This story originally appeared on Zacks
Tyson Foods (TSN) closed at $93.76 in the last trading session, posting a move of +0.59% from the day before. The move outpaced the S&P 500’s 0.08% daily gain. Elsewhere, the Dow Jones lost 0.56%, while the big tech Nasdaq lost 0.42%.
Before today’s trading, shares of meat producers are up 8.13% over the past month. This outpaced the consumer goods sector’s gain of 4.06% and the S&P 500’s gain of 0.22% in that time.
Investors are hoping for strength from Tyson Foods as it nears its next earnings release, which is expected to be February 7, 2022. In that report, analysts expect Tyson Foods to report earnings of $1.98 per share. This represents an annual growth of 2.06%. Meanwhile, the Zacks Consensus revenue report expects net sales of $11.98 billion, up 14.56% from the same period last year.
Zacks consensus estimates call for full-year TSN earnings of $7.19 per share and revenue of $50.57 billion. These results would represent annual changes of -13.16% and +7.47%, respectively.
Investors may also notice recent changes in analyst estimates for Tyson Foods. These reviews help show the ever-changing nature of near-term business trends. As a result, we can interpret positive rating reviews as a good sign of the company’s business outlook.
Our research shows that these discretionary changes are directly correlated with near-term stock prices. To take advantage of this, we have developed Zacks Rank, a proprietary model that takes these discretionary changes into account and provides an actionable ranking system.
Ranging from #1 (strong buy) to #5 (strong sell), the Zacks Rank system has a proven and externally audited track record of outperforming, with the #1 stock returning an average of +25% annually since 1988. Over the past month, The Zacks Consensus EPS estimate remained constant. Tyson Foods ranks Zacks #3 (Hold) at the moment.
In terms of valuation, Tyson Foods is currently trading at a forward P/E of 12.96. This valuation represents a premium over the industry’s forward P/E average of 11.
It is also worth noting that TSN currently has a PEG ratio of 1.74. This common metric is similar to the widely known price-earnings (P/E) ratio, with the difference being that the PEG ratio also takes into account the company’s expected earnings growth rate. The average P/E ratio for the TSN industry was 1.74 as of yesterday’s close.
The food industry – meat products is part of the consumer goods sector. This group has a Zacks Industry Rating of 44, placing it in the top 18% of all 250+ industries.
The Zacks Industry Ranking measures the strength of our individual industry groups by measuring the average Zacks rating of the individual stocks within the groups. Our research shows that industries ranked 50% outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
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