Schaeffer's Top Stock Picks for '25

Tyson Foods Stock Clocks a Post-Earnings Annual High

TSN ended fiscal 2021 with another earnings beat on Monday

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Tyson Foods, Inc. (NYSE:TSN) is one of the world’s largest food production companies. TSN processes and markets chicken, beef, and pork products. Together with its subsidiaries, Tyson Foods operates major food brands, including Tyson, Jimmy Dean, Hillshire Farm, Ball Park, Wright, Aidells, ibp, and State Fair. Tyson Foods reported its fourth quarter and fiscal 2021 financial results on Monday, completing four consecutive earnings beats over the past year. TSN was last seen down 1.2% at $82.62.     

Tyson Foods stock has increased about 29% year-over-year and has tacked on 36% since hitting its November 2020, 52-week low of $60.52. Additionally, shares of TSN have grown 30% year-to-date and Tyson foods stock just recently hit a fresh 52-week high of $85.61 on Tuesday, November 16, immediately following its Q4 earnings report. Moreover, Tyson Foods offers a forward dividend of $1.78 with a dividend yield of 2.12%.

From a fundamental point of view, Tyson Foods stock still has a decent valuation despite TSN reaching a brand new high for the year just this week. Tyson Foods stock has a forward price-earnings ratio of 12.25, which is a slight improvement on its current price-earnings ratio of 13.01.

Tyson Foods also holds a relatively weak balance sheet with $1.61 billion in cash and $10.35 billion in total debt. Nonetheless, TSN offers steady returns through dividends and stock appreciation for investors with long-term outlook.

Analysts look divided on the equity, with four of the eight boasting a tepid "hold," and the remaining four carrying a "strong buy." 

For those wanting to speculate on TSN’s next move, options look like a solid choice. The security’s Schaeffer's Volatility Index (SVI) of 22% stands higher than just 18% of readings from the last 12 months, indicating options players are pricing in low volatility expectations at the moment.

 
 

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