Tyson Foods Inc

Several pork producers have agreed to a $117 million class action settlement to resolve claims they conspired to limit the supply of pork and increase prices in the market. The lawsuit alleges the pork processors inflated and stabilized the price and supply of pork through the use of Agri Stats, production restraints and the use of exports. The companies implicated include Agri Stats, Clemens, Hormel, Seaboard, Triumph, Tyson and Smithfield, among others, and the court has not ruled that the defendants did anything wrong, with the companies denying any allegations of wrongdoing. Consumers who indirectly purchased raw pork bacon or fresh or frozen pork made from bellies, loins, shoulders, ribs or pork chops from one of the companies in 23 states and the District of Columbia between June 28, 2014 and June 30, 2018 may be eligible for a cash payment, though the amount each class member will receive is unknown and will depend on factors including the number of timely and valid claim forms filed. Claims must be filed by Oct. 29, 2026.

Smithfield Foods now expects its Fresh Pork business to swing to an adjusted operating loss in the third quarter of 2026, as the USDA pork cutout has weakened further and compressed the industry's processing spread, according to a September 9 report from Reuters. The company also expects lower adjusted operating profit from its Hog Production business, and the update follows an August cut to its full-year 2026 outlook, when it lowered its adjusted operating-profit guidance to $1.23 billion-$1.38 billion from $1.33 billion-$1.48 billion and moved from low-single-digit sales growth to roughly flat sales. The weakness is concentrated in the commodity side of the business: packaged meats are performing in line with expectations, while Fresh Pork sales volume fell 2% and the average selling price declined 1.5% in the second quarter. Fresh pork sales to restaurants rose 12% in the second quarter, according to the Wall Street Journal, even as consumers bought less pork amid pressured household budgets and pork lost some preference to chicken and beef. Smithfield's second-quarter Fresh Pork cost of sales fell 2.6% on lower hog prices, but rising manufacturing, distribution, fuel and freight costs continued to absorb that benefit, and Tyson's own recent profit-outlook cut points to a broader protein-market squeeze.

Tyson Foods lowered its fiscal 2026 outlook, trimming revenue growth guidance to 1.5% to 2.0% from 2.5% to 3.5% and cutting adjusted operating income guidance to a range of $1.85 billion to $2.05 billion from $2.1 billion to $2.3 billion. Management blamed intensifying margin compression in Beef amid one of the most severe cattle shortages in U.S. history, and CEO Donnie King said the company is restructuring its Beef network around three strategically located facilities to lower costs, though those benefits aren't expected to show up until fiscal 2027. The pressure deepened after the Trump administration authorized an additional 300,000 metric tons of lean beef trimmings to enter the country without above-quota tariffs for 90 days, a move explicitly aimed at pushing ground beef prices roughly 25% below current market levels. Analysts have cut their numbers in response, with the current-quarter EPS estimate falling from $1.21 ninety days ago to $0.99 today, the current-year estimate dropping from $4.14 to $3.82, and next year's estimate slipping from $4.68 to $4.27, or 9%. Goldman Sachs kept its Buy rating but lowered its price target to $67 from $77, and the stock, valued at $18 billion with a forward PE of 14, has fallen to 52-week lows.

Zacks Equity Research named Phillips 66 as its Bull of the Day and Tyson Foods as its Bear of the Day, with Phillips 66 carrying a Zacks Rank #1 (Strong Buy) and Tyson Foods a Zacks Rank #5 (Strong Sell). Phillips 66 reported adjusted earnings of $9.41 per share against a Street estimate of $7.68, a beat of nearly 23%, with adjusted EBITDA of $5.89 billion versus $1.23 billion in the first quarter and crude capacity utilization of 96%, and its board authorized an additional $10 billion in share buybacks, roughly 11% of market cap. Over the past 60 days the current-year consensus EPS estimate for Phillips 66 jumped from $18.23 to $24.07, or 32%, while next-year estimates climbed from $18.47 to $22.12, a 19% increase. Tyson Foods cut its fiscal 2026 revenue growth guidance to 1.5% to 2.0% from 2.5% to 3.5% and trimmed adjusted operating income guidance to $1.85 billion to $2.05 billion from $2.1 billion to $2.3 billion, citing margin compression in Beef amid severe cattle shortages. The Trump administration authorized an additional 300,000 metric tons of lean beef trimmings to enter the country without above-quota tariffs for 90 days, aimed at pushing ground beef prices roughly 25% below current market levels, and Tyson's current-quarter EPS estimate fell from $1.21 ninety days ago to $0.99 today.

The Consumer Staples Select Sector SPDR Fund ended August roughly flat, slipping about 0.08% for the month, a muted headline number that obscured double-digit swings in individual names. Hormel Foods and Tyson Foods led the sector's losses after cutting sales outlooks even as they posted profit beats, while Estée Lauder, General Mills, and Bunge Global posted double-digit gains on improving results and upgraded forecasts. Hormel fell about 12% after reporting fiscal third-quarter adjusted earnings of 37 cents per share, beating estimates by 2 cents, but organic net sales fell 2% as commodity turkey and bacon and a strategic exit from certain private-label snack-nut items weighed on the top line; the company raised its adjusted EPS outlook for fiscal 2026 to $1.45-$1.51 from $1.43-$1.51, while cutting its net sales forecast to $12.1 billion-$12.2 billion from $12.2 billion-$12.5 billion. Tyson dropped about 8% after its fiscal third-quarter adjusted EPS rose 9% to 99 cents, with sales roughly flat at $13.87 billion, as its beef segment posted an operating loss of $138 million on constrained cattle supplies and higher input costs, prompting the company to widen its full-year beef loss forecast. Estée Lauder rose about 17% after reporting fiscal fourth-quarter net sales up 6% to $3.63 billion and adjusted EPS of 39 cents, and raising its fiscal 2027 adjusted operating-margin outlook to 12.7%-13.5% from 12.5%-13.0%. General Mills gained about 14% on a fiscal 2027 outlook centered on improved organic net sales growth and at least $750 million in cost savings, while Bunge rose about 13% after raising its full-year adjusted EPS outlook to $9.25-$9.75 from $9.00-$9.50.

Shares of Lamb Weston, Kraft Heinz, Darling Ingredients, The Marzetti Company, and Pilgrim's Pride fell sharply in afternoon trading after a historic U.S. cattle shortage and volatile livestock prices squeezed margins and prompted outlook cuts across the food production industry. The cattle shortage, which has pushed herd sizes to a 75-year low, has drastically elevated procurement costs for meatpackers, according to Reuters. Industry leader Tyson Foods cut its fiscal 2026 adjusted operating income outlook to a range of $2.1 billion to $2.3 billion, down $100 million from its previous forecast, and projected its full-year adjusted operating loss for the beef business will widen to between $500 million and $650 million. To mitigate these headwinds, Tyson is closing processing facilities in Joslin, Illinois, and Eagle Mountain, Utah, and pursuing a sale of its Pasco, Washington plant, following the earlier shutdown of a plant in Lexington, Nebraska. Among the impacted stocks, Lamb Weston fell 3.4%, Kraft Heinz fell 3.1%, Darling Ingredients fell 3.3%, The Marzetti Company fell 4.3%, and Pilgrim's Pride fell 2.5%.

Tyson Foods has cut its fiscal 2026 profit forecast for the second time in less than a month, citing severe cattle shortages and volatile prices. The company now expects adjusted operating income of $1.85 billion to $2.05 billion, down from $2.1 billion to $2.3 billion, and lowered revenue growth to 1.5%-2.0% from 2.5%-3.5%. The beef segment is projected to post an adjusted operating loss of $625 million to $775 million, worse than the prior estimate of $500 million to $650 million. Management is closing or selling several beef facilities and concentrating operations in Nebraska, Kansas, and Texas, expecting cost reductions by fiscal 2027. Despite strength in Chicken and Prepared Foods, the company faces a challenging foodservice environment and pork headwinds, with shares falling about 7% after the announcement.

U.S. stocks rallied broadly Thursday after Federal Reserve Governor Christopher Waller signaled he could support leaving interest rates on hold this month, easing fears of a September hike. Traders now price in roughly a 50% probability of a hike, down from about 70% earlier in the week. The S&P 500 rose 0.96% to 7,740.14, the Dow Jones Industrial Average gained 1.1% to 53,658.71, and the Nasdaq 100 climbed 1.0% to 29,439.78. Software stocks led the rally, with Snowflake soaring 21.9% after strong earnings, while crypto-linked equities surged as bitcoin jumped 4.6% to about $80,900. However, packaged food stocks were routed, with Campbell's tumbling 9.7% on weak guidance and a dividend cut, and Tyson Foods falling 6.9% after lowering its outlook.

Wall Street's major averages traded higher on Thursday after investors digested jobless claims and trade data, with the Dow up 0.8%, the S&P 500 up 0.6%, and the Nasdaq Composite up 0.9%. Bitcoin surged more than 3% to approximately $79,800 as traders scaled back bets on a Federal Reserve rate hike following higher-than-expected jobless claims and dovish comments from Fed Governor Christopher Waller, with the probability of a September hike falling to 50.4% from 63.2%. The U.S. ISM Services PMI expanded for the 26th consecutive month, rising to 55.4 in August from 54.1 in July, surpassing consensus estimates. Tyson Foods cut its annual revenue growth guidance to 1.5%–2% from 2.5%–3.5%, citing severe cattle shortages and food inflation, and now expects adjusted operating income between $1.85 billion and $2.05 billion. PayPal shares rose 0.7% on renewed takeover speculation following a Betaville alert, though it remains unclear if interest comes from the Stripe and Advent consortium or a rival bidder.

US companies announced just under 53,000 job cuts in August, the slowest August for layoffs since 2022, according to Challenger, Gray & Christmas. Consumer products firms, including Procter & Gamble and Estée Lauder, accounted for over 10,000 cuts, while food producers followed with nearly 8,000, a third from Tyson Foods due to a cattle shortage. Total layoffs this year are down 41% from 2025, or 15% excluding government jobs. AI was blamed for only 3,462 cuts, the lowest since last year, while restructuring drove over 16,000. The Labor Department's August jobs report, due Friday, is expected to show 55,000 jobs added.

Tyson Foods shares have fallen 6.3% since its fiscal third-quarter earnings report, underperforming the S&P 500. The company reported adjusted earnings of 99 cents per share, missing the Zacks Consensus Estimate of $1.03, while revenue of $13,868 million also fell short of the expected $14,139 million. Volumes declined 2.8% year over year, though average prices rose 3.4%. For fiscal 2026, Tyson narrowed its adjusted operating income guidance to $2.1-$2.3 billion, down from the prior $2.2-$2.4 billion, and now expects a beef segment operating loss of $500-$650 million, wider than the earlier $350-$500 million loss. The company maintained its chicken segment outlook of $1.9-$2.05 billion in adjusted operating income and raised its prepared foods forecast to $1.3-$1.35 billion. Tyson currently holds a Zacks Rank #4 (Sell), indicating expectations of below-average returns in the near term.

Tyson Foods has received final court approval for its landmark settlement in the long-running broiler chicken antitrust lawsuit, marking a key turning point in one of the largest U.S. antitrust cases. The settlement includes industry-wide conduct reforms that change how poultry producers handle reporting, data sharing, and compliance practices, and it covers a broad consumer class. This approval directly affects Tyson Foods' legal exposure and compliance obligations going forward, as the company must adapt its operations and oversight to meet the new standards. The court-mandated reforms could reduce the risk of future antitrust disputes, a known industry risk for large processors like Tyson Foods and Pilgrim's Pride, though they may also add near-term friction and monitoring expenses. Tyson Foods, a US-based food company with a market cap of about $19.8 billion, is a large global poultry producer, and these changes affect a significant portion of the industry's data and compliance management.

Tyson Foods announced the pricing terms of its previously announced cash tender offers for several series of outstanding notes. The company set the total consideration for each $1,000 principal amount of notes validly tendered before the early tender deadline of August 21, 2026, including a $30 early tender premium. The offers are subject to a maximum tender cap of $1,200,000,000, which was reached by the early tender deadline, so no notes tendered after that date will be accepted. The company also eliminated the 5.400% 2029 tender sub-cap and expects settlement for accepted notes on August 26, 2026.

President Trump is lifting import quotas on ground beef for 90 days, allowing 300,000 metric tons to enter the U.S. without tariffs, with a commitment that it be sold at 25% below current market prices. The president did not specify source countries, but USDA data shows most U.S. beef imports come from Canada, Australia, New Zealand, and Mexico. The move follows a record $6.89 per pound for ground beef last month and comes despite a 26.4% tariff on over-quota beef imports aimed at protecting domestic ranchers amid a 75-year low in the U.S. cattle herd. Shares of Tyson Foods are under pressure on the news, while Brazil-based JBS is trending higher.

Tyson Foods is cutting 3,200 jobs and closing three beef plants as U.S. cattle herds shrink to their lowest level since the 1950s. The company announced last week it was shuttering a plant in Joslin, Illinois, selling a beef facility in Pasco, Washington, and closing another beef production plant in Eagle Pass, Utah, while retrenching its domestic footprint around facilities in Texas, Kansas and Nebraska. Tyson cited USDA cattle data showing supply constraints are likely to persist, requiring strategic action. The Agriculture Department has set up a $500 million lifeline for smaller meatpackers, and the Justice Department launched an antitrust investigation into Tyson, JBS, Cargill and National Beef. A bipartisan bill introduced by Senator Mike Rounds and Senator Amy Klobuchar would create a voluntary program to open up to 20 million new acres for grazing.

Tyson Foods announced in early August 2026 that it will close its Joslin, Illinois, and Eagle Mountain, Utah beef facilities, pursue the sale of its Pasco, Washington plant, and concentrate beef processing around three central U.S. sites. The restructuring effectively exits roughly a third of its prior processing capacity while keeping overall cattle harvesting capacity similar, responding to herd levels at a 75-year low and persistent segment losses. The company also updated its 2026 guidance to 2.5% to 3.5% sales growth and maintained a quarterly dividend of US$0.51 per Class A share. Analysts project Tyson Foods will reach $58.1 billion in revenue and $2.5 billion in earnings by 2029, requiring 1.4% yearly revenue growth and about a $2.0 billion earnings increase from $453.0 million today.

Live cattle futures closed lower on Thursday with contracts down $1.52 to $4.35 across the board, while Tyson announced it will shut its Joslin, Illinois plant and sell its Pasco, Washington plant. The Joslin plant processes 3,000 head per day and the Pasco plant 2,000 head per day, and Tyson also said its Amarillo, Texas plant will ramp up production after cutting back kill last fall. Cash trade included some $228 to $230 sales in the North, and the Thursday Fed Cattle Exchange auction showed no sales on the 1,308 head offered with bids of $228. Feeder cattle futures saw $1.40 to $3.52 losses across most contracts, and the CME Feeder Cattle Index was back up $3.44 on August 12 to $351.93. USDA export sales data showed beef sales for 2026 at 14,426 metric tons for the week ending August 6, a three-week low, with South Korea buying 5,300 metric tons and Japan 3,000 metric tons. Wholesale boxed beef prices were mixed, with Choice boxes up $3.62 at $375.90 and Select down 57 cents at $349.24, widening the Choice/Select spread to $26.66.

Tyson Foods CEO Donnie King said the reopening of the Mexican border to cattle imports will not fully close the US beef supply gap this year. The USDA will reopen the Douglas, Arizona port of entry on August 24, followed by two New Mexico ports that together handle more than half of imports, after suspending them in November 2024 and again in mid-2025 over New World screwworm concerns. The US cattle herd is at a 75-year low, and in Tyson's fiscal third quarter beef volume fell 15.9% while prices rose 12.1%. King told investors the border reopening will not solve the entire gap, and COO Wes Morris said it could take up to a year for a positive impact to materialize, with no material effect on the current fiscal year ending in September. Tyson lowered its 2026 adjusted operating income outlook to between $2.1 billion and $2.3 billion, down from a prior range of $2.2 billion to $2.4 billion, and expects a beef segment operating loss of $500 million to $650 million.

Tyson Foods increased its projected adjusted beef operating loss for fiscal 2026 to a range of $500 million to $650 million, up from a prior forecast of $350 million to $500 million. The company also lowered its companywide adjusted operating income guidance to between $2.1 billion and $2.3 billion. Quarterly sales were roughly flat at $13.87 billion, missing the $14.07 billion Wall Street estimate, while adjusted earnings of $0.99 per share slightly beat expectations. Beef revenue fell 3.9% as volume dropped 16%, though prices rose about 12%, while the chicken segment provided support with a 1% volume increase and an adjusted operating margin of 11.2%. U.S. cattle availability remains near a 75-year low due to prolonged drought and restrictions on Mexican cattle imports, and meaningful financial benefits from a gradual resumption of those imports may not emerge before 2027.

The busiest week of Q2 earnings season coincides with a critical Jobs Week that includes JOLTS, ADP private-sector payrolls, and the non-farm payrolls report. Pre-market futures are mixed, with the Dow up 550 points, the Nasdaq down 50 points, and the S&P 500 up 24 points, while oil prices fell to $79 per barrel for WTI and $83 for Brent after the Trump administration called off attacks on Iran. Tyson Foods missed estimates by 3.9% with earnings of $0.99 per share versus $1.03 expected, while Marriott beat by 4.25% at $3.19 per share against a $3.06 estimate, and Mitsubishi UFJ posted a 32% positive surprise at $0.45 per share compared to $0.34 projected. Key reports this week include SpaceX and AMD on Tuesday, Disney and Sandisk on Wednesday, and Airbnb on Thursday, with Palantir and ON Semiconductor reporting after today's close. JOLTS is expected to show 7.5 million job openings for June, ADP private payrolls are forecast to cool to 75,000 for July from 98,000, and the non-farm payrolls report is anticipated to rebound to 85,000 new jobs with the unemployment rate ticking up to 4.3%.

Tyson Foods reported second-quarter CY2026 revenue of $13.87 billion, missing analyst estimates of $14.01 billion and coming in flat year on year. Adjusted earnings per share of $0.99 were in line with consensus. Sales volumes fell 2.8% year on year, a further deceleration from historical levels, while operating margin held steady at 2.6%. The stock traded down 1.9% to $56.86 following the release.

Oklahoma has resolved its decades-long legal battle against six poultry companies over alleged pollution of the Illinois River Watershed. The settlement covers Tyson Foods, Cargill, George's, Peterson Farms, Cal-Maine and Simmons Foods, who will collectively pay about $44m. Of that, $41.6m will go toward an environmental relief fund, $1.9m will create an independent compliance auditor, and $420,000 in penalties will be paid into the Oklahoma Department of Environmental Quality Revolving Fund. The companies also agreed to progressively cut the share of poultry litter applied within the watershed over seven years, starting with a 40% limit in the first two years, dropping to 30% in years three and four, and then to 20% from year five through seven. Additionally, they must pay for or finance half the cost of installing vegetative buffers on eligible poultry farms along Lake Tenkiller and the watershed's Scenic Rivers to filter runoff. The case was first brought in 2005 by then-attorney general Drew Edmondson, and a federal court ruled in the state's favor in January 2023.

StockStory identifies two value stocks with compelling risk-reward profiles and one facing headwinds. Pfizer, trading at $24.23 per share with a forward P/E of 8.6x, is noted for its $63.32 billion revenue base, a 19.2 percentage point adjusted operating margin improvement over two years, and an 18.1% ROIC. Piper Sandler, at $72.14 per share and 15.2x forward P/E, is highlighted for 19.6% annual revenue growth and 34.8% annual EPS growth over two years, with a 15.3% ROE. Tyson Foods, priced at $58.10 with a 13x forward P/E, is flagged as risky due to flat unit sales, a low 7.1% gross margin, and a 3.8% annual EPS decline over three years despite revenue growth.

Tyson Foods is facing an ongoing class action in Canada over alleged price fixing in the beef industry. The case centers on claims that several beef processors coordinated prices, with peers JBS and National Beef already reaching settlements worth nearly C$8 million that still require court approval. Tyson is not a party to those agreements, but the legal proceedings remain active, keeping potential financial and reputational impacts in focus. The stock last closed at $57.83, with a 10.4% gain over the past year and a 5.4% decline over five years. Investors are watching for updates on the Canadian court process, including whether Tyson moves toward settlement talks or contests the case through trial, as any findings could affect pricing flexibility and trigger tighter oversight.

President Donald Trump announced that Walmart will significantly reduce prices at the request of his administration to commemorate the 250th anniversary of the United States. The initiative includes a nearly 15% cut in the price of a pound of ground beef. Trump urged other retailers to follow Walmart's lead, calling them absolute patriots, while criticizing former President Joe Biden's handling of the economy and claiming his own policies are driving down oil, gas, egg, and prescription drug prices. The announcement comes amid concerns about a slowdown in Walmart's sales, with a research note suggesting U.S. comparable sales may have slowed and that the retailer is cutting prices to reduce inventory while using tariff refunds to offset markdown costs. Separately, the Trump administration rolled out a $500 million financial support package for smaller meatpackers struggling with escalating beef prices, excluding large processors like Tyson Foods, JBS, Cargill, and National Beef.

Skylark Meats, part of American Foods Group, will permanently close its entire Omaha, Nebraska beef processing plant at 4430 South 110th Street, resulting in 218 layoffs effective August 25, 2026. The affected workers are not unionized and lack bumping rights, though the company is encouraging them to apply at affiliated facilities. The largest job cuts are in general labor, with 72 positions eliminated, alongside roles in cutting, forklift operation, maintenance, quality assurance, and management. This closure adds to a wave of Nebraska food manufacturing layoffs, following WK Kellogg’s 451-job cut in Omaha and over 3,500 cuts by Tyson Foods in Lexington, totaling more than 4,000 lost positions since late 2025. The shutdown comes amid tight cattle supplies and rising beef prices, with USDA forecasting a 7.5% increase in beef and veal prices for 2026.

Tyson Foods reported first-quarter revenues of $13.65 billion, up 4.4% year on year and exceeding analysts' expectations by 1%, but its stock has fallen 9.7% since the results. Among the ten perishable food stocks tracked, the group overall beat revenue consensus by 2.3% while next-quarter revenue guidance came in 4.6% below estimates, and share prices are down 8.5% on average. Cal-Maine posted the best performance with revenues of $667 million, down 53% year on year but beating expectations by 3.8%, while Vital Farms was the weakest despite 15.4% revenue growth to $187.2 million, as its full-year guidance significantly missed estimates. Pilgrim's Pride revenues of $4.53 billion beat by 2.6% but missed on operating income and EBITDA, and Freshpet revenues of $297.6 million beat by 2.2% with strong earnings beats.