Is the business good?
How good a business is TSN?
Tyson Foods earns 3.5% on the capital it employs against a 9.0% cost of capital, so growth costs more than it returns.
3.5%
Return on invested capital · cost of capital 9.0% · 5.5 points below what the capital costs: growth destroys value
- Operating margin
- 2.1%
Operating margin · Consumer Defensive median 9.0% · 12 months to Q2 2026
- Cash conversion
- 2.71×
Cash conversion · 1.41× a year ago · every dollar of reported profit arrived as cash, and more
- Share count, year on year
- −0.84%
Share count, year on year · flat: no meaningful dilution
| Year | Operating margin |
|---|---|
| FY2020 | 7.0% |
| FY2021 | 9.3% |
| FY2022 | 8.3% |
| FY2023 | −0.75% |
| FY2024 | 2.6% |
| FY2025 | 2.0% |
Details›
- Gross margin12 months to Q2 2026
- 6.5%
- Operating margin12 months to Q2 2026
- 2.1%
- Net margin12 months to Q2 2026
- 0.81%
- Free cash flow margin
- 2.2%
- Revenue, trailing twelve months
- $55.7B
- Free cash flow, trailing twelve months
- $1.23B
- Net income, trailing twelve months
- $453M
- Return on invested capitaloperating profit after tax ÷ debt + equity − cash
- 3.5%
Margins, capital and share counts from the statements as filed with the SEC; cash conversion from the cash flow statement.
Farm Products
Ranks #5 of 6 by Smart Score