Tyson Foods (TSN) AI Stock Analysis

• Market Cap: $19.17B
• Dividend Yield: 3.65%
• Average Volume (3M): 3.34M
• Price to Earnings (P/E): 20.9
• Beta (1Y): 0.14
• Revenue Growth: 1.39%
• EPS Growth: N/A
• Country: US
• Employees: 138,000
• Sector: Consumer Defensive
• Sector Strength: 64
• Industry: Agricultural Farm Products
• EPS (TTM): 0.92
• Shares Outstanding: 286,225,370
• 10 Day Avg. Volume: 2,462,426
• 30 Day Avg. Volume: 3,335,706
• PEG Ratio: 1.01
• Price to Book (P/B): 1.18
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 29.09
• Enterprise Value/Market Cap: 1.59
• Enterprise Value/Revenue: 0.14
• Enterprise Value/Gross Profit: 8.41
• Enterprise Value/Ebitda: 2.79
• 1Y Price Target: $64.00
• Price Target Upside: 16.58% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 8

• Rating: 67 Neutral
• Price Target: $61.00 ▲(11.11%Upside)

Tyson Foods' overall stock score of 67 reflects strong financial performance and a positive earnings outlook, supported by strategic corporate events. However, bearish technical indicators and a relatively high P/E ratio moderate the score. While the company is well-positioned, caution is warranted due to current stock price trends and profitability metrics that require further improvement.

Positive Factors

Earnings Performance

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

Market Demand

Demand should remain healthy for chicken, as people are substituting chicken for other proteins due to elevated prices for other proteins like eggs.

Operational Strategy

Tyson Foods announced plans to sell multiple cold storage warehouses to streamline operations and generate approximately $200 million in annual savings.

Negative Factors

Beef Segment Challenges

Beef continues to be a drag on performance, impacting the overall stock sentiment negatively.

Chicken Segment Outlook

The implied outlook for the second half of the year suggests lower margins for the Chicken segment, feeding the narrative that 'peak chicken' has been reached.

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., 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 and live market hogs; fabricates dressed beef and pork carcasses into primal and sub-primal meat cuts, as well as case ready beef and pork, and fully cooked meats; raises and processes chickens into fresh, frozen, and value-added chicken products; and supplies poultry breeding stock; sells specialty products, such as hides and meats. It also manufactures and markets frozen and refrigerated food products, including ready-to-eat sandwiches, flame-grilled hamburgers, Philly steaks, pepperoni, bacon, breakfast sausage, turkey, lunchmeat, hot dogs, flour and corn tortilla products, appetizers, snacks, prepared meals, ethnic foods, side dishes, meat dishes, breadsticks, and processed meats under the Jimmy Dean, Hillshire Farm, Ball Park, Wright, State Fair, Aidells, and Gallo Salame brands. The company also offers its products under Tyson and ibp brands. It sells its products through its sales staff to grocery retailers, grocery wholesalers, meat distributors, warehouse club stores, military commissaries, industrial food processing companies, chain restaurants or their distributors, live markets, international export companies, and domestic distributors who serve restaurants and food service operations, such as plant and school cafeterias, convenience stores, hospitals, and other vendors, as well as through independent brokers and trading companies. The company was founded in 1935 and is headquartered in Springdale, Arkansas.

How the Company Makes Money

Tyson Foods makes money primarily through the sale of its protein products, which include fresh, frozen, and value-added chicken, beef, and pork. The company generates revenue by supplying these products to a wide range of customers, including retail grocery stores, foodservice distributors, restaurants, and other food manufacturing companies. Key revenue streams include the sale of branded and unbranded products, with significant contributions from its Tyson, Jimmy Dean, Hillshire Farm, and Ball Park brands. Additionally, the company's prepared foods segment, which offers convenience foods such as ready-to-eat meals, contributes to its revenue. Tyson Foods also benefits from strategic partnerships and acquisitions that expand its market reach and product offerings, as well as from its focus on operational efficiency and cost management to enhance profitability.

Tyson Foods Financial Statement Overview

Summary

Tyson Foods displays a strong financial position with continued revenue growth and improving profitability metrics. The balance sheet reflects prudent financial management with moderate leverage. Cash flows are robust, underscoring efficient operations and capital management. While profitability margins are improving, they remain relatively low, indicating potential areas for further enhancement.

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	Sep 2024	Sep 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
53.62B	53.31B	52.88B	53.28B	47.05B	43.19B
	Gross Profit
3.63B	3.63B	2.63B	6.67B	6.53B	5.38B
	EBIT
1.55B	1.41B	-395.00M	4.41B	4.40B	3.01B
	EBITDA
2.72B	2.97B	1.02B	5.72B	5.68B	4.34B
	Net Income Common Stockholders
914.00M	800.00M	-648.00M	3.24B	3.05B	2.06B
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
497.00M	1.72B	573.00M	1.03B	2.51B	1.42B
	Total Assets
33.81B	37.10B	36.25B	36.82B	36.31B	34.46B
	Total Debt
11.72B	9.79B	9.51B	8.32B	9.35B	11.34B
	Net Debt
11.22B	8.07B	8.93B	7.29B	6.84B	9.92B
	Total Liabilities
19.25B	18.59B	18.00B	17.01B	18.45B	19.07B
	Stockholders Equity
14.42B	18.39B	18.13B	19.70B	17.72B	15.25B
Cash Flow		Free Cash Flow
1.28B	1.46B	-187.00M	800.00M	2.63B	2.67B
	Operating Cash Flow
2.26B	2.59B	1.75B	2.69B	3.84B	3.87B
	Investing Cash Flow
-681.00M	-888.00M	-2.30B	-1.94B	58.00M	-1.42B
	Financing Cash Flow
-2.76B	-581.00M	88.00M	-2.32B	-2.73B	-1.47B

Tyson Foods Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 54.90
• 50DMA: Negative
• 100DMA: Negative
• 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 Negative. The current price of 54.9 is below the 20-day moving average (MA) of 55.47, below the 50-day MA of 57.20, and below the 200-day MA of 58.50, indicating a bearish trend. The MACD of -0.50 indicates Negative momentum. The RSI at 41.62 is Neutral, neither overbought nor oversold. The STOCH value of 35.05 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative 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	4.95	48.27%	14.34%	60.00%	259.01%
SFD	72 Outperform	$9.39B	―		12.74%	―	―
FDP	69 Neutral	$1.56B	10.62	7.51%	3.66%	-0.64%	―
TSN	67 Neutral	$19.17B	20.91	5.01%	3.65%	1.39%	―
ADM	66 Neutral	$26.02B	19.31	6.03%	3.92%	-8.59%	-50.72%
Sector *	65 Neutral	$8.81B	15.01	4.71%	3.72%	3.60%	-2.89%
BG	64 Neutral	$11.60B	10.93	10.36%	3.44%	-10.90%	-36.54%

Tyson Foods Corporate Events

Tyson Foods Expands Board with Fourth Generation Leadership

On May 8, 2025, Tyson Foods announced the appointment of Olivia Tyson and John R. Tyson to its Board of Directors, expanding the board from thirteen to fifteen members. Olivia, who has been leading the Tyson Family Foundation, will serve on the Compensation and Leadership Development and Technology Committees, while John R., with extensive executive experience at Tyson Foods, will join the Strategy and Acquisitions and Technology Committees. This appointment marks the continuation of family leadership into the fourth generation, reinforcing the company’s commitment to its foundational values and long-term strategic vision.

Tyson Foods Secures $2.5 Billion Credit Agreement

On April 15, 2025, Tyson Foods, Inc. entered into a new Revolving Credit Agreement, replacing its previous agreement from 2021. The new agreement provides for $2.5 billion in aggregate commitments, with options for extensions and additional commitments. This financial move is expected to strengthen Tyson Foods’ liquidity and operational flexibility, potentially impacting its market positioning positively.