TYSON FOODS INC-CL A (TSN)
US9024941034 - Common Stock
Taking everything into account, TSN scores 4 out of 10 in our fundamental rating. TSN was compared to 92 industry peers in the Food Products industry. TSN scores quite bad on profitability, while its financial health is fine. Not spectacular, but in line with the averages. TSN is valued correctly, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
TSN had positive earnings in the past year.
In the past year TSN had a positive cash flow from operations.
Of the past 5 years TSN 4 years were profitable.
In the past 5 years TSN always reported a positive cash flow from operatings.
1.2 Ratios
TSN's Return On Assets of -2.33% is on the low side compared to the rest of the industry. TSN is outperformed by 60.44% of its industry peers.
TSN has a Return On Equity (-4.72%) which is comparable to the rest of the industry.
With a Return On Invested Capital value of 1.69%, TSN perfoms like the industry average, outperforming 46.15% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for TSN is in line with the industry average of 7.56%.
The last Return On Invested Capital (1.69%) for TSN is well below the 3 year average (9.12%), which needs to be investigated, but indicates that TSN had better years and this may not be a problem.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -2.33% | ||
| ROE | -4.72% | ||
| ROIC | 1.69% |
ROA(3y)5.13%
ROA(5y)5.48%
ROE(3y)10.02%
ROE(5y)11.55%
ROIC(3y)9.12%
ROIC(5y)8.96%
1.3 Margins
With a Operating Margin value of 1.25%, TSN perfoms like the industry average, outperforming 43.96% of the companies in the same industry.
TSN's Operating Margin has declined in the last couple of years.
TSN's Gross Margin of 5.45% is on the low side compared to the rest of the industry. TSN is outperformed by 76.92% of its industry peers.
TSN's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 1.25% | ||
| PM (TTM) | N/A | ||
| GM | 5.45% |
OM growth 3Y-44.06%
OM growth 5Y-27.94%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-26.01%
GM growth 5Y-15.34%
2. Health
2.1 Basic Checks
TSN has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
The number of shares outstanding for TSN has been reduced compared to 1 year ago.
The number of shares outstanding for TSN has been increased compared to 5 years ago.
The debt/assets ratio for TSN is higher compared to a year ago.
2.2 Solvency
An Altman-Z score of 3.01 indicates that TSN is not in any danger for bankruptcy at the moment.
The Altman-Z score of TSN (3.01) is better than 72.53% of its industry peers.
The Debt to FCF ratio of TSN is 16.52, which is on the high side as it means it would take TSN, 16.52 years of fcf income to pay off all of its debts.
TSN has a Debt to FCF ratio (16.52) which is in line with its industry peers.
TSN has a Debt/Equity ratio of 0.46. This is a healthy value indicating a solid balance between debt and equity.
TSN has a Debt to Equity ratio (0.46) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.46 | ||
| Debt/FCF | 16.52 | ||
| Altman-Z | 3.01 |
ROIC/WACC0.23
WACC7.48%
2.3 Liquidity
TSN has a Current Ratio of 1.49. This is a normal value and indicates that TSN is financially healthy and should not expect problems in meeting its short term obligations.
TSN's Current ratio of 1.49 is in line compared to the rest of the industry. TSN outperforms 49.45% of its industry peers.
A Quick Ratio of 0.67 indicates that TSN may have some problems paying its short term obligations.
TSN's Quick ratio of 0.67 is on the low side compared to the rest of the industry. TSN is outperformed by 67.03% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.49 | ||
| Quick Ratio | 0.67 |
3. Growth
3.1 Past
The earnings per share for TSN have decreased strongly by -82.56% in the last year.
TSN shows a very negative growth in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -26.40% yearly.
TSN shows a decrease in Revenue. In the last year, the revenue decreased by -1.25%.
TSN shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 5.71% yearly.
EPS 1Y (TTM)-82.56%
EPS 3Y-38.72%
EPS 5Y-26.4%
EPS growth Q2Q-18.82%
Revenue 1Y (TTM)-1.25%
Revenue growth 3Y6.98%
Revenue growth 5Y5.71%
Revenue growth Q2Q0.44%
3.2 Future
TSN is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 51.44% yearly.
Based on estimates for the next years, TSN will show a small growth in Revenue. The Revenue will grow by 1.54% on average per year.
EPS Next Y78.9%
EPS Next 2Y64.71%
EPS Next 3Y50.15%
EPS Next 5Y51.44%
Revenue Next Year-0.5%
Revenue Next 2Y0.6%
Revenue Next 3Y1.22%
Revenue Next 5Y1.54%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 51.82 indicates a quite expensive valuation of TSN.
TSN's Price/Earnings is on the same level as the industry average.
TSN's Price/Earnings ratio indicates a rather expensive valuation when compared to the S&P500 average which is at 24.92.
TSN is valuated correctly with a Price/Forward Earnings ratio of 16.80.
73.63% of the companies in the same industry are more expensive than TSN, based on the Price/Forward Earnings ratio.
The average S&P500 Price/Forward Earnings ratio is at 21.49. TSN is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 51.82 | ||
| Fwd PE | 16.8 |
4.2 Price Multiples
TSN's Enterprise Value to EBITDA ratio is in line with the industry average.
The rest of the industry has a similar Price/Free Cash Flow ratio as TSN.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 36.87 | ||
| EV/EBITDA | 14.45 |
4.3 Compensation for Growth
TSN's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
TSN's earnings are expected to grow with 50.15% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.66
PEG (5Y)N/A
EPS Next 2Y64.71%
EPS Next 3Y50.15%
5. Dividend
5.1 Amount
TSN has a Yearly Dividend Yield of 3.33%.
TSN's Dividend Yield is rather good when compared to the industry average which is at 3.58. TSN pays more dividend than 82.42% of the companies in the same industry.
Compared to an average S&P500 Dividend Yield of 2.43, TSN pays a bit more dividend than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.33% |
5.2 History
The dividend of TSN has a limited annual growth rate of 5.22%.
TSN has paid a dividend for at least 10 years, which is a reliable track record.
TSN has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)5.22%
Div Incr Years10
Div Non Decr Years10
5.3 Sustainability
The earnings of TSN are negative and hence is the payout ratio. TSN will probably not be able to sustain this dividend level.
The dividend of TSN is growing, but earnings are growing more, so the dividend growth is sustainable.
DP-78.41%
EPS Next 2Y64.71%
EPS Next 3Y50.15%
TYSON FOODS INC-CL A
NYSE:TSN (4/26/2024, 7:20:52 PM)
After market: 60.48 -0.15 (-0.25%)60.63
-0.26 (-0.43%)
Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupFood, Beverage & Tobacco
GICS IndustryFood Products
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap21.61B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.33% |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
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EPS beat(4)
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EPS beat(8)
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EPS beat(12)
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EPS beat(16)
Avg EPS beat(16)
Revenue beat(2)
Avg Revenue beat(2)
Min Revenue beat(2)
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Revenue beat(4)
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Revenue beat(8)
Avg Revenue beat(8)
Revenue beat(12)
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Revenue beat(16)
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PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 51.82 | ||
| Fwd PE | 16.8 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)0.66
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -2.33% | ||
| ROE | -4.72% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 1.25% | ||
| PM (TTM) | N/A | ||
| GM | 5.45% | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover1.44
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.46 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 1.49 | ||
| Quick Ratio | 0.67 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
Growth
EPS 1Y (TTM)-82.56%
EPS 3Y-38.72%
EPS 5Y
EPS growth Q2Q
EPS Next Y78.9%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)-1.25%
Revenue growth 3Y6.98%
Revenue growth 5Y
Revenue growth Q2Q
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y