Pilgrim’s Pride Earnings: Falling Chicken Cut-Out Prices Drag Margin Down; Shares Fairly Valued

Pilgrim's Pride's fourth-quarter sales rose 3.3% over the prior year, as growth in Europe and Mexico more than offset a decline in the US that stemmed from lower commodity cut-out values. Falling prices for some cuts also hit profits, as adjusted EBITDA margin contracted 280 basis points to 9.2%.