Pilgrim’s Pride (NASDAQ:PPC) Cut to Strong Sell at Zacks Research

Zacks Research cut shares of Pilgrim’s Pride (NASDAQ:PPC) from a hold rating to a strong sell rating in a report released on Wednesday morning,Zacks.com reports.

A number of other research firms also recently weighed in on PPC. Wall Street Zen upgraded Pilgrim’s Pride from a “hold” rating to a “buy” rating in a research report on Saturday, February 7th. Santander raised shares of Pilgrim’s Pride from a “neutral” rating to an “outperform” rating in a research note on Thursday, December 11th. Weiss Ratings restated a “hold (c)” rating on shares of Pilgrim’s Pride in a report on Monday, December 29th. Finally, Barclays reduced their target price on shares of Pilgrim’s Pride from $49.00 to $45.00 and set an “equal weight” rating on the stock in a report on Tuesday, December 9th. One research analyst has rated the stock with a Buy rating, four have issued a Hold rating and one has issued a Sell rating to the company. According to data from MarketBeat, Pilgrim’s Pride currently has an average rating of “Hold” and an average price target of $44.33.

Pilgrim’s Pride Stock Up 4.0%

Shares of NASDAQ:PPC opened at $43.32 on Wednesday. The firm has a market capitalization of $10.29 billion, a PE ratio of 9.54 and a beta of 0.43. The company has a debt-to-equity ratio of 0.84, a quick ratio of 0.78 and a current ratio of 1.47. Pilgrim’s Pride has a 52-week low of $35.73 and a 52-week high of $57.16. The firm has a fifty day moving average of $40.81 and a 200 day moving average of $41.30.

Pilgrim’s Pride (NASDAQ:PPC) last issued its quarterly earnings results on Wednesday, February 11th. The company reported $0.64 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.78 by ($0.14). Pilgrim’s Pride had a return on equity of 35.15% and a net margin of 5.85%.The firm had revenue of $4.52 billion for the quarter, compared to the consensus estimate of $4.39 billion. During the same period last year, the firm earned $1.35 EPS. The company’s revenue for the quarter was up 3.3% on a year-over-year basis. As a group, research analysts anticipate that Pilgrim’s Pride will post 5.13 EPS for the current fiscal year.

Institutional Investors Weigh In On Pilgrim’s Pride

Institutional investors have recently added to or reduced their stakes in the company. Torren Management LLC purchased a new position in shares of Pilgrim’s Pride in the fourth quarter valued at about $31,000. MCF Advisors LLC bought a new stake in shares of Pilgrim’s Pride in the fourth quarter worth about $35,000. True Wealth Design LLC increased its holdings in Pilgrim’s Pride by 1,248.5% during the 3rd quarter. True Wealth Design LLC now owns 917 shares of the company’s stock valued at $37,000 after purchasing an additional 849 shares during the period. Kingdom Financial Group LLC. bought a new position in Pilgrim’s Pride during the 4th quarter valued at approximately $37,000. Finally, Abich Financial Wealth Management LLC bought a new position in Pilgrim’s Pride during the 3rd quarter valued at approximately $41,000. Hedge funds and other institutional investors own 16.64% of the company’s stock.

Key Pilgrim’s Pride News

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

• Positive Sentiment: Revenue and branded growth beat expectations — Q4 net sales rose ~3.3% y/y and topped estimates, driven by a strong U.S. Prepared Foods business (Just Bare® momentum) and improved European performance; Pilgrim’s also returned $2 billion to shareholders. Pilgrim’s Pride Reports Fourth Quarter and Year-End 2025 Results
• Positive Sentiment: Solid full‑year cash generation and leverage — FY2025 GAAP net income ~$1.1B and adjusted EBITDA ~ $2.27B, with net leverage below ~1.1x, which supports liquidity and shareholder returns. Quiver Quant: Pilgrim’s Pride Announces 2025 Financial Results
• Neutral Sentiment: Analyst target modestly adjusted — BMO raised its price target from $40 to $42 and kept a “market perform” rating (target still implies limited upside/downside near current levels). The Fly: BMO raises PPC price target
• Neutral Sentiment: Management commentary and slide deck are available — the earnings call/transcript and presentation give detail on segment mix, cost actions and outlook (useful for modeling near‑term margin recovery scenarios). Earnings Call Transcript
• Negative Sentiment: Q4 earnings missed consensus — reported EPS under consensus (the company reported a lower Q4 EPS vs. the ~$0.78 consensus), and adjusted EBITDA declined y/y in the quarter, signaling margin pressure. That miss is the proximate reason for investor concern. Zacks: Q4 results lag estimates
• Negative Sentiment: Margin compression and regional headwinds — analysts and deep‑dive coverage point to commodity cost volatility and weak Mexico margins (imports and live commodity market issues), increasing near‑term profit risk; Zacks also downgraded the stock to “strong sell.” MSN deep dive: Margin compression Zacks: PPC downgraded

Pilgrim’s Pride Company Profile

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.