TYSON FOODS INC-CL A (TSN) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:TSN - US9024941034 - Common Stock
58.62 USD
-0.56 (-0.95%)
58.62 USD
0 (0%)
TSN gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 87 industry peers in the Food Products industry. TSN has only an average score on both its financial health and profitability. TSN has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
TSN had positive earnings in the past year.
TSN had a positive operating cash flow in the past year.
TSN had positive earnings in 4 of the past 5 years.
Each year in the past 5 years TSN had a positive operating cash flow.
1.2 Ratios
The Return On Assets of TSN (1.29%) is comparable to the rest of the industry.
With a Return On Equity value of 2.62%, TSN perfoms like the industry average, outperforming 49.43% of the companies in the same industry.
TSN has a Return On Invested Capital of 3.46%. This is comparable to the rest of the industry: TSN outperforms 55.17% of its industry peers.
The Average Return On Invested Capital over the past 3 years for TSN is significantly below the industry average of 28.50%.
The last Return On Invested Capital (3.46%) for TSN is above the 3 year average (3.04%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.29% | ||
| ROE | 2.62% | ||
| ROIC | 3.46% |
ROA(3y)0.55%
ROA(5y)3.77%
ROE(3y)1.13%
ROE(5y)7.4%
ROIC(3y)3.04%
ROIC(5y)6.4%
1.3 Margins
TSN has a Profit Margin (0.87%) which is comparable to the rest of the industry.
In the last couple of years the Profit Margin of TSN has declined.
The Operating Margin of TSN (2.72%) is comparable to the rest of the industry.
In the last couple of years the Operating Margin of TSN has declined.
TSN's Gross Margin of 6.57% is on the low side compared to the rest of the industry. TSN is outperformed by 77.01% of its industry peers.
In the last couple of years the Gross Margin of TSN has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 2.72% | ||
| PM (TTM) | 0.87% | ||
| GM | 6.57% |
OM growth 3Y-30.99%
OM growth 5Y-20.17%
PM growth 3Y-47.67%
PM growth 5Y-28.84%
GM growth 3Y-19.14%
GM growth 5Y-13.62%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), TSN is destroying value.
The number of shares outstanding for TSN has been reduced compared to 1 year ago.
Compared to 5 years ago, TSN has less shares outstanding
Compared to 1 year ago, TSN has an improved debt to assets ratio.
2.2 Solvency
An Altman-Z score of 3.11 indicates that TSN is not in any danger for bankruptcy at the moment.
TSN's Altman-Z score of 3.11 is fine compared to the rest of the industry. TSN outperforms 67.82% of its industry peers.
The Debt to FCF ratio of TSN is 7.50, which is on the high side as it means it would take TSN, 7.50 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of TSN (7.50) is better than 68.97% of its industry peers.
TSN has a Debt/Equity ratio of 0.44. This is a healthy value indicating a solid balance between debt and equity.
TSN has a Debt to Equity ratio (0.44) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.44 | ||
| Debt/FCF | 7.5 | ||
| Altman-Z | 3.11 |
ROIC/WACC0.49
WACC7.03%
2.3 Liquidity
A Current Ratio of 1.55 indicates that TSN should not have too much problems paying its short term obligations.
TSN has a Current ratio (1.55) which is in line with its industry peers.
A Quick Ratio of 0.66 indicates that TSN may have some problems paying its short term obligations.
TSN's Quick ratio of 0.66 is on the low side compared to the rest of the industry. TSN is outperformed by 66.67% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.55 | ||
| Quick Ratio | 0.66 |
3. Growth
3.1 Past
TSN shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 32.90%, which is quite impressive.
The Earnings Per Share has been decreasing by -6.55% on average over the past years.
Looking at the last year, TSN shows a small growth in Revenue. The Revenue has grown by 2.12% in the last year.
TSN shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 4.74% yearly.
EPS 1Y (TTM)32.9%
EPS 3Y-22.14%
EPS 5Y-6.55%
EPS Q2Q%25%
Revenue 1Y (TTM)2.12%
Revenue growth 3Y0.72%
Revenue growth 5Y4.74%
Sales Q2Q%2.17%
3.2 Future
TSN is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 16.57% yearly.
Based on estimates for the next years, TSN will show a small growth in Revenue. The Revenue will grow by 1.95% on average per year.
EPS Next Y-5.31%
EPS Next 2Y2.78%
EPS Next 3Y11.09%
EPS Next 5Y16.57%
Revenue Next Year2.26%
Revenue Next 2Y1.53%
Revenue Next 3Y1.84%
Revenue Next 5Y1.95%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
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 14.23 indicates a correct valuation of TSN.
Based on the Price/Earnings ratio, TSN is valued a bit cheaper than 66.67% of the companies in the same industry.
When comparing the Price/Earnings ratio of TSN to the average of the S&P500 Index (26.51), we can say TSN is valued slightly cheaper.
With a Price/Forward Earnings ratio of 15.03, TSN is valued correctly.
Compared to the rest of the industry, the Price/Forward Earnings ratio of TSN indicates a somewhat cheap valuation: TSN is cheaper than 68.97% of the companies listed in the same industry.
When comparing the Price/Forward Earnings ratio of TSN to the average of the S&P500 Index (23.13), we can say TSN is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.23 | ||
| Fwd PE | 15.03 |
4.2 Price Multiples
TSN's Enterprise Value to EBITDA ratio is in line with the industry average.
Based on the Price/Free Cash Flow ratio, TSN is valued a bit cheaper than the industry average as 68.97% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 17.58 | ||
| EV/EBITDA | 9.95 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y2.78%
EPS Next 3Y11.09%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 3.50%, TSN has a reasonable but not impressive dividend return.
TSN's Dividend Yield is a higher than the industry average which is at 2.42.
Compared to an average S&P500 Dividend Yield of 2.00, TSN pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.5% |
5.2 History
The dividend of TSN has a limited annual growth rate of 3.64%.
TSN has been paying a dividend for at least 10 years, so it has a reliable track record.
TSN has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)3.64%
Div Incr Years13
Div Non Decr Years34
5.3 Sustainability
147.05% of the earnings are spent on dividend by TSN. This is not a sustainable payout ratio.
TSN's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP147.05%
EPS Next 2Y2.78%
EPS Next 3Y11.09%
58.62
-0.56 (-0.95%)
Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupFood, Beverage & Tobacco
GICS IndustryFood Products
Earnings (Last)
Earnings (Next)
Inst Owners89.68%
Inst Owner Change0.91%
Ins Owners1.34%
Ins Owner Change2.05%
Market Cap20.70B
Revenue(TTM)54.44B
Net Income(TTM)474.00M
Analysts70
Price Target64.92 (10.75%)
Short Float %3.45%
Short Ratio3.12
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.5% |
Yearly Dividend1.97
Dividend Growth(5Y)3.64%
DP147.05%
Div Incr Years13
Div Non Decr Years34
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)25.74%
Min EPS beat(2)14.96%
Max EPS beat(2)36.52%
EPS beat(4)4
Avg EPS beat(4)22.7%
Min EPS beat(4)10.65%
Max EPS beat(4)36.52%
EPS beat(8)8
Avg EPS beat(8)35.18%
EPS beat(12)9
Avg EPS beat(12)10.24%
EPS beat(16)11
Avg EPS beat(16)11.35%
Revenue beat(2)1
Avg Revenue beat(2)-0.18%
Min Revenue beat(2)-1.76%
Max Revenue beat(2)1.4%
Revenue beat(4)2
Avg Revenue beat(4)-0.38%
Min Revenue beat(4)-1.76%
Max Revenue beat(4)1.4%
Revenue beat(8)3
Avg Revenue beat(8)-0.45%
Revenue beat(12)3
Avg Revenue beat(12)-1.57%
Revenue beat(16)7
Avg Revenue beat(16)-0.69%
PT rev (1m)1.23%
PT rev (3m)0.11%
EPS NQ rev (1m)-1.28%
EPS NQ rev (3m)-0.12%
EPS NY rev (1m)1.66%
EPS NY rev (3m)-3.73%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)1.24%
Revenue NY rev (1m)-0.06%
Revenue NY rev (3m)0.26%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.23 | ||
| Fwd PE | 15.03 | ||
| P/S | 0.38 | ||
| P/FCF | 17.58 | ||
| P/OCF | 9.6 | ||
| P/B | 1.14 | ||
| P/tB | 6.92 | ||
| EV/EBITDA | 9.95 |
EPS(TTM)4.12
EY7.03%
EPS(NY)3.9
Fwd EY6.66%
FCF(TTM)3.33
FCFY5.69%
OCF(TTM)6.1
OCFY10.41%
SpS154.2
BVpS51.23
TBVpS8.47
PEG (NY)N/A
PEG (5Y)N/A
Graham Number68.91
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.29% | ||
| ROE | 2.62% | ||
| ROCE | 4.9% | ||
| ROIC | 3.46% | ||
| ROICexc | 3.6% | ||
| ROICexgc | 7.5% | ||
| OM | 2.72% | ||
| PM (TTM) | 0.87% | ||
| GM | 6.57% | ||
| FCFM | 2.16% |
ROA(3y)0.55%
ROA(5y)3.77%
ROE(3y)1.13%
ROE(5y)7.4%
ROIC(3y)3.04%
ROIC(5y)6.4%
ROICexc(3y)3.17%
ROICexc(5y)6.78%
ROICexgc(3y)6.6%
ROICexgc(5y)15.99%
ROCE(3y)4.32%
ROCE(5y)9.07%
ROICexgc growth 3Y-30.89%
ROICexgc growth 5Y-20.07%
ROICexc growth 3Y-29.37%
ROICexc growth 5Y-16.52%
OM growth 3Y-30.99%
OM growth 5Y-20.17%
PM growth 3Y-47.67%
PM growth 5Y-28.84%
GM growth 3Y-19.14%
GM growth 5Y-13.62%
F-Score6
Asset Turnover1.49
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.44 | ||
| Debt/FCF | 7.5 | ||
| Debt/EBITDA | 2.79 | ||
| Cap/Depr | 71.86% | ||
| Cap/Sales | 1.8% | ||
| Interest Coverage | 3.69 | ||
| Cash Conversion | 75.8% | ||
| Profit Quality | 248.31% | ||
| Current Ratio | 1.55 | ||
| Quick Ratio | 0.66 | ||
| Altman-Z | 3.11 |
F-Score6
WACC7.03%
ROIC/WACC0.49
Cap/Depr(3y)99.18%
Cap/Depr(5y)110.82%
Cap/Sales(3y)2.53%
Cap/Sales(5y)2.74%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)32.9%
EPS 3Y-22.14%
EPS 5Y-6.55%
EPS Q2Q%25%
EPS Next Y-5.31%
EPS Next 2Y2.78%
EPS Next 3Y11.09%
EPS Next 5Y16.57%
Revenue 1Y (TTM)2.12%
Revenue growth 3Y0.72%
Revenue growth 5Y4.74%
Sales Q2Q%2.17%
Revenue Next Year2.26%
Revenue Next 2Y1.53%
Revenue Next 3Y1.84%
Revenue Next 5Y1.95%
EBIT growth 1Y-13.74%
EBIT growth 3Y-30.5%
EBIT growth 5Y-16.38%
EBIT Next Year70.35%
EBIT Next 3Y25.82%
EBIT Next 5Y22.35%
FCF growth 1Y-19.27%
FCF growth 3Y13.74%
FCF growth 5Y-15.14%
OCF growth 1Y-16.8%
OCF growth 3Y-7.09%
OCF growth 5Y-11.07%
TYSON FOODS INC-CL A / TSN FAQ
What is the fundamental rating for TSN stock?
ChartMill assigns a fundamental rating of 4 / 10 to TSN.
What is the valuation status of TYSON FOODS INC-CL A (TSN) stock?
ChartMill assigns a valuation rating of 4 / 10 to TYSON FOODS INC-CL A (TSN). This can be considered as Fairly Valued.
How profitable is TYSON FOODS INC-CL A (TSN) stock?
TYSON FOODS INC-CL A (TSN) has a profitability rating of 4 / 10.
What is the valuation of TYSON FOODS INC-CL A based on its PE and PB ratios?
The Price/Earnings (PE) ratio for TYSON FOODS INC-CL A (TSN) is 14.23 and the Price/Book (PB) ratio is 1.14.
Can you provide the dividend sustainability for TSN stock?
The dividend rating of TYSON FOODS INC-CL A (TSN) is 6 / 10 and the dividend payout ratio is 147.05%.