI Stock Analysis

• Market Cap: $4.78B
• Dividend Yield: 0.21%
• Average Volume (3M): 19.41K
• Price to Earnings (P/E): 9.7
• Beta (1Y): 0.13
• Revenue Growth: 10.31%
• EPS Growth: N/A
• Country: US
• Employees: 14,000
• Sector: Industrials
• Sector Strength: 72
• Industry: Conglomerates
• EPS (TTM): 264.15
• Shares Outstanding: 957,794
• 10 Day Avg. Volume: 20,772
• 30 Day Avg. Volume: 19,406
• PEG Ratio: 0.02
• Price to Book (P/B): 0.82
• Price to Sales (P/S): 0.44
• P/FCF Ratio: 714.22
• Enterprise Value/Market Cap: 1.35
• Enterprise Value/Revenue: 0.66
• Enterprise Value/Gross Profit: 9.52
• Enterprise Value/Ebitda: 10.62
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 72 Outperform
• Price Target: $5,456.00 ▲(17.40% Upside)
• Action: Upgraded Date: 02/18/26
• Date: Action: Upgraded 02/18/26

The score is driven primarily by valuation support (high dividend yield and moderate P/E) and a constructive technical trend (above key moving averages with positive MACD). Offsetting these positives is mixed financial performance—especially weak free cash flow conversion despite improved 2025 profitability.

Positive Factors

Conservative balance sheet

Very low leverage and a large equity base materially reduce solvency and refinancing risk. This balance-sheet strength gives Seaboard durable capacity to absorb commodity-cycle shocks, fund reinvestment or opportunistic M&A, and support dividends or buybacks without heavy external financing.

Diversified, integrated business model

Seaboard’s vertical integration across protein production, grain milling, logistics and global trading spreads revenue streams and captures value along the supply chain. That structural diversification reduces single-market dependency and supports more resilient cash flows across commodity cycles.

Improved profitability and ROE

The rebound in net margin and stronger ROE in 2025 indicate recovering earnings power and better capital efficiency. If sustained, higher profitability should strengthen retained earnings, improve internal funding capacity and enhance the company’s ability to invest or sustain shareholder returns over the medium term.

Negative Factors

Weak free cash flow conversion

Near‑zero free cash flow and an extremely low FCF-to-net-income ratio highlight weak cash quality of earnings. Poor cash conversion limits the firm’s ability to fund capex, service unexpected needs, sustain dividends or buybacks from operations, and increases reliance on external funding in stress scenarios.

Volatile revenues and uneven margins

Material top-line volatility and prior operating losses point to cyclical exposure and inconsistent demand. This makes forward revenue and margin forecasting difficult, increasing the likelihood of earnings variability and constraining management’s ability to execute long-term strategic plans with predictable cash flow.

Declining EBITDA margins and inconsistent operations

A structural trend of lower EBITDA margins and episodic operating losses reduces funds available for reinvestment and weakens competitive flexibility. Persistent margin pressure would impair ability to absorb cost inflation, invest in efficiency, or sustain durable returns to shareholders over multiple cycles.

Seaboard Business Overview & Revenue Model

Company Description

Seaboard Corporation operates as an agribusiness and transportation company worldwide. It operates through six segments: Pork, Commodity Trading and Milling (CT&M), Marine, Sugar and Alcohol, Power, and Turkey. The Pork segment produces and sells fresh and frozen pork products to further processors, foodservice operators, grocery stores, and distributors; hogs; and biodiesel. The CT&M segment sources, transports, and markets wheat, corn, soybeans, soybean meal, and other commodities; and produces wheat flour, maize meal, manufactured feed, and oilseed crush commodities. The Marine segment provides cargo shipping services in the United States, as well as in 26 countries in the Caribbean, and Central and South America; dry, refrigerated, and specialized containers, as well as other related equipment; and operates a terminal and an off-port warehouse for cargo consolidation and temporary storage. As of December 31, 2021, this segment operated through a fleet of 20 chartered and 4 owned vessels. The Sugar and Alcohol segment produces and sells sugar and alcohol; and generates and sells energy through its 51-megawatt cogeneration power plant that is fueled by sugarcane by-products, natural gas, and other biomass. The Power segment operates as an independent power producer that generates electricity for the power grid in the Dominican Republic. The Turkey segment produces and processes organic turkey products to retail stores, foodservice outlets, and industrial entities, as well as exports products to Mexico and internationally. The company also processes and sells jalapeño peppers. Seaboard Corporation was founded in 1918 and is headquartered in Merriam, Kansas.

How the Company Makes Money

Seaboard generates revenue through multiple streams, primarily from its operations in food production, which includes the sale of pork and turkey products. The company also earns money from its grain milling operations by processing grains into flour and other products. Additionally, Seaboard's logistics segment contributes to its earnings through freight services, transportation of goods, and shipping operations. Key partnerships with suppliers and customers in the agribusiness sector, along with its extensive distribution network, enhance its market reach and revenue potential. The company's trading operations further diversify its income, as it engages in the buying and selling of agricultural commodities.

Seaboard Financial Statement Overview

Summary

Strong, conservative balance sheet (low leverage and sizable equity base) supports resilience, but operating performance is uneven with volatile revenue and inconsistent margins. Cash flow quality is the key weakness: free cash flow is near breakeven and far below prior years, with very low FCF-to-net-income in 2025.

Income Statement

Revenue has been volatile, with a sharp decline in 2025 (annual) following multiple years of contraction after the 2022 peak. Profitability is also uneven: net margin rebounded strongly in 2025 (~5.1%) versus a weak 2024 (~1.0%), but operating profitability has been inconsistent (including an operating loss in 2023). EBITDA margin has generally trended lower versus 2021–2022 levels, pointing to a less durable earnings profile despite the latest year’s net income strength.

Balance Sheet

The balance sheet looks conservatively positioned. Leverage is low in the latest year (debt-to-equity ~0.07 in 2025 versus ~0.33–0.40 historically), supported by a sizable equity base (~$5.2B) against ~$8.2B in assets. Returns on equity improved materially in 2025 (~9.5%) from 2024 (~1.9%), but still trail the stronger 2021–2022 levels, suggesting the capital base is solid while earnings power is somewhat cyclical.

Cash Flow

Cash generation is a mixed picture. Operating cash flow has been positive and relatively steady in recent years, but free cash flow has deteriorated sharply—near breakeven in 2024–2025 (~$8M and ~$6M) and meaningfully below 2022–2023 (~$202–$204M), indicating heavier reinvestment, working-capital swings, or weaker cash conversion. Free cash flow as a share of net income is extremely low in 2025 (~1.1%), raising questions about the sustainability/quality of the latest earnings despite improved profitability.

Breakdown	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	9.75B	9.10B	9.56B	11.24B	9.23B
Gross Profit	677.00M	576.00M	316.00M	1.03B	818.00M
EBITDA	607.00M	464.00M	203.00M	890.00M	624.00M
Net Income	496.00M	88.00M	226.00M	580.00M	570.00M
Balance Sheet
Total Assets	8.25B	7.67B	7.57B	7.90B	7.50B
Cash, Cash Equivalents and Short-Term Investments	1.23B	1.17B	1.03B	1.28B	1.49B
Total Debt	1.82B	1.81B	1.67B	1.63B	1.75B
Total Liabilities	3.01B	2.92B	2.93B	2.89B	3.07B
Stockholders Equity	5.21B	4.73B	4.62B	5.00B	4.42B
Cash Flow
Free Cash Flow	6.00M	8.00M	204.00M	202.00M	-368.00M
Operating Cash Flow	568.00M	519.00M	710.00M	676.00M	92.00M
Investing Cash Flow	-543.00M	-484.00M	-273.00M	-437.00M	-302.00M
Financing Cash Flow	44.00M	12.00M	-581.00M	-116.00M	213.00M

Seaboard Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 4647.19
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SEB, the sentiment is Positive. The current price of 4647.19 is below the 20-day moving average (MA) of 5184.48, below the 50-day MA of 4801.46, and above the 200-day MA of 3760.85, indicating a neutral trend. The MACD of 37.16 indicates Positive momentum. The RSI at 49.54 is Neutral, neither overbought nor oversold. The STOCH value of 19.44 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for SEB.

Seaboard Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
VMI	75 Outperform	$9.12B	27.58	21.09%	0.63%	1.23%	-22.77%
SEB	72 Outperform	$4.78B	9.70	9.98%	0.21%	10.31%	―
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
GFF	62 Neutral	$4.07B	95.62	26.52%	1.01%	-3.95%	-74.65%
MDU	57 Neutral	$4.15B	21.89	7.01%	2.76%	-57.80%	-57.40%
IEP	52 Neutral	$4.64B	-10.09	-12.71%	27.59%	-8.45%	27.66%
CODI	45 Neutral	$609.41M	-1.49	-41.05%	20.53%	-15.85%	-59.42%