Welcome!

News Feed Item

The Zacks Analyst Blog Highlights: Tyson Foods, Sanderson Farms, Supervalu, Kroger and Hartford Financial

CHICAGO, March 27, 2013 /PRNewswire/ -- Zacks.com announces the list of stocks featured in the Analyst Blog. Every day the Zacks Equity Research analysts discuss the latest news and events impacting stocks and the financial markets. Stocks recently featured in the blog include Tyson Foods Inc. (NYSE:TSN), Sanderson Farms Inc. (Nasdaq:SAFM), Supervalu Inc. (NYSE:SVU), Kroger Company (NYSE:KR) and Hartford Financial (NYSE:HIG).

(Logo: http://photos.prnewswire.com/prnh/20101027/ZIRLOGO)

Get the most recent insight from Zacks Equity Research with the free Profit from the Pros newsletter: http://at.zacks.com/?id=5513

Here are highlights from Tuesday's Analyst Blog:

Meat Industry Saved from Shutdown

The meat industry heaved a sigh of relief as according to media reports, the U.S. Congress decided to set aside the furlough of meat inspectors by the United States Department of Agriculture (USDA).

The government allotted $55 million in order to prevent the proposed furlough as a part of the federal budget cuts. The spending cut and tax increases to cover the deficit by the U.S. government was scheduled to begin in Jan 2013, but was eventually pushed back to March. This was because the differences between President Obama and congressional Republicans had yet to be resolved.

Up to 8,400 inspectors appointed by the USDA were supposed to be furloughed for the equivalent of 15 days to effect the savings required under the automatic cuts. This would result in complete shutdown of meat plants for two weeks as by law, meat processors cannot sell beef, pork, lamb and poultry meat without the USDA inspection seal. According to Agriculture Secretary Tom Vilsack, the impact of the furlough of inspection personnel could have amounted to 15 days of lost production costing over $10 billion.

The proposal was accepted as it did not involve any new spending. The $55 million would instead come from $30 million previously allotted to maintain USDA buildings and $25 million for a new USDA program to upgrade school kitchen equipment.

Meat processing giant Tyson Foods Inc. (NYSE:TSN) and Sanderson Farms Inc. (Nasdaq:SAFM) welcomed the decision. Tyson Foods hailed the bill and commented that the setting aside of the proposed furlough would be beneficial for the meat industry, groceries, restaurants and schools. The prevention of furlough would also provide uninterrupted supply to chains like Supervalu Inc. (NYSE:SVU) and Kroger Company (NYSE:KR).

In its fourth quarter fiscal 2013 earnings conference call held in Feb 2013, Tyson said that it expects sales to grow by 3% to 4% in fiscal 2014. Value-added sales are expected to rise in the range of 6% to 8% in 2014. Moreover, international production is expected to grow at an annual rate of 12% to 16%.

The company expressed that its second-quarter loss was attributable to contracting margins in the beef and pork segment. The chicken segment is however improving due to favorable demand shift from red meat.

In April 2013, the company expects to further boost the segment by introducing the NatureRaised Farms brand, including natural chicken reared without use of antibiotics or added hormones. Currently, Tyson Foods carries a Zacks Rank #2 (Buy).

 Hartford Financial Hits 52-Week High

On Mar 25, 2013, shares of Hartford Financial (NYSE:HIG) hit a 52-week high of $26.69. The momentum is driven by the company's recent capital management plans and earnings beat in the fourth quarter of 2012.

On Feb 4, 2013, Hartford Financial reported fourth-quarter 2012 operating earnings of 54 cents per share, comfortably beating the Zacks Consensus Estimate of 30 cents. The company delivered positive earnings surprise in 2 out of 4 quarters in 2012 with an average beat of 14.4%.

On the same day, Hartford Financial announced a capital management plan aimed at boosting financial flexibility by reducing debt and returning more value to shareholders through share repurchase. The plan comprises debt repayment worth $1 billion along with repurchase of shares worth $500 million by the end of 2013. The company, in an effort to successfully execute its plans, has already announced a cash tender offer to repurchase senior debt worth $800 million.

The capital plan was driven by the surplus capital that Hartford Financial generated from the recent divestitures. The company completed the sale of Woodbury Financial Services in Dec 2012 and its Retirement Plans and Individual Life Insurance businesses in Jan 2013. These three transactions cumulatively enhanced the net statutory capital by $2.2 billion, most of which will be recognized in 2013.

Hartford Financial also terminated its Individual Annuity business in the second quarter of 2012 and sold its new variable annuity business infrastructure in Jan 2013, which is expected to cut down pre-tax expenses by $100 million in 2013.

The valuation of Hartford Financial's shares is reasonable. The shares are trading at a discount on a price-to-book and forward price-to-earnings basis and return on equity is also lower than the peer group average. Nevertheless, the 1-year return from the stock is 21.5%, much above the S&P 500'sreturn of 11.4%.  

Want more from Zacks Equity Research? Subscribe to the free Profit from the Pros newsletter: http://at.zacks.com/?id=5515.

About Zacks Equity Research

Zacks Equity Research provides the best of quantitative and qualitative analysis to help investors know what stocks to buy and which to sell for the long-term.

Continuous coverage is provided for a universe of 1,150 publicly traded stocks. Our analysts are organized by industry which gives them keen insights to developments that affect company profits and stock performance. Recommendations and target prices are six-month time horizons.

Zacks "Profit from the Pros" e-mail newsletter provides highlights of the latest analysis from Zacks Equity Research. Subscribe to this free newsletter today: http://at.zacks.com/?id=5517

About Zacks

Zacks.com is a property of Zacks Investment Research, Inc., which was formed in 1978 by Leon Zacks. As a PhD from MIT Len knew he could find patterns in stock market data that would lead to superior investment results. Amongst his many accomplishments was the formation of his proprietary stock picking system; the Zacks Rank, which continues to outperform the market by nearly a 3 to 1 margin. The best way to unlock the profitable stock recommendations and market insights of Zacks Investment Research is through our free daily email newsletter; Profit from the Pros. In short, it's your steady flow of Profitable ideas GUARANTEED to be worth your time! Register for your free subscription to Profit from the Pros at http://at.zacks.com/?id=5518.

Visit http://www.zacks.com/performance for information about the performance numbers displayed in this press release.

Follow us on Twitter: http://twitter.com/zacksresearch

Join us on Facebook: http://www.facebook.com/home.php#/pages/Zacks-Investment-Research/57553657748?ref=ts

Disclaimer: Past performance does not guarantee future results. Investors should always research companies and securities before making any investments. Nothing herein should be construed as an offer or solicitation to buy or sell any security.

Media Contact
Zacks Investment Research
800-767-3771 ext. 9339
[email protected]
http://www.zacks.com

SOURCE Zacks Investment Research, Inc.

More Stories By PR Newswire

Copyright © 2007 PR Newswire. All rights reserved. Republication or redistribution of PRNewswire content is expressly prohibited without the prior written consent of PRNewswire. PRNewswire shall not be liable for any errors or delays in the content, or for any actions taken in reliance thereon.

Latest Stories
Things are changing so quickly in IoT that it would take a wizard to predict which ecosystem will gain the most traction. In order for IoT to reach its potential, smart devices must be able to work together. Today, there are a slew of interoperability standards being promoted by big names to make this happen: HomeKit, Brillo and Alljoyn. In his session at @ThingsExpo, Adam Justice, vice president and general manager of Grid Connect, will review what happens when smart devices don’t work togethe...
The 20th International Cloud Expo has announced that its Call for Papers is open. Cloud Expo, to be held June 6-8, 2017, at the Javits Center in New York City, brings together Cloud Computing, Big Data, Internet of Things, DevOps, Containers, Microservices and WebRTC to one location. With cloud computing driving a higher percentage of enterprise IT budgets every year, it becomes increasingly important to plant your flag in this fast-expanding business opportunity. Submit your speaking proposal ...
@DevOpsSummit taking place June 6-8, 2017 at Javits Center, New York City, is co-located with the 20th International Cloud Expo and will feature technical sessions from a rock star conference faculty and the leading industry players in the world. @DevOpsSummit at Cloud Expo New York Call for Papers is now open.
"There's a growing demand from users for things to be faster. When you think about all the transactions or interactions users will have with your product and everything that is between those transactions and interactions - what drives us at Catchpoint Systems is the idea to measure that and to analyze it," explained Leo Vasiliou, Director of Web Performance Engineering at Catchpoint Systems, in this SYS-CON.tv interview at 18th Cloud Expo, held June 7-9, 2016, at the Javits Center in New York Ci...
SYS-CON Events announced today that Dataloop.IO, an innovator in cloud IT-monitoring whose products help organizations save time and money, has been named “Bronze Sponsor” of SYS-CON's 20th International Cloud Expo®, which will take place on June 6-8, 2017, at the Javits Center in New York City, NY. Dataloop.IO is an emerging software company on the cutting edge of major IT-infrastructure trends including cloud computing and microservices. The company, founded in the UK but now based in San Fran...
20th Cloud Expo, taking place June 6-8, 2017, at the Javits Center in New York City, NY, will feature technical sessions from a rock star conference faculty and the leading industry players in the world. Cloud computing is now being embraced by a majority of enterprises of all sizes. Yesterday's debate about public vs. private has transformed into the reality of hybrid cloud: a recent survey shows that 74% of enterprises have a hybrid cloud strategy.
Internet of @ThingsExpo, taking place June 6-8, 2017 at the Javits Center in New York City, New York, is co-located with the 20th International Cloud Expo and will feature technical sessions from a rock star conference faculty and the leading industry players in the world. @ThingsExpo New York Call for Papers is now open.
In the next five to ten years, millions, if not billions of things will become smarter. This smartness goes beyond connected things in our homes like the fridge, thermostat and fancy lighting, and into heavily regulated industries including aerospace, pharmaceutical/medical devices and energy. “Smartness” will embed itself within individual products that are part of our daily lives. We will engage with smart products - learning from them, informing them, and communicating with them. Smart produc...
Providing the needed data for application development and testing is a huge headache for most organizations. The problems are often the same across companies - speed, quality, cost, and control. Provisioning data can take days or weeks, every time a refresh is required. Using dummy data leads to quality problems. Creating physical copies of large data sets and sending them to distributed teams of developers eats up expensive storage and bandwidth resources. And, all of these copies proliferating...
SYS-CON Events announced today that Catchpoint, a leading digital experience intelligence company, has been named “Silver Sponsor” of SYS-CON's 20th International Cloud Expo®, which will take place on June 6-8, 2017, at the Javits Center in New York City, NY. Catchpoint Systems is a leading Digital Performance Analytics company that provides unparalleled insight into your customer-critical services to help you consistently deliver an amazing customer experience. Designed for digital business, C...
“DevOps is really about the business. The business is under pressure today, competitively in the marketplace to respond to the expectations of the customer. The business is driving IT and the problem is that IT isn't responding fast enough," explained Mark Levy, Senior Product Marketing Manager at Serena Software, in this SYS-CON.tv interview at DevOps Summit, held Nov 4–6, 2014, at the Santa Clara Convention Center in Santa Clara, CA.
SYS-CON Events announced today that Catchpoint Systems, Inc., a provider of innovative web and infrastructure monitoring solutions, has been named “Silver Sponsor” of SYS-CON's DevOps Summit at 18th Cloud Expo New York, which will take place June 7-9, 2016, at the Javits Center in New York City, NY. Catchpoint is a leading Digital Performance Analytics company that provides unparalleled insight into customer-critical services to help consistently deliver an amazing customer experience. Designed ...
More and more brands have jumped on the IoT bandwagon. We have an excess of wearables – activity trackers, smartwatches, smart glasses and sneakers, and more that track seemingly endless datapoints. However, most consumers have no idea what “IoT” means. Creating more wearables that track data shouldn't be the aim of brands; delivering meaningful, tangible relevance to their users should be. We're in a period in which the IoT pendulum is still swinging. Initially, it swung toward "smart for smart...
WebRTC sits at the intersection between VoIP and the Web. As such, it poses some interesting challenges for those developing services on top of it, but also for those who need to test and monitor these services. In his session at WebRTC Summit, Tsahi Levent-Levi, co-founder of testRTC, reviewed the various challenges posed by WebRTC when it comes to testing and monitoring and on ways to overcome them.
The emerging Internet of Everything creates tremendous new opportunities for customer engagement and business model innovation. However, enterprises must overcome a number of critical challenges to bring these new solutions to market. In his session at @ThingsExpo, Michael Martin, CTO/CIO at nfrastructure, outlined these key challenges and recommended approaches for overcoming them to achieve speed and agility in the design, development and implementation of Internet of Everything solutions with...