04-29-2015, 07:51 AM
(This post was last modified: 04-29-2015, 07:58 AM by Roadmap2Retire.)
I am fascinated by Food - both personally and as an investor.
Considering the change in worldwide demographics over the coming years/decades, theres a very straightforward case for investing in food.
Tyson Foods seems like its in a nice spot - has following market shares in the US
- Chicken 22%
- Beef 24%
- Pork 17%.
Diversified customer base - with no one customer exceeding 10%, except for Walmart - which accounts for approx 14%.
Has nice geographical diversification - US, Mexico, Brazil, China, India
Tyson has always paid a low amount of dividend (still very low at approx 1% yield) and had stagnant dividend for years. Starting 2013, they started raising those dividends (2013 = 25% increase, 2014 = 50% increase).
Some of the other things in the financials that caught my attention
- PE 16
- Forward PE 10.75
- PEG 0.85
- Payout 14%
- Expected EPS growth next 5 yrs 19%
Follow up reading:
- 2013 factbook
- Latest factbook
- Heres a nice research report from Market Realist.
Considering the change in worldwide demographics over the coming years/decades, theres a very straightforward case for investing in food.
Tyson Foods seems like its in a nice spot - has following market shares in the US
- Chicken 22%
- Beef 24%
- Pork 17%.
Diversified customer base - with no one customer exceeding 10%, except for Walmart - which accounts for approx 14%.
Has nice geographical diversification - US, Mexico, Brazil, China, India
Tyson has always paid a low amount of dividend (still very low at approx 1% yield) and had stagnant dividend for years. Starting 2013, they started raising those dividends (2013 = 25% increase, 2014 = 50% increase).
Some of the other things in the financials that caught my attention
- PE 16
- Forward PE 10.75
- PEG 0.85
- Payout 14%
- Expected EPS growth next 5 yrs 19%
Follow up reading:
- 2013 factbook
- Latest factbook
- Heres a nice research report from Market Realist.