Tyson Foods Stock Trading Around Fair Value, Analyst Upgrades Stock To Neutral

Piper Sandler analyst Michael Lavery upgraded the shares of Tyson Foods Inc (NYSE:TSN) from Underweight to Neutral and maintained the price forecast of $58.

TSN reported a 9.1% Chicken EBIT margin in the first quarter, surpassing the analyst’s 6.5% forecast, marking its best quarter since the second quarter of FY2018.

The company achieved a Chicken order fill rate of over 98%, thanks to improvements in scheduling and execution that better aligned production with demand.

Tyson Foods also reduced waste in its plants. Both retail and food service segments are expanding, with strong performance in its value-added portfolio. Additionally, it reintroduced fully cooked products in retail during the first quarter.

The analyst forecasts a 7.4% Chicken EBIT margin for F25, though feed cost benefits are expected to diminish in ...

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