Seaboard (SEB) AI Stock Analysis

• Market Cap: $4.50B
• Dividend Yield: 0.21%
• Average Volume (3M): 13.14K
• Price to Earnings (P/E): 11.4
• Beta (1Y): 0.16
• Revenue Growth: 10.31%
• EPS Growth: N/A
• Country: US
• Employees: 14,000
• Sector: Industrials
• Sector Strength: 72
• Industry: Conglomerates
• EPS (TTM): 113.70
• Shares Outstanding: 957,951
• 10 Day Avg. Volume: 15,164
• 30 Day Avg. Volume: 13,138
• PEG Ratio: -0.49
• Price to Book (P/B): 0.50
• Price to Sales (P/S): 0.26
• P/FCF Ratio: 294.92
• Enterprise Value/Market Cap: 0.95
• Enterprise Value/Revenue: 0.43
• Enterprise Value/Gross Profit: 5.91
• Enterprise Value/Ebitda: 6.28
• 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: 73 Outperform
• Price Target: $4,654.00 ▲(0.15% Upside)

Seaboard's overall stock score is driven by its strong financial performance and attractive valuation. The company's robust balance sheet and improving cash flow generation contribute positively. However, technical indicators suggest the stock is currently overbought, which could pose a short-term risk. The absence of earnings call data and corporate events means these factors do not influence the score.

Positive Factors

Strong Cash Flow Generation

Strong cash flow generation enhances financial flexibility, allowing Seaboard to invest in growth opportunities and manage debt effectively.

Robust Balance Sheet

A robust balance sheet with low leverage provides financial stability and reduces risk, supporting long-term operational resilience.

Revenue Growth Recovery

Recovery in revenue growth indicates improved market conditions and effective business strategies, supporting future earnings potential.

Negative Factors

Moderate Profit Margins

Moderate profit margins suggest limited pricing power and cost pressures, which could constrain profitability and competitive positioning.

Fluctuating Revenue Growth

Fluctuating revenue growth can lead to uncertainty in financial planning and may impact investor confidence and strategic investments.

Low Free Cash Flow to Net Income Ratio

A low free cash flow to net income ratio indicates potential constraints in cash available for expansion or debt reduction, limiting growth flexibility.

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

Seaboard demonstrates a solid financial position with improving profitability and strong cash flow generation. The company has managed to recover its revenue growth and maintain healthy margins. The balance sheet is robust with low leverage, enhancing financial stability. While cash flow metrics show improvement, careful management is required to ensure sustained growth and liquidity.

Income Statement

Seaboard's income statement shows a positive revenue growth rate of 3.39% in the TTM, recovering from a decline in previous years. The gross profit margin is moderate at 5.37%, and the net profit margin has improved to 4.05%. EBIT and EBITDA margins are healthy, indicating efficient operations. However, the company has faced fluctuations in revenue growth, which could pose a risk.

Balance Sheet

The balance sheet is strong with a low debt-to-equity ratio of 0.083, indicating low leverage and financial stability. The return on equity (ROE) is 8.27%, showing effective use of equity to generate profits. The equity ratio is robust, reflecting a solid capital structure. Overall, the balance sheet reflects financial stability and low risk.

Cash Flow

The cash flow statement shows a significant improvement in free cash flow growth at 447.62% in the TTM, indicating strong cash generation capabilities. The operating cash flow to net income ratio is 0.47, suggesting adequate cash flow from operations. However, the free cash flow to net income ratio is relatively low at 0.17, indicating potential constraints in cash available for expansion or debt reduction.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	9.82B	9.10B	9.56B	11.24B	9.23B	7.13B
Gross Profit	721.00M	576.00M	316.00M	1.03B	818.00M	574.00M
EBITDA	679.00M	464.00M	203.00M	890.00M	624.00M	399.00M
Net Income	398.00M	88.00M	226.00M	580.00M	570.00M	283.00M
Balance Sheet
Total Assets	7.96B	7.67B	7.57B	7.90B	7.50B	6.58B
Cash, Cash Equivalents and Short-Term Investments	1.24B	1.17B	1.03B	1.28B	1.49B	1.54B
Total Debt	1.91B	1.81B	1.67B	1.63B	1.75B	1.50B
Total Liabilities	2.99B	2.92B	2.93B	2.89B	3.07B	2.75B
Stockholders Equity	4.95B	4.73B	4.62B	5.00B	4.42B	3.82B
Cash Flow
Free Cash Flow	115.00M	8.00M	204.00M	202.00M	-368.00M	32.00M
Operating Cash Flow	680.00M	519.00M	710.00M	676.00M	92.00M	291.00M
Investing Cash Flow	-564.00M	-484.00M	-273.00M	-437.00M	-302.00M	-262.00M
Financing Cash Flow	-23.00M	12.00M	-581.00M	-116.00M	213.00M	-82.00M

Seaboard Technical Analysis

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

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 above the 20-day moving average (MA) of 4444.34, above the 50-day MA of 4302.18, and above the 200-day MA of 3412.26, indicating a bullish trend. The MACD of 72.38 indicates Negative momentum. The RSI at 63.74 is Neutral, neither overbought nor oversold. The STOCH value of 64.65 is Neutral, 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
SEB	73 Outperform	$4.50B	11.45	8.36%	0.21%	10.31%	―
VMI	71 Outperform	$8.43B	36.84	14.90%	0.63%	1.23%	-22.77%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
GFF	60 Neutral	$3.88B	76.64	34.20%	1.01%	-3.95%	-74.65%
MDU	57 Neutral	$4.15B	24.62	6.42%	2.76%	-57.80%	-57.40%
IEP	48 Neutral	$4.72B	-9.95	-12.71%	27.59%	-8.45%	27.66%
CODI	45 Neutral	$405.52M	-0.98	-41.05%	20.53%	-15.85%	-59.42%