Tyson Foods Inc Class A

TSN: XNYS (USA)
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Tyson Earnings: Share Price Drops Despite Decent Quarter Toward Profit Recovery; Shares Undervalued

We expect to make a low-single-digit percentage cut to our $83 fair value estimate for no-moat Tyson after our review of its March-ended fiscal 2024 second quarter. For the most part, results continued to signal a cyclical recovery in chicken and pork. However, the recovery in beef will take a little longer than we expected as heifer retention has yet to improve. Still, we don’t see any changes to the long-term fundamental supply and dynamics and see these challenges as cyclical.

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