Tyson Foods Inc. (TSN): Today's Featured Food & Beverage Winner

Editor's Note: TheStreet ratings do not represent the views of TheStreet's staff or its contributors. Ratings are established by computer based on metrics for performance (which includes growth, stock performance, efficiency and valuation) and risk (volatility and solvency). Companies with poor cash flow or high debt levels tend to earn lower ratings in our model.

Tyson Foods ( TSN) pushed the Food & Beverage industry higher today making it today's featured food & beverage winner. The industry as a whole closed the day up 0.3%. By the end of trading, Tyson Foods rose 32 cents (1.7%) to $19.60 on average volume. Throughout the day, 5.7 million shares of Tyson Foods exchanged hands as compared to its average daily volume of 4.9 million shares. The stock ranged in a price between $19.30-$19.68 after having opened the day at $19.33 as compared to the previous trading day's close of $19.28. Other companies within the Food & Beverage industry that increased today were: Tofutti Brands ( TOF), up 16.2%, Teavana Holdings ( TEA), up 7%, Reeds ( REED), up 5.6%, and Tianli Agritech ( OINK), up 5.5%.
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Tyson Foods, Inc., together with its subsidiaries, engages in the production, distribution, and marketing of chicken, beef, pork, prepared foods, and related allied products worldwide. Tyson Foods has a market cap of $5.55 billion and is part of the consumer goods sector. The company has a P/E ratio of 10.1, below the S&P 500 P/E ratio of 17.7. Shares are down 6.6% year to date as of the close of trading on Tuesday. Currently there are five analysts that rate Tyson Foods a buy, four analysts rate it a sell, and five rate it a hold.

TheStreet Ratings rates Tyson Foods as a buy. The company's strengths can be seen in multiple areas, such as its increase in net income, attractive valuation levels, good cash flow from operations, growth in earnings per share and largely solid financial position with reasonable debt levels by most measures. We feel these strengths outweigh the fact that the company has had somewhat disappointing return on equity.

On the negative front, Seaboard Corporation ( SEB), down 6.3%, MGP Ingredients ( MGPI), down 5%, Synutra International ( SYUT), down 4.9%, and Agria Corporation ( GRO), down 4.7%, were all laggards within the food & beverage industry with Mondelez International ( MDLZ) being today's food & beverage industry laggard.

For investors not wanting singular stock exposure, ETFs may be of interest. Investors who are bullish on the food & beverage industry could consider PowerShares Dynamic Food & Beverage ( PBJ) while those bearish on the food & beverage industry could consider PowerShares DB Agriculture Sht ETN ( ADZ).

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