What Do Analysts Recommend for Tyson before Its 2Q16 Results?



Analysts’ recommendations for Tyson Foods

In this part, we’ll discuss what Wall Street analysts assigned as a target price for Tyson Foods (TSN) for the next 12 months and their ratings. Currently, ~58% of analysts rate Tyson Foods a “buy” and 42% rate it a “hold.” None of the analysts rate it a “sell.”

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Consensus rating for Tyson Foods

The average broker target price for Tyson Foods is $73.50. This is 10% higher than the closing price of $66.38 on May 5. The company’s peers include Hormel Foods (HRL), Sanderson Farms (SAFM), and Pilgrim’s Pride (PPC). They have average broker target prices of $43, $90.80, and $28.0, respectively. These figures imply returns of 10%, -0.89%, and 3.1%, respectively, in the next 12 months.

These stocks are all part of the First Trust Consumer Staples AlphaDEX Fund (FXG). FXG invests 5.8% of its holdings in Tyson Foods, 3.6% of its holdings in Pilgrim’s Pride, and 5.1% of its holdings in Hormel Foods. The SPDR S&P Dividend ETF (SDY) and the PowerShares DWA Momentum Portfolio (PDP) invest 0.75% and 1.1% of their portfolios in Hormel.

More recommendations for Tyson Foods

Regarding individual recommendations, Pivotal Research Group gave Tyson Foods the highest target price of $100. The target price is now 34% higher than the closing price of $66.38 on May 5. The firm rates the stock a “strong buy.”

On January 5, RBC Capital Markets downgraded Tyson Foods from “outperform” to “sector perform.” It rates Tyson Foods a “hold.” The firm increased its target price for Tyson Foods from $60 to $65 on May 3. This is 2% lower than Tyson’s current trading price.

Argus Research and Jefferies also gave optimistic price targets of $80 and $78. This implies a rise of ~17% and 15% in the next 12 months. Both firms rate the stock a “strong buy.” Others who rate the stock a “strong buy” are Goldman Sachs, Stephens, and BMO Capital Markets.

J.P. Morgan rates Tyson a “hold.” It assigned the stock the lowest target price of $58. This represents an ~14% fall from the closing price on May 5. Morningstar and BB&T haven’t provided a target price. However, they rate Tyson a “hold.”


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