Why Tyson Food Looks Tasty in 2013

Updated

Based on the aggregated intelligence of 180,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, meat producer Tyson Foods has earned a respected four-star ranking.

With that in mind, let's take a closer look at Tyson, and see what CAPS investors are saying about the stock right now.

Tyson facts

Headquarters (founded)

Springdale, Ark. (1935)

Market Cap

$7.3 billion

Industry

Packaged foods and meats

Trailing-12-Month Revenue

$33.3 billion

Management

CEO Donnie Smith (since 2009)

CFO Dennis Leatherby (since 2008)

Return on Equity (average, past 3 years)

13%

Cash / Debt

$1.1 billion / $2.4 billion

Dividend Yield

1%

Competitors

Cargill

Pilgrim's (Nasdaq: PPC)

Smithfield Foods


Sources: S&P Capital IQ and Motley Fool CAPS.

On CAPS, 80% of the 348 members who have rated Tyson believe the stock will outperform the S&P 500 going forward.

Earlier today, one of those Fools, NL2, touched on the tailwinds working in Tyson's favor:

Chicken producer's greatest cost is grain for feed and these costs will be up for 2013. However, chicken prices may likely be disproportionately higher. As a result of the 2012 drought, protein producers of beef, pork and chickens have reduced production. This should result in lower protein availability and higher prices.

If you want market-thumping returns, you need to put together the best portfolio you can. Of course, despite a strong four-star rating, Tyson may not be your top choice.

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The article Why Tyson Food Looks Tasty in 2013 originally appeared on Fool.com.

Brian Pacampara has no position in any stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.

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