Smithfield Foods (NASDAQ:SFD) Sets New 1-Year High on Earnings Beat

Smithfield Foods, Inc (NASDAQ:SFD - Get Free Report)'s share price reached a new 52-week high on Wednesday after the company announced better than expected quarterly earnings. The company traded as high as $22.28 and last traded at $21.66, with a volume of 95114 shares traded. The stock had previously closed at $21.67.

The company reported $0.58 earnings per share for the quarter, topping analysts' consensus estimates of $0.47 by $0.11. The business had revenue of $3.77 billion during the quarter, compared to the consensus estimate of $3.56 billion. The firm's revenue for the quarter was up 9.5% compared to the same quarter last year.

Smithfield Foods Announces Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Thursday, May 29th. Stockholders of record on Thursday, May 15th will be given a dividend of $0.25 per share. This represents a $1.00 annualized dividend and a dividend yield of 4.35%. The ex-dividend date is Thursday, May 15th. Smithfield Foods's payout ratio is currently 44.05%.

Wall Street Analysts Forecast Growth

Several research firms recently weighed in on SFD. UBS Group assumed coverage on shares of Smithfield Foods in a research note on Monday, February 24th. They set a "buy" rating for the company. Citigroup started coverage on Smithfield Foods in a research report on Monday, February 24th. They set a "buy" rating and a $27.00 price objective for the company. Morgan Stanley assumed coverage on Smithfield Foods in a research report on Tuesday, March 25th. They issued an "overweight" rating and a $28.00 target price on the stock. HSBC initiated coverage on Smithfield Foods in a research note on Tuesday, March 18th. They set a "buy" rating and a $29.00 price target for the company. Finally, Bank of America started coverage on Smithfield Foods in a research note on Monday, February 24th. They issued a "buy" rating and a $28.00 price objective on the stock. One research analyst has rated the stock with a hold rating, seven have assigned a buy rating and one has given a strong buy rating to the stock. According to data from MarketBeat, Smithfield Foods presently has an average rating of "Buy" and an average target price of $27.86.

Insider Transactions at Smithfield Foods

In related news, major shareholder Group Ltd/Adr Wh sold 2,506,936 shares of the firm's stock in a transaction on Thursday, February 20th. The stock was sold at an average price of $20.00, for a total value of $50,138,720.00. Following the completion of the sale, the insider now directly owns 364,518,817 shares in the company, valued at $7,290,376,340. This trade represents a 0.68 % decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink. Company insiders own 1.79% of the company's stock.

Institutional Investors Weigh In On Smithfield Foods

Several hedge funds and other institutional investors have recently made changes to their positions in the company. Amalgamated Bank bought a new position in Smithfield Foods during the 1st quarter valued at about $28,000. American Capital Advisory LLC purchased a new position in shares of Smithfield Foods during the first quarter valued at approximately $102,000. New York State Common Retirement Fund bought a new position in shares of Smithfield Foods during the first quarter valued at approximately $110,000. Oppenheimer & Co. Inc. purchased a new stake in shares of Smithfield Foods in the first quarter worth approximately $213,000. Finally, Nisa Investment Advisors LLC bought a new stake in shares of Smithfield Foods during the 1st quarter worth approximately $255,000.

Smithfield Foods Trading Up 4.5 %

The stock's fifty day simple moving average is $20.06. The firm has a market cap of $9.03 billion and a P/E ratio of 10.12.

Smithfield Foods Company Profile

Smithfield Foods, Inc produces and markets a variety of fresh meat and packaged meats products both domestically and internationally. The Company operates in four segments: Pork, Hog Production, International and Corporate, each of which consists of a number of subsidiaries, joint ventures and other investments.