Smithfield Foods (NASDAQ:SFD) Hits New 52-Week Low – Should You Sell?

Smithfield Foods, Inc. (NASDAQ:SFD) hit a new 52-week low during mid-day trading on Tuesday . The company traded as low as $20.04 and last traded at $20.0440, with a volume of 298322 shares. The stock had previously closed at $20.31.

Wall Street Analyst Weigh In

A number of research analysts have weighed in on SFD shares. Weiss Ratings cut shares of Smithfield Foods from a “buy (b)” rating to a “buy (b-)” rating in a report on Thursday, September 3rd. Bank of America lowered their target price on shares of Smithfield Foods from $33.00 to $32.00 and set a “buy” rating on the stock in a research note on Thursday, July 2nd. Barclays dropped their target price on Smithfield Foods from $31.00 to $29.00 and set an “overweight” rating on the stock in a research report on Wednesday, September 9th. The Goldman Sachs Group restated a “buy” rating and issued a $32.00 price target on shares of Smithfield Foods in a research note on Wednesday, August 12th. Finally, Zacks Research cut Smithfield Foods from a “hold” rating to a “strong sell” rating in a report on Thursday, August 13th. Five investment analysts have rated the stock with a Buy rating and one has assigned a Sell rating to the stock. According to data from MarketBeat.com, Smithfield Foods presently has an average rating of “Moderate Buy” and an average price target of $31.00.

Smithfield Foods Stock Down 0.6%

The business has a 50-day moving average price of $23.64 and a 200-day moving average price of $25.19. The stock has a market cap of $7.86 billion, a PE ratio of 7.44 and a beta of -0.51. The company has a current ratio of 2.56, a quick ratio of 1.34 and a debt-to-equity ratio of 0.20.

Smithfield Foods (NASDAQ:SFD) last issued its quarterly earnings results on Tuesday, August 11th. The company reported $0.62 EPS for the quarter, topping the consensus estimate of $0.60 by $0.02. The company had revenue of $3.70 billion during the quarter. Smithfield Foods had a net margin of 6.84% and a return on equity of 15.55%. Smithfield Foods’s revenue was down 2.3% compared to the same quarter last year. During the same period in the previous year, the firm posted $0.55 EPS. As a group, analysts forecast that Smithfield Foods, Inc. will post 2.12 earnings per share for the current year.

Smithfield Foods Dividend Announcement

The business also recently announced a quarterly dividend, which was paid on Thursday, August 27th. Stockholders of record on Thursday, August 13th were given a $0.3125 dividend. The ex-dividend date was Thursday, August 13th. This represents a $1.25 annualized dividend and a dividend yield of 6.3%. Smithfield Foods’s dividend payout ratio (DPR) is 46.64%.

Institutional Trading of Smithfield Foods

Institutional investors and hedge funds have recently modified their holdings of the stock. Altshuler Shaham Ltd grew its stake in Smithfield Foods by 36.8% during the 1st quarter. Altshuler Shaham Ltd now owns 1,524 shares of the company’s stock valued at $43,000 after acquiring an additional 410 shares in the last quarter. Capital Financial Group Inc. Co. ADV raised its holdings in Smithfield Foods by 5.8% in the 1st quarter. Capital Financial Group Inc. Co. ADV now owns 10,863 shares of the company’s stock valued at $304,000 after acquiring an additional 600 shares during the last quarter. Group One Trading LLC purchased a new position in Smithfield Foods in the 1st quarter worth approximately $31,000. Mitsubishi UFJ Asset Management Co. Ltd. purchased a new position in Smithfield Foods in the 2nd quarter worth approximately $29,000. Finally, Silver Oak Securities Incorporated boosted its holdings in shares of Smithfield Foods by 5.5% during the 1st quarter. Silver Oak Securities Incorporated now owns 25,767 shares of the company’s stock worth $721,000 after purchasing an additional 1,333 shares during the last quarter.

About Smithfield Foods

Smithfield Foods, Inc is a food company focused on pork production and processing. Its operations include raising hogs, processing fresh pork, and producing packaged meats and prepared foods for retail, foodservice and other customers.

The company markets products under brands including Smithfield, Eckrich, Farmland, Gwaltney, John Morrell and Healthy Ones. Its offerings include fresh pork cuts, bacon, ham, sausage, lunch meats, hot dogs and other prepared pork products.

Founded in 1936 and headquartered in Smithfield, Virginia, Smithfield serves customers in the United States and international markets through its production, processing and distribution network.