Pilgrim's Pride (NASDAQ:PPC) Announces Earnings Results, Misses Estimates By $0.18 EPS

Key Points

• Pilgrim's Pride reported $0.51 EPS, missing consensus by $0.18, while GAAP EPS was $0.43 and profitability fell sharply with operating income down ~60% and adjusted EBITDA down ~42% year‑over‑year.
• Revenue held up, rising 1.6% to $4.53 billion (beating estimates) and the U.S. Prepared Foods segment showed strength (Just Bare retail sales ~+40%) while net leverage of ~1.25x supports ongoing capex and growth projects.
• The stock dropped about 5.2% on the news to roughly $31, amid analyst downgrades/lower targets and an insider sale by the CFO, weighing on near‑term sentiment.

Pilgrim's Pride (NASDAQ:PPC - Get Free Report) released its quarterly earnings results on Wednesday. The company reported $0.51 earnings per share (EPS) for the quarter, missing analysts' consensus estimates of $0.69 by ($0.18), Zacks reports. Pilgrim's Pride had a return on equity of 35.15% and a net margin of 5.85%.The company had revenue of $4.53 billion during the quarter, compared to the consensus estimate of $4.44 billion. During the same period in the previous year, the company earned $1.31 earnings per share. Pilgrim's Pride's quarterly revenue was up 1.6% on a year-over-year basis.

Pilgrim's Pride Trading Down 5.2%

NASDAQ PPC opened at $31.15 on Thursday. Pilgrim's Pride has a 12 month low of $31.06 and a 12 month high of $54.74. The company has a current ratio of 1.47, a quick ratio of 0.76 and a debt-to-equity ratio of 0.84. The stock's fifty day moving average price is $37.02 and its 200-day moving average price is $38.72. The stock has a market cap of $7.41 billion, a P/E ratio of 6.86 and a beta of 0.46.

Pilgrim's Pride News Roundup

Here are the key news stories impacting Pilgrim's Pride this week:

• Positive Sentiment: Top-line held up: net sales rose ~1.6% y/y to $4.5B, showing continued demand across retail and foodservice—support for revenue stability. Company Press Release
• Positive Sentiment: U.S. Prepared Foods is a growth driver: Just Bare® retail sales grew nearly 40% and a new Walker County, GA value‑added facility remains on schedule—potential margin upside over time. GlobeNewswire Q1 Release
• Positive Sentiment: Strong liquidity / low leverage: net leverage ~1.25x Adjusted EBITDA (below 2–3x target range), which reduces financial risk and supports continued capex and growth projects. GlobeNewswire Q1 Release
• Neutral Sentiment: ESG milestone: company exceeded Scope 1 & 2 emissions intensity targets tied to its Sustainability‑Linked Bond—positive for long-term profile, but not immediately earnings‑material. GlobeNewswire Q1 Release
• Neutral Sentiment: Regional performance mixed but stable: Europe steady; Mexico growing branded volumes (+10%+) but margins compressed by higher supply/imports—outcome depends on commodity trends. Q1 Supplement
• Negative Sentiment: EPS and profitability miss: GAAP EPS fell to $0.43 (adj. EPS $0.51) and reported EPS missed consensus; operating income and adjusted EBITDA fell sharply YoY (operating income down ~60%, adjusted EBITDA down ~42%), pressuring valuation. Market commentary on Q1 results
• Negative Sentiment: Operational headwinds: planned plant downtime, winter storms, ramping of conversion projects and softer commodity cutout values reduced margins—near‑term profitability likely to remain pressured until projects normalize. WSJ: Lower profit, higher revenue
• Negative Sentiment: Insider sale noted and analyst targets remain above current price — could weigh on sentiment while investors reassess recovery timeline. Quiver / Summary & data

Insider Activity

In related news, CFO Matthew R. Galvanoni sold 6,963 shares of the company's stock in a transaction dated Wednesday, February 18th. The shares were sold at an average price of $43.52, for a total value of $303,029.76. Following the transaction, the chief financial officer owned 91,397 shares in the company, valued at $3,977,597.44. The trade was a 7.08% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available at this hyperlink. 82.23% of the stock is currently owned by corporate insiders.

Institutional Trading of Pilgrim's Pride

A number of institutional investors and hedge funds have recently bought and sold shares of PPC. Quarry LP lifted its stake in shares of Pilgrim's Pride by 30.5% in the fourth quarter. Quarry LP now owns 1,248 shares of the company's stock worth $49,000 after buying an additional 292 shares in the last quarter. AlphaCentric Advisors LLC bought a new stake in shares of Pilgrim's Pride during the fourth quarter valued at approximately $68,000. Atlas Capital Advisors Inc. bought a new stake in shares of Pilgrim's Pride during the fourth quarter valued at approximately $95,000. Federation des caisses Desjardins du Quebec raised its holdings in Pilgrim's Pride by 18.0% in the 4th quarter. Federation des caisses Desjardins du Quebec now owns 3,252 shares of the company's stock worth $127,000 after acquiring an additional 496 shares during the last quarter. Finally, MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. raised its holdings in Pilgrim's Pride by 136.5% in the 1st quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 2,881 shares of the company's stock worth $157,000 after acquiring an additional 1,663 shares during the last quarter. 16.64% of the stock is currently owned by institutional investors.

Analyst Ratings Changes

A number of research analysts have weighed in on PPC shares. BMO Capital Markets reduced their target price on Pilgrim's Pride from $42.00 to $40.00 and set a "market perform" rating on the stock in a report on Wednesday, March 25th. Wall Street Zen cut Pilgrim's Pride from a "buy" rating to a "hold" rating in a research note on Sunday, February 15th. Stephens set a $40.00 target price on Pilgrim's Pride in a research note on Wednesday, April 15th. Zacks Research lowered Pilgrim's Pride from a "hold" rating to a "strong sell" rating in a research report on Wednesday, February 11th. Finally, The Goldman Sachs Group reduced their price target on Pilgrim's Pride from $44.00 to $39.00 and set a "neutral" rating on the stock in a research note on Thursday, April 9th. One equities research analyst has rated the stock with a Buy rating, four have given a Hold rating and one has assigned a Sell rating to the stock. According to MarketBeat.com, the stock currently has a consensus rating of "Hold" and an average target price of $41.00.

About Pilgrim's Pride

Pilgrim's Pride Corporation is a leading poultry producer in the United States and Mexico and a wholly owned subsidiary of JBS SA Headquartered in Greeley, Colorado, and Pittsburg, Texas, the company specializes in the production, processing and distribution of fresh, frozen and value-added chicken products. Pilgrim's Pride serves a diverse customer base that includes retail grocery chains, foodservice distributors and restaurant operators across North America and in select international markets.

The company's vertically integrated operations encompass breeding, hatching, feed milling, processing plants and cold storage facilities.