Tyson Foods (TSN) AI Stock Analysis

• Market Cap: $19.78B
• Dividend Yield: 3.52%
• Average Volume (3M): 2.70M
• Price to Earnings (P/E): 25.2
• Beta (1Y): 0.18
• Revenue Growth: 1.99%
• EPS Growth: N/A
• Country: US
• Employees: 138,000
• Sector: Consumer Defensive
• Sector Strength: 61
• Industry: Agricultural Farm Products
• EPS (TTM): 0.91
• Shares Outstanding: 285,760,380
• 10 Day Avg. Volume: 2,533,394
• 30 Day Avg. Volume: 2,702,087
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• Enterprise Value/Market Cap: 1.36
• Enterprise Value/Revenue: 0.66
• Enterprise Value/Gross Profit: 9.47
• Enterprise Value/Ebitda: 12.96
• 1Y Price Target: $62.29
• Price Target Upside: 9.34% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 7

• Rating: 69 Neutral
• Price Target: $62.00 ▲(8.83% Upside)

Tyson Foods' strong financial performance and strategic initiatives are offset by valuation concerns and technical indicators suggesting caution. The company's robust earnings call and corporate events provide a positive outlook, but challenges in certain segments and economic uncertainties temper the overall score.

Positive Factors

Earnings

Tyson Foods' earnings per share exceeded consensus expectations due to stronger profits in Pork, International, and non-operating Other Income.

Market Dynamics

Improving spot margins and supply/demand dynamics suggest potential for Tyson Foods to exceed the high end of its outlook for the Chicken segment.

Operational Strategy

TSN announced plans to sell multiple cold storage warehouses to reduce network complexity and streamline inventory flow, expecting the initiative to generate ~$200mm of annual savings.

Negative Factors

Beef Segment Challenges

TSN took a $343mm impairment on its Beef business as a result of elongated cycle recovery.

Cost Pressures

Input costs have been on the rise, and there are also planned investments, which could impact profitability.

Profitability Concerns

TSN’s messaging on profit in 2H seemed to suggest weaker results for all five reporting segments in 2H25 than in 1H25.

Tyson Foods Business Overview & Revenue Model

Company Description

Tyson Foods, Inc. is one of the world's largest food companies and a recognized leader in protein production. Headquartered in Springdale, Arkansas, the company operates in several sectors including beef, pork, chicken, and prepared foods. Tyson's core products include fresh and frozen meats, deli meats, and a variety of fully cooked and ready-to-eat meals, catering to both retail and foodservice customers. The company is committed to sustainability and innovation, continually expanding its product offerings to meet changing consumer preferences.

How the Company Makes Money

Tyson Foods generates revenue primarily through the sale of its protein-based products across various segments. The company operates in three main segments: Beef, Pork, and Chicken, each contributing significantly to its earnings. Tyson sells fresh, frozen, and prepared meats to grocery stores, restaurants, and foodservice operators. In addition to its core meat products, Tyson also has a growing portfolio of prepared foods, which includes items such as frozen meals and snacks. The company's revenue model relies heavily on volume sales, pricing strategies, and operational efficiencies. Key partnerships with retailers and foodservice distributors enhance Tyson's market reach and sales capabilities. Factors contributing to its earnings include supply chain management, cost control, and the ability to adapt to market trends such as the increasing demand for plant-based and sustainable protein options.

Tyson Foods Financial Statement Overview

Summary

Tyson Foods shows solid revenue growth and improved profitability metrics, with stable financial management and robust cash flows. However, profit margins remain relatively low, indicating room for improvement.

Income Statement

Tyson Foods has demonstrated a solid revenue growth trajectory with a 1.27% increase in revenue from 2024 to 2025 TTM, indicating strong demand for its products. The Gross Profit Margin remained stable at around 6.8%, while the Net Profit Margin improved to 1.7%, reflecting better cost management and efficiency compared to previous years. EBIT Margin rose to 2.9%, and EBITDA Margin was robust at 5.1%, showing improved operational performance. However, the profit margins are relatively low, suggesting room for improvement in profitability.

Balance Sheet

The company maintains a stable financial position with a Debt-to-Equity Ratio of approximately 0.49, indicative of balanced leverage. The Return on Equity (ROE) has increased to 4.97% in the TTM period, signaling improved profitability for shareholders. The Equity Ratio stands at 50.7%, showing a healthy degree of asset financing through equity. While the balance sheet is solid, the moderate leverage and fluctuating equity levels could pose risks during adverse market conditions.

Cash Flow

Tyson Foods achieved a positive Free Cash Flow Growth Rate of -11.95% from 2024 to 2025 TTM, highlighting efficient capital expenditure management. The Operating Cash Flow to Net Income Ratio is 2.47, indicating strong cash flow generation relative to net income. The Free Cash Flow to Net Income Ratio is 1.40, suggesting effective conversion of earnings into cash. Despite a slight decrease in free cash flow, cash flow metrics reflect a sound cash generation capability, though reliance on cash flow management remains crucial.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	40.58B	53.31B	52.88B	53.28B	47.05B	43.19B
Gross Profit	2.84B	3.63B	2.63B	6.67B	6.53B	5.38B
EBITDA	2.07B	2.97B	1.02B	5.72B	5.68B	4.34B
Net Income	427.00M	800.00M	-648.00M	3.24B	3.05B	2.06B
Balance Sheet
Total Assets	36.46B	37.10B	36.25B	36.82B	36.31B	34.46B
Cash, Cash Equivalents and Short-Term Investments	1.55B	1.72B	573.00M	1.03B	2.51B	1.42B
Total Debt	9.06B	9.79B	9.51B	8.32B	9.35B	11.34B
Total Liabilities	18.00B	18.59B	18.00B	17.01B	18.45B	19.07B
Stockholders Equity	18.34B	18.39B	18.13B	19.70B	17.72B	15.25B
Cash Flow
Free Cash Flow	929.00M	1.46B	-187.00M	800.00M	2.63B	2.67B
Operating Cash Flow	1.62B	2.59B	1.75B	2.69B	3.84B	3.87B
Investing Cash Flow	-405.00M	-888.00M	-2.30B	-1.94B	58.00M	-1.42B
Financing Cash Flow	-1.38B	-581.00M	88.00M	-2.32B	-2.73B	-1.47B

Tyson Foods Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 56.97
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSN, the sentiment is Positive. The current price of 56.97 is above the 20-day moving average (MA) of 55.35, above the 50-day MA of 55.09, and below the 200-day MA of 57.56, indicating a neutral trend. The MACD of 0.62 indicates Negative momentum. The RSI at 58.50 is Neutral, neither overbought nor oversold. The STOCH value of 50.57 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for TSN.

Tyson Foods Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
CALM	84 Outperform	$5.34B	4.41	55.96%	7.28%	83.19%	339.22%
ADM	77 Outperform	$28.81B	26.39	4.93%	3.34%	-6.70%	-54.38%
BG	77 Outperform	$15.98B	7.98	13.20%	3.35%	-8.87%	13.21%
FDP	76 Outperform	$1.76B	11.72	7.49%	3.19%	1.41%	―
SFD	71 Outperform	$9.89B	―		2.93%	―	―
TSN	69 Neutral	$19.78B	25.20	4.31%	3.52%	1.99%	―
Sector *	63 Neutral	$20.95B	14.50	-4.08%	3.12%	2.72%	-11.24%

Tyson Foods Corporate Events

Tyson Foods Appoints New Independent Director to Board

On August 7, 2025, Tyson Foods announced the appointment of Sarah Bond, a Microsoft executive, as a new independent director on its board, increasing the number of directors to 16. Bond’s extensive experience in consumer technology and leadership roles at Microsoft, T-Mobile, and McKinsey & Company is expected to contribute to Tyson’s long-term growth strategy. Additionally, the board approved an increase of 43 million shares authorized for repurchase, reflecting confidence in the company’s financial position and commitment to enhancing shareholder value.