Tyson Foods Falls After Results, Analyst Not Surprised by Market Reaction
2022.08.08 17:06
Tyson Foods (TSN) Falls After Results, Analyst Not Surprised by Market Reaction
By Senad Karaahmetovic
Shares of Tyson Foods (NYSE:TSN) are down over 3% after the company reported weaker-than-expected FQ3 EPS figures.
TSN reported an adjusted EPS of $1.94 to miss on the $1.98 consensus. Revenue came in at $13.5 billion to beat the $13.31 billion expected. TSN also reported an operating margin of 7.7%, much lower than the analyst expectations of 8.5%.
For the full-year, Tyson Foods sees sales between $52 billion and $54 billion with the midpoint coming in higher than the estimate of $52.77 billion. Capital expenditures are now seen at $1.9 billion, lower than the prior $2 billion forecast.
“We anticipate another strong year with adjusted operating margin between 11% and 13% in fiscal 2022,” the company added.
A Goldman Sachs analyst commented:
“We see scope for shares to moderately underperform peers today, with essentially inline EPS driven by continued strength in Beef balanced by weaker-than-expected margins in the higher value-added Prepared Foods segment and lower Chicken.”
