Tyson Foods Q4 sales fall short but profit tops forecasts
Higher legal costs weigh on results as chicken segment shines
11 November 2025
1 minute read
By: Tyson Foods reported fourth-quarter sales that narrowly missed analyst expectations, while adjusted earnings per share rose 25% year over year, beating forecasts, according to a report from Reuters. The company’s GAAP operating income fell 70% from the same period a year earlier.
For fiscal 2026, Tyson expects revenue to grow between 2% and 4% compared with 2025. Adjusted operating income is projected between $2.1 billion and $2.3 billion, with capital expenditures ranging from $700 million to $1 billion.
CEO Donnie King attributed sales growth to the strength of Tyson’s multi-protein, multi-channel portfolio. The chicken segment performed particularly well, posting an adjusted operating margin of 10.4%.
Results were affected by a $355 million increase in legal contingency accruals, which reduced reported sales. Fourth-quarter sales came in at $13.86 billion, just below the $13.97 billion consensus from nine analysts. Adjusted EPS was $1.15, compared with expectations of $0.83, while reported EPS stood at $0.13. The company’s adjusted operating margin was 4.3%, with an overall operating margin of 1.1%.
Analysts currently rate Tyson shares as “hold,” with four recommending “buy” and ten “hold.” The average 12-month price target is $60, about 12% above the November 7 closing price of $52.68. Tyson’s stock trades at 14 times expected earnings for the next 12 months, up from a P/E of 13 three months ago.
