Tyson Just Cooked Some Nashville Hot Chicken With Their Q4 Earnings (Thanks to Beefs Big Barbacue)

This story isn’t about Chick-fil-A, but we’ve got to give their marketing team some props—those cows knew the future. They’ve been pushing “Eat Mor Chikin” for years, and based on Tyson Foods’ latest earnings, it looks like America finally listened. Chicken is having its moment, and Tyson’s cashing in.

In fact, Tyson shares just popped 9%, and apparently, chicken is the new crypto (if Bitcoin had feathers). The Arkansas based company dropped its Q4 earnings, and let me tell you—its chicken business is on fire. We’re talking about a $409 million operating profit  just a year after their chicken department lost $267 million. 

On the other hand, Tyson’s beef business is getting smoked harder than a brisket at a Texas barbecue. They’re forecasting up to a $400 million loss in 2025, which isn’t exactly the kind of news you want to write home about. But luckily, their chicken division is carrying the whole operation like LeBron dragging the Cavs to the Finals. 

Let’s look at the numbers: Tyson pulled in $13.57 billion in Q4 sales, up 1.6% year-over-year (thank you, inflation), while operating income soared 117% to $512 million. They also posted earnings per share of $0.92, smashing Wall Street’s expectations of $0.64. In short, Tyson is proving that when it comes to chicken, they’re not just winging it anymore (dad joke alert).

The good news came at the right time for Tyson. Just a few weeks ago, their 34-year-old heir, John Randal Tyson, was living out a real-life Hangover movie (first getting caught tipsy in an unfamiliar bed, and then adding a DUI charge to his résumé). Needless to say, their PR team has been working full time.

All humor aside, Americans are broke, and beef prices are through the roof (think Snoop Dogg levels of high). When ground beef starts costing as much as your monthly car payment, suddenly chicken becomes the MVP of every middle class home in America.

CEO Donnie King (who really missed out by not going with “The Chicken King”) is riding this momentum all the way to 2025. Tyson’s projecting $1-$1.2 billion in operating income from chicken next year. That’s bold, but given their recent performance, it’s not exactly a pipe dream.

They’re even sweetening the deal for investors by hiking their dividend by 2%. Sure, it’s not enough to cover your avocado upgrade at Chipotle, but hey, it’s something. And with $4 billion in liquidity, Tyson’s got the kind of war chest that makes you wonder if they’re planning to buy Colonel Sanders’ secret recipe.

The Bottom Line: Tyson is clearly ahead of the game right now. They’ve turned their biggest liability into a major strength, proving that sometimes you just need to follow the wisdom of semi-literate billboard cows.

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Stock.News has positions in Tyson and Chipotle mentioned in article.