Smithfield Foods (NASDAQ:SFD) Hits New 12-Month High on Analyst Upgrade

Smithfield Foods, Inc. (NASDAQ:SFD) shares reached a new 52-week high during mid-day trading on Thursday after Zacks Research upgraded the stock from a hold rating to a strong-buy rating. The stock traded as high as $26.10 and last traded at $25.9910, with a volume of 991794 shares traded. The stock had previously closed at $24.99.

Several other equities research analysts have also recently weighed in on SFD. Morgan Stanley upped their price objective on shares of Smithfield Foods from $29.00 to $31.00 and gave the stock an “overweight” rating in a research report on Wednesday. Weiss Ratings raised shares of Smithfield Foods from a “hold (c+)” rating to a “buy (b-)” rating in a report on Wednesday. Finally, Wall Street Zen cut shares of Smithfield Foods from a “buy” rating to a “hold” rating in a research report on Saturday, March 21st. One equities research analyst has rated the stock with a Strong Buy rating and five have assigned a Buy rating to the company’s stock. According to MarketBeat, Smithfield Foods presently has a consensus rating of “Buy” and a consensus price target of $29.38.

Key Headlines Impacting Smithfield Foods

Here are the key news stories impacting Smithfield Foods this week:

• Positive Sentiment: Q4 beat, stronger margins and dividend increase — Smithfield reported better-than-expected FQ4 results (revenue +7% to $4.23B; EPS beat) and the board raised the dividend to $1.25/share, supporting income-oriented investors and signaling cash-flow strength. Shares Gap Up on Better-Than-Expected Earnings
• Positive Sentiment: Analyst upgrades and bullish notes are lifting sentiment — Zacks moved SFD from “Hold” to “Strong Buy” and Morgan Stanley published a note saying the stock is expected to rise, both providing fresh buy-side impetus. Zacks Upgrade Morgan Stanley Note
• Positive Sentiment: MarketBeat bullish technical/valuation case points to a clear upside path — coverage argues Smithfield is undervalued (~9x earnings vs. peers), highlights margin improvement, a raised dividend, and sees a path to ~$30/share driven by volume, analyst target increases and a breakout above prior highs. MarketBeat $30 Article
• Positive Sentiment: Acquisition of Nathan’s Famous (expected H1 close) is accretive to branded packaged-meats margin — completing the $450M deal gives Smithfield full brand ownership, removes licensing fees and should boost margin and higher-margin packaged products. InsiderMonkey on Nathan’s Acquisition
• Neutral Sentiment: Analyst consensus is constructive but not unanimous — several services show a “moderate buy” consensus, indicating broad support but limited coverage depth; watch for follow-on revisions from major sell-side firms. Consensus Moderate Buy
• Neutral Sentiment: Macro and input-cost volatility could be a two-way force — an article notes rising food and plastics prices tied to geopolitical tensions (Iran war), which can lift selling prices but also raise processing/packaging costs; net impact depends on pass-through and mix. MSN Macro/Costs
• Negative Sentiment: Segment margin pressure remains in places — MarketBeat notes some margin pressure in Packaged Meats and Other segments (partly offset elsewhere), so investors should monitor whether operational improvements and pricing fully offset cost headwinds. MarketBeat on Margins

Institutional Trading of Smithfield Foods

Several large investors have recently bought and sold shares of the business. Strs Ohio raised its stake in Smithfield Foods by 76.5% during the third quarter. Strs Ohio now owns 1,080 shares of the company’s stock worth $25,000 after acquiring an additional 468 shares in the last quarter. Harbor Capital Advisors Inc. boosted its stake in shares of Smithfield Foods by 88.2% in the 3rd quarter. Harbor Capital Advisors Inc. now owns 1,099 shares of the company’s stock valued at $26,000 after purchasing an additional 515 shares in the last quarter. Altshuler Shaham Ltd acquired a new stake in shares of Smithfield Foods in the 4th quarter valued at approximately $25,000. Raymond James Financial Inc. bought a new stake in shares of Smithfield Foods during the 2nd quarter valued at approximately $29,000. Finally, Oakworth Capital Inc. acquired a new position in Smithfield Foods during the 4th quarter worth approximately $31,000.

Smithfield Foods Trading Up 3.3%

The firm has a market capitalization of $10.50 billion, a price-to-earnings ratio of 10.63, a PEG ratio of 1.21 and a beta of 0.12. The stock’s 50-day moving average is $24.24 and its 200-day moving average is $23.04.

Smithfield Foods (NASDAQ:SFD) last issued its earnings results on Tuesday, March 24th. The company reported $0.83 earnings per share for the quarter, beating analysts’ consensus estimates of $0.67 by $0.16. The company had revenue of $4.23 billion during the quarter, compared to analyst estimates of $4.19 billion. The business’s quarterly revenue was up 7.0% on a year-over-year basis. During the same quarter in the prior year, the business earned $0.52 EPS.

Smithfield Foods Increases Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Tuesday, April 21st. Investors of record on Tuesday, April 7th will be issued a dividend of $0.3125 per share. This is a positive change from Smithfield Foods’s previous quarterly dividend of $0.25. The ex-dividend date of this dividend is Tuesday, April 7th. This represents a $1.25 annualized dividend and a dividend yield of 4.7%. Smithfield Foods’s dividend payout ratio (DPR) is 39.84%.

Smithfield Foods Company Profile

Smithfield Foods, Inc (NASDAQ: SFD) is one of the world’s largest pork processors and hog producers. Founded in 1936 in Smithfield, Virginia, the company has grown from a regional ham producer into a fully integrated food company offering a broad range of fresh pork, value-added meats and prepared foods. Its product portfolio includes bacon, ham, sausage, ribs and deli meats marketed under well-known brands such as Smithfield®, Nathan’s Famous® and Eckrich®.

Smithfield operates a network of hog production facilities, processing plants and distribution centers across the United States, Europe and Latin America.