Pilgrim's Pride Corp. shares rose on Thursday after the poultry producer reported stronger-than-anticipated quarterly earnings and raised its full-year outlook.
The company posted adjusted earnings of $2.12 per share for the quarter, beating the Refinitiv consensus estimate of $1.85. Revenue for the three months ended March 30 totaled $3.8 billion, up 5% year-over-year, driven by higher chicken prices and improved processing volumes.
Management also raised its full-year adjusted earnings guidance to a range of $7.50 to $8.50 per share, from a prior forecast of $6.50 to $7.50. The upward revision reflects expectations of sustained demand and stable input costs, despite ongoing industry challenges such as avian flu pressures and labor constraints.
Analysts at BofA Securities maintained a neutral rating on the stock but raised their price target to $35 from $30, citing improved visibility into the company’s earnings trajectory. The stock was up 4.2% at midday, outperforming broader market benchmarks.
Pilgrim's Pride, a unit of JBS USA, has faced volatility in recent quarters due to fluctuating grain prices and supply chain disruptions. The latest results suggest a stabilization in its core U.S. chicken business, which accounts for the majority of its revenue.
The company is scheduled to hold an investor call later today to discuss the results in further detail.
