SMITHFIELD FOODS Aktie

Smithfield Foods reported record operating earnings for the second quarter and first half, but cut its Q3 outlook for fresh meat and hog production after a sharp price decline in pork cuts. The packaged meats business showed strength with market share gains, expanded distribution and roughly 22% e-commerce growth, while the balance sheet remains solid with 0.4x leverage and more than $3.5 billion in liquidity. Management plans to reduce hog production by about 30% over the long term, invest in automation and the conversion of the Sioux Falls plant, and maintain annual capex of $350–450 million. The acquisition of Nathan’s Famous is still under review and, management says, is expected to close in the second half of 2025. » More on de.investing.com

S&P Global Ratings raised Smithfield Foods’ issuer rating from BBB- to BBB and its short-term rating from A-3 to A-2; the rating on the senior unsecured notes was also raised to BBB. The agency cited lower volatility in hog production, strong cash flow at WH Group and efficiency gains at Smithfield; adjusted leverage was 0.9x as of June 30, 2026, and the adjusted EBITDA margin was about 12%. Smithfield plans to use excess cash for upgrades (including Sioux Falls: $1.3bn) and acquisitions such as Nathan’s Famous ($450–500m). » More on de.investing.com

Smithfield Foods has lowered its profit forecast for the third quarter, citing continued margin pressure in pork processing and falling hog prices. For the fresh meats division the company now expects an adjusted operating loss of $70 million to $90 million, and for hog production an adjusted profit of $25 million to $45 million. The outlook for meat and prepared foods for 2026 remains unchanged at $1.075 billion to $1.15 billion, and the company’s adjusted operating income for Q3 is now estimated at $115 million to $175 million. » More on de.investing.com