Please try another search
Tyson Foods (NYSE:TSN), Inc. TSN is likely to register top- and bottom-line growth when it reports third-quarter fiscal 2021 results on Aug 9, before the opening bell. The Zacks Consensus Estimate for revenues is pegged at $11,199 million, which suggests a rise of 11.7% from the figure reported in the prior-year quarter.
The Zacks Consensus Estimate for the bottom line has gone up 12% in a week and is currently pegged at $1.77 per share. The estimate suggests growth of 26.4% from the year-ago quarter’s reported figure. Notably, this meat product giant’s bottom line has outpaced the Zacks Consensus Estimate by 20.7% in the last reported quarter. It has a trailing four-quarter earnings surprise of 39.1%, on average.
Tyson Foods’ top line is likely to have gained from growth in its retail business during the third quarter. The company’s retail business has been benefitting from favorable demand conditions as at-home consumption continues to prevail amid the pandemic. In the last earnings call, management highlighted that the company expects elevated demand in retail with volumes continuing to surpass pre-pandemic levels in Prepared Foods. The company has been ramping up production capacity to meet elevated demand conditions.
The company’s third-quarter performance is likely to have gained from sequential improvement in foodservice business. The foodservice channel is benefitting from rise in outdoor dining practices, thanks to easing of pandemic restrictions and mass vaccinations.
Tyson Foods’ e-commerce channel is seeing solid growth as more consumers are buying online amid the pandemic. Continuation of this trend is likely to have aided top-line growth in the to-be-reported quarter. The company is also likely to have gained from upsides such as strong brand portfolio, robust geographical reach and the ability to manufacture locally in international markets. It is also focused on higher protein production to cater to the rising demand for protein-packed food. The company is steadily expanding fresh prepared foods and plant-based offerings.
Headwinds emerging from incremental expenses associated with the pandemic are likely to have been a drag during the third quarter. Also, adverse impacts from a tight labor market as well as higher transportation and raw materials costs cannot be ignored.
Our proven model predicts an earnings beat for Tyson Foods this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Tyson Foods has a Zacks Rank #3 and an Earnings ESP of +11.17%.
Here are some more companies you may want to consider as our model shows that these have the right combination of elements to post an earnings beat:
Chewy (NYSE:CHWY) Inc. CHWY currently has an Earnings ESP of +20% and a Zacks Rank #1. You can see the complete list of today’s Zacks #1 Rank stocks here.
Darling Ingredients (NYSE:DAR) Inc. DAR currently has an Earnings ESP of +10.09% and a Zacks Rank #2.
Sprouts Farmers (NASDAQ:SFM) Market, Inc. SFM has an Earnings ESP of +2.95% and a Zacks Rank #3, at present.
Breakout Biotech Stocks with Triple-Digit Profit Potential
The biotech sector is projected to surge beyond $775 billion by 2024 as scientists develop treatments for thousands of diseases. They’re also finding ways to edit the human genome to literally erase our vulnerability to these diseases.
Zacks has just released Century of Biology: 7 Biotech Stocks to Buy Right Now to help investors profit from 7 stocks poised for outperformance. Our recent biotech recommendations have produced gains of +50%, +83% and +164% in as little as 2 months. The stocks in this report could perform even better.
See these 7 breakthrough stocks now>>If you had been following the S&P 500 closely this past week, it likely would have left you scratching your head if you were trying to align the news with the market action. For...
The Russell 2000 (IWM) has been defending its 50-day MA over the early part of 2024, but the last few days have seen a shift in this support with 'sell' triggers in the MACD and...
Consumer instinct is a wonderful attribute to have and is generally talked about when considering stocks to buy.What Is the “Consumer Instinct”? “Peter Lynch is one of the most...
Are you sure you want to block %USER_NAME%?
By doing so, you and %USER_NAME% will not be able to see any of each other's Investing.com's posts.
%USER_NAME% was successfully added to your Block List
Since you’ve just unblocked this person, you must wait 48 hours before renewing the block.
I feel that this comment is:
Thank You!
Your report has been sent to our moderators for review
Add a Comment
We encourage you to use comments to engage with other users, share your perspective and ask questions of authors and each other. However, in order to maintain the high level of discourse we’ve all come to value and expect, please keep the following criteria in mind:
Enrich the conversation, don’t trash it.
Stay focused and on track. Only post material that’s relevant to the topic being discussed.
Be respectful. Even negative opinions can be framed positively and diplomatically. Avoid profanity, slander or personal attacks directed at an author or another user. Racism, sexism and other forms of discrimination will not be tolerated.
Perpetrators of spam or abuse will be deleted from the site and prohibited from future registration at Investing.com’s discretion.